Spanish Property Owners Withdraws 300000 Apartments From Rental Market

Spain's rental market is steeply declining, with 300,000 flats withdrawn from availability during the last three years. By 2024, nearly 717,338 residences were listed for rent, a decrease of 96,512 properties, or 11 per cent, compared to 2023. This decrease is even more pronounced than when rental ads were much higher than the epidemic's peak.

The primary cause of this drop is legal reforms, stated the experts. José García Montalvo, an economist at Pompeu Fabra University, suggested that the property owners withdraw due to the increased legal uncertainty.

In 2019, the Urban Leasing Law was amended to change contract durations, according to Fotocasa Research. According to their projections, rental apartment supply decreased by 17 per cent in 2024 alone.

These movements mirror broader difficulties in Spain's housing market, calling the balance between renter protection and property owners' rights into question.