Meanwhile, social housing production has picked up again with the update of maximum selling prices in July 2022, after being frozen for more than a decade.
The production of new housing in the Basque Autonomous Community (CAV) increased by 19% and in Bizkaia by 13%. In 2022, production of 5,649 new homes will begin in BAC and 2,540 in Bizkaia.
In addition, social housing production has regained momentum with the update of VPO maximum selling prices from the second half of 2022, after being frozen for more than a decade, according to Ascobi 2022 report on the construction and real estate development sector of the Association of Builders and Promoters of Bizkaia (Ascobi-Bieba).
However, with this recovery compared to 2021, the production figures from before the pandemic have not been achieved. In comparison, the number of housing starts compared to 2019 is still 12% lower in the BAC and 32% in Bizkaia. “This 2022 improvement does not change the scenario of low production of new homes that has been structurally maintained in the Basque Country over the last decade and which, with production rates of only two homes per thousand inhabitants, cannot meet the high demand for new , free and protected homes of the Basque society,” Ascobi affirmed.
According to data from the report, employment in the construction sector has increased by 10% (5,400 more jobs) and totals 58,900 workers in the Basque Country as a whole. In Bizkaia, employment increased by 10.5% to 32,700 employees.
In terms of the number of public works contracted over the past year, in the BAC as a whole it has increased by 15% and in Bizkaia by 37% compared to 2021. “However, the sharp increase in production costs is causing an increase in the number of quotes are abandoned and the margins in the work carried out deteriorate”, they assess from Ascobi.
Home sales continue to grow
The real estate market, both in Biscay and in the Basque Country, has increased its total activity of buying and selling houses throughout 2022 and has reached the highest levels of the last 15 years, mainly thanks to the dynamism of the second-hand housing market. In Bizkaia the total increase is 14% and in the BAC 10% compared to 2021.
New home sales are up 16% in Bizkaia. The study on the evolution of the average price of housing in Bizkaia shows a continuing trend towards a moderate increase in average prices compared to previous years, both for new and second-hand housing.
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Source: EITB
I’m Wayne Wickman, a professional journalist and author for Today Times Live. My specialty is covering global news and current events, offering readers a unique perspective on the world’s most pressing issues. I’m passionate about storytelling and helping people stay informed on the goings-on of our planet.
