Spain’s property sales plummet in February

Spanish property sales fell 27.6 percent drop in February 2014 compared to figures for the same month a year earlier, in the wake of a government decision to withdrew tax exemptions for new homeowners.

The news marks ten months of consecutive falls in buying and selling of homes in Spain.

The Canary Islands were the only region that didn't experience a fall in February figures.

"We’re seeing the tail end of fiscal distortion by Spain’s statistical office, the INE," property analyst and consultant Mark Stucklin told The Local, who explained the Spanish government had been "fiddling" with the figures in a bid to increase demand.

"The drop in figures, which have a delay of two or three months, are a knock-on effect from the government’s withdrawal of tax exemptions to new homeowners at the start of 2013."

February’s property drop, with 25.717 new homes registered by INE, is 16.1 percent higher than January figures. 

Sales of new houses were down by 37.4 percent from February 2013 to February 2014.

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