The real estate market in Spain is on the rise. After a difficult 2020 marked by the outbreak of the coronavirus pandemic, the economy is recovering in 2021. And many people appreciated the advantages of real estate by the sea during the quarantine period. It is much more pleasant to relax in a villa with a swimming pool during the lockdown than in a stuffy apartment in a megalopolis. This was one of the reasons for the recovery of the real estate market in 2021.
While some parts of Spain experienced an unprecedented rise in the price of elite property (41.1%), others saw a decline. The source https://spain-real.estate/ gives information about where by the end of 2021 Spain had the lowest and highest prices for premium housing.
Elite areas with the biggest drop in prices
The decline in the value of real estate has affected the whole of Spain. One of these places was Naut Aran, in Lleida, where prices for prestigious housing fell by 13.7% and remain below the level of 4,000 euros per 1 m2. Real estate prices in two areas of Barcelona, La Nova Esquerra de l’Eixample (-12.7%) and Diagonal Mar i el Front Marítim del Poblenou (-12.5%), also fell down compared to the prices in 2019, but the latter is the most expensive district of Barcelona (6,202 euros/m2).
In two of the five most expensive areas of Spain, the cost of housing has halved. Es Cubels in the municipality of Sant Josep de sa Talaia in Ibiza is the most high-priced in Spain with 8,641 euros/m2 and remains so, despite a 12.4% decline in prices compared to 2019. Miraconcha in San Sebastian is another expensive district, where prices dropped by 10.6% to 7,243 euros/m2 compared to 2019.
Some of the most high-priced areas of Madrid have also experienced price declines accompanying the fall in prices in Barcelona, reflecting the overall market trends in both capital cities. Some famous areas had the most significant decline, such as
- the Costa del Sol (-11.1%),
- Gaztambide (-7.8%),
- Trafalgar (-7.3%).
The most expensive elite districts of Spain
Es Cubels in Ibiza continues to be the most expensive in Spain, despite its decline to 8,641 euros/m2 in October 2021, compared to 9,864 euros/m2 in 2019.
The following is Recoletos in Madrid, where the average value of 1 m2 of premium residential property after a 1.5% increase reaches 8,500 euros. At the moment, this is the only area where the price per square meter has remained above 8,000 euros. Previously, Miraconcha in San Sebastian was also included in this list, but it failed to keep this position. Now the cost per square meter here is 7,243 euros, while it cost 8,098 euros/m2 two years ago.
The island of Formentera, which unites the entire luxury real estate market, offers a cost per square meter of 7,930 euros. Thanks to an increase of 6.8%, in 2021, it entered the “chosen” group of districts with a real estate value close to a record 8,000 euros.
Real estate market forecasts in Spain in 2022
Real estate expert forecasts suggest that the growth trend will continue in 2022. For these reasons, it is important to plan your purchase and sale operations well to make the investment profitable as soon as possible. Knowing where to invest money and the steps you have to take in advance will save you a headache. The housing market in Spain is booming in real estate transactions after the paralysis of economic activity due to the outbreak of the coronavirus pandemic. Secondary real estate market operations continues to be of the highest importance in the total volume of transactions.
Profitable real estate in Spain at Spain-Real.Estate
Are you planning to buy real estate in Madrid or another sought-after city in Spain? Spain-Real.Estate specialists will tell you where you can do it profitably. Depending on your preferences and goals, the managers will select several suitable options and answer all questions about renting, buying, and selling Spanish real estate.