Faced with a real estate market marked by a scarcity of supply and falling interest rates, illegal occupation, the purchase price of homes and household expenses are the aspects related to housing that have risen the most in the ranking of the main concerns of Canarians, according to the II Housing Barometer 'Planeta Propietario', which is prepared annually by the Mutua Propietarios Group to assess the concerns of the population in this area.
“In such a dynamic context, the difficulty for tenants to access affordable rent, and the risks associated with an occupation process suffered by owners are positioned as major challenges for the sector to regain confidence and restore tranquility to an increasingly tense sector,” explains Laura López Demarbre, Deputy General Manager of Strategy, Clients and Alternative Channels of Grupo Mutua Propietarios.
The ranking, carried out based on the responses of more than 2,300 people, scores expenses associated with the home with a 6.92, due to “a stabilization of energy prices and the efficiency measures implemented in homes, and which could be reversed soon due to the recent increase in VAT on the electricity bill”, explains López Demarbre. While the 'purchase price' maintains its position, it is also worth noting the rise of the 'housing laws' which are the fifth biggest concern of Canarians.
Finally, the II Housing Barometer 'Planeta Propietario' confirms the decline as less relevant issues for Canarians in the housing environment 'maintenance' and having a 'sustainable home'.
The Household Bill
In relation to the average income of Canarian households, the analysis by Grupo Mutua Propietarios points to a maintenance in relation to the previous year and places them at 2391.4 euros per month. However, it is worth noting that 45.8% of said income is allocated to the so-called Household Bill, which includes the mortgage or rent, energy supplies and the shopping basket. This percentage exceeds 90% in households with incomes of up to 1,000 euros; reaches 58% among people who live on rent and takes 54.5% of the income of those who live alone.
Analyzing each of the items, basic supplies - electricity, gas and fuel - reached 165.31 euros/month, 9.3% of total income. However, for households with incomes of one thousand euros, this amount represents 23.2% of total income, increasing the number of families in a situation of energy poverty compared to the previous year.
The II Housing Barometer 'Planeta Propietario' also detects a divergent evolution in the cost of the mortgage and rent: compared to the decrease in the mortgage by €19, there is a notable increase in rental expenses of €67.9, resulting in an average rental price that exceeds that of the mortgage by almost €70 per month.
In this context, 34% of Canarians say they have some difficulty meeting housing expenses. By profile, young people between 18 and 34 years old are the ones who experience the greatest difficulties: 7% declare having “a lot of difficulty” and around 33% report “quite a lot of difficulty”. In contrast, those over 65 years of age present a more favorable situation, with 24% stating that they have “no difficulty”, possibly reflecting fewer expenses derived from housing, such as the mortgage. Likewise, if the level of income is taken into account, households with incomes below 1,000 euros are the most affected: 18% report “a lot of difficulty” and 39% “quite a lot of difficulty”.
“In an increasingly dynamic and demanding market context, the challenge for the insurance sector is to continue innovating to guarantee the protection of owners and tenants, with new coverages adapted to the new ways of living that offer agile, accessible solutions aligned with real needs to, in this way, contribute to increasing the supply of housing”, concludes the Deputy General Manager of Strategy, Clients and Alternative Channels of the Mutua Propietarios Group.
About Grupo Mutua Propietarios
Grupo Mutua Propietarios is an entity specialized in comprehensive protection for owners and their properties. In addition, it seeks to increase the value of real estate properties and improve the quality of life of its owners.
