If in August 2020, in the midst of the pandemic, the increase in the intention to buy a home increased among Spaniards, now that claim has moderated and, with it, the feeling of ownership, moving away for the first time in five years the idea that the real estate market is about to explode.
Individuals value with an average importance of 7.6 points out of 10 the idea of owning a home. According to the latest Fotocasa Research report ‘X-ray of the housing market 2020-2021: a year of pandemic’, in addition to the intrinsic roots, the current rental price makes it worthwhile in many cases to pay a mortgage.
However, the pandemic seems to have weakened this sentiment compared to the months prior to the health crisis and has also modulated the perception of proximity to a new real estate bubble; In February 2020, this opinion had 6.
1 points out of 10 and twelve months later the assessment is 5.5. It is the first time in five years that it has decreased. The perception that proximity to a bubble seems to dissipate varies according to the age of the respondent, with the youngest being the most faithful to this idea.
Regarding the regulation of rental prices , this question generates a division of opinions. Almost half of Spanish individuals are not clear about their position, but among those who do position themselves, the volume of detractors has increased slightly: 22% now have a negative perception, while in August 2020 it was 18 %.
By territories, Catalans and Madrid people are gradually beginning to abandon the idea that paying a mortgage is more profitable than paying rent and Madrid is the community with the most reluctance towards price regulation regulations. In Catalonia, however, the percentage of individuals who foresee a gradual conversion of holiday rental apartments to the residential rental market is higher.
As mentioned before, the opinion on the rental market changes according to age and it is in the older segments where the feeling of ownership emerges most. For example, individuals who are between 55 and 75 years old value this question with 7.9 points out of 10 while those between 18 and 24 years old value it with 6.7 points.
“The perception of the most adults about the value of real estate as property is also evident with their greater conservatism with respect to the idea that living for rent is a waste of money,” says the report. Regarding the range of 45 and 75 years, more than 40% are in favor of this idea.