BarcelonaThe over-income rate among rented households in Catalonia is one of the main problems facing the housing market: despite having a fixed income and sharing housing expenses with their partner, one in four Catalan households suffer from over-income, meaning they must spend more than 40% of their income on housing.
Although the number of households exceeding this threshold has decreased in Catalonia in the last year, from 32.6% in 2023 to 25% last year, this indicator is still much higher than in the European Union (EU), where it averages 19.2%, and also for property with a mortgage (13%) and those who already own their property (1.8%).
These are data collected in the latest annual report by the Barcelona Metropolitan Housing Observatory (OHB), published Thursday night. The report's authors attribute this decrease in the overload rate to various factors. Regarding income, they highlight the increase in the minimum wage (+5%), the decrease in the unemployment rate (-14.1%), and the rise in average gross disposable household income (+7.8%), while on the price side, they highlight the moderation of the Rental Price Index (+1.1%).
Young people, a critical situation
The situation is critical for young working people: almost half of young people who work (45.1%) would be unable to access housing due to overexertion. Despite considering a scenario of emancipation for couples in shared housing, an average-priced rental home in Catalonia would exceed 40% of their income.
Furthermore, 38.2% of young people who work and who could afford to pay the mortgage on a second-hand home in Catalonia—because they would not exceed this threshold of overexertion—cannot access the buying and selling market because they do not have sufficient savings, which typically must be 30% of the value of the 0% property, including paperwork and taxes.
Sánchez urges the EU to take measures against speculation.
Spain is also increasing pressure on the European Union to address the housing crisis, although the powers in this area lie primarily with state and regional governments. Sánchez announced that he will propose to his European counterparts at this Thursday's summit that Brussels promote a package of "legal measures" to "put a stop to speculation in non-residential housing," which will activate "levers" at the community level so that member states can "act on stressed areas" and "build social housing" throughout the European bloc.
The Spanish president made this request just before the start of the summit of European leaders in which, for the first time in the history of the EU, housing will be discussed. This is one of the major demands of European social democrats, who are increasingly finding weaknesses at the community level, and especially at the Moncloa. In fact, it has been the European Council, led by the Portuguese socialist António Costa, who has forced the heads of state and government to discuss it, and from the European Commission, two other socialists are promoting it: the Spanish vice president and former minister Teresa Ribera, and the European Commissioner for Housing, the Danish Dan Jorgensen.
The housing crisis is especially acute in Spain and in cities like Barcelona: a report published by the European Council this Wednesday places it as the second European city where rental prices are highest relative to wages. However, this is a problem that is increasingly spreading throughout the EU and is becoming one of the blog's main challenges. For this reason, most member states welcome the community blog's placing it at the center of the debate.
However, diplomatic sources from several member states are emphatic in asserting that housing regulation "is not the responsibility of the European Union" and that it is an issue that should be addressed by state, regional, or municipal administrations. In fact, in the draft conclusions expected to be agreed upon at the European Council this Thursday, to which ARA has had access, the housing component only occupies two out of 67 points and does not include any specific measures.
Furthermore, the same diplomatic sources confirm that Brussels had already planned to approve a plan to address the housing crisis, which would include funding to assist with the purchase of apartments, particularly those of a social nature. "The plan should aim to support and complement the efforts of member states," the draft summit conclusions clarify.
Isla, after meeting with the Renters' Union: "My legs won't shake [in housing]"
The President of the Generalitat (Catalan Government), Salvador Illa, received a representative of the Renters' Union (Sindicato de Llogateres), led by spokespersons Enric Aragonès and Carme Arcarazo, and representatives of the strikers against La Caixa, at the Palau de la Generalitat on Thursday. The organization told Illa that they "can't wait for more solutions that don't come" and raised the issue of the rent strike being carried out by more than 100 people living in social housing blocks managed by InmoCaixa, the real estate management company of the La Caixa Foundation.
For his part, the president of the Generalitat (Catalan government) said in a message on the social network X that they will study all measures to address the housing emergency. "It's a top priority for this government. My legs won't shake," he said.
