Rental prices grow by 7.3% in February: where does it go up and where does it go down?

This is clear from the latest data published by Fotocasa, which highlights that with the February increase the price is above €12.00/m2 per month for the first time in the last 17 years (since 2006). In this way, the rental once again sets a price record in Spain.

"The rental price is rising sharply again after a brief period of slight moderation. However, the most shocking thing is this increase of more than 7% year-on-year, which adds to the 10.2% that already grew last February 2023. That is, the market continues to heat up to worrying levels. This situation highlights the critical scenario of rising prices in which the main culprit is the imbalance between supply and demand," explains María Matos, director of Studies and spokesperson for Photohouse.

The rental price increased in all communities in February compared to the same period of the previous year. In eight communities the double digits were exceeded. La Rioja was in the lead (15.2%), followed by Madrid (15.0%), the Balearic Islands (14.4%), the Valencian Community (13.9%), Cantabria (12.8%), Asturias (11.3%), Canary Islands (10.8%) and Castilla-La Mancha (10.0%).

Following these were Andalusia (8.9%), Galicia (8.7%), the Basque Country (8.2%), Extremadura (7.8%), Castilla y León (7.6%), Navarra (7 .3%), Catalonia (6.1%), Aragon (5.2%) and Murcia (8.1%).

In February 2024, nine communities exceeded the maximum rental prices per square meter per month. The areas of Spain with the highest prices in the entire historical series were: Extremadura with 6.67 euros/m2 per month, Castilla y León with 8.64 euros/m2 per month, Galicia with 8.88 euros/m2 per month, Asturias with 9.56 euros/m2 per month, Andalusia with 10.35 euros/m2 per month, Valencian Community with 11.73 euros/m2 per month, Catalonia with 16.45 euros/m2 per month, Balearic Islands with 17.19 euros/m2 per month and Madrid with 18.29 euros/m2 per month.

Regarding the ranking of the most expensive communities to rent a home in Spain, in the first places are Madrid and the Balearic Islands, with prices of 18.29 euros/m2 per month and 17.19 euros/m2 per month, respectively. They are followed by seven more communities with prices higher than 10.00 euros/m2 per month and they are: Catalonia with 16.45 euros/m2 per month, the Basque Country with 15.26 euros/m2 per month, the Canary Islands with 12.91 euros/m2 per month, Cantabria with 12.01 euros/m2 per month, Valencian Community with 11.73 euros/m2 per month, Navarra with 11.31 euros/m2 per month and Andalusia with 10.35 euros/m2 per month .

In 43 of the provinces, the year-on-year price of rental housing increased in February 2024, except Cuenca, Huelva, Lugo and Jaén. Increases of more than 10% occurred in 21 provinces, according to the Fotocasa Real Estate Index. The largest increases occurred in Teruel (33.0%), Guadalajara (19.4%), Cáceres (19.3%), Girona (19.2%), Huesca (17.1%), Segovia (15. 5%), Valencia (15.3%), La Rioja (15.2%) and Madrid (15.0%).

Also with increases above 10% were Ciudad Real (14.6%), Balearic Islands (14.4%), León (14.0%), Alicante (13.8%), Castellón (13.6%) , Seville (12.9%), Santa Cruz de Tenerife (12.8%), Guipúzcoa (12.8%), Cantabria (12.8%), Asturias (11.3%), Málaga (11.1% ) and Las Palmas (10.4%).

Regarding prices, 17 provinces exceed 10 euros per square meter per month. The three most expensive provinces are Barcelona with 18.36 euros/m2 per month, followed by Madrid with 18.29 euros/m2 per month and Guipúzcoa with 18.05 euros/m2 per month.

The year-on-year rental price rose in 40 of the 42 capitals analyzed by the real estate portal. The report highlights that in up to 25 capitals there were double-digit year-on-year increases, while in eight capitals the year-on-year increases were less than 5%.

Regarding the price per square meter in February, up to 20 cities exceed 10.00 euros/m2 per month and only Zamora and Jaén have the price of 6.00 euros/m2 per month, specifically 6.65 euros/m2 per month and 6.54 euros/m2 per month, respectively.

In 14 of the 44 capitals analyzed by Fotocasa, the maximum rental prices per square meter per month were exceeded in February. The capitals that have hit the ceiling in are: Barcelona with 21.32 euros/m2 per month, Madrid with 19.69 euros/m2 per month, Girona with 15.07 euros/m2 per month, Malaga with 14.88 euros/m2 per month, Santa Cruz de Tenerife with 13.01 euros/m2 per month, Seville with 12.58 euros/m2 per month, Tarragona with 11.70 euros/m2 per month, Santander with 11.26 euros/m2 per month, A Coruña with 10.68 euros/m2 per month, Burgos with 10.35 euros/m2 per month, Oviedo with 9.78 euros/m2 per month, Pontevedra with 8.80 euros/m2 per month, Valladolid with 8.75 euros/m2 per month, Lleida with 8.31 euros/m2 per month, Castellón de la Plana with 7.99 euros/m2 per month, Albacete with 7.71 euros/m2 per month, Badajoz with 7.61 euros/m2 per month, Cáceres with 7.59 euros/m2 per month and Ciudad Real with 7.58 euros/m2 per month.