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Housing Prices In Barcelona And Madrid Could Be Overvalued By 17%

Housing prices began to fall in Spain in the last half of 2019 and the impact of Covid-19 has only accelerated the downward trend of the end of a cycle. According to a study by Tecnocasa and Pompeu Fabra University, this pattern is due to the fact that there is a lot of private real estate offer that is overvalued. In fact, overvaluation can reach 17% and 16.5%, respectively, in Madrid and Barcelona. This percentage measures the difference between professional valuations and the price that owners of properties are demanding.