Balearics escapes home price slump

PALMA
PROPERTY prices in Spain have plummeted during the past 12 months. However, prices in the Balearics have registered a less dramatic fall despite the credit crunch.

The latest index of prices in Spain shows a sharp downturn during the past year with home costs on the mainland coastal regions falling at almost double the national average.

The price survey reveals that the cost of a property in the Balearics fell by just 3.8 cent - compared to almost nine per cent in some regions.
Prices on the coasts dropped by more than 8.3 per cent in the year to August, according to figures released by Tinsa, one of Spain's largest appraisal companies. This compares with an average of 4.6 per cent for the whole of Spain.