What is the return on investment in Spanish real estate?

In recent years, Spain's real estate market has developed very well, and housing prices in many areas are heating up. So how much is the house price? What is the return on investment? Let's take a look together.

House prices in Spain

Affected by 13 Spain's new policy of buying a house with 500,000 euros, more foreigners came to Spain to buy a house, which promoted the prosperity of the local property market. Spain has become one of the emerging immigrant countries in China, and the seventh largest overseas purchase destination for China people.

By the second quarter of 20 17, the average house price in Spain had reached 1530 euros per square meter (about 1 1786 RMB), especially in the capital Madrid and its surrounding areas, as well as in Barcelona and other cities.

According to Tinsa's data, housing prices in Madrid communities have been rising recently. In the third quarter of 20 17, the average house price has reached 2004 euros per square meter (about 15450 yuan). In Catalonia, the average house price in the third quarter reached per square meter 177 1 euro (about RMB 13653 yuan).

House prices in provincial capitals

Among the provincial capital cities, the housing price in Barcelona is the highest in the country. As can be seen from the above figure, it is 3 184 euros per square meter (about 24,546 yuan). Madrid ranks third, with 2488 euros per square meter (about RMB 19 180 yuan).

In contrast, CPDB China real estate database shows that the average house price in Beijing is about 67,000 yuan/square meter, that in Shanghai is 57,000 yuan/square meter, that in Guangzhou is 24,000 yuan/square meter, and that in Shenzhen is 47,000 yuan/square meter. In the face of crazy domestic housing prices, Spanish housing prices are still dwarfed.

In terms of second-hand houses, the average price of second-hand houses in Madrid from 2065438 to June 2007 was 2000 Euros/m2, which was about 154 18 yuan/m2. The price of second-hand houses in Catalonia rose the most obviously, with 17 rising by 9. 1% compared with 16.

Return on investment by province

The return on investment of Spanish houses varies from region to region. At present, the highest rate of return on investment is in the Canary Islands, with a rate of return of 7.8%, followed by Lerida (7.7%) and Santa Cruz de Tenerife (7.4%). Affected by the political situation in Catalonia, the rent of the property market in Barcelona fell, and the rate of return fell to 4.9%, which was overtaken by Madrid (5.7%).

In all real estate, the overall profitability of shops is still the highest. Buying shops for rent in Spain, the overall profit rate is 8.4%, the profit rate of office investment is 7.8%, and the profit rate of garage investment is 5.5%. Compared with cities, the profitability of shops in Pontevedra is the highest, reaching 10.7%, Barcelona 8.5% and Madrid 7.8%.

For office buildings, Zaragoza has the highest profitability, with a profitability of 7.4%. The profit rate of office buildings in Madrid rose to 6.6%, while that in Barcelona fell to 5.8%. Parma has the highest profitability of garages and parking spaces, reaching 7.9%, followed by Canary (5.8%) and Malaga (5.7%).

What is the future trend of house prices? Will there be bubbles?

The development of Spain's real estate industry is driven by its sustained economic growth, and its investment prospects are widely concerned and recognized by all walks of life in the world, not abnormal prosperity.

According to INE statistics, Spain's GDP increased by 0.8% in the third quarter, slightly lower than the 0.9% in the second quarter. The economic growth rate in 20 16 is 3.3%, and the predicted economic growth rate in 20 17 is 3.2%-this set of data is much higher than the average level in the euro zone.

PricewaterhouseCoopers and Urban Land Institute released the latest emerging trends of European real estate on 20 18. The report pointed out that the investment and development prospects of major cities in Spain are among the best. Madrid ranks fifth, and Barcelona is tied with Lisbon 1 1.

As for the property market bubble, experts believe that there is no bubble in Spain's housing rental market at present, and most investors in the market are rational investors, who do not require quick sale of real estate or short-term profits. Mostly for long-term returns.

Thanks to the recovery of economy and job market, and the relatively favorable financing conditions at present, Spain will remain an attractive investment market. Experts predict that in 20 18, the average price of real estate in Spain will continue to rise, and the expectation of rent increase in Madrid, Barcelona and other cities is even higher than that of price increase. In other words, investing in real estate in these cities can not only get the premium of housing prices, but also earn rich rental returns, and even the rental returns are more obvious than selling houses.

With the prosperity of the real estate market, more gold diggers are bound to join, and the golden period cannot exist forever. Now is the best time to start real estate in Spain.