Rising Rental Costs: The New Reality
In 2025, Spanish families are facing a significant increase in housing rental expenses. The national average has reached 36% of a household’s total net income. By comparison, buying a home is currently more affordable: mortgage payments take up about 25% of income, excluding the initial down payment. This gap is explained by the limited rental supply and continuous price growth, making renters exceed the recommended financial limits set by experts.
Cities Where Renters Face the Heaviest Burden
In several Spanish capitals, renting a two-bedroom apartment requires much more of the budget than experts recommend. In Palma, the figure is 46%, in Barcelona 45%, in Málaga 41%, and in Valencia and Alicante 40% and 39% respectively. In Madrid and Las Palmas de Gran Canaria, renters spend 39% and 34% of their income. In Santa Cruz de Tenerife, San Sebastián, and Bilbao, expenses also exceed 30%. In Segovia, the burden is right at the recommended limit—30%. In other cities like Sevilla, Vitoria, Ceuta, Girona, Granada, and Salamanca, the share of income going to rent ranges from 26% to 29%.
The lowest rent expenses are found in Ciudad Real (18%), as well as in Jaén, Teruel, and Lleida (19% each), and in Melilla, Cáceres, and Palencia (20% each).
Provinces With the Highest and Lowest Financial Burdens
In the province of Malaga, renters are forced to allocate up to 52% of their family budget for housing. On the Balearic Islands, this figure reaches 50%, in Barcelona — 44%, in Valencia and Alicante — 39% and 38% respectively. In Madrid and Las Palmas, expenses account for 37%. Rental costs are lowest in Lleida at 19%, and in Lugo, Palencia, Teruel, Jaén, and Soria at 20%.
Buying a Home: Where Is It More Profitable and Where Is It Pricier?
In most cities, buying property requires less spending than renting. The exceptions are San Sebastián, as well as La Coruña and Cádiz, where the numbers are equal. In Palma, Malaga, San Sebastián, Madrid, and Barcelona, buyers spend between 31% and 45% of their income on a mortgage. In Alicante, Valencia, Cádiz, Santa Cruz de Tenerife, and Granada, this figure is lower—ranging from 24% to 28%. The lowest property purchase costs are found in Jaén and Lleida (11%), Teruel (12%), Palencia, Huesca, and Melilla (13%).
Among the provinces, the Balearic Islands (47%) and Malaga (45%) lead. In Barcelona, purchasing a home requires 19% of income, while in Ciudad Real it’s just 9%.
How Financial Burden Is Calculated
The housing burden indicator shows what portion of their income a family spends on rent or mortgage payments. For rent, the average annual cost of a two-bedroom apartment is considered; for buying, a typical mortgage is calculated using current rates. Income data is provided by the National Statistics Institute (INE), while price information comes from the largest real estate analytics platforms. In 2025, rising rates and limited supply continue to impact the affordability of housing for Spanish families.
