The price of housing rises 4.9% in Extremadura in 2021

The price of housing in Extremadura rose by 4.9% in the fourth quarter of 2021 compared to the same period of the previous year, 1.5 points below the national average, which increased by 6.4%, according to the Index of Housing Prices (IPV) from the National Institute of Statistics (INE) published this Wednesday.

The increase in Extremadura is the third lowest of all the communities, only ahead of Castilla-La Mancha (4.0%) and the Basque Country (4.2%).

Specifically, the price of new housing grew by 6.5% in the region from October to December last year compared to that quarter of 2020, also above the average of 6.1%; while that of used housing did so by 4.8%, below the national average.

Regarding the comparison with the third quarter of 2021, the price in Extremadura increased by 2.2% in relation to the same period of the previous year, the highest value in the country and one point above the national average (1.2% ).

Data

The price of free housing rose by an average of 3.7% in 2021, thus registering its eighth consecutive annual rise. This figure is 1.6 points higher than the increase in 2020, the year in which the pandemic began, but it is still below the rate of increases that had been experienced in the years prior to Covid.

Between 2008 and 2013, the price of free housing registered annual decreases of different intensity: 1.5% in 2008, 6.7% in 2009, 2% in 2010, 7.4% in 2011, 13 .7% in 2012 and 10.6% in 2013.

It was not until 2014 when the price of free housing returned to positive rates, with an average annual rise of 0.3%, which in 2015 accelerated to 3.6%, in 2016 to 4.7%, in 2017 up to 6.2% and in 2018 up to 6.7%. That accelerating trend was broken in 2019 and 2020, when prices rose 5.1% and 2.1%, respectively.

In this way, the price of free housing recovered in 2021 the upward trend that was broken as of 2019, due to the acceleration of second-hand housing prices, since those of new flats moderated their rate of increase.

Thus, the price of new housing rose by an average of 4.6% in 2021, its lowest rise since 2014, when it increased by 0.9%. With last year’s increase, the price of new housing accumulates eight years of increases.

For its part, the price of used housing increased by 3.6% in 2021, more than two points above what it did in 2020 (+1.4%), although below the increase in 2019 (+4 .7%). With this rebound, used housing also accumulates eight years of increases.

In the fourth quarter of 2021, the price of free housing rose by 6.4% compared to the same period of the previous year, its highest rise since the fourth quarter of 2019. This rebound, with which 31 quarters of increases have already been accumulated , exceeds by more than two points that registered in the third quarter of 2021.