he typical apartment in Catalonia registered an average price of €11.76/m² in August 2022, which represented a monthly increase of 0.86%. Compared to August 2021, the increase was 8.79%, the second largest national increase, according to the monthly rental price report prepared by piso.com
The increase in rental prices in Spain is confirmed, reflecting the skyrocketing inflation that the Spanish economy is experiencing.
The rise in interest rates operated by the ECB is already making mortgages more expensive.
The drop in consumption that is coming will be transferred to rent, since the people who had planned to buy will wait.
Barcelona was the most expensive capital in Spain
Compared to July, Barcelona (2.92%) was the Spanish province that grew the most. At €12.95 per square meter in August 2022, Barcelona was the second most expensive province for tenants in Spain.
In the prices section, Barcelona (€18.36/m²) was the most expensive provincial capital in Spain.
Catalonia was the third region with the most expensive monthly payment for tenants, behind Madrid (€13.56/m²) and the Balearic Islands (€12.65/m²). For its part, the standard rental flat in Spain had an average price of €10.19/m² in August 2022. This figure showed a monthly fall of -0.49%. In the year-on-year comparison, it rose by 4.73%.
Second-hand housing in Catalonia in August 2022 had an average price of €2,581/m2. This figure represented a monthly rise of 1.56%, the second highest in Spain. Year-on-year, it was up 3.05%.
Catalonia was the fourth most expensive autonomy. As for second-hand housing in Spain, in August 2022 it earned an average price of €1,951/m2, posting a monthly rise of 0.95%. From one year to another, the registered figure marked a rise of 5.26%.
Barcelona was the second most expensive capital in the country
Monthly, the province of Barcelona (1.84%) was the third in the national ranking of promotions. In terms of prices, the fourth most expensive province in Spain was Barcelona (€2,941/m²).
Barcelona city (2.99%) had the most intense monthly increase in the country, with €4,473/m2 in August 2022, it was the second most expensive provincial capital in the country.
Evolution of housing prices in Barcelona August 2022
The residential market has experienced incredible dynamism throughout 2022 (it has even reached price levels prior to the 2008 crisis), but from now on the figures may drop in certain media due to the fact that with the rise in rates of July carried out by the European Central Bank and that which is forecast in September, there will be a decrease in the purchase of housing due to the increase in the cost of financing.
With inflation that has been running for two months now at a rate of two in a row, the recession is a more than real threat to the economy, especially if other variables such as GDP or unemployment are taken into account, all of which will cause a drop in real estate transactions, and this will end up in prices.
The price of housing in Catalonia increased by 1.72% compared to 2021, with an average price of €2,542/m2 in July, which represents -0.15% compared to June 2022. Barcelona was the second capital of most expensive province in Spain with €4,343/m2 in July 2022.
Evolution of housing prices in Barcelona July 2022
The real estate market is going to experience changes due to the recent rise of 0.50% in official rates operated by the European Central Bank. The agency's decision, aimed at placating the push of inflation, will result in higher financing costs. As mortgages are not as cheap as before, it is possible that buyers contain their enthusiasm for buying a home, delaying their decision in order to increase their previous savings so that, in this way, the amount borrowed is smaller.
Deep corrections are not going to take place, rather we will see a cooling in the upward trajectory. The distance between supply and demand is going to narrow, without sudden contractions, but with a product for sale that is more adjusted to economic reality. This slowdown will pass by stressed locations and consolidated and scarce typologies.
The Association of Real Estate Agents of Catalonia (AIC), the Barcelona Association of Real Estate Agents and Pompeu Fabra University have signed a collaboration agreement.
The aim of the Chair is to promote teaching, research and the dissemination of knowledge in the field of real estate innovation, both technological and social and economic.
On the morning of 13 July, the Rectorate of Pompeu Fabra University hosted the signing ceremony for the creation of the “API-UPF Chair in Real Estate Innovation. Real estate innovation as a socio-economic change ”, in order to promote teaching, research and the dissemination of knowledge in this field, based on research activities, knowledge transfer and training.
The business collaboration agreement between Pompeu Fabra University (UPF), the Association of Real Estate Agents of Catalonia (AIC) and the Official Association of Real Estate Agents (COAPI) of Barcelona has been signed, on behalf of the three institutions, by Oriol Amat, Rector of UPF; Vicenç Hernández Reche, president of the AIC and Gerard Duelo Ferrer, president of the College.
Daniel Serra, Rector’s Delegate for Business Chairs, attended the signing ceremony of the agreement, which will last three years; Ernest Solé Udina, professor of the Department of Economics and Business at UPF and UPF-BSM and director of the API-UPF Chair, and professors at the University Josep Ferrer and Josep M. Raya, directors of the UPF chairs d 'Housing and APCE-UPF Housing and Future Studies, respectively.
Oriol Amat, rector of UPF, emphasized that “the creation of a business chair is an ideal way to formalize a qualified, broad and lasting collaboration between the University and companies, promoting research and the transfer of knowledge. The API-UPF Chair explores an innovative field, which is not addressed in the other housing chairs we have, and it does so through a differential approach that gives added value and can help us create synergies with other initiatives. ”.
Vicenç Hernández Reche, president of the Association of Real Estate Agents of Catalonia, emphasized that “this chair is an important step for our group, not only for the ability to bring experience and knowledge to the 'socio-economic field, but also to be able to contribute to progress, visualizing innovation as an engine of growth'.
For his part, Gerard Duelo Ferrer, president of the Official Association of Real Estate Agents of Barcelona, stressed that “API's mission is to work to ensure that all citizens have access to housing in a safe and with guarantees. That is why today we are very excited to start this chair with UPF, because we are sure that the research will bring us closer to this goal ".
According to Ernest Solé Udina, director of the Chair, “new technologies push companies to evolve towards new business models, very focused on the customer and to give it the value it demands. Real estate agents are not left out of these changes, they need to adapt, and not only to survive, but also to offer more and better service to customers. In the field of this chair, new formulas will be developed through which these agents will address the market in more efficient, responsible, transparent ways, and with greater added value ".
A collaboration that will be reflected in research, transfer and training activities
The API - UPF Chair in Real Estate Innovation, which will be linked to the Department of Economics and Business at Pompeu Fabra University, will carry out research, knowledge transfer and training activities.
In the field of research, it is necessary to emphasize the definition and development of lines of research and joint doctoral theses between the signatory institutions; cooperation to obtain research projects and the dissemination and promotion of activities within the framework of the Chair.
The section on knowledge transfer includes the transfer between research areas and industrial exploitation; the industrialization of research results in commercial lines, the organization of exhibition and dissemination days and publications on research areas of the Chair.
Finally, as part of the training activities, pre-doctoral and post-doctoral scholarships will be announced, as well as prizes for end-of-course projects and other competitions; internship plans will be developed in companies, and the institutions will cooperate in the design and teaching of subjects in the training plans impacted by the Chair.
In order to carry out all these activities successfully, UPF will provide qualified teaching and research staff, scientific-technical and administrative infrastructure and, where appropriate, mechanisms for the academic recognition of the courses that may be taken. For their part, AIC and the College will make an annual financial contribution to finance the activities of the Chair, which will provide a joint committee to monitor, monitor and control the implementation of the agreement.
What will be the main areas of action of the Chair?
The API-UPF Chair in Real Estate Innovation will focus on studying and defining innovation in the real estate sector both in business models and in the needs of housing, premises or real estate in the third sector, to understand the needs of the market; will promote and defend the rights of citizens when accessing a home or managing a home as an asset, and will research the needs in new ways of living, trading or new logistics activities, and how the real estate world has to adapt to these needs.
Other objectives that it will pursue will be to contribute to the technological improvement of the services and functions that the Real Estate agents render to the citizenship; to promote and study new technologies that give more transparency to the sector; generate meeting points between innovative and traditional companies to help modify business models adapted to the new needs of society, or take advantage of the knowledge of real estate agents in the habits of buying and selling homes and their economic, psychological and sociological implications for to know better tendencies of habits of life and consumption.
About the AIC
The Association of Real Estate Agents of Catalonia (AIC) is a private law association that groups the group of associated real estate agents and represents it before society. As a real estate association, its essential purpose is to guarantee the consumer an excellent professional service. It has more than 3,500 members. It has among its founding partners in 2010:
• Barcelona Association of Real Estate Agents.
• Association of Real Estate Agents of Girona.
• Association of Real Estate Agents of Lleida.
About the COAPI of Barcelona
The Official Association of Real Estate Agents (COAPI) of Barcelona is a public law corporation that groups together the group of collegiate real estate agents and represents it before public institutions and society. generally for over 65 years. As a professional association, its essential purpose is to defend the profession, the professional interests of the collegiate agents and to protect consumers. For this reason, all its registered agents, and associated with the AIC, are duly registered in the Register of Real Estate Agents of Catalonia, mandatory for the exercise of real estate activity in Catalonia, and are subject to voluntary to a code of conduct and discipline.
Photo: From left to right: Ernest Solé Udina, director of the API-UPF Chair; Oriol Amat, rector of UPF; Vicenç Hernández Reche, President of the AIC; and Gerard Duelo Ferrer, president of the COAPI of Barcelona.
According to the semi-annual report on rental prices, in Catalonia flats registered an average rental price of €11.78/m2 in June 2022, which represented a six-monthly increase of 6.22%. Compared to June 2021, the increase was 11.10%. Monthly, it fell -0.08%; and quarterly, it grew by 3.70%.
In the section on average monthly rents, Barcelona, with €17.77/m², was the most expensive provincial capital in Spain.
The longer the economic uncertainty continues, the more prices will skyrocket.
Rents are rising at a time when access to housing is difficult due to rising inflation.
The purchase also becomes more expensive, as well as mortgages, and that makes buyers think about it, causing in turn the rental market to rise.
Without tax incentives, without legal certainty and with the fear that the government will establish income limits in the stressed areas, a dissuasive effect is being caused so that closed housing that is not rented due to lack of stability and fear of a costly and almost endless judicial process in case of non-payment.