Barcelona Metropolitan Area Dominates Rental Demand in Q2
In the second quarter of the year, five out of the top 10 most sought-after locations for renting were located in the metropolitan area of Barcelona. The idealista study reveals that Hospitalet de Llobregat led the relative demand between April and June, followed by Badalona and Vitoria, the first provincial capital on the list. Other locations such as Terrassa, Manresa, and Sabadell also surpassed Barcelona, which ranked eighth. The list also included Alcala de Henares in Madrid and two towns in Tarragona, Salou and Reus.
Provincial Capitals Among Top Rental Locations
Vitoria and Barcelona were the only provincial capitals among the top 10 most sought-after towns and cities for renting. However, they dominated the next tier of towns with the highest demand pressure on the existing supply of rental properties. These included Palma, Tarragona, Madrid, Zaragoza, Santa Cruz de Tenerife, Malaga, and Lleida. The demand for housing in Vilanova i la Geltru in Barcelona and Torrent in Valencia also grew, surpassing the Valencian capital.
Increased Demand Pressure on Coastal Locations
The second quarter saw a significant increase in demand pressure on coastal locations or areas close to the sea. Reus and Salou were the main examples, climbing more than 10 places from the first quarter’s ranking. Other coastal areas such as Benidorm, Jerez de la Frontera, Guardamar del Segura, Altea, and Finestrat also moved up around 20 positions due to increased relative rental demand.
Provincial Capitals and Coastal Areas Witness Demand Surge
Provincial capitals like Castellon de la Plana, Girona, Huelva, and Santander also saw significant rises, moving up more than 20 places this quarter. Other cities such as Elche, Sant Cugat del Valles, Orihuela, and Santiago de Compostela also stood out, nearing their provincial capitals but with a solid residential market.
Decrease in Demand Pressure in Some Areas
Some areas witnessed a drop in the general ranking due to a decrease in demand pressure on the existing supply. These included coastal areas like Arona, Adeje, Llucmajor, La Manga del Mar Menor, and San Bartolome de Tirajana. Las Palmas de Gran Canaria also dropped to the 36th place in the ranking.
Rental Demand and Prices in Top 30 Towns
In the list of towns with the greatest pressure of demand on existing supply, half of the 30 most sought-after locations had rents over €1,000. Palma and Barcelona were particularly noteworthy, averaging over €1,800 per month. The leaders in the ranking, Hospitalet de Llobregat and Badalona, had similar prices, costing almost €1,100 and €1,160, respectively.
High Rental Prices in Luxury Housing Areas
In the overall ranking of the most sought-after cities for rent, the highest prices were in the main luxury housing areas, which also have a stable rental market. Benahavis was by far the most expensive, ahead of Marbella, Calvia, and Sotogrande.
Affordable Rental Prices in High Demand Areas
On the other hand, towns with high rental demand and more affordable prices included Ciudad Real, Palencia, Ourense, and Caceres. These towns had rental prices just over €511/month, €555, almost €600, and close to €610, respectively.
About the Data
The data was compiled and analysed by idealista/data, idealista’s proptech, which provides information for a professional audience to facilitate strategic decision-making in Spain, Italy, and Portugal. It uses all the idealista database parameters in each country and other public and private data sources to offer valuation, investment, recruitment, and market analysis services.
