Housing, it continues the collapse

www.minus19.com

18-03-2009 | Lluisa Llamero

Housing

The information published yesterday by the National Institute of Statistics (INE) does not leave place to doubts and removes us from any optimistic vision: the sector of the housing keeps on sinking. The one that had been the principal economic engine of last years continues with strong descents and is placed in his lowest levels from the series of information gathered from 2007 by the INE.

This way, the housings buying and selling closed in January with a descent of 38,6 %, in which 37.931 operations were done and it accumulates three months of falls. The houses market first hand is the one that has accelerated the rhythm of his fall that has doubled: from 14 % that went down in 2008 it has happened to 29,1 % in January, 2009. As a whole 2008 finished with a descent of the sales of 28,6 %, but age of that time the second-hand housing the one that more was falling down. Now the returns have been turned and it has begun the real adjustment of the new work, which already saw to come for the information of the presales.

The reduction in the houses buy is the strongest of last months and it is located at the same level as in the worst month of 2008, when the buyings and sellings lowered 38,6 %. Nevertheless, if we look at the intermonthly valuation, the comparison between December, 2008 with January, 2009, the sales of houses have grown 17,1 %.

The secondhand housing is the one that more falls down, a whole of 47,2 %, while the new housings lowered 29,1 %. 88,4 % of the operations of buying and selling of housings carried out in January was carried out with free housings and 11,6 % remaining with protected housings. The areas in which more housings sold for every 100.000 inhabitants were La Rioja and Extremadura, with 193 and 156 sales, respectively. 56,5 % of the buyings and sellings of housings carried out in January registered in Andalusia (8.418 operations), Valencian Community (4.762), Madrid (4.170) and Catalonia (4.095).

Before this situation the prices begin being corrected by discounts that go of 10 to 20 %, depending on the negotiation that the hypothetical buyer realizes with the sellers.

Despite these discounts, the sales are not reactivated due to the difficulties that exist so that the banks grant mortgages. In many promotions the sales have not just be realized because, in spite of haver paid payments, when the buyers ask for the loan, the banks refuse it to themselves. This situation, it is leading that the promoters paralyze the construction of new housings. A phenomenon that began being evident dramatically in September, 2008. In fact, it is anticipated that there is a stock of a million housings without selling.

It is an impossible precedir up to where the adjustment of the prices will come, but the descents are already coming at the cost of the urban soil that, according to the Department of Housing, has descended in 10,5 % in the last trimester of 2008.

To read more on: Economic actuality, real estate Market
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