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Real Estate Activity Suffered an “Abrupt Decrease” in the Second Quarter to Fall by 12.6%

Data from the Real Estate Activity Registry Index (IRAI), prepared by the registrars, indicates an 'abrupt' decline in Q2, in marked contrast to the general upward trend since 2014.

The market volatility generated by the pandemic is continuing to take its toll and is being reflected in the data. Data from the Real Estate Activity Registry Index (IRAI), prepared by the registrars, which combines registered transactions and mortgages with commercial activity in the sector, indicates that there was an ‘abrupt’ decline in Q2 2020, in marked contrast to the general growth trend experienced since 2014.

In this way, the value of the index stood at 97.80 in Q2 (compared with 111.93 in the previous quarter) and the smoothed index, free from seasonal factors, amounted to 102.26 (105.01 in the previous quarter). Therefore, a strong contraction in real estate activity can be observed in the second quarter due to the pandemic; the quarterly variation is estimated to amount to -12.62% (or -2.62% for the smoothed index).

Read the full article in Spanish.

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