A DRAMATIC shrinking in Spain’s rental housing stock has seen landlords become more discriminatory when choosing tenants, according property portal Idealista.
The latest data indicates that demand has surged by 319% since before the pandemic, and it has led to property owners conducting ‘rental castings’.
Idealista spokesperson Francisco Iñareta warned that these processes have become the number one concern among families who need housing, often surpassing high prices.
“The increase in competition is the most serious problem facing families who need housing,” Iñareta explained.
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“With fewer properties on the market and fierce competition, the profiles being chosen are increasingly elitist.”
He added that landlords are primarily evaluating income levels, long-term financial stability, and the ability to recover the property in case of non-payment.
It follows on from a surge in the number of interested parties per listing, which has skyrocketed from an average of just 7 in late 2019 to 30 by the end of 2024.
Malaga has seen demand increase by a whopping 437%, while Alicante experienced a 339% surge. Both cities are now seeing dozens of applicants competing for each available property.
Palma de Mallorca, another tourist favorite, recorded one of the highest increases nationwide at 495%, now with 48 families vying for each rental listing.
Barcelona, traditionally expensive but always in high demand, saw competition jump by 478%, with 54 prospective tenants now contacting landlords for each available property.
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Sevilla, gateway to the Costa de la Luz, has seen a 411% increase in rental demand, while Tarragona on the Costa Dorada recorded a massive 774% jump.
Even Cadiz, which showed the lowest increase among all provincial capitals at 176%, now sees eight families competing for each available rental.
Industry experts are calling for an immediate shift in housing policies to increase supply rather than continuing with measures that target landlords.
“It’s essential that policies be reoriented to generate incentives for a rapid and immediate increase in the supply of available housing,” Iñareta urged.
“If this 180-degree turn doesn’t happen immediately, the critical situation facing the rental market in our country will continue to worsen at an alarming rate.”