According to the latest forecast reports for 2011, the price decline which started mid 2007 will deaccelerate this fall and there will be a clear trend towards stabilization, ending the year with insignificant negative growth figueres .
Analyzing prices in the propertysector since summer 2007, we observe, that the decrease in the cost of housing in Spain has been stabilizing slowly:
As can be seen, the year 2010 ended with a drop of 4.58%, the lowest of all.
It is expected, that this deaccelaration continues and by 2011 we will see a price erosion less than 3%, so the following year, 2012, is expected to become the year of complete stagnation of property prices in Spain.
Keep in mind that today, as an average, a property costs the same as in mid 2004; the price per square meter of properties in Spain has fallen from 2.521€ (historic maximum) in July 2007 to 2.040 €/ sqm. in early 2011. This represents a decrease close to 19%, or in other words, a saving of 33.670€ for an average appartment of 70 sqm.
Above figueres are average for Spain; price erosion has been less in Catalunya compared to the rest of Spain. Furthermore, price decline has been higher for appartments than for houses.