The gap between rising rents and stagnant wages continues to widen across Spain, pushing housing increasingly out of reach for the average citizen. According to a 2024 joint study by InfoJobs and Fotocasa, Spaniards are now spending nearly half of their gross income—47%—on renting an average home, the highest figure recorded in the past five years.
Rents outpace salaries across the board
Despite modest wage growth of 3.1% in 2024, bringing the average gross salary to €27,060 annually (€2,255/month), rents have climbed at nearly five times that rate. Rental prices jumped 14% year-on-year, reaching an average of €13.29 per square metre nationwide by December, meaning a standard 80 m² flat now rents for over €1,060 a month.
According to María Matos, Director of Research and spokesperson at Fotocasa, the latest data paints a bleak picture: “The accelerated rise in rental prices has far outstripped wage increases, forcing tenants to spend close to 50% of their income on housing. This is well above the 30% affordability benchmark recommended by financial regulators and portends worsening housing insecurity.”
Madrid and Barcelona lead the pressure-cooker market
Regional disparities highlight the stark contrast between income and rent. Nowhere is this more extreme than in Madrid, where tenants fork out a staggering 71% of their income on rent. The average monthly pay in the capital stood at €2,340 in 2024, but with an average rent of €20.62/m², a typical 80 m² property costs around €1,650 per month—leaving little breathing room for other expenses.
Barcelona isn’t far behind, with 64% of income going towards rent. The city has also seen a surge in so-called “express rentals”—properties snapped up in less than 24 hours—rising to 18% of listings. In contrast, Madrid has seen a decline in this phenomenon, perhaps due to a cooling of speculative demand or the simple exhaustion of tenants’ willingness to play rental roulette.
Working families priced out of the market
The affordability crisis is not just a big-city problem. The report details double-digit increases in rental burdens across 15 of Spain’s 17 autonomous communities. Only Cantabria held steady, and only the Balearic Islands saw a slight improvement, albeit from sky-high levels.
In communities such as the Basque Country (56%), Canary Islands (55%), and Valencia (47%), tenants continue to struggle. Even traditionally more affordable regions like Aragón (38%), Andalucía (37%), and Asturias (37%) are now feeling the squeeze.
Idealista, another major property portal, reports that middle-income families—those earning an average salary—are now locked out of 68% of two-bedroom rental homes.
“It’s not just young people struggling to find a foothold,” notes Mónica Pérez, Director of Communications at InfoJobs. “Elevated inflation and sustained rent hikes have chipped away at household budgets across the board. What we’re seeing is a systemic affordability issue.”
What’s next: Pressure mounts for policy action
With housing costs ballooning and wage growth lagging far behind real-world living expenses, experts warn that continued inaction may exacerbate the growing housing crisis. Policymakers are under pressure to consider meaningful rent control mechanisms, incentives for affordable housing development, or further aid for low- and middle-income renters.
In the meantime, many Spaniards are left chasing flats, stretching budgets, and compromising on quality of life—all under the weight of rent cheques that keep getting heavier.
