Pisos.com has released a report on the current standings of the rental market in Spain for February 2021. The real estate platform stated that the average price for renting a flat in the country has fallen 1.44% year-over-year, with Seville’s average rental price falling the most, year-over-year (17.43%).
According to Ferran Font, Director of Estudios de pisos.com:
“This is an expected trend that has hit the most stressed markets squarely.”
A spokesperson for piso.com explained:
“Although prices already began to self-regulate at the end of 2019, the year of COVID-19 has caused the decreases to gain momentum.
“It [time between a listing appearing on and off the market] has not grown dramatically, but we can ensure that the procedures are somewhat longer, given that the solvency of the tenant is verified in greater detail in these moments of labor instability.”
Font further explains that the market is seeing renters leaving the bigger metro areas for outskirts, due to not needing to live near their jobs, wanting more space, or wanting more isolation– all reasons people around the world are moving thanks to the COVID crisis.
“On the one hand, we have the transfer of tenants to peripheral areas, where for an equal or even lower monthly payment, you get more surface, outdoor spaces, or community areas that were not previously enjoyed. On the other hand, we have properties that previously belonged to tourist rental, as well as those whose owners have decided to turn to residential rental after trying to sell them without success for a price that now the demand is not willing to assume.”
With the looming Housing Law pertaining to renting within the country, Font said:
“The Government partners do not agree on key aspects such as the limitation of rental prices, which translates into uncertainty for all those who operate in this business.”