In November the official figures for the third quarter of 2023 have been released by the Spanish property registries (Colegio de Registradores de la Propiedad bienes Muebles y Mercantiles de España)..
As you most probably know by now, here at nardia real estate agency me and the team like to inform you based on facts. Therefore we are pleased to provide you with the latest statistics and market figures for the real estate market in our region. The complete report you find here below.
In the whole of Spain 140.160 homes were sold. 5,7% less compared to the same period last year. The decrease amounts to 7,8% compared to the second quarter of 2023.
By comparison in the second quarter of 2023 151.983 homes were sold in Spain.
Once more the Costa Blanca shows that it is different with an increase of 4,3% in homes sold compared to a year before.
Over the last 12 months 49.890 homes changed owners on Costa Blanca.
The Comunidad Valenciana is with 23.650 home sales in Q3-2023 the second region of Spain with a market share of 16,41% of the total Spanish property market (a small increase compared to the market share of 16,12% in the second quarter of 2023).
By comparison, 25.114 homes were sold in the Comunidad Valenciana in the second quarter of 2023.
Alicante and Valencia are again among the provinces with the most homes sold in the third quarter with 11.990 (Q2: 12.622) and 8.770 (Q2: 9.829) homes sold respectively.
Compared to the second quarter of 2023 on Costa Blanca, the province of Alicante, property prices went up with 12,8% for new build homes (6,1% in the second quarter of 2023) and 6% for existing homes (0,5% in the second quarter).
In the Valencia province prices of new homes decreased with 10,7% while existing home prices rose with 0,4%.
Murcia noted a slight increase of 0,4% for new homes and 1,1% for existing homes. By comparison: in the second quarter of 2023 prices in Murcia rose with 7 % and 1,4% respectively.
Overall home prices in Spain were 0,3% lower compared to the second quarter of 2023. Prices were 2,9% lower for new build homes while prices of existing homes rose with 0,6%. 
In our previous market report we already indicated that a trend of slower rising property prices becomes visible for the whole of Spain.
The quarterly price levels on Costa Blanca are still on the rise although the annual trend is that the number of homes sold slows down.
For the whole of Spain both the number of homes sold as well as property prices are slowing down.
Compared to a year before the third quarter of 2023 property prices in Spain were 1,7% higher. That increase was almost double in the previous quarter with 3,1% and almost three times as high in the first quarter of this year with 4,9% compared to 2022.
Throughout the year, we have noticed a very demanding and stable market that can at sometimes be difficult to navigate for our national and international clients. In general, our clients are well informed and try to understand the local market.
This year has been the year of fast moving properties. When you look on the internet, you will see there is still a lot for sale, yes. However, top quality and well-maintained homes on attractive locations have sold fast.
This year has been also been the year in which we have sold the highest number of homes that were not officially for sale since we opened our office in 2013.
Although prices have risen over the past years, the Costa Blanca region offers an attractive – and still very affordable –life style that our clients highly appreciate.
2023 has been incredibly rewarding for both our clients and our team. We have helped just over 10% more clients than last year to find a property in Spain and we are very pleased with the trust received from everyone who recommended his family and friends to contact nardia real estate agency!
This year 5 brand new villas have been delivered to our clients and 4 villas are currently under construction for our clients and ready to be delivered in 2024! And: various new projects are coming in 2024!!
We are already looking at 2024 and hope to welcome you in our office.
In our region we notice that the demand for quality homes is high and when you scroll the internet you will see there are literally still hundreds of villas and apartments for sale. If you have been searching for some time now, you must have noticed that when you take a closer look at location, building quality and perceived value, the demand is much higher than the available quality homes.
By comparison, in Andalusia a decrease of 8% was noted whereas the Balearic Islands sold in total 17,6% less homes compared to a year before. As we mentioned in the second quarter report already, for the Balearic Islands it is worth mentioning that the decline seems to be completely due to a lack of homes available for sale. In the third quarter both the number of new build homes sold and the sale of existing property declined on the Balearic Islands. Compared to a year before 17% less new build homes were sold and 7,6% less existing homes while prices rose with 2,5% and 4,3% respectively.
In our team we notice that clients more and more consider a custom build home or brand new apartment over an existing property. In 2023 we have handed over 5 brand new villas to our clients!
Currently there are 4 villas under construction for our clients on Costa Blanca.
Our team specialises in completely new build homes and off-plan investments in apartments and villas.
If you want to talk about the possibilities, let us know!
The Spanish demand from foreign investors rose with 0.5% compared to the second quarter of 2023. Of all homes sold in Spain, 15,44% was bought by a foreigner (14,94% in the second trimester of 2023). This is the second highest number in history, only the third quarter of 2022 presented a stronger foreign demand with 15,92%.
On Costa Blanca 43,76% (previous quarter 44,67%) of homes were sold to a foreigner and on Costa Cálida 24,83% (previous quarter 23,56%).
Both regions show an increase in foreign demand compared to the year 2022.
Comunidad Valenciana 29,45% foreign demand
Alicante 43,76% foreign demand
Murcia 24,83% foreign demand
Canary Islands 28,17% foreign demand
Balearic Islands 31,69% foreign demand
Andalusia 15,98% foreign demand
We firmly believe that the strong demand on the Costa Blanca is based on a combination of excellent location in terms of climate and transportation with the rest of Europe, affordable living standard and specialist medical facilities that are available in your own language.
Based on our sales closed in 2023 and the conversations with clients we expect demand for 2024 to be stable on the Costa Blanca as clients plan to maintain their investments.
Third Quarter compared to Second Quarter 2023
British 10,1% | 2.137 homes Q2:(8,8% | 1.966 homes)
Germans 7% | 1.482 homes Q2: (7,25% | 1.619 homes)
French 6,7% | 1.420 homes Q2: (6,65% | 1.465 homes)
Belgian 5,4% | 1.131 homes Q2: (5,09% | 1.138 homes)
Moroccans 5.3% | 1.124 homes Q2: (5,37% | 1.200 homes)
Italians 5,1% | 1.084 homes Q2: (5,22% | 1.166 homes)
Dutch 4,8% | 1.15 homes Q7: (4,61% | 1.030 homes)
Romanians 4,8% | 1.011 homes Q2: (5,15% | 1.151 homes)
Polish 3,7% | 784 homes Q2: (3.92% | 869 homes)
Russians 3,18% | 674 homes Q2: (3,43% | 760 homes)
Chinese 2,91% | 616 homes Q2: (3,09% | 685 homes)
Swedish 2,56% | 543 homes Q2: (2,94% | 652 homes)
Ukrainians 2,53% | 537 homes Q2: (2,72% | 603 homes)
In Spain a total of 140.160 properties were sold in the third quarter of 2023 and 90.858 were financed with a mortgage, that is 64,8 %. The number of mortgages granted dropped with 2,97% compared to the previous quarter of this year.
However, compared to the total number of homes sold, 3,3% more homes were financed with a mortgage than in the previous three months of the year.
In Spain the average mortgage granted is 141.180,- euros. Of all new mortgages granted 57,77% opted for a fixed interest rate and the average repayment term is 24,5 years with a monthly instalment of 709,80 euros (0,8% more than in the previous quarter).
Mortgage payment take require on average 32,7% of a household income in Spain.
By comparison: in our market report for the year 2022 we noted that 71,72% of all properties sold in 2022 were financed with a mortgage in Spain.
A large part of the property market was financed with a mortgage in the third quarted: 3,3% more homes were financed than in the second quarter of 2023.
Overall in Spain 64,8% of the homes sold required a mortgage.
In the Comunidad Valencia 43% is financed with a loan and on Costa Calida 52,1%. Both regions are well below the national average.
In our previous report we noted that for the whole of Spain more home decided to pay cash for their home. That national trend seems to slow down, however compared to 2022 less investments were financed with a mortgage.
However for Costa Blanca and Costa Calida the trend to pay cash for property continues.
- The Spanish economy is performing well, even in the face of rising interest rates and extraordinary electricity and gas prices the inflation in Spain was in October with 3,5% just above the European average of 2.9%.
- According to the Spanish National Statistics Institute (INE), new job creation has increased in the third quarter of 2023 by 3,51% compared to the year before. 
Just like we noticed in the our previous market report, we can confirm once more that entrepreneurship is thriving in Spain!
In the third quarter of 2023 the company registry (Registro Mercantil) registred 21.805 new companies an increase of 8,8% compared to the same period in the year before.
In the Comunidad Valenciana, where Costa Blanca is, 2.764 new companies were created in the third quarter of 2023. That is 13,3% more than in the same period a year before.
On Costa Cálida 568 new companies were created, an increase of 10,9% compared to a year before.
The number of limited liability companies in serious financial difficulties that filed for insolvency proceedings in Spain in the third quarter of 2023 was 802 (compared to 1.132 in the second quarter). A decline of 14% compared to the same quarter the year before. Over the past 12 months a decrease of 1,5% has been accumulated.
Our agency has been in the business since 2013 and we have a strong connection with the real estate market. Through our clients who trust our market knowledge to invest and on the other side through our extensive network where we deal directly with international investment funds, Spanish banks, the best property developers, top quality construction companies and real estate portfolio managers.
Our vision for the 2024 property market is that investors and entrepreneurs alike remain incredibly positive about Costa Blanca and Costa Cálida.
Despite multiple negative events in 2023, much higher than expected interest rates on bank loans, a banking crisis in the United States and Switserland early this year, the wars in Ukraine and now also Israel, the number of properties sold on Costa Blanca and Costa Cálida is considerable.
Apart from the properties sold, the creation of new businesses is also on the rise. The fact that many more properties than the national average are paid for in cash, without mortgage financing, is a strong sign of a solid property market that investors are confident to invest in.
All of these factors contribute to a solid economic climate and are strong indicators of the attractiveness and economic strength of the regions.
We at nardia real estate agency are looking forward with confidence to 2024 and the years to come!
Tom Bruijnzeel & the friendly team at nardia real estate agency
#nardiarealestate
When buying a property - wherever that my be - it is good to know that you can travel to your home from within the European Union whenever you want, no matter how adverse the circumstances. The Free Movement of persons in the European Union is one of the corner stones of the E.U. European Citizens and their family members have the right to move and reside freely within the European Union.
You can read more about the possibilities to travel to Spain during the COVID-19 health crisis and restrictions that were applicable here on our website.
Once you have made your calculations and you are sure that you can live comfortably, we can search together for the one property that suits your wishes, criteria and budget. More information about the cost of living in Spain can be found here.
On our website, you can use our search tool to help find the perfect Spanish property. You can select your desired property type, number of bedrooms and budget required to narrow your search. It is also possible to search by region Costa Blanca North, Costa Blanca South & Costa Calida, Costa de Almeria or sea front property Spain.
Do you want to walk to the beach from your home? Click here for our selection of ´walk to the beach homes´ on the Costa Blanca!
Villas with private pool for sale in Costa Blanca can be found here.
You can also scroll our selection of beautiful homes on a golf resort or very close to a golf course! Golf Properties in Spain
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On our website you can find property for sale in Spain:
Villa with private pool Spain for sale
Penthouse with large terrace for sale
New build villa for sale
Costa Blanca North villa for sale
Luxury villas Spain more than 1 million for sale
The information in this report is freely available on the website of the Spanish Property Registry, National Institute for Statistics (INE), the Spanish Company Registry and EuroStat.
This Housing Market Report for the Spanish Property Market for the Third Quarter of 2023 has been written by Tom Bruijnzeel. He is the author of this informative Market Report about the Spanish Real Estate Market and other articles and reports on our website.
Tom has a master degree in Law from the University of Rotterdam (the Netherlands), holds a bachelor degree in Business and Economics and is fluent in Spanish, French, English and Dutch with full business proficiency in German. In 2013 he started nardia real estate agency in Spain. The website www.nardia.es is available to all who are thinking of investing in a property in Spain or already own a property and have questions about property tax in Spain, the correct registration of a property in Spain or the taxes due when selling a house in Spain.
If you want to connect via Linkedin: linkedin.com/in/tombruijnzeel
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