Spanish rental prices rose 2 per cent over twelve months to the end of the first quarter, according to data from the property portal Idealista.com, based on asking prices of listings in its database.
The national average rental price being asked in Q1 was 7.1 €/m2, meaning an asking price of 710 € per month on average for a flat of 100m2.
Property in Barcelona is the most expensive of all provincial capitals in Spain, with an average of 12.9 €/m2, followed by Madrid on 11.6 €/m2, and San Sebastian, in the Basque Country, on 11.4 €/m2.
Peak to present, the capitals where rents have fallen the most are Zaragoza, down 44 per cent, Valencia, down 31 per cent, and Seville, down 22.4%.
In Barcelona, rental prices have fallen 14.5 per cent since the peak, and 15.9 per cent in Madrid. In both cities house prices have fallen much more steeply, driving up rental yields for investors. Rental prices are now rising the quickest in Barcelona, but buy-to-let investors can can currently find better rental yields in Madrid, reports Idealista.