Two thirds of property transactions in Spain belong to secondary market

Two thirds of property transactions in Spain belong to secondary market

In 2014, 316,928 transactions were concluded in the real estate market in Spain, with two thirds (about 63%) belonged to the secondary housing, and the rest – to the primary, according to the data by spanishpropertyinsight.com and the Spanish Property Registrars.

The number of resales in Spain increased in 2014 by 18.4%, while deals with new housing decreased by 16.9%. The cause was probably a low price of secondary housing (nearly €1,620 per sq.m, according to the General Council of Spanish Notaries) in relation to new buildings by 5-15%, and an opportunity to bargain and reduce the final price tag.

The purchase of new housing is associated with high taxes: charge 10% for the transaction with the primary property, while the secondary – 6-10%. Furthermore, the new building is easier to get a mortgage, experts say.

 

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