Decline in house prices slows down in Oct-Dec 2013

By Nikos Roussanoglou

The rate of decline seen in house prices slowed down in the last quarter of 2013, data from the Bank of Greece showed on Friday.

The price drop across Greece in the October-December period amounted to 8.5 percent compared with the same period in 2012, against declines of 11.4, 11.7 and 9.2 percent in the first three quarters of the year respectively.

In total, the slide in house prices throughout 2013 came to 10.3 percent, against an 11.7 percent annual drop in 2012. From the start of the crisis in the third quarter of 2008 up to the end of 2013 the total decline reached 38.2 percent.

The BoG figures showed that the prices of new apartments (aged up to five years) decreased 9.5 percent on an annual basis, while for older apartments the decline was smaller, at 7.8 percent.

Over the whole of last year prices for new apartments dropped 10.4 percent against a 12.1 percent decline in 2012.

Older flats saw a 10.2 percent fall against a slide of 11.4 percent the year before.

New apartments have lost some 35 percent of their value since the start of the crisis, while older ones are now 40.3 percent cheaper.