Cost per square meter
Introduction
The price of housing in Spain, referring to the purchase and sale price of housing in Spain, has historically maintained a certain stability in relation to family income - or disposable income - except in the so-called real estate bubbles or crises, periods in which prices suffered disproportionate increases: real estate bubble from 1986 to 1992 - which affected prices but not so much the volume built - and especially the Real Estate Bubble in Spain from 1997 to 2007.[2].
The main effects of the bursting of the real estate bubble in 2007 have been the gradual fall in housing prices -Spanish real estate crisis of 2008-2014- and its contagion to the economy -Spanish economic crisis of 2008-2014- and to political and social institutions.[2].
In 2018, a rebound in housing prices was seen, with the problems associated with the lack of housing, rising prices and difficulty in accessing housing for young people, whether rented or purchased, once again appearing.[3].
The socioeconomic impact of the COVID-19 pandemic that began in March 2020 has sunk the sale price and, depending on the district, also the rental price of homes.[4][5] On the other hand, the low interest rates of the Euribor, close to 0%, would have turned homes into the financial asset par excellence internationally, which prevents more significant price drops, in rental and sale, since they do not respond to the real supply and demand for the use of the home.[6] The Recovery of the real estate sector that occurred between 2014 and 2019 - after the 2008 crisis - stagnated again with the Covid 19 pandemic.[7] In 2021, the INE's projections of the formation of new households in Spain predict a new crisis in the real estate sector.[8].
Trading
Highs in 2007 - 2013 crash - recovery and crisis of covid 19
In June 2007, the maximum peak in housing prices was reached; After 6 years, in June 2013, housing had fallen by 35%.[9][10] At the end of 2013, housing prices had accumulated a drop of 45%.[11] Spain was the country in the world where housing prices fell the most. In the third quarter of 2013, the value of apartments in Spain fell by 9.46% compared to the third quarter of 2012.[12].