Our property expert, Mathew Wood of Hola Properties – with its office in Lanjarón – divulges what’ s happening in the region’s property market…
WITH summer just round the corner, it’s time for this month’s property market roundup for La Alpujarra, Lecrín Valley, Órgiva, Velez de Benadualla, and the general Granada area. This is where you’ll find the latest market facts, figures, and news impacting homeowners and buyers in the region.
Lecrín Valley market overview
In the Lecrín Valley, 93 properties were available for sale this month, with an average asking price of €114,000 or €75 per square meter. Compared to last year, stock levels are down by 28%, and the average house price has decreased by 9%, equating to a 15% drop in price per square meter. Despite this downward trend, properties that are selling show a slight upward trend.
Órgiva market overview
Órgiva had 59 properties available for sale last month, with an average asking price of €240,000 or €1,265 per square meter. This reflects a 27% decrease in stock levels compared to last year, but a 3.3% increase in average asking prices and a 10% increase in the average price per square meter.
Lanjarón market overview
In Lanjarón, there were 63 properties available for sale, with an average asking price of €105,000 or €820 per square meter. The stock levels are down by 30%, the average asking price is down by 32%, and the average price per square meter has dramatically decreased by 79%.
Velez de Benaudalla market overview
Velez de Benaudalla had 38 properties for sale, with an average asking price of €153,000 or €1,267 per square meter. Stock levels have only decreased by 2%, but the average asking price is down by €20,000, while the average price per square meter remains similar at €1,248.
Market trends and analysis
Overall, stock levels are down by around 28% across the board, and average prices continue to drop. This decrease is often because of initial overvaluations, forcing sellers to adjust prices to more realistic levels. Proper pricing is critical in today’s market, as properties lingering on the market frequently result from overpricing.
Impact of legislative changes
Recent announcements regarding the potential axing of Spain’s Golden Visa program have caused a surge in property market activity. The Golden Visa program has been a significant draw for non-EU investors, offering residency in exchange for property investment. The proposed changes have led to increased inquiries, especially from the US, as investors rush to secure properties before new regulations take effect.
International market impact
The weak Euro against other currencies, such as the US dollar (up 6% against the Euro), and the British pound (up 2.2%), significantly impacts international buyers. This currency advantage provides international buyers, particularly from the UK and the US, with more purchasing power, making the local market more attractive.
Digital marketing and AI in real estate
AI and digital marketing are revolutionising property sales. AI tools are used for predictive analytics, more accurate targeting of potential buyers, and enhancing video marketing. High-quality video content and AI-driven video analytics offer interactive and personalised experiences for potential buyers, optimising marketing efforts based on viewer behavior.
Where are we heading?
As we move into the summer months, the Granada property market is looking robust. It’s crucial to understand the international market dynamics and employ strategic pricing and targeted marketing to succeed. That is why it is important to consult a professional and experienced agent, such as Hola Properties.
You can gain more property market advice from a Hola Properties video on this topic.
