The tenants had to allocate 51.5% of the gross monthly income to pay for the rent in 2020, which amounted, on average, in the middle of the pandemic to 980 euros per month. It is 2.1 points more than the previous year.
The annual gross salary in Spain reached 22,837 euros in 2020, according to the latest Annual Labor Cost Survey (EACL), prepared by the National Institute of Statistics (INE). This figure represents an average gross monthly salary of 1,903 euros , which means a decrease of 2.6% compared to 2019, when 1,954 gross euros per month were reached.
According to a study by piso.com , taking into account that the average rental price in Spain at the end of 2020 was 980 euros per month , last year the cost of rent represented 51.5% of the gross monthly income of tenants, while in 2019, when the rental price was 966 euros at the end of the year, the percentage that the payment of rent represented on the gross salary of Spaniards was 49.4%, more than two percentage points less.
In the Balearic Islands they allocated almost 83% of the monthly income and in Madrid, 70%
By autonomous communities, the rental cost over the total monthly gross income in 2020 was as follows, in descending order: Balearic Islands (82.8%), Madrid (69.6%), Catalonia (63.5%), Canary Islands (57.4%), Andalusia (53%), Valencian Community (50.3%), Basque Country (48.9%), Navarra (44.8%), Cantabria (40.9%), La Rioja (38.5%), Castilla y León (36.7%), Aragon (35.7%), Murcia (35.7%), Galicia (34.5%), Castilla-La Mancha (32%), Asturias (31.3%) and Extremadura (30.3%).
Ferran Font, Director of Studies for the real estate portal, stresses that “the price of housing in Spain registered a general stabilization at the end of 2019 both for sale and for rent. At the beginning of 2020, just before the start of the pandemic, we were already in a downward trend that was somewhat accelerated by the impact of covid-19 on the boost in real estate demand “.
Font emphasizes that “in some of the autonomous communities the percentage that the rental cost represents on the gross total income is too high, so the disproportion between wages and the cost of housing in much of our country continues to be evident “.