House prices surge

… as bank valuations rise by €285/m2

House prices surge as bank valuations rise by €285/m2

The median value of bank valuation in Madeira rose by €285/m2, compared to the same period last year. Thus, in one year, house prices for a 100 square meter property increased by around €30,000. At the same time, JM reports that house prices in the region are the third most expensive in the country.

I have no idea why the report uses a “median” value rather than an “average” value, which might be more indicative of a trend?

House prices surge 1

This house price trend must surely be associated with the report here yesterday that 45% of house sale enquiries come from foreigners.

Marine rescue 117km off Madeira

The Portuguese Navy, through the Maritime Search and Rescue Coordination Subcentre of Funchal (MRSC Funchal), in conjunction with the captain of the Port of Funchal, coordinated the medical rescue of a crew member, 33 years old, of Indian nationality, who was sail aboard the ship ‘SPAR LYRA’, flying the Norwegian flag, 63 nautical miles, equivalent to 117 kilometers, northwest of Funchal, during this morning.

The alert was received at MRSC Funchal at 4:50 am with a request for disembarkation. After medical evaluation at the Mar Urgent Patient Guidance Center (CODU-Mar), the crew member was diagnosed with Gastroenteritis and needed to be transported to a hospital unit.

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After the ship was authorized to approach the Port of Funchal, a vessel from the Funchal Lifeboat Station was activated and carried out the rescue at around 12:20 p.m. The crew member was then transported by the Sapadores do Funchal Firefighters ambulance to a hospital unit.

The Local Command of the Maritime Police took charge of the incident.

Albuqerque opponent still to decide whether to stand

Also know that in the PSD Supporters of Manuel António Correia collect signatures. The former leader of the party has not yet decided whether to move forward to direct elections, despite having already met the conditions to be a candidate.

The PSD-M succession issue has already been reported here.

6 thoughts on “House prices surge”

  1. Hi Tobi
    Regarding the ‘average’ and ‘median’ price of houses:
    There are three averages in statistics: The mean, the median and the mode.
    The mean, which is what most people understand by ‘average’, would be calculated by summing the prices of all houses and dividing it by the number of houses. The median house price is the price of the house located at the middle of a list of houses ranked from cheapest to most expensive. Where you have a normal distribution, with no excessively high or low values, the mean and the median values coincide. However, in skewed distributions like personal wealth or house prices, a small number of very wealthy individuals or expensive houses can distort the ‘average’ value, i.e. the mean. In cases like this, the median is more representative of the market, and makes more sense to prospective buyers.

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  2. They created a country that is not for Portuguese people and it is extraordinary that it is said without any kind of disgust that in Portugal those who can access the best houses are, in the overwhelming majority for foreigners.And long time ago the houses did pass from one generation and another and that also seems gone also may of them neither can keep with them up or they are oblige to sell them or become AL .
    In this case, Madeira are even grateful because, according some mediators, there are used houses that foreigners don’t want that are available…
    Of course, there are a group of Portuguese whose income is higher because there are so many foreigners buying houses that the Portuguese (even the wealthiest) cannot afford them and this has to be taken into account and complete out of the market
    But it’s crazy, or 3rd world, for the average house to rise to 43%.
    Poor Madeira

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  3. Problem the same everywhere. Everyone wants low interest rates and cheap money but that causes a problem for the savers so the savers have no choice but to invest their money which banks are paying no interest to them into a second property and rent it out to get a return on their money, this causes a endless cycle of housing supply being reduced and increasing the prices and as prices increase houses become even more attractive to investment companies who then buy up even more houses and so on and so on, interest rates need to be at a level that attract savers and also be low enough that they become less attractive to investors and affordable to the buyer, low interest rates equals cheap money and high debt through borrowers, in my opinion interest rates should average 10% to maintain balance between savers and borrowers

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