Property portal Idealista have released data showing the prices of resale property in Spain fell an average of 2.8% during Q1, 2016, when compared to the same period in 2015.
A square metre will now cost an average of 1,552 Euros compared to 1,597 Euros 12 months ago.
However, the results are very different when looking at different areas of Spain.
In Barcelona, for example, you will now see an average cost per square metre of 3,478 Euros, an increase of 6.6% on the inter-annual rate. However, prices in the city are still 26.9% lower than during the peak of 2007.
Madrid saw a 2.2% average increase leaving a square metre at 2,832 Euros. Again, this is far below the pre-crisis peak when the same space would have cost you 4,035 Euros.
Despite the community of Valenciana seeing a drop of 2.2% in the inter-annual rate, property owners in Valencia city have seen their property values increase during the first quarter by an average 2.9% over the same period in 2015, leaving a square metre costing 1,471 Euros. This is 47.5% lower than the pre-crisis peak prices.
The two island communities, The Canary Islands and The Balearic Islands both saw increases in the average cost of a square metre with inter-annual increases of 4.1% and 3.9%, respectively.
Andalucia and the Costa del Sol
In Andalucia, the average price has fallen a slight 0.2% in the inter-annual rate, leaving a square metre costing 1,385 Euros.
Of the Costa del Sol areas it appears most are well into the recovery and many have seen price increases, some quite substantial. For example, in Manilva, prices have increased 15.7% in the last 12 months meaning you will now be looking at 1,324 Euros per square metre.
Estepona, Torremolinos and Coin also saw increases well above average with prices going up 7%, 6.3% and 5.6%, respectively.
In Marbella, arguably the most famous area of the coast, prices have increased by an average of 4.8% leaving a square metre with a cost of 2,425 Euros. At the end of Q1 in 2015 this cost was 2,313 Euros.
Of all the towns in Andalucia the majority finished the quarter on a positive with the exception of Antequerra, Caleta de Velez, Cártama, Ronda, Torre del Mar and Torrox.
This confirms the general feeling amongst agents here on the coast who have noticed a renewed interest in property for sale, as well as a very notable increase in tourist numbers. Some of the increases are due to security concerns in other countries with many tourists feeling Spain is the only “safe” option for a European holiday. These threats are not likely to continue indefintely and we will surely see a drop-off in tourist numbers as people start once again to visit Turkey, Tunisia, Greece, Cyprus and Egypt, all countries that have suffered of late. Hopefully, by the time that happens Spain, and specifically the Costa del Sol, would have had a great year for both tourism and the beleaguered property market.
You can see the full report from Idealista here.