The real estate market starts the year with a change of pace. After years of intense growth, home sales have begun to fall.
The data point to decreases of between 5% and 11% depending on the source, and the most relevant thing is not the specific figure, but the trend: several consecutive months of setbacks since the end of last year.
The underlying problem: prices
Behind this slowdown there is a clear cause: the price of housing.
More and more experts agree that buyers are reaching their limit. The sustained increase in prices has reduced access capacity, especially among those with less savings or job stability. The market has not stopped due to a lack of demand, but because part of that demand can no longer afford it.
Banks tighten access to mortgages
Another key factor is added to this pressure: credit.
Financial entities continue to grant mortgages, but with more demands. Profiles with temporary contracts, little savings, or tight incomes are finding more and more barriers. This reduces the number of operations and filters buyers.
It is not the same throughout Spain
The cooling is not being homogeneous. In areas where prices have risen more - such as large capitals or tourist areas - the slowdown is more evident. However, in markets with a greater balance between supply and demand, activity remains solid.
More than a crisis, a normalization
Despite the drop in sales, most analysts rule out a sharp change in cycle. The most likely scenario is a progressive slowdown after years of record figures. In other words, the market is not collapsing, but it is losing speed.
A cocktail that pressures the buyer
The current context adds several factors that complicate access to housing:
- High prices
- Lack of supply
- Economic uncertainty
- Possible interest rate hikes
All of this reduces the purchasing power of a growing portion of the population.
The market remains strong but with limits
Despite everything, there is an idea that is repeated among experts: what is priced is still selling.
The problem appears when the value of the housing exceeds what the market considers reasonable. That is where operations slow down