During the last 10 years, the Spanish real estate market saw the interest of the Spaniards for rent increase. Soon there were voices that proclaimed the end of the culture of the owner so established in our country, by a more flexible model for domestic economies and for new labor markets in which professionals are less reluctant to changes of address and travels. That’s what they said. However, once the banks have unlocked the mortgage loans and the employment situation of the younger generations has improved, the market has changed again.
According to the X-ray of the housing market 2017-2018 published in May, in the last year “citizens over 18 have settled more ideas that reinforce the option of buying versus rent”.
In just one year, the percentage of citizens who defend the change of model has been reduced by three points, remaining at 46%. The change is especially noticeable in those over 25 years old, traditionally one of the most important segments in the real estate market since it includes emancipation, work transfers and new families. If the crisis had changed the paradigm of housing, where more should be reflected is in these new young family units that begin to settle their lifestyle.
Precisely, the origin of the change is mainly given by the age segment of 25 to 34 years: those who rent have descended exactly the four points that have raised those who now live in property. In territorial terms we have to look at the autonomous communities of Madrid and Catalonia, where this transfer is more notable, about five percentage points. In the rest of the autonomous communities, it maintains proportions in line with what was seen in 2017. Particularly noteworthy is the case of the Basque Country: 90% of individuals indicate that they live in a house owned (10 points more than the national average).
Another curious data of this study is that in 2018 and more than half of the respondents (54%) agree that at present it economically compensates more to buy a house than to rent it.
In this line, the study argues that 9% of those over 18 years old in Spain bought or looked for a house to buy in the last 12 months. The rest, 18% intend to buy in the next five years (7% will try to do it before 2020)
The data reflect that the option of rent as a way of life is more widespread than ever, but it is also true that as the market improves and financial and economic options, the purchase of housing is once again perceived as the best option and investment reliable for Spanish households.