Cost of buying and renting increased in April
Second hand house prices in Spain reached 2,269 euros p/m² in April having increased by 0.4% when compared to March. When compared to April in the previous year, the price increase is 7.4%.
“The evolution of the price of second-hand housing continues to rise sharply and with a stable trend for five months, coinciding with high interest rates. Currently, demand at maximums and supply at minimums creates great tension in the cost of housing. Furthermore, the forecast of interest rate de-escalation in the second half of the year will further fuel demand, so it is likely that the price will continue with the upward trend,” explained María Matos, Director of Studies and spokesperson for Fotocasa.
Variations in Autonomous Communities
16 communities saw prices increase in April. Those with an increase of more than 10% included the Canary Islands (23.4%), Madrid (17.7%), Valencian Community (12.8%), Region of Murcia (10.9%), and Andalusia (10.4%). Other notable increases included the Balearic Islands (9.5%), Cantabria (6.4%), the Basque Country (6.2%), Castilla-La Mancha (5.9%), Galicia (5.3%), Asturias (5.3%), La Rioja (3.9%), Aragon (3.5%), Castilla y León (3.5%), Navarra (3.1%) and Catalonia (2.3%). The only community to see prices fall was Extremadura (-0.3%).
The most expensive second-hand housing prices in Spain is to be found in Madrid and the Balearic Islands with prices of 4,046€ p/m² and 4,015€ p/m², respectively. They are followed by the Basque Country (3,142€ p/m²), Catalonia (2,790€ p/m²), the Canary Islands (2,564€ p/m²), Andalusia (2,092€ p/m²), Navarra (2,031€ p/m²), Cantabria (1,966€ p/m²), Valencian Community (1,835€ p/m²), Galicia (1,756€ p/m²), Aragón (1,720€ p/m²), Asturias (1,679€ p/m²), La Rioja (1,653€ p/m²), Castilla y León (1,504€ p/m²), Region of Murcia (1,341€ p/m²) , Castilla-La Mancha (1,217€ p/m²) and Extremadura (1,212€ p/m²).
Provinces
In 90% of the provinces, the year-on-year price of housing for sale in Spain increased in April. In 11 provinces the increase exceeded 10%, specifically in Santa Cruz de Tenerife (31.3%), Málaga (20.7%), Soria (18.5%), Madrid (17.7%), Alicante (15.3%), Granada (13.5%), Guadalajara (12.1%), Las Palmas (11.7%), Valladolid (11.6%), Murcia (10.9%) and Lleida (10.1%). The five provinces with interannual decreases are: Cuenca (-2.1%), Badajoz (-2.1%), Jaén (-1.6%), Araba – Álava (-1.1%) and Ourense (-0.6%).
Regarding prices, Madrid and the Balearic Islands have exceeded 4,000 euros per square meter. The three provinces with the highest price are: Madrid (4,046€ p/m²), followed by the Balearic Islands (4,015€ p/m²) and Gipuzkoa (3,571€ p/m²), among others. The provinces with a price per square meter below 1,000 euros are Ciudad Real with 969€ p/m² and Jaén with 999€ p/m².
Rental Costs Up 5.2%
Although the price of rental housing fell slightly (-0.5%) in April, when compared to March, when we compare to a year ago the average price per square meter is up 5.2%, bringing it to 12.30€ p/m². However, we must note that the monthly fall is the sixth detected in the last 12 months.
“The price of renting continues to rise strongly and at a significant rate despite the measures approved in the housing law that is about to complete one year in force. The rental market is suffering from a major supply crisis and insecurity, which is pushing the price upwards. Currently, 11 of the 17 autonomous communities set a price record, and the average cost of a rental is close to 1,000 in Spain. Increases of double digits in several provincial capitals show that rent is going through one of its worst moments for the accessibility of tenants,” comments María Matos.
Renting by Community
If we analyse the price of Spanish property for rent compared to a year ago, we see that all communities increase the year-on-year price in April. Double-digit increases were seen in ten communities: Asturias (16.5%), Castilla-La Mancha (13.1%), the Canary Islands (12.1%), the Region of Murcia (11.8%), the Balearic Islands (11.8%), Madrid (11.7%), Cantabria (10.7%), Galicia (10.5%), Valencian Community (10.3%) and the Basque Country (10.1%). They are followed by the regions of Castilla y León (9.9%), Andalusia (7.9%), La Rioja (7.2%), Extremadura (7.1%), Navarra (6.9%), Catalonia (6.9%) and Aragon (5.8%).
In April 2024, eleven communities exceeded their maximum rental prices per square meter per month, setting new records. The areas of Spain with the highest monthly rental prices in the entire historical series are: Asturias (€10.02 p/m²), the Canary Islands (€13.76 p/m²), the Region of Murcia (€9.07 p/m²), Balearic Islands (€18.14 p/m²), Madrid (€18.33 p/m²), Galicia (€9.05 p/m²), Valencian Community (€12.15 p/m²), Basque Country (€15.41 p/m²), Castilla y León (€9.01 p/m²), Navarra (€11.75 p/m²) and Catalonia (€16.71/m2).
Regarding the ranking of Autonomous Communities (CC.AA.) with the most expensive rental prices in Spain, in the first places are Madrid and the Balearic Islands, with prices of €18.33 p/m² per month and €18.14 p/m² per month, respectively. Following are seven more communities with prices higher than €10.00 p/m² per month and they are: Madrid (€18.33 p/m²), Balearic Islands (€18.14 p/m²), Catalonia (€16.71 p/m².), Basque Country (€15.41 p/m²), Canary Islands (€13.76 p/m²), Cantabria (€12.57 p/m²), Valencian Community (€12.15 p/m²), Navarra (€11.75 p/m²), Andalusia (€10.40 p/m²), and Asturias (€10.02 p/m²).
Renting by Province
In 45 of the 49 provinces, the year-on-year price of rental housing increased in April 2024, except for Córdoba, Guadalajara, Jaén and Huelva. Increases of more than 10% were seen in 21 provinces.
The order of the provinces with interannual increases greater than 10% are: Cáceres (22.4%), Ávila (21.4%), Girona (17.7%), Asturias (16.5%), Santa Cruz de Tenerife (15.6%), Segovia (14.6%), Pontevedra (14.2%), Ciudad Real (13.6%), Valencia (13.4%), Murcia (11.8%), the Balearic Islands (11.8%), Barcelona (11.7%), Madrid (11.7%), Valladolid (11.3%), Zamora (11.2%), Cádiz (11.1%), Lugo (11.0%), Huesca (10.8%), Cantabria (10.7%), Seville (10.2%) and Castellón (10.1%).
Regarding prices, 20 provinces exceed 10.00 euros per square meter per month. The three most expensive provinces are Barcelona with €18.86 p/m², followed by Madrid with €18.33 p/m² and the Balearic Islands with €18.14 p/m².
