There are two different scenarios when looking at the evolution of prices in Marbella and Benahavis as shown in the charts attached. There are two curves for Benahavis: the price per square meter published by the real estate portal Idealista that can be identified as “for sale” price (green) and the price per square meter obtained form the Land Registry that can be identified as “sold” price (blue). Additionally, and in the chart for Marbella, there is a third curve that is the average price per square meter obtained from official valuations and published by the Ministry of Housing (red).
EVOLUTION OF REAL ESTATE PRICES IN BENAHAVIS
When looking at Benahavis numbers, it can be seen that the two curves are now flat but the tendency of the “sold” prices started more than one year ago while the tendency of the “for sale” one started at the beginning of this year. On the other hand, the situation in Marbella is completely different. “Sold” prices keep on going up although, in this case, a certain tendency to moderation can be seen on the curve of “for sale” prices. Despite of these rising prices, valuators are starting to anticipate a flattening of the curve (red). The situation of the market is not easy to analyze due to the uncertainties we are facing.
EVOLUTION OF REAL ESTATE PRICES IN MARBELLA
What we can read is not only that prices are moderating in Benahavis and can be affected as the number of transactions has dropped significantly but also that there is a huge gap between asking prices and what buyers are actually paying. We will have also to observe the situation of Marbella that really surprises me as prices keep on going up while the number of transactions keep on going down, that, in theory, should push the prices down.