The mortgage lending shoots up 13.8% despite the chaos by the judgment of the Supreme

According to Moody's, the price of housing in Spain will rise by an average of 3% in the next 12 months

The Supreme court establishes that the tax of the mortgage-must pay the banks

The chaos in the ruling of the mortgages of the Supreme Court is not moved immediately to the market. That at least is what emerges from the data published this Monday by the General Council of Notaries, whose figures suggest that in October, the month in which the failure occurred that initiated the controversy, the grant of mortgages for the purchase of housing grew 13.8%, to 21.786, compared with the same month of the previous year. In comparative monthly, the increase was of 16,26%, taking into account the 18.739 loans closed in September.

The same data collected that not only grew the amount of mortgage, but also the average amount, which advanced 1.8% in reference to year-on-year, up to the 134.900 euro.

this Is a first approximation to the impact of the judgment on the Tax on Documented Legal Acts (IAJD) has had on the granting of mortgages by banking institutions. This judgment occurred on the 18th of October, when the High Court ruled that it had to be the banks and not the customers -as up to that time - who had to assume the payment of that tribute. Weeks later, on 6 November, the Supreme court backtracked and returned to his original doctrine, and, finally, the Government stepped in to establish, through a decree law, that the costs shall be borne by the banks.

The scandal was an institutional crisis that has a derivative in the financial part. Users and consumers are the entities end up impacting the costs of one form or another, either through the rise in the cost of the mortgage, or by new fees at other financial products.

Another of the fears on the part of customers is that it restricts the granting of mortgages, although this at the moment, and judging by the records of the Notaries, has not been produced.

The same statistic shows the recovery of the Spanish property market, which saw an increase in the sale of homes by 8.4% in October 2018 with respect to the same month of 2017, until the 49.515 transactions.

Regarding prices, the average cost of square metre of the homes sold was established in 1.367 euros, a 0.4% lower in perspective year-on-year.

According to notaries, this slight reduction in the price per square meter of housing was due exclusively to the decrease in the price of detached houses (-1,3%), given that the housing type floor yes increased their price (to 0.9%).

By type of housing, the sale of flats recorded a yearon-year increase of 6.2%, while the floors free price increased 6.9%.

This increase of transactions of flats free is due to both the expansion of the story second-hand (6,5%) and new floors (11.2 per cent). For its part, the sale of single-family homes showed an increase of 16.5% year-on-year.

The forecasts of real estate for the coming year portend a positive trend. According to Moody's, the price of housing in Spain will rise by an average of 3% in the next 12 months, "due to the revaluation of the price of housing and the growth of sales in volume.

In a report published this Monday, Frank Cerveny, vice president and senior analyst of the rating agency, predicts also an average growth of 2.6% in prices in Spain for the next three years.

According to the criteria of