The profits obtained in the Canary Islands for renting an 80 square meter house in September is 6.6% on average, while the profitability of a shared house with three rooms is 7.8%, that is, a difference of 1.3 percentage points.
The data comes from the study of “The profitability of housing in Spain in 2023”, based on the analysis of housing prices for sale and rent in September 2023 by the real estate portal Fotocasa.
“The data indicates that the profitability of renting a home by rooms is almost 50% higher than renting an entire home in Spain. That is why, following the approval of the housing law, it is observed how more and more owners seek to escape the limitation of prices and explore options to continue obtaining high returns.
At the moment, the price of a room for rent is around €445 on average, while an entire house of about 80 m2 is around 900 euros.
If the property has three rooms, the gross profitability would exceed that of conventional rent. It is one of the practices that is increasing the most, because the demand for rooms is increasing, since tenants cannot access the prices of an entire house and owners are changing to this modality to increase profitability”, comments María Matos, director of studies and spokesperson for Fotocasa.
Navarra presents the greatest difference when renting by rooms
If we analyze both housing models (an 80 m2 house and a three-room house), we see that the returns given by the same house are totally different in both cases. Thus, we see that in the community of Navarra the profitability of an 80 m2 house is 6.5%, compared to the 12.2% profitability obtained if the same house is rented by rooms (that is, 5.7 points of difference between both).
In this way, the order of profitability of a home is: Comunitat Valenciana with 8.0% (9.9% housing/3 rooms), Region of Murcia with 7.6% (10.2% housing/3 rooms), Cantabria with 7.2% (8.0% housing/3 rooms), Asturias with 6.8% (7.9% housing/3 rooms), Catalonia with 6.8% (9.5% housing/3 rooms), Castilla y León with 6.8% (8.1% housing/3 rooms), Canary Islands with 6.6% (7.8% housing/3 rooms), Castilla-La Mancha with 6.5% (9.5% housing/3 rooms), Navarra with 6.5% (12.2% housing/3 rooms), Aragon with 6.3% (9.3% housing/3 rooms), Spain with 6.2% (9.5% housing/3 rooms), La Rioja with 6.1% (8.0% housing/3 rooms), Extremadura with 6.1% (9.0% housing/3 rooms), Basque Country with 6.0% (7.1% housing/3 rooms), Andalusia with 5.8% (7.6% housing/3 rooms), Galicia 5.8% with (8.0% housing/3 rooms), Madrid with 5.7% (6.7% housing/3 rooms) and Balearic Islands with 5.3% (5.8% housing/3 rooms).
