In Spain, during the second term of this year, the most expensive municipalities to purchase or rent housing were located in the Mediterranean coast and in the Balearic Islands. This is the conclusion that has been drawn by the real estate portal Idealista in a study published this last August where the 100 most expensive localities in Spain to purchase or rent property were analyzed. According to this study, Benahavís (Málaga), Calviá (the Balearics) and Marbella (Málaga), are the three most expensive Spanish localities in which to buy or rent property. In these places, a house costs an average amount of more than a million euros and the rental is around 2.800 euros per month. Benahavís is the most expensive locality in our country as purchasing a house costs around two million euros (exactly an average amount of 1.800 millions). Next comes Calviá where property costs 1,4 million euros and a little bit behind is Marbella where purchasing a house may require a disbursement of 1,1 million euros.

In the next municipalities that are mentioned in the study, the cost of housing is below one million euross. This is the case of Sotogrande (Cádiz), where the average cost of a house is 865.603€. Houses in Jávea (Alicante) fetch an average price of 721.003€, Sitges (Barcelona) 681.456€ and Ibiza (the Balearics) 681.100€. Away from the Mediterranean and in twelfth place is Getxo (Vizcaya) with an average price of 524.445€. Below this price and in 17th place is Madrid with an average housing price of 413.111€. Barcelona stands in 21st place with an average housing price of 349.052€. If we take a look at housing demand (that is, the municipalities where the demand for the purchase of housing is highest), the study shows that Madrid is the top destination choice followed by Móstoles, Alcalá de Henares, Zaragoza, Las Palmas de Gran Canaria, Santa Cruz de Tenerife and Valencia. It strikes us that Barcelona does not appear until the 14th place, just after San Sebastián. However, it does not surprise us that Madrid stands first place although it does strike us that two localities in the Canary Islands, Las Palmas de Gran Canaria and Santa Cruz de Tenerife are in fifth and sixth position respectively.

THE RENTAL MARKET

In relation to the rental market, there are five municipalities that go beyond an average rental price of 2.500 euros per month. These are Banahavís (4.014€ per month), Marbella (3.135€ per month), Calviá (2.881€ per month) and Sotogrande (2.522€ per month). Barcelona stands in twelfth place with a monthly price of 1.324€, whereas Madrid is in fourteenth place with a monthly rental price of 1.234€.

In total, there are 25 municipalities in Spain with an average rental price of more than 1.000€ per month. If we take a look at rental demand, then we see that the most demanded locality is Hospitalet de Llobregat (Barcelona) and it is followed by Denia (Alicante), Torrevieja (Alicante), Vitoria (Álava), Badalona (Barcelona), Torremolinos (Málaga) and Torrent (Valencia). Barcelona stands in ninth place, whereas Madrid has ranked down to number 52 due to the enormous demand of the coastal areas in this term.

YEAR-ON-YEAR RISE IN HOUSING PRICES AND RENTALS

If we compare facts and figures with those of the first term of the year, we can see that housing prices have undergone an annual growth of 3,3% and rentals 4,8%. On the other hand, the gross return when purchasing a house with renting it in mind, has reached 7,2% in this second term a fact which implies a rise of one tenth with regard to the same period of last year.

Picture 01: Pablo Monteagudo