The Spanish Government and the Government of Catalonia (Generalitat) confirm that the Housing Law is achieving its key objectives:
Price Reductions in Stressed Areas: A gradual decline in rental prices has been observed in key municipalities such as Barcelona, Tarragona, Girona, and Cornellà de Llobregat, where price caps have protected tenants from speculative increases. According to data from the Catalan Land Institute (Incasòl), the average rental price in Barcelona fell by 4% in the last quarter of 2024.
Housing Minister Isabel Rodríguez emphasizes that 89% of contracts renewed in 2024 maintained prices within legal limits, avoiding unjustified hikes.
Expansion of Social Housing:
The construction of 14,000 social housing units in Catalonia by 2025 has been announced, funded by state and regional resources, to "guarantee affordable housing for all."
Expansion of Stressed Zones:
Following the addition of 131 new municipalities in October 2024, 60% of Catalonia’s population is now protected by the law.
Statement by Minister Isabel Rodríguez:
The data confirms that state regulation is necessary and effective. We will continue to rigorously enforce the law to correct historical imbalances and stop speculation."
The government dismisses criticism about the decline in rental contracts, calling it a "temporary market adjustment," and guarantees that "supply will recover through new social housing projects."
Rental contracts signed in the 15 Largest municipalities of Catalonia Since 2005
Average rental price in the 15 largest municipalities of Catalonia Since 2005
According to the statistical Institute of Catalonia, the 15 most populated municipalities in 2024, subject to price caps from March 2024, are:
Barcelona, L'Hospitalet de Llobregat, Terrassa, Badalona, Sabadell, Lleida, Tarragona, Mataró,
Santa Coloma de Gramenet, Reus, Girona, Sant Cugat del Vallès, Cornellà de Llobregat, Sant Boi de Llobregat, Rubí.
More than 3.75 million inhabitants (2023).
Application of caps: All included in the first phase of restrictions (March 2024).
Official statement: rental trends in Catalonia (2024)
According to the Ministry of Housing, the declaration of stressed areas caused:
A 3.7% drop in rental prices in these areas.
A 3.3% drop in Catalonia as a whole, with a 6.4% drop in Barcelona (Incasòl data, comparison Q4/2024 vs. Q1/2024).
However, regional records reflect:
A collapse in Q2 after the caps came into effect.
A gradual recovery in Q3 and Q4, with no clear downward trend.
Rental income in the main cities of Catalonia from 2023
Rental Price Dynamics
Official Statements:
- 3.7% reduction in rents in stressed areas and 6.4% in Barcelona (Incasòl data, Q4/2024 vs. Q1/2024 comparison).
- 89% of renewed contracts maintained prices within legal limits.
Expert Criticisms:
Price growth in most Barcelona neighborhoods (except in elite areas such as Pedralbes).
Average prices in 2024 reached historic highs in 12 of the 15 main cities.
Contract Market
Official Data:
- +3,070 new contracts in Q4/2024 (according to authorities).
Actual Statistics:
- 19.6% drop in annual contracts (from 34,503 in Q1 to 27,722 in Q4).
In Barcelona, only +172 contracts in Q4; 10 of 15 cities registered decreases.
Expert Assessment
1. Reduction in Supply:
The rental housing stock in Barcelona has fallen by 84% since 2020.
Competition increased to 54 families per apartment (+35% in one year).
2. Long-Term Risks:
Owners are withdrawing properties from the market: selling or converting them to commercial use.
Increasing demand for short-term rentals and rooms.
Gonzalo Bernardos (Economist):
Price controls temporarily slow rentals but exacerbate the shortage. The law protects current tenants but blocks access to new ones.
Antonio Carroza (Safe Rentals):
The law destroys the market: less supply, higher prices, and lower quality.
Despite specific reductions in specific areas, the Housing Law has led to:
- A drastic reduction in the rental stock.
- Increased social tension due to inaccessibility for new tenants.
- Risk of long-term market destabilization.