What should you invest in today?

Earning money in the current real estate market is possible, although for this it is essential to know what you buy, what returns it offers and have a lot of information.

Gonzalo Bernandos, professor of Economics at the University of Barcelona (UB) and author of the Real Estate Report 2015, recommends “refraining from participating in purchases if you do not know exactly what you are investing in. If you have some capital, it is safer to buy a home in a prime area, whose prices are still below what they should be”.

The great novelty of this year is that the national investor returns, because with the interest rate so low and fixed, it is an irresistible temptation. It is observed that there is still a good number of homes that are purchased without a mortgage contract. The 19,806 loans constituted in April reflect that 27% of the homes were purchased in cash. The data does not go so far as to assume that one in three houses are purchased in cash, as was the case a few months ago, but it does continue to show the significant activity of funds, listed investment companies (Socimi) and individual investors who, as a consequence of prices have bottomed out, they are encouraged to invest.

The data offered by the National Institute of Statistics confirm that the price of housing is increasing. Regarding the price, it is not the same to buy a house in Barcelona than to do it in Oviedo. Where have real estate prices risen the most? Islas Baleares (2.8%), Madrid (2.3%), and Islas Canarias (2%) are at the head of the communities where there has been a greater increase. On the opposite side are La Rioja (-1.5%), Navarra (-0.9%) and Pais Vasco (-0.7%), three communities that continue to drop their floors.