Allocating 30% of the average salary in the Canary Islands to pay for rent allows access to a home with a size of 42 m2, which represents a decrease of 45 m2 compared to the situation a decade ago, according to the study “Relationship between salaries and home purchase”.
This analysis is based on the average rental housing prices of the Fotocasa Real Estate Index and the average salary data from the job offers on the InfoJobs platform.
With 30% of the average gross monthly salary in the Canary Islands in 2013, registered by InfoJobs (510 euros) and the price per square meter of rental housing in September 2013 (5.83 euros/m2 per month), the average Canarian 10 years ago could rent an 88 m2 house. In September 2023, they would only be able to afford a 42 m2 house.
Thus, due to the gap between the growth of salaries and the price of housing, we see that in 10 years there has been a 52% reduction in the size of housing, while the budget allocated to rent (30% of the average gross monthly salary) has barely increased by 7%, going from 510 euros in 2013 to 547 euros in 2023.
The residents of the Balearic Islands are the ones who have reduced the size of their homes the most
The Balearic Islands are the most affected community with the reduction in the square footage of housing that can be rented with 30% of the gross monthly salary. Balearic residents have gone from renting 78 m2 of housing in 2013 to being able to rent only 35 m2 in 2023, that is, 56% less surface area.The following communities with the largest reductions in size in 10 years are: Comunitat Valenciana (-52%), Canary Islands (-52%), Catalonia (-45%), Madrid (-45%), Cantabria (-40%), La Rioja (-39%), Region of Murcia (-34%), Galicia (-33%), Andalusia (-33%), Navarra (-32%), Castilla y León (-30%) and Basque Country (-30%).
