Approved trend change Alicante real estate market. Despite the resistance still shown by international customers, increase in mortgage prices It is quite striking among them. local buyersAs a result a New decline in total number of trades living space In the state in August. The second in a row for this indicator.
They were sold in the state last August, according to data published this Tuesday by the National Institute of Statistics (INE) 4,152 housesso one 8.16% decrease compared to the same month last year. This figure was slightly better than those recorded at national level (a 14.4% decrease in the total number of operations was recorded), but was worse than the regional figure, as in the Valencian Community as a whole the decrease was 6.9%. .
About second month in a row Following the 9.7% contraction in July, the number of houses sold in Alicante decreased. Even so, the accumulated balance for the year is still positive Thanks to the stagnation of the market in the first months of the year, there is a movement that grew by 3.3% with a total of 34,780 transactions, marked by the increase in buyers, largely from Eastern European countries, escaping from the instability resulting from the crisis. Russia’s invasion of Ukraine.
It is also necessary to take into account that the figure is well above the number recorded before the pandemic, indicating that there is still room for the figure to continue falling.
unplanned sales
All business decline We focused on the second-hand segment Housing sales – representing 85% of the market with 3,501 transactions formalized in August – new construction increased by 2.5%A total of 651 transactions were carried out. However, the data includes title deeds registered before a notary and in the case of new houses, these are generally sales were made off plan several months or even years in advance.
In this context, Sonneil, CEO of the real estate platform, Alfredo Millapoints out that supporters are already aware of a situation significant decline demand for new unplanned sales in projects targeting habitual residence in the province -those that depend on granting mortgages to buyers-, in the housing market second housemore focused on international customers, resisting. This is something employers can also see at the start of new promotions, according to data from the College of Quantity Surveyors.
On the contrary, the contraction in the market is already much more pronounced when it comes to second-hand, which concentrates local demand and conventional housing. In this case, the decrease in August is 9.9%.
“There is a disappearing customer profile with rates increasing because the numbers don’t work for them anymore. “Couples who are millerists and cannot afford that the mortgage for an average flat can cost 700 or 800 euros,” he points out. Juan Carlos Sempere, From Ábaco Real Estate Services.
Therefore, the volume of potential interested parties coming to such organizations has decreased, which means: average sales times are getting longerAccording to Sempere.
Price:%s
Looking to the future, Alicante delegate of the Valencian Community Real Estate Association (Asicval), Andrés BroullonIt predicts: the downward trend continues especially after the outbreak of conflict Loop It caused a new rise in inflation and the risk it brought New interest rate increase from ECB.
Additionally, Broullon will, in addition to its usual resident operations in the coming months, Investor demand will decrease Those who prefer bricks to make their savings profitable. “What makes sense is that in a context like the current one, such sales are slowing down I’m waiting for the prices to drop“says the expert.
An unprecedented decrease in square meters due to the explosion in operations after the pandemic significantly reduced available supply This contributes to the fact that in the region, homeowners are still being denied discounts on the amount they are requesting for their homes. But with excess demand exhausted by the pandemic and also by the war in Ukraine, Broullon said Price moderation won’t be long in coming Although it does not dare to predict declines, it points to a recession in the coming year.