The latest property sales figures for Spain’s once booming property market bring hard evidence of the continued slow down. The figures produced and compiled by CRE show that the total volume of property transactions for 2007 fell by almost 14%. More alarmingly the greatest fall came in the fourth quarter when the total number of property transaction plummeted by 21% from 203,993 in 2006 to just 160,906 in the same period for 2007, giving hard evidence that there’s unlikely to be any form of recovery in the first half of 2008.
The Spanish government announced that property prices in Spain only rose by 4.8% in 2007 down from 9.1% in 2006 and Spain’s lowest property price increase since the boom began one decade ago.
Spain’s property market has been hit hard by a combination of rising interest rates and the global credit crunch, and is expected to remain soft throughout 2008.
