The Spanish Rental Market: The Increased Demand

The Spanish Rental Market: The Increased Demand

Spain is a country known for retirees or young families to move to and start the next phase of their life. Many people save up to purchase their next forever home in the sun. However, although Spain has many properties available to buy, the rental market is the smallest it has ever been. Spain’s rental market is actually now one of the smallest in all of Europe.

Currently, less than 1 in 4 of Spain’s 18.6 million households are available for rent. Alongside the retirees and young families, many people across Europe are also currently looking to migrate to Spain for a couple of years to work remotely. But, with higher demand than rentals available, these families are struggling to find somewhere comfortable to live that meets their needs with so few options on the rental market.

Across Spain, many rental properties are only offered during the summer months for holiday rentals. Therefore, these people who want to move to Spain for remote work cannot find long-term rentals that will accommodate them while they are here. In addition, since those looking to move are typically professionals wanting to work from home, many need a space to set up a home office. The problem is the few properties available do not have space or resources for this type of rental.

Around 1.5 million rental homes are currently in demand. However, many people are keeping their properties on the buyer’s markets or for holiday homes when they could be put to use in the long-term rental market. Similarly, as mentioned, most rentals aren’t available for longer leases. If homeowners decided to rent their properties for 1-2 years before selling them, the increased rental demand could be met.

Professionals across Europe can easily migrate to Spain if there was more availability for larger long-term rental properties with office space. Taking your house off the buyer’s market, even for just a couple of years, will be able to meet this demand and allow Spain’s economy to get up and running again post-pandemic.