The Municipalities Where Major House-Buying Power Comes in Handy

5/12/2014 – El Economista

According to official statistical data, housing prices keep dipping in most of the Spanish citites. However, given the current economic circumstances, the financial effort which needs to be made to purchase a home is still considerable. And the affordability gap between cities and municipalities spreads wide.

Ad rem, Malaga’s municipality of Nerja requires a as its inhabitants must intend their 10.5 year’s earnings to be able to buy a property, reports Idealista.com.

Also, more than ten years to pay their home off need households in Eivissa and Santa Eulalia del Rio, Ibiza (10.2 years in both). Sant Just Desvern, Barcelona, takes the fourth position with a need of 9.7 years’ savings on average.

Still, more than 9 years’ rates are shown in Mogan (Las Palmas, 9.5 yrs), Sant Josep de Sa Talaia (the Balearic Islands, 9.2 yrs) and Sanxenxo (Pontevedra, 9 yrs). The top 10 list closes at Sant Antoni de Portmany (the Balearic Islands, 8.9 yrs), Baiona (Pontevedra, 8.9 yrs) and San Bartolome de Tirajana (Las Palmas, 8.6 yrs).

What About Less Effort?

One the other side, the Valencian Community and its municipalities of Onda and Villareal (Castellon area, 2.5 and 2.6 yrs on average respectively), as well as in Ontinyent (2.6 yrs), Mollerusa (Lleida) and Tortosa (Tarragona) with 2.7 years both, show better affordability rates.

Main Provincial Cities

The study also analyzes provincial capitals with Barcelona opening the ranking with 8.1 years, followed by Cadiz (7.4 yrs), A Coruña (7.2 yrs) and Madrid (7 yrs). Further on, there position Salamanca (6.5 yrs), Santander (6.5 yrs), Malaga (6.2 yrs) and Seville (5.8 yrs).

When it comes to residential markets, the biggest effort is required from citizens from municipalities surrounding Barcelona: Hospitalet de Llobregat (7.8 yrs), El Prat de Llobregat (7.6 yrs), Cornella (7.6 yrs), Badalona (7.4 yrs), Montcada i Reixac (7.3 yrs) and Sant Adria del Besos (7.2 yrs). Among Madrid’s cities, only San Fernando de Henares (7.7 yrs) lives up to the bar.

According to the information source, Lleida‘s inhabitants make the smallest effort (3.3 years of income), and so do citizens of Castellon (3.8 yrs), Guadalajara (4.3 yrs), Huesca (4.4 yrs) and Alicante (4.5 yrs).

In order to prepare the report, portal idealista.com employed official average taxable income rates per contributor and compared them with an average price of a 80 square meter apartment in each of the municipalities included in the study.

 

Original story: El Economista

Translation: AURA REE

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