More housing in Spain, key to the real estate market
The IMF points to the lack of housing as the main problem of the real estate market in Spain. Its proposal is clear: increase supply instead of limiting rents, something that can affect investment and areas such as Costa Blanca and Mar Menor.
Why there is a focus on increasing housing supply
The real estate market in Spain has been marked for some time by a clear imbalance: there is more demand than available housing. This largely explains the rise in prices, both for buying and renting.
A common question is whether limiting rental prices can solve the problem. According to the IMF, it is not enough. It may slow down price increases temporarily, but it does not solve the root issue, which is the lack of supply.
That is why the key lies in building more housing. It is a measure that does not have an immediate effect, but that in the medium term can help stabilise the market.
What property owners and investors should consider
For property owners, the scenario may change in the coming years. If supply increases, there will be more competition and it will be necessary to adjust prices or improve properties to maintain interest.
For investors, the message is clear: it is not just about buying, but about choosing the right location. Location and real demand will become increasingly important.
Another frequent question is whether prices will go down. In the short term this usually does not happen, but it is possible that the market will stabilise and stop rising at the current pace.
How it influences areas such as Costa Blanca and Mar Menor
In areas such as Torrevieja, Orihuela Costa, Pilar de la Horadada or Mar Menor, the market behaves differently compared to other cities.
Here, international demand plays an important role, which keeps interest in buying and investing even when conditions change at a national level.
This does not mean that the market is unaffected by changes, but it does respond differently. The key is to understand each area and adapt the strategy to real demand.
At Munfort, we analyse each property taking this context into account, helping owners and investors make decisions that are better aligned with the current market in Costa Blanca South and Mar Menor.