Tuesday, December 7

Barcelona is the capital with the most expensive rent despite the intervention of rents

Barcelona is the capital with the highest rent, 16.81 euros per square meter, despite the fact that the community has rents intervened through the Income Containment Law in Housing Lease Contracts, approved in September 2020 by the Catalan Parliament, which limits the prices of rents in homes for residential use from 61 towns in the region.

This leadership in the rental price ranking indicates that the intervening law approved in Catalonia has not achieved the purpose it intended: lower prices. This makes the real estate sector analysts state that the new draft of the Housing Law approved by the Pedro Sánchez Government will not achieve this objective either.

The standard claims empower the autonomous communities and municipalities mechanism to contain or lower rents, both in new and existing contracts.

The way to do it is by applying tax incentives to small owners of up to 90 percent in personal income tax to maintain prices, limiting income from homes in the hands of big forks, imposing a surcharge on the IBI to vacant homes for a long time or that 30 percent of new construction developments is destined for VPO.

Achieve the opposite effect and promote inequality

In the opinion of Ferran Font, Director of Estudios de piso.com, the new housing law “could generate the opposite effect to that desired.” He considers that “emphasis should be placed on favor the affordable rental offer, instead of intervening in the margins of the owners imposing limits on the monthly payments ”.

In any case, the expert indicates that “the application of the norm, falling within the autonomic competences, could draw an uneven map of rent in Spain, which can mobilize part of the demand.” However, he points out that the first-line capital “will continue to be the most sought after, whether stressed or not.”

A year of descents

The monthly report of rental prices prepared by piso.com, indicates that the price of housing rental increased last October by 0.61 percent, but I know decreased 1.28 percent compared to the same month of the previous year.

Ferran Font indicates that “the rental price continues to adjust, showing that the market is capable of self-regulation”.

However, he admits that “rents react slowly to economic difficulties for tenants, which leaves the most vulnerable demand out before prices adjust.”

For this reason, remember that for these cases “we must ensure that there is a rental market parallel to the free one where rentals fulfill a social and integrating function, or families who are going through a bad time will be expelled or will be condemned to live in flats of questionable quality ”.

Madrid the most expensive community

According to the monthly report from piso.com, Autonomous Communities with the highest rent in October were Madrid, with 12.29 euros per square meter; Balearic Islands, with 11.04 euros, and Catalonia, with 10.92 euros.

While the cheapest rents were in Castilla y León, with 4.62 euros per square meter; Extremadura, with 5.22 euros, and Castilla-La Mancha, with 5.38 euros.

Cuenca, the cheapest province

In the classification of provinces for rent, the first position was in October for Madrid, with 12.29 euros per square meter; followed by Barcelona, ​​with 11.69 euros, and Guipúzcoa, with 11.25 euros.

On the opposite side, Cuenca closed the classification, with 3.40 euros per square meter; followed by Ávila, with 3.51 euros, and Ciudad Real, with 3.79 euros.

By capital, behind Barcelona, ​​which was the most expensive, came Donostia-San Sebastián, with 16.36 euros per square meter, and Madrid, with 14.99 euros. On the contrary, Zamora was the cheapest with 5.29 euros per square meter.