The increase in the price of housing spreads like wildfire

BarcelonaFor many years, the increase in housing prices has been discussed, especially in the city of Barcelona, but now the data show that this rise has spread like wildfire throughout the territory. In fact, if we analyze the growth in the price per square meter by municipality in the last 10 years, Barcelona is below the average, which is 63%, with 61.5%. And which are the municipalities where it has grown the most? Well, here we find surprises like Badia del Vallès, where prices have soared by 168% due, however, to the entry of many protected housing units into the free market. And then there would be cases like Argentona (120%), Viella (112%), Arenys de Munt (110%), Montmeló (106%), and Sant Cugat (101%).

What the data tells us is that the growth has been more noticeable in places where in 2015 the price was cheaper than the average (Badia, Argentona, Montmeló, etc.) and that in recent years it has received population from places where housing was more expensive, be it from Barcelona or from cities like Mataró, and in others that are tourist destinations with many second homes (Viella) or that have specialized in high purchasing power segments (Sant Cugat). This is because Catalonia is, despite the ripple effect of a large Mediterranean capital like Barcelona, a polycentric country, with a network of cities of over 100,000 inhabitants with their respective metropolitan areas that, on the one hand, receive Barcelona population expelled by prices, and, on the other, expel their own population to smaller towns. It is this chain effect that is causing a generalized price increase throughout the territory.

Hence the importance of good planning when building the 200,000 homes that Salvador Illa promised in his investiture speech. It is necessary to identify the areas with the highest demand and growth potential to prevent people from having to leave their neighborhoods, move away from their workplaces, and start using a public transport network that is totally insufficient. Rent price containment policies are necessary but are having a limited effect in a Catalonia that had not adequately prepared for the current demographic growth.

There have always been areas and towns that are particularly expensive and coveted by the real estate sector, but they were combined with others that, in return, maintained a relatively low price in the interior of Catalonia and the metropolitan area. And this offered an escape route for people who, for some reason, suffered an economic shock. What there is is a large-scale gentrification process, driven by both the arrival of newcomers and the international appeal of the Barcelona brand, which can now be multiplied by the Sagrada Família effect.

The positive part is that there is political consensus on the fact that access to housing is the great challenge facing Catalan society. The negative part is that there is not the necessary consensus to align all the actors involved.