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Spain Has Europe’s Highest Rate Effort Rate to Pay Rent

Some 700,000 low-income households in Spain spend almost 40% of their disposable income on rent, compared to 28% in Germany.

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In Spain, subsidised rental housing accounts for 1.1% of the total stock, while this average is close to 40% in other European countries. Spain is also one of the countries where buyers face the greatest difficulties acquiring or renting a home.

Josep Oliver, Professor of Applied Economics at the UAB, stated that the main problems of access to housing, both in terms of ownership and renting in Spain, could be solved by direct aid to tenants with fewer resources and greater public-private collaboration.

Speaking at the ‘European Residential Rental Market’ event, organised by Anticipa Real Estate and ESADE Alumni, the professor explained that some 700,000 low-income Spanish households spend nearly 40% of their disposable income on rent. This percentage is well above the average in Germany (28%), France (29%) and Italy (34%).

Read the full article in Spanish

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