House Prices in Spain Fall to 2006 Prices

The average price of housing stood at 1958.1 euros per square meter in the first quarter of 2009, representing a decrease of 6.8% over the same period last year and a return to 2006 levels, according to Figures released today by the Ministry of Housing. This development maintains the tone of restraint in prices in recent quarters.

The price of housing rose 1.1% in the first quarter, however, the general price index, which combines housing and self-protection, a decrease from January to March 2009 6 5%. In the case of second hand properties (more than two years old), the price recorded an increase of 6.9% over the same period in 2008, while the new properites (less than two years old) are cheaper 6.5%.  Generally, prices fell in all regions, except in the autonomous city of Melilla, where it increased by 5.7%.

Prices In Various Regions of Spain

By percentage fall, house prices fell in the first quarter, as follows, in Castilla-La Mancha (-11.4%), Madrid (-9.9%), Aragon (-8.9%), Murcia (– 8.4%), Cantabria (-7.8%), Asturias (-6.8%), Valencia (-6.7%), Rioja (-6.7%), Galicia (-6.1 %), Baleares (-6.1%) and Spain (-5.7%). Followed Basque Country (-4.4%), Catalonia (-3.7%), Navarre (-3.6%), Extremadura (-1.1%) and Ceuta (-0.2%).

By province, Toledo was the worst hit experiencing a fall in house prices in the first quarter by , 14.6%.
By municipalities, the highest prices per square metre are in San Sebastian (3785.2 Euros/m2), Barcelona (3657.3 Euros/m2), Getxo (3614.2 Euros/m2), Sant Cugat del Vallés (3605.7 Euros/m2) and Madrid (3531.8 Euros/m2). By contrast, the prices are the lowest of Hellín (902.1 Euros/m2) Valdepeñas (908.3 Euros/m2) Tomelloso (947.5 Euros/m2) Villarrobledo (952.3 Euros/m2) Don Benito (959.7 Euros/m2).