Rent Gains Ground Against Purchase in All CCAA
Step by step the Spaniards start to change their real estate mentality. Purchase is losing in battle with rent, although still it is at enormous distance from the pricipal European Union´s countries.
The percentage of house ownership in the last decade went down to 78.9% of total, while the rental housing rates speeded up to 13.5%, according to Population and Housing Census 2011.
This means return to similar rates of 1991 (…). Not in vain the number of houses rent advanced by 51.1% in the last decade and equals to 2.438.574.
In 2001 the submarket lowered until 11.4% of total of property, in the years of boom it went up by 2 points, since 2008 the change in tendency became fundamental, in favor of rent.
Percentage of principal dwellings for rent has rised in all autonomous communities of the country in the last decade. Castilla-La Mancha (from 6,8% to 10,3%) and Navarra (from 7,7% to 10,9%) noted down the highest increase.
If it comes to the rent in each province: Melilla (24,1%), Girona (22%) and the Balearic Islands (21,6%) showed the biggest increase, while Jaén (5,5%), Zamora (6,2%) and Córdoba (7,4%) the smallest.
The rent surged up in the coastal area. In fact 6 out of 20 municipalities with the higest rates are located on the Balearic Islands.
It is worth to mention that 49.9% of foreigners rent houses and 17 % owns them.
The big municipalities inhabited by more than 10.000 residents which have pending house payments (mortgage) “experienced great boom in population. Eight out of twenty first in the list are situated in the Community of Madrid” – INE points out.
On the other hand, the communities where the majority of the population keeps paying the mortgage are the Valencian Community,(36,7%), Murcia (36,2%) and Madrid (34,8%).
(…) Home sales lowered on year-on-year basis by 10% in October, which stands for 22.770 transactions, informs INE.