Property Sales in Spain rises by 17.3% annually - Totally 33,806 properties
➢ Property Sales in Spain rises by 17.3% annually - Totally 33,806 properties
- According to currency analysts, the property market is performing very well in Spain rather than slowing down.
- As per the report of National Institute of Statistics, there is a monthly rise of 15.1%.
- Totally 33,806 properties were sold in the year till November.
- Out of 17.3%, 17.2% homes sold in November 2016 were newly- built.
Increasing rate of property sales was registered in all of Spain’s 17 independent communities, with the highest rise at 32.8% in the Balearic Islands. The Islands of Canary also performed well and saw an annual increase in the sales of property by 26.3%.
There was a year-on-year rise of 25.8% in Aragón and a 25% increase in Asturias.
Prices of property in the Madrid community rose by 23.1%, while 18.9% increase was seen in Catalonia.
➢ GDP of U.K being watched closely
The strongly performing this week is the pound. It is expected to rise by 0.5% in a quarter and about 2.1% annually. The NIESR GDP data also supports the number 0.5% in a quarter as stated.
➢ US still giving up value.
As the market is adjusting to Trump we can expect volatility around US currency due to his expected financial and economic plans. It comes as a surprise to see US falling across the market with increasing risk and higher bond yields.
➢ Euro weaker than expected
The euro has been on the back foot as per the German IFO survey. There are chances of political instability in Italy which raises the chance of calling snap elections.
➢ Hotel boom in the Canary Islands
With tourism being open in the Canary Islands is due to political instability and unease in other parts of the world, more demand to stay increases. It gives the right opportunity to people who want to invest in the property in U.K. With the property rates in Spain increasing it is the right time to invest.
➢ “America First” takes emerging markets at last.
Trump’s plan to boost US financial situation might prove hard for the emerging markets. All the emerging markets will not get equally affected. Some countries might even are in benefit because of this. Turkey’s already difficult market seems to be hardest hit on action.
➢ Vulnerabilities in the currency asset market.
Property prices have grown so high in various economies, increasing the risk of huge price falls if the market overheats.
The OECD’s chief economist, said a lot of countries which includes Canada and Sweden, had high commercial and residential property prices that are not in line with a stable real estate market.
While prices did not fall across the country in the last year, the activities were a total slowdown as people chose not to buy a home.
The EU’s financial risk watchdog warned that eight countries, which include U.K as well had risked being overheating in the form of low-interest rate.
The Bank of England has also warned about the end of improvement in household finances which was seen since 2008.