As I explained the first time that I published inventory or stock figures, the data is not official but taken from different real estate web pages and databases of properties. The number will never be exact but what I am really looking for is the tendency.
I have to say that the tendency observed surprised me. There are more properties in the market now than six months ago.
When I wrote my previous article on the stock of properties at the beginning of 2014 and with the data of 2013, the index seemed to go the right way: more transactions and less inventory. However this tendency has changed in 2014 where we are having even more transactions but the inventory is also going up. In some cases, like villas in Marbella and Benahavis, the up tendency is remarkable with increases in the range of 20% since the start of the year.
The reason for that may be that since there is a perception on the market that the we are starting to leave the worst moments of the crisis behind, and it is true that we are seeing signals of a change, the owners that have been waiting during the “bad” years to put their properties on the market have decided to come out now. Contrary to the conclusion of the article I wrote in January where I commented that less inventory would push the prices up, the conclusion now would be the opposite: more inventory means more where to choose from for potential buyers and a brake to the recovery of the prices. This goes in line with the different comments and analysis from real estate experts: we are seeing signals of recovery on the market and the price index will change its tendency soon but the recovery will be slow and moderate.
I have to say that the tendency observed surprised me. There are more properties in the market now than six months ago.
The reason for that may be that since there is a perception on the market that the we are starting to leave the worst moments of the crisis behind, and it is true that we are seeing signals of a change, the owners that have been waiting during the “bad” years to put their properties on the market have decided to come out now. Contrary to the conclusion of the article I wrote in January where I commented that less inventory would push the prices up, the conclusion now would be the opposite: more inventory means more where to choose from for potential buyers and a brake to the recovery of the prices. This goes in line with the different comments and analysis from real estate experts: we are seeing signals of recovery on the market and the price index will change its tendency soon but the recovery will be slow and moderate.