Spanish property sales slide for eighth consecutive month

 

Property sales in Spain fell for an eighth consecutive month in October as the economy faltered and unemployment rose even further, according to data released by the National Instritite of Statistics earlier today.

The number of completions decreased by 18% compared to the same period in 2010, after after declining an annual 28.2% in September.

The country currently holds an estimated 700,000 unsold properties following the collapse of the property market after a decade-long building boom saddled banks with 176 billion euros of toxic debts linked to real estate. Tax rebates for buyers have failed to encourage the market, as a 23% unemployment rate deters buyers from committing to a mortgage.

Spain's economy stalled in the third quarter, and the Bank of Spain said on Nov. 30 that the economy weakened further in the last months of the year.