Property sales drop by 40% in September in the Canary Islands

  • Canarian Weekly
  • 18-11-2023
  • Business
  • Photo Credit: Stock Image
Property sales drop by 40% in September in the Canary Islands

Real estate transactions in the Canary Islands experienced a significant drop in September, with 1,590 homes sold, marking a 40.1% decrease compared to the previous year, according to data published by the National Institute of Statistics (INE).

While property sales have decreased across all regions, the Canary Islands led the downturn with Extremadura coming in second with a 32.2% decrease, followed by Aragon with a 31.1% decline.

Other regions above the national average included Catalonia (-28.8%), Balearic Islands (-27.2%), Andalusia (-26.6%), Basque Country (-25.6%), and Madrid (-23.8%).

Property Sales in the Canary Islands:
In September, a total of 2,611 property transactions took place. In addition to the 1,590 sales, there were 466 inheritances, 65 donations, and eight exchanges.

In total, 4,354 urban properties were transferred in the Canary Islands in September, comprising 2,615 sales, 738 inheritances, 113 donations, 21 exchanges, and 867 other transactions.

Similarly, there were 712 transactions involving rural properties, including 219 inheritances, 283 sales, 31 donations, zero exchanges, and 179 other transactions.

Nationwide Downturn:
Across Spain, property sales further declined in September, dropping by 23.7% in year-on-year terms—the biggest decline since June 2020. This marks the eighth consecutive month of negative growth, influenced by successive increases in interest rates and the consequent rise in financing costs.

Specifically, there were 44,086 home sales, the lowest figure since April, making September the month with the fewest transactions in three years, according to data released on Friday by the National Institute of Statistics (INE).

In addition to the year-on-year decline, when compared to the previous month of August, property sales decreased by 10.5%, resulting in a cumulative decline of 8.5% for the year so far.