Home Sales in Spain Drop 4.6% in H1 2024

Discover the latest trends as home sales in Spain fell by 4.6% in the first half of 2024, according to property registry data.

In the first half of 2024, the Spain housing market experienced a notable decline, with home sales plummeting by 4.6% compared to the same timeframe last year, as indicated by data from property registries. June alone witnessed a staggering drop of 6.1%, culminating in just over 50,000 homes registered. This decline followed a rather peculiar spring season, characterized by a dramatic 19.3% dip in March, which was subsequently counterbalanced by a robust 24% surge in April—thanks, in part, to the Easter festivities—before succumbing to a sharp 21.5% annual decrease in May.

In June, the composition of sales revealed that 20.4% of transactions involved new properties, totaling 10,209 units, while a substantial 79.6% pertained to used homes, amounting to 39,890 houses. Interestingly, the new home market saw a slight uptick of 0.9%, whereas the second-hand sector faced a more pronounced decline of 7.8%.

The registries highlighted a mere three regions that managed to record year-on-year increases in home purchases: Galicia (10%), Murcia (6%), and La Rioja (0.3%). In stark contrast, two of Spain's prime tourist hotspots suffered significant setbacks, with the Canary Islands experiencing a staggering 20.1% drop and the Balearic Islands not far behind at 17.6%. Other regions such as Aragon and Catalunya also faced declines of 14.2% and 10.8%, respectively, while the Madrid region exhibited a more tempered annual fall of 0.6% in June.

Moreover, the data revealed that property transfers via inheritance saw a decline of 10.3% in June, resulting in 39,166 properties changing hands, while donations experienced a modest year-on-year decrease of 1%. In summary, the Spain real estate landscape appears to be navigating through turbulent waters, with fluctuations that would make even the most seasoned sailor dizzy.