Spanish mortgage activity and average mortgage loan capital rises for the ninth consecutive month.
The number of Spanish residential mortgages constituted during the month of January rose by 6.1%, compared with the same month in 2018, to 19,390, according to provisional data by the Spanish notaries.
A total of 48% of all housing purchases during the month were financed by the means of a mortgage while the average mortgage loan capital grew by 0.9% to €135,616.
The Spanish property market has now experienced long periods of substantial growth, both in mortgage activity and sales figures; upward movements in property purchases occurred nearly every month last year with the only exception being November when year-on-year sales figures fell by a minimal 0.2%.
During January, the number of finalised property purchases reached 40,388, while the average price paid rose by 2.6% to €1,424 per square metre, notary data shows.
Spanish property is still relatively cheap and has high rental yields compared to other European countries, making it an ideal investment option. In 2017, Barcelona had the highest rental yields in Europe reaching 5%, compared with 1.9% in inner London, according to the professional services network Deloitte.
Average property prices will grow by 5% this year, according to experts consulted by Expansion newspaper, while property sales will grow between 10% and 13% to 600,000 units making it the seventh consecutive year of positive growth within the market.
<< Number of Foreign Property Buyers Reaches Highest Level for 11 Years