The supply of long-term residential rental properties has dropped by 22% in the Canary Islands in the last four years, if the stock data for the first quarter of 2019 is compared with that of the same period of 2023, according to a study published by property portal Idealista.
Nationally, the amount available has fallen by 28%, but the largest reduction has occurred in the autonomous communities of Madrid and Catalonia, with a drop of 41% in both.
They are followed by Cantabria with a decrease of 31%, Galicia (-29%), Castilla-La Mancha, and Euskadi (-25%). Next, we find the decreases in supply from the Canary Islands (-22%), Comunitat Valenciana (-21%), and Extremadura (-20%).
Below this figure are the Balearic Islands (-16%), Murcia (-15%), Andalusia (-13%), and Asturias (-12%). With single-digit falls are La Rioja (-8%), Aragón (-7%), Castilla y León and Navarra (which are the communities where it has decreased the least, only 3%).
The catch-22 position that many people are finding themselves in is that monthly rental prices, as previously reported, have increased by over 50% to new record high levels since the previous high in the property bubble of 2007 before the recession, meaning many people can’t afford them.
Some are now ridiculously high because owners are stuck deciding whether to rent their properties for high return holiday lets, or more guaranteed long term lets, as they want to maximise their income. It is hoped that the new housing law, due to come into effect this year, will stabilise the market.
