The current volatility increases the attractiveness of brick as an investment. The price of free housing has risen by 8.5% in the first quarter in interannual rate. This represents more than two points above the previous quarter and the biggest rise since the third quarter of 2007, according to the Housing Price Index (HPI) prepared by the National Institute of Statistics (INE). With this latest rebound, the price of free housing already adds up to 32 quarters of year-on-year growth.
If we consider the type of housing, the price of new housing has shot up 10.1% compared to the first quarter of 2021, four points above the year-on-year rate registered in the last quarter of last year and the highest from the first quarter of 2019.
For its part, the price of used housing has increased by 8.2% year-on-year, almost two points more than the previous quarter and its highest rate of growth since the second quarter of 2007, just before the start of the crisis financial. In quarter-on-quarter rate (first quarter of 2022 over fourth quarter of 2021), the price of housing has risen 2.6% between January and March, its largest quarterly rise since the second quarter of 2018, when it also grew 2.6 %.
By type of home, new home prices increased by 3.2% between the fourth quarter of 2021 and the first of this year, their biggest rise since the third quarter of 2020, while home prices in Second hand have registered a rebound of 2.4%, their highest rate since the second quarter of 2021.
For the director of studies at Pisos.com, Ferran Font, “a 2021 closes where the recovery from the previous situation is generalized” and added that the forecasts for this year rule out a generalized price escalation. “Always at the expense of what the planned legislative changes, the evolution of Covid-19 and the current geopolitical situation may impact on housing,” this expert clarified.
On the figures released this Wednesday by the INE (National Institute of Statistics) Font has confirmed that, although there are still differences between territories, “the acceleration in price growth is generalized.” In this sense, he has pointed out that compared to the end of last year the price in no community has fallen. «The Balearic Islands and Andalusia, which grew by 9.6% and 8%, respectively, lead this statistic, surpassing Madrid and Catalonia», he explained. The expert has also pointed out that “the markets where the price increase has been lower is Castilla – La Mancha and the Basque Country, with 4% and 4.2%, respectively”.
