- The price increase of 22% in the most sought after areas of Barcelona could go down to 4%, thus extending the period of sustained growth
- Investors postpone their purchase decisions while waiting for the current phase of uncertainty to end
- In October, Engel & Völkers' Market Center Barcelona saw an increase in its property sales by 23% compared to the same month in 2016. The company incorporated 32 new real estate consultants in order to strengthen all its business lines
October has been a month full of political uncertainty in Catalonia. But despite the bad market situation, since 1-O Engel & Völkers' Barcelona branch has brokered deals worth 34.8 million euros, it represents an increase of 23% over the same month in the previous year.
Although the October turnover was lower than the registered figures in September, the 28% increase compared to the same month in 2016 for residential property sales, a segment that represents more than 80% of the company's income, has made it possible to overcome the intended purpose. On the other hand, the revenues in the residential rentals division have remained stable whereas the revenues in the commercial (tertiary sector) have fallen by 8%. Regarding the number of completed property deals, Engel & Völkers' Barcelona branch has closed 61 new sales and 92 rentals.
Even though investment requires legal, economic and political stability, and uncertainty is never a good ally, especially if it continues over time, the Managing Director of Engel & Völkers' Barcelona, Oriol Canal, wants to highlight the adjustment effect that the current situation has had on prices. "Prices in the Catalan capital have been rising excessively, up to 22% in the most sought after areas and many sellers are already anticipating similar or higher increases next year," says Canal.