Page 89 - economic report 2021

land, commercial premises and whole buildings fell. As for apartments, in 2021, the parishes that
2
saw two-digit increases in the price per m were Ordino (26%), Andorra la Vella (17%), La Massana
(13%) and Encamp (10%).

The number of new mortgages The total number of new mortgages signed
increases but the average value of in the Principality of Andorra in 2021 was
mortgages falls in comparison with 884, with a 38% positive variation compared
with 2020. Of these, 775 mortgages were
2020 due to amassed savings. for residential property (43% more than the

previous year). In relation to distribution by
parish, La Massana and Encamp stand out, where 42% of the total mortgages for residential
property were realised. The other 109 mortgages were for other uses, such as hotels, premises,
developments and land, and increased by 12.4% since 2020. The average value of all the
mortgages signed in 2021 was €359,159, 20% less than the average in 2020. The savings
amassed during the pandemic might explain this fact.

The analysis of the property sector is completed by two new sets of statistics this year, published
for the first time by the Department of Statistics. The first are the statistics on the characteristics
of housing with reference to the period 2016-2020. According to this source, prepared from
the data associated with the household budget survey, the trend in the total number of homes
of resident households in Andorra shows continued growth over the last five years. Over this
period, the total increase in housing was 3,703, of which 2,954 were owned properties, whereas
the other 749 were rental properties. The second are the statistics about buildings and housing
units in 2021, prepared from the Land Statistics Register, which concludes that of the 10,648
total buildings in the country, 69% are buildings and/or houses, and detached houses. Finally, 87
the Department of Statistics estimated, from electricity consumption, that in 2021 there were
at least 6,238 empty apartments in the country, almost 15% of the total number of properties.
The reasons for this “underutilised” housing are varied (second and third homes, apartments
for sale, inheritances and other circumstances), as shown by the low revenue from the tax on
empty housing, with only 14 voluntary registrations on 31 December 2021. This tax is charged on
housing that has been unoccupied for at least two years without justification.

Box 11.1
THE RENOVA PLAN

The Renova Plan is the main scheme for promoting systems, an increase of 10%-15% to the grant to
energy saving and efficiency and introducing renovate housing to be included in the rental market,
renewable energies into buildings. and another additional grant of 10% in the case of
small buildings built before 1980 which have not The Andorran economy: developments in the main sectors | XI. Construction and related industries
Since it has been in operation (2011-2021), the undergone energy efficiency improvements. Apart
Renova Plan has received 2,332 applications, €13.2 M from these funds, the Government has continued to
for grants and €16.6 M for loans, of which €11.5 M push grants for installing solar panels (with 41 new
and €13.7 M have been granted, respectively. applications in 2021), a line that started in 2018
to promote solar power installations. In total, 404
The 2021 Renova Plan opened with a budget of applications were entered for the Renova Plan in
€1,500,000, with a later addition of €300,000. In 2021 (41% more than in 2020), with a requested total
total, €1,800,000, which is 48% more than the 2020 of €3,057,628 as subsidies and €710,932 as loans.
funds (€1,215,000). The 2021 Renova included a The total authorised amount matched the budgeted
specific grant for installing more efficient heating funds of €1,800,000.