The effects of declaring stressed areas in Catalonia are already visible. At least that is what the Minister of Territory and government spokesperson, Sílvia Paneque, considers after the fall in rental housing prices in Barcelona during the second quarter of this year. This is the first data to assess the evolution of the rental market over a full quarter since the entry into force of the aforementioned regulations, as well as the first fall in almost three years.
“The data confirms that the price cap in tight areas, for now throughout the first quarter, is having an impact,” Paneque said after reviewing data extracted from filings that owners make with the Institute Catalan land (Incasòl). Some figures which, however, also reflect a drop in the number of contracts concluded and that for Paneque they correspond to “a diversion towards other formulas, such as temporary rental”. In this context, he insisted on “the need to regulate it”.
The Ministry of Housing and Urban Agenda, headed by Isabel Rodríguez, also a socialist, spoke in the same direction and “positively values” this drop in prices. They assure that “that’s how it is” in which they assure that they “will continue to work on our main objective: guaranteeing the constitutional right to decent housing at an affordable price”.
In fact, it is at the same time as this evaluation that the declaration of more than a hundred stressed areas in the Catalan region this Wednesday. “In response to the request of the Generalitat of Catalonia, and in collaboration with its technicians, a ministerial resolution will be published in the BOE with the 131 new stressed areas, as detailed in the government’s request”, they explain from Rodríguez’s portfolio.
This is how prices fell in Barcelona
Concerning the drop in rental prices, the drop recorded was 5.2% in the city of Barcelona compared to the first quarter of the same year. At that time, this indicator rose by 9.57% to reach 1,193 euros per month, while in the following three months the average stood at 1,131.75 euros per month. The decline was less pronounced compared to last year’s figures, which were 0.7%.
Proportion similar to that observed in the rest of the areas declared stressed in Catalonia. He all 140 municipalities Catalans declared as such noted that the price of rent decreased by 5% quarterly, while in interannual terms it moderated by only 0.1%. Thus, the average price in these areas is 865.56 euros.
By area, the price in Barcelona was at 15.98 euros per meter squared in the second quarter, which implies an increase of 0.40% compared to that recorded in the second quarter of 2023, where it was 15.92 euros. In the rest of the municipalities of Catalonia, the average price increased by 1.7% year-on-year and decreased by 0.6% compared to the first quarter.
Fewer contracts in tense areas
The data proposed this Tuesday by the Government of the Generalitat de Catlunya also show a decrease in the number of contracts signed. Between January and June 63,816 contracts were formalized in the group of stressed municipalities, i.e. 10.7% less than the same period of the previous year. Among them, 24,543 were recorded during the second quarter, 17.2% less than previously. In the case of Barcelona, the drop is 23.13%.
Also in areas without rent regulations, there was a quarterly drop of 1.6% in lease signings, with 4,770 contracts concluded between April and June. In this context, Councilor Paneque stressed that the government is “absolutely convinced and committed” to this regulation, while ensuring that it is analyzing what mechanism can provide sufficient legal certainty to make it effective.
