Investment in houses shrinks

The housing market is running out of steam, as for a third consecutive quarter, investment has been declining.

After the activation of the measures to tighten conditions for obtaining a Golden Visa, concerns are growing about the possibility of a further decrease, while efforts turn to raising mortgage issues, which are also at extremely low levels.

The government will seek to inject money into the market through subsidized MyHome loans, while banks are relaxing lending conditions, albeit age-based, as the current house price-income mix makes lending practically impossible for the majority of prospective property buyers.

Of all the indicators used to monitor the course of the real estate market, only one has returned to pre-crisis levels: the price index. Its rally has not been followed by growth in residential investments, which actually recorded a decline in...