YOUNG people in Spain need to save for up to 61 years to afford a 100m2 flat, a study has revealed.
Ibiza has made headlines in recent years for its housing crisis, with many people sleeping in their cars and renting out sofas to house hunters.
Now, a study by Ener2Crowd, has revealed Vila, Ibiza, is the hardest place in Spain to buy property, with young people needing to save some 61 years to afford a 100m2 flat.
According to the crowdfunding platform, on average it takes 53 years to save up for property in the Balearic Islands, making it the most difficult region in the country to acquire property.
Photo by Frames For Your Heart on Unsplash
It only takes a quick look at rental prices in Ibiza to see the shocking state of the real estate sector, with the cheapest 100m2 flat on Idealista coming in at €355,000.
The easiest place to save up for a property was Castilla-La Mancha, with an average saving time of 11 years.
In the capital, Madrid, the average saving time is 35 years.
Surprisingly in touristy Catalonia, the average falls by almost ten years, to 26.
Like the Balearic Islands, the Canaries are equally sought after, with young people needing to save for some 36 years to afford property.
Meanwhile in sunny Andalucia, the average stands at 31 years.
The only places with saving times below 20 years are Extremadura (15), Asturias (15), La Rioja (16), Aragon (17), Castilla y León (17), Murcia (18) and Navarra (18).
Cantabria just misses out at 20 years, while Valencia and Melilla stand at 26, closely followed by the Basque Country at 28 and Ceuta at 30.
According to a spokesperson from the Balearic school for Real Estate Agents, Zenon Helguera: “The picture is not flattering. The current ratio for saving is 35%, that means that to pay a monthly mortgage of €1,000, you must pay €3,500.
“Society has changed and the real estate sector must change with it.”
Now, there are more single parents looking for flats and younger people are sharing for longer.
There is also the apparition of the home office, now not reserved only for digital nomads.
As the real estate picture evolves, there are various things we could be doing to solve the issue, such as reserving more buildings for rental properties.
Helguera also suggested local councils provide more spaces for mobile homes and prefabricated houses.
