Tinsa July 2010 report now available

August 13th, 2010

TINSA’s latest monthly house price report is now available. You can download it here

Basically, the trend that they’ve been observing for the past year or so seemed to come to a halt in July. This means that July’s figures indicate that Spanish property dropped in value in July faster than it did in the previous month.

The difference isn’t huge – but it could be significant. TINSA say that it’s too early to tell because of the effects of indirect taxation and the summer seasonal blip could have impacted their July numbers.

Martin Dell, Kyero.com

Here’s a translation of TINSA’s accompanying press release:

The financial and economic situation and the influence of the summer months makes itself felt in the evolution of housing values

The general index fell in July to 1898 points. The negative rate of change climbed to 4.3%, compared with 4% last month.

This is the first time since June last year that the index has reversed its trend of a slowing decline in house values.

It should be noted, however, that the two most recent months have been affected by higher indirect taxes and normal disturbances in the summer months.

One cannot, therefore, draw a conclusion about a possible change in market trends, while we await the final period of the current tax deductions for the second half of the year.

The maximum variation of the general index produced a cumulative fall of 16.9%, although notable differences exist between the various sub-indexes.

Sub-indexes from all of the Capitals and Major Cities has led to year-on-year declines of 5% over the same month last year.

This reduction has led them to return to values similar to those of summer 2005. Due to the weight of this area in the overall index and the depth of the descent last month, we can conclude that urban areas have been the main force driving the reversal of the overall index decline.

Following the big cities, also above the average decline, the municipalities of the Mediterranean coast cooled to a fall of 4.9% year-on-year (5.2% the previous month) but still remain at a level similar to that of June – around 2019 points.

Very close to the lowering of the overall index stood Metropolitan Areas with a reduction of 4.4%, and already below the average decline for the Balearic and Canary Islands with 4%, and other municipalities not included in the above categories, as usual, ranked last with an annual decrease of 3%.

As for accumulated declines by each distinct area, progress was made in most sub-indexes, led by the Mediterranean coast with 22%, followed by Major Cities (18.4%), metropolitan areas (18.2%), Balearic and Canary Islands (15.6%) and finally, the other Municipalities closing the group with a decrease of 13.8% from highs.