House sales fall by 19% in the first half of this year in Catalonia

Barcelona (ACN).-  House sales continue to fall as the results for the first half of this year are released by the Spanish Statistics Institute (INE). The figures show that 21,980 houses were sold in Catalonia during the first six months of this year, an 18.68% decrease over the same period last year. Despite the negative figure, last June 3,386 residential properties were sold, an increase of 2.7% compared with June 2011. In Spain, the fall in the first half of the year was 21% and in June, in contrast to the increase Catalonia, there was a fall of 11.2% compared with last year.

Since the beginning of March, house sales in Catalonia have registered a negative annual rate compared with the same period last year. Only in the February and June, the last month with recorded data, has the annual rates been positive for house sales. Specifically, 3,386 residences were sold in June this year compared with 3,299 sold in June 2011, an increase of 2.7%.

The 21,980 properties sold in the first half of the year in Catalonia, are far lower than sales recorded before the crisis, in the first half of 2007. During the first half of 2007, the number of houses sold in Catalonia totalled 66,877, which results in a 67% reduction in the number of residences sold at present.

This rise and fall in monthly statistics on house sales this year should be taken in context with the tax exemptions for those buying a residence. The VAT on purchasing a house in Spain will be maintained this year at an exceptionally reduced 4%.

More second-hand property sold since November 2008

Second-hand properties make up the majority of house sales, a trend that has occurred since November 2008, the last month when sales of new housing in Catalonia surpassed sales of second-hand properties.

Regarding the type of residence, the vast majority are on the open market and a minority are reserved for social housing. In June this year of the 3,386 properties sold in Catalonia 3,193 (94%) were on the open market and only 193 (5.7%) were sold as social housing.

Sales by province

House sales have fallen during the first half of this year in all the four Catalan provinces. However, the negative trend is broken by Lleida (western Catalonia) and Tarragona (southern Catalonia, where the Costa Daurada is located) provinces, where house sales in June compared with last year were higher by 12% and 45% respectively.

Barcelona

In Barcelona, 2,166 houses were sold this June, 1% less than last year when the number of houses sold was 2,190. 13,633 houses were sold in the first six months of the year in Barcelona, 25% less than the same period last year when sales totalled 18,119.

Girona

In Girona Province (north-eastern Catalonia, where the Costa Brava is located), 484 houses were sold this June, 14.3% less than in 2011, when the number of houses sold was 565. 3,465 houses were sold in the first six months of the year, 5% less than the same period last year when sales totalled 3,649.

Lleida, 12% increase in sales in June

This June, as in January this year, houses sales in Lleida Province were higher than during same months of last year. 185 houses were sold this June in Lledia, 12% more than the 165 that were sold in June last year. 1,391 houses were sold in the first half of this year in Lleida, 13% less than the 1,594 that were sold in the first six months of 2011.

Tarragona, 45% increase in sales in June

Just as in the Province of Lleida, Tarragona Province has contributed to the positive overall trend seen this June in Catalonia. Annual house sales had remained negative since November 2010, until this June which returned a positive result. 551 houses were sold in June, 45% more than in June 2011. As for the first half of this year, 3,491 houses were sold in Tarragona, 4.8% less than the 3,667 sold during same period last year.