Spanish home sales up for sixth straight month

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Home sales in Spain rose for the sixth straight month in June, official data showed Tuesday, a positive sign for the economy which was hit by the collapse of its once-booming property sector in 2008.

Sales rose 7.0 percent year-on-year in June, slightly less that in May, the National Statistics Institute said.

During the first six months of the year, sales were up 10.7 percent over the same period in 2009.

A rise in home sales in January was the first in three years.

The bursting of the property bubble plunged the Spanish economy, Europe's fifth-largest, into its worst recession in decades in 2008 and has sent the unemployment rate soaring to more than 20 percent, the highest in the eurozone.

It emerged during the first quarter of this year with tepid growth of 0.1 percent, and the Bank of Spain has estimated the economy expanded 0.2 percent in the second quarter.

The rising housing sales were spurred by lower prices and more attractive interest rates.

© 2010 AFP

1 Comment To This Article

  • Sally posted:

    on 10th August 2010, 13:28:55 - Reply

    So that doesn't mean that prices are going up, it's just that sales aren't as bad as they were last year? It does appear that prices are bottoming out though, all the official statistics here point to real growth being just rounf the corner -