Spanish Housing Prices To Rise By More Than +5% In 2022 And Sales To Exceed Pre-Covid Level

barrio salamancaHouses in Salamanca district, one of the most expensive areas in Madrid.

Renta 4 | The Spanish economic press echoes the forecasts on the Spanish real estate sector, specifically on housing, a market in which a new price rise of over +5% is predicted after the +4.2% that would have been recorded in 2021. The price increase would be accompanied by a recovery of sales to pre-pandemic levels (estimated increase of around 10% according to information from the newspaper Expansión).

In addition to the shortage of product, especially new construction and product in good condition in areas with high demand, there are other factors such as the pent-up demand and savings accumulated during the months of the pandemic and the change of perception and priorities regarding the main home by the population.

Also in the rental market, experts anticipate price increases of more than 5%, largely due to the effect of the updating of rents due to the rise in the CPI.

Valuation: Positive news for the Spanish real estate sector, which anticipates a good year both in terms of assets and developers, especially in a situation of high inflation.

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The Corner has a team of on-the-ground reporters in capital cities ranging from New York to Beijing. Their stories are edited by the teams at the Spanish magazine Consejeros (for members of companies’ boards of directors) and at the stock market news site Consenso Del Mercado (market consensus). They have worked in economics and communication for over 25 years.