Housing renting prices dropped around 4.5% in May

Housing renting prices dropped around 4.5% in May

Housing renting prices increased around 0.2% when compared to the previous month, but had a -4.5% yoy drop, reaching 10.42 euro/sqm in the month of May, according to data from Fotocasa’s real estate index. This last number (-4,5%) is the fourth drop registered since February 2021 (-1,7%).

«This drop was generated by the drops within the more stressed autonomous communities, such as Madrid or Catalonia. Nevertheless, we see that other communities which in previous months had also shown significant drops, such as the Baelaric and Canary Islands, are now registering less pronounced drops. This could be caused by the tourism activity reactivation as the Summer begins in the historically more season dependent regions», explained María Matos, directora of Studios and speaker at Fotocasa.

In Spain, 14 autonomous communities showed positive monthly data in May 2021. La Rioja and Cantabria are the regions where prices increased the most, with 4.9% and 4.8% respectively. They are followed by Extremadura (3.9%), Murcia (3.8%), Aragón (1.8%), Comunidad Valenciana (1.3%), Castille and León (1.0%), Basque Country (0.9%), Asturias (0.6%), Galicia (0.6%), Catalonia (0.5%), Balearic Islands (0.3%), Andalusia (0.2%) and the Canary Islands (0,2%). On the other hand, dwelling prices dropped in Navarre (-1.7%), Castilla-La Mancha (-0.5%) and Madrid (-0.2%).

In terms of ranking, the highest housing rental prices in Spain, Catalonia and Madrid lead it, with average prices set at 13.88 euro/sqm per month and 13.77 euro/sqm per month, respectively. They are followed by the Basque Country (13.22 euro), Balearic Islands (11.36 euros) and Navarre (9.96 euros). On the other hand, Murcia (7.35 euros), Galicia (7.29 euros), Castilla-La Mancha (5.92 euros) and Extremadura (5.53 euros) are the regions with lowest housing rental prices.

In terms of provinces, the rental price increase in 37 of the 46 analysed (80%) by Fotocasa. The order of the 10 provinces with the highest increases is: Huelva (7.3%), La Rioja (4.9%), Cantabria (4.8%), Badajoz (4.8%), Murcia (3.8%), Almería (3.7%), Cádiz (3.4%), Lugo (2.9%), Ávila (2.7%) y Cáceres (2.7%).

On the other hand, the provinces with drops are: Lleida (-5.1%), Huesca (-2.3%), Jaén (-1.7%), Navarre (-1.7%), Ourense (-1.6%), Tarragona (-1.2%), Palencia (-0.9%), Ciudad Real (-0.4%) and Madrid (-0.2%).

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