There Is No Bubble in Spanish Residential Real Estate: Eight Reasons and Two Potential Risks
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There Is No Bubble in Spanish Residential Real Estate: Eight Reasons and Two Potential Risks
Aitor Merino
Modified 1 Year ago.
Report
There Is No Bubble in Spanish Residential Real Estate: Eight Reasons and Two Potential Risks
35 mins.
24 APRIL, 2018
ANALYSTS:
Ignacio de la Torre
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Leopoldo Torralba
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CATEGORIES:
Real EstateSpainAER Public
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Amidst the growing media noise about the potential formation of a bubble in Spanish residential real estate , this report analyses in an objective and rigurous manner the current situation of the sector.
House prices in Spain have gone up 20% from lows posted in 1994. Against a backdrop of rising prices, both the general public and the media are starting to wonder and even get alarmed about the existence of a new “bubble”, especially after the dire consequences of the Spanish real estate bubble burst in 2007. This report is an attempt to shed some light on this issue.
What is a bubble?
What is the best bubble detection methodology?
Why do we endorse the thesis that there is no real estate bubble? Could it be generated going forward?
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