That there is an increase in home sales, that the prices have stopped falling and a rise in the number of visas for building houses doesn’t mean that we can talk of full recovery in the housing market. This is one of the conclusions that throws the Third Report of the Observatory of the evaluation prepared by the Spanish Association of Value Analysis (EVA), which further emphasizes that these are good indicators and a good reflection of the growth of GDP and employment in Spain.

But why would they say this when all the numbers point at the same direction? Well, 95% of the experts consulted by the association, belonging to the valuation sector and related to real estate, believes that significant barriers to further improve sales of flats and real estate prices recover persist. This is especially precarious contracts and low wages that are characterizing much of that new job, which also concentrated among younger population cohorts, “the social fringe which has traditionally represented the bulk of demand,” says the study.

So, experts say that “a very different real estate consciousness” is brewing in the new generation of potential buyers, based on “the climate of crisis, new models of family, job insecurity or forced migration that requires structural and fundamental changes”. This is causing, according to the association, among other things, that there is now a different mentality towards homeownership.
So while middle-aged adults continue to bet mainly by the purchase of housing, the youngest are inclined to rent. And they do it not only for economic reasons, but also driven by job insecurity, making it much more likely now have to change their place of residence in search of a better job.

Sales are incresing and the market is recovering, but people still have a cautios attitude, and this will be the real challenge for Spain.

 

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