An investment expert warns about what will happen to housing prices in Spain in...
In a recent interview, a real estate investment specialist shared his vision for the future of the housing market and how regulatory measures are impacting the situation. The expert explained in detail the mechanism of the existing housing benefit for citizens over 65 years old within the framework of the Tax Declaration. This has become particularly relevant against the backdrop of discussions about real estate prices.
Housing prices remain a key issue for many seeking access to the market, whether it's buying an apartment or renting one. Over the past few years, authorities have attempted to implement various measures that could help address this problem. One such initiative has been housing subsidies provided by both central and local governments, aimed at mitigating the negative impact of high living costs on citizens. Additionally, the Price Index has recently emerged on the political agenda — a tool designed to cap rental rates in regions where demand exceeds supply.
Nevertheless, despite these measures, the issue of housing affordability continues to be a major concern for residents of Spain.
During the analysis of the pricing situation, Anton did not express optimistic expectations.“The Spanish real estate market is overheated, just like the consumer basket in the country. This situation creates significant difficulties in the context of the overall standard of living.”“he concluded. He also noted that he does not have a clear answer to the question of how to address the issue of high housing costs.”
Speaking about the future, he expressed dissatisfaction with the current macroeconomic indicators.“There are no indicators on the horizon suggesting a decline in real estate prices.”The expert emphasizes:“There is no data indicating a decrease in housing market prices.”
In his analysis, Pau Anto pointed out the lack of listings in the rental segment, which also contributed to the rise in prices. He noted that market regulation leads to a decrease in the amount of available housing:“When strict regulations are introduced, it can reduce the supply, making the market less attractive to investors and owners.”
Moreover, in his conversation, he touched upon the negative consequences arising from politicians' attempts to impose rent limits: this leads to an increase in the shadow economy and makes it unprofitable for property owners to rent out housing under the established conditions. As a result, many choose alternative paths, which, in his opinion, only exacerbates the overall problem.
Thus, taking into account all the studied aspects, the forecasts regarding the further increase in real estate prices remain unfavorable, and returning to more reasonable rates is quite a challenging task.
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