Alex Trelinski
FINDING an affordable rental home is harder in Alicante than in Barcelona or Madrid according to the Idealista property portal.
They’ve calculated affordability based on household income and though properties are more expensive elsewhere, the reality is that purchasing power is lower in Alicante due to smaller average salaries.
To reach its conclusions, Idealista’s research service has taken into account that Spanish households are currently made up of an average of 2.4 people, which means that a two-bedroom apartment would be the minimum for a small family.
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It then has factored in the average prices of such properties in each town and cross-referenced them with household income figures provided by the National Statistics Institute.
It means that a household with an average income could only afford 14% of the flats on offer in Alicante, without spending more than 30% of their income- the maximum that experts advise to avoid financial trouble.
In comparison, the affordability percentage rises to 16% in both Barcelona and Madrid.
Idealista says that a Alicante family on an average income should pay a maximum of €768 per month for rent, so as not exceed the 30% income threshold.
The reality is that a two-bedroom apartment in the city already costs an average of €1,051 which means going up to 38% of total income and therefore less money to spend on bills and necessities, let alone unforeseen situations.
Among all the existing adverts on the Idealista portal, only 14% in Alicante offer a monthly payment below €768.
Nationally, the situation is marginally better with the maximum average payments reaching €764.
The cheapest places are Ciudad Real and Teruel, where 98% of the available homes are within reasonable costs followed by Jaen on 94%, and Zamora with 92%.
