The latest data on prices recently published for the first quarter of 2021 by the Ministry of Housing (Fomento) confirms the recovery on the number of homes sold after a fourth quarter of 2020 when the sales had already reached the levels of previous years. In fact, the number of sales started to show a recovery tendency from the moment we had a more or less normal life after the hard confinement of the second quarter of 2020. Furthermore, and we will see this when the number of sales for the second quarter of 2021 are published in September, I would say that the number of sales of this second quarter could be the best of the latest years taking into account the activity we saw in the market and the sales our team has closed. I have the same feedback from another relevant agencies in the market.
CHART 1 - NUMBER OF HOMES SOLD IN MARBELLA
If we focus in Marbella and chart 1, it can be seen that the number of sales is this first quarter of 2021 is similar to the number of closings in the first quarter of 2019 and higher than the closings in 2020. It is also true that it is about 12% lower than the average of the last five years but taking into account the restrictions still in place to traveling from the countries origin of the potential buyers, it is a number that confirms the recovery in the sales.
CHART 2 - NUMBER OF HOMES SOLD IN BENAHAVIS
In Benahavis the situation is similar but with an increase of about 5% in the number of sales when compared with the numbers of 2019 and a more than evident recovery versus the numbers of 2020. Additionally, and here the number is different than the one of Marbella, the number of sales of this first quarter of 2021 is about 20% higher than the average of the last five years which is a remarkable number that confirms the recovery in the number of sales.
In general, we are in a market with an upward tendency pushed by the number of closed sales that will help to absorb the high inventory we can still see and to stabilize it.