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Demand Falls by Half for Second-Hand Housing but Remains Stable for New Homes, According to the AEV

Experts from the AEV's XIII Valuation Observatory believe that house prices will take at least nine months to reach an equilibrium.

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View of a development in Valdebebas, a new neighbourhood in Madrid.

The freezing of sale and purchase prices, the downwards trend in rental prices, the reduction in supply and demand -with a drop of around 50% in second-hand home transactions-, and the disappearance of real estate purchases in cash, are some of the conclusions of the report published by Paloma Taltavull, professor and Head of the Department of Applied Economics at the University of Alicante.

The report is the XIII Valuation Observatory, which analyses data available until the first half of 2020, which is presented by the AEV (Spanish Association for Value Analysis) together with the collaboration of Paloma Taltavull, and a group of 21 panellists, made up of experts from appraisal companies, members of the trade association and other professionals from the sector.

Read the full article in Spanish.

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