23 Apr, 2024 @ 11:15
1 min read

Revealed: How young people in Spain need to save for up to 61 YEARS to afford a 100m2 flat

YOUNG people in Spain need to save for up to 61 years to afford a 100m2 flat, a study has revealed. 

Ibiza has made headlines in recent years for its housing crisis, with many people sleeping in their cars and renting out sofas to house hunters. 

Now, a study by Ener2Crowd, has revealed Vila, Ibiza, is the hardest place in Spain to buy property, with young people needing to save some 61 years to afford a 100m2 flat. 

According to the crowdfunding platform, on average it takes 53 years to save up for property in the Balearic Islands, making it the most difficult region in the country to acquire property. 

READ MORE: Poles, Brits and other foreigners are reserving 90% of new homes on Spain’s Costa del Sol, study suggests

House prices rose by some 4.2% last year.
Photo by Frames For Your Heart on Unsplash

It only takes a quick look at rental prices in Ibiza to see the shocking state of the real estate sector, with the cheapest 100m2 flat on Idealista coming in at €355,000. 

The easiest place to save up for a property was Castilla-La Mancha, with an average saving time of 11 years. 

In the capital, Madrid, the average saving time is 35 years. 

Surprisingly in touristy Catalonia, the average falls by almost ten years, to 26. 

Like the Balearic Islands, the Canaries are equally sought after, with young people needing to save for some 36 years to afford property. 

READ MORE: Is the north of Spain the next property goldmine? Figures from February show sales in Galicia and Navarra are soaring – while Andalucia and the Canaries suffered a year-on-year decrease

Meanwhile in sunny Andalucia, the average stands at 31 years. 

The only places with saving times below 20 years are Extremadura (15), Asturias (15), La Rioja (16), Aragon (17), Castilla y León (17), Murcia (18) and Navarra (18). 

Cantabria just misses out at 20 years, while Valencia and Melilla stand at 26, closely followed by the Basque Country at 28 and Ceuta at 30. 

According to a spokesperson from the Balearic school for Real Estate Agents, Zenon Helguera: “The picture is not flattering. The current ratio for saving is 35%, that means that to pay a monthly mortgage of €1,000, you must pay €3,500.

“Society has changed and the real estate sector must change with it.” 

Now, there are more single parents looking for flats and younger people are sharing for longer. 

There is also the apparition of the home office, now not reserved only for digital nomads. 

As the real estate picture evolves, there are various things we could be doing to solve the issue, such as reserving more buildings for rental properties.

Helguera also suggested local councils provide more spaces for mobile homes and prefabricated houses.

READ MORE: Why is the luxury property market booming in Malaga province and is a bubble forming? Property expert Adam Neale gives his verdict 

Yzabelle Bostyn

After spending much of her childhood in Andalucia and adulthood between Barcelona and Latin America, Yzabelle has settled in the Costa del Sol to put her NCTJ & Journalism Masters to good use. She is particularly interested in travel, vegan food and has been leading the Olive Press Nolotil campaign. Have a story? email [email protected]

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