The regulatory body has identified a significant trend: properties entering the market for the first time, often through inheritance or renovation, are listed at prices 16.6% higher than existing ones. This so-called entry premium has grown significantly over the last four years, rising from 6.2% to 16.6%.
The situation in the Archipelago reflects constant pressure on supply, which remains limited against sustained demand. According to the Fotocasa Real Estate Index, the average rental price in the islands reached 16.28 euros per square meter in May, representing an 8% year-on-year increase.
The Bank of Spain report highlights that the market structure, dominated by small landlords managing one or two properties, influences price trends. The annual profitability of the sector, which reached 9.5% between 2020 and 2024, has encouraged the addition of new properties to the rental stock, offsetting previous concerns regarding non-payment or property damage.
