SANTA CRUZ DE TENERIFE, 7th June (EUROPA PRESS) –
The Canary Islands saw a significant rise of 200% in mortgage launches during the first quarter of 2024, based on the forced execution of property handovers due to unpaid bank loans, as per the official data from the Council General of the Judiciary.
The number of cases escalated from 38 in Q1 2023 to 114 between January and March this year.
This increase marked the highest percentage surge in the country during this period, followed by Castilla-La Mancha with 188.9% and Asturias with 177.8%. The Canary Islands witnessed a remarkable 189.3 points difference above the national average of 10.7%.
Ranking third, the Canary Islands had the third-highest rate of foreclosure launches per 100,000 inhabitants between January and March, with 5.1 cases, behind Murcia (87.2) and Valencia (5.3).
In terms of evictions due to breaches of the Urban Leases Law (LAU), specifically for non-payment of rent, the numbers increased by 23% from 308 cases in Q1 2023 to 380 in the same period this year.
According to judicial statistics, the Canary Islands ranked second in the country for evictions due to rent non-payment per 100,000 inhabitants, with 17 cases, just behind Catalonia (17.3).
Overall, considering all launches (foreclosure, LAU breaches, and others), the islands witnessed a rise from 366 cases in winter 2023 to 516 this year, reflecting a 41% increase.
The total launch rate in the Canary Islands also stood as the second highest in the nation at 23.3 cases per 100,000 inhabitants.
However, the CGPJ statistical reports showed a decrease in foreclosure proceedings in the Canary Islands during the first quarter of this year compared to the same period the previous year – dropping from 2,392 in winter 2023 to 2,160 in winter 2024, a reduction of 9.7%, as per a statement from the TSJC Communication Office.
DISMISSALS REMAIN AHEAD
Judicial statistics of the island revealed no shift in the dismissal procedures rate, retaining the top spot nationally at 114.6 lawsuits per 100,000 inhabitants in winter 2024, followed by the Valencian Community (106.6) and Catalonia (102.1).
There was a slight 1.4% increase in dismissal demands, from 2,531 in Q1 2023 to 2,567 in 2024.
In terms of insolvencies (declared by legal or natural persons facing financial distress), the data for the Canary Islands in Q1 2024 displayed a milder picture compared to previous periods – witnessing 608 bankruptcy declarations, up by 11.8% from 544 in the same period of 2023.
Conversely, the national scenario witnessed a 41.1% increase.
Nationally, the most significant year-on-year hike in commercial proceedings was observed in bankruptcy cases involving non-business individuals, surging by 52.2% across the country.
In the islands, this increment was at 19.1%, moving from 493 cases in winter 2023 to 587 this year.
Looking at bankruptcy proceedings of legal entities and non-business natural persons, the Canary Islands experienced notable declines, registering the lowest rates nationally. Legal entities’ filings dropped by 58% (from 43 in Q1 2023 to 18 in the same period of 2024), while those of non-business natural persons plunged by 62.5%, from eight to three during the same timeframe.
In both instances, the archipelago posted the lowest rates per 100,000 inhabitants (0.8 for legal entities and 0.1 for non-business natural persons).
Analysing the island data revealed a 9.7% decline in judicial procedures for claiming amounts in social courts (contractual obligations arising from employment agreements), totalling 2,160 processes in 2024 compared to 2,392 in 2023.
