Fotocasa predicts that interventionism in rentals will mark this year, will reduce the supply available in the market due to regulation and pushing prices up, which could become more than 5% more expensive. The real estate portal points out that the rental market has become stressed by the shortage of supply, which has caused the main Spanish cities and provincial capitals to reach all-time high prices.
Coinciding with the entry into force of the limitation of the rental price to 2%, it ensures that the rental price began to recover what was lost and present very significant increases above 15% in Madrid; 17% in Majorca; 20% in Barcelona; 25% in Valencia or 27% in Malaga.
Fotocasa believes that from now on leasing will be the housing solution chosen by the majority of families who have not arrived on time to buy a home, so prices could grow by more than 5% year-on-year according to their estimates.
In fact, he points out that a very pronounced contraction in supply has been detected, of around 35% nationwide, and that 4% of small owners keep their homes empty for fear of issues such as occupation or non-payment, Consider that there is legal uncertainty regarding the possible approval of the housing law.
In this context, the portal ensures that the entry into force of the extension of the contracts for six months and the limitation of prices to 2% until 2024 will reduce the supply of rental housing more markedly. By 2023, it also expects the level of sales to moderate with a fall of 12%, slowed by the rise in rates and the lower purchasing power of families, and that there will be no sharp price falls. Although some adjustment is to be expected from the middle of the year, it will be far from major declines, underlined in a statement.
