Soaring home rental prices are affecting all of Spain: almost 40% exceed 1,500 euros a month
In several regions of the country there are virtually no homes under 700 euros such as Madrid, the Balearic Islands, Catalonia, the Basque Country and the Canary Islands
The rental market across Spain has exploded. This housing crisis is now affecting practically every corner of the country. The latest report by rental property website Pisos.com corroborates this: 37% of rental homes are priced at over 1,500 euros per month, making it the largest price segment in the market.
The next price range between 1,000 and 1,500 euros represents 24% of all homes, meaning that six out of every ten homes in Spain are rented for more than 1,000 euros per month, almost the same as the minimum wage in Spain. Below 700 euros, only 12% of all homes in Spain are rented, "which is evidence of the shortage of supply in the most affordable segment of the market", according to the Pisos.com analysis.
What is more, in five regions across Spain there are practically no homes for rent below 700 euros a month. This is the case with Madrid (0%), the Balearic Islands (0%), the Basque Country (1%), the Canary Islands (3%) and Catalonia (3%). If we break down the data by province, there are 11 in Spain with less than 5% of homes for under 700 euros. These are Madrid, Barcelona, Girona, the Balearic Islands, Las Palmas, Santa Cruz de Tenerife, Malaga, Navarre and the three Basque provinces.
It influences vital decisions
Furthermore, there are nine provinces where more than 35% of rentals cost more than 1,500 euros: Álava, Guipúzcoa, Girona, Malaga, Valencia, Vizcaya, Madrid, the Balearic Islands and Barcelona. The latter two have more than 75% of homes priced above 1,500 euros per month.
It is a very difficult time for millions of families who do not own their own home. Ferran Font, director of research at Pisos.com, explained that "provincial capitals reproduce the same dynamics locally as they do nationally". "Large cities and tourist capitals concentrate the highest prices, while medium-sized, inland cities offer much more affordable options. This reality is increasingly influencing the geographical mobility decisions of many in Spain," said Font.
The most inaccessible rental markets in Spain are Catalonia, Madrid and the Balearic Islands due to "the shortage of supply", which is "causing problems with accessing affordable housing for the local population, especially for young people and middle-income families", the report noted.
