Rent prices down 6.4% in Barcelona since application of rent cap law

Rent prices in towns where Catalonia's rent cap law is in force have fallen by 3.7% since the regulation came into force a year ago, while in Barcelona, the drop is 6.4%.

According to the Catalan Minister of Territory and Housing, Sílvia Paneque, since the measure was first applied, 1,000 new leases have been signed every month in Catalonia, which she said gave "certain hope".

Across Catalonia, the average price of new rental contracts in the 4th quarter of 2024 decreased by 1.6% compared to the same period the year before and by 3.3% in relation to the start of the year.

In Barcelona, average rental prices fell by 5.1% at the end of 2024 compared to a year earlier.

On Friday, Paneque held a joint meeting with Spain’s housing minister, Isabel Rodríguez, and Barcelona’s mayor, Jaume Collboni.  

"The housing law works," said Rodríguez during a press conference after the meeting, adding, "Through the housing law, by implementing the tense housing zones and rent caps, we have managed to reduce prices in Catalonia, especially in Barcelona.

Barcelona mayor agreed with Paneque, saying that the data gives hope “especially to families and young people who want to continue living in the city.” He added that last year’s rent increases of up to 68% were “unacceptable.” 

“What we’re trying to do is change the rules of the game,” Collboni said. “These aren’t temporary measures to keep a good image, but measures to change the rules of the game in Spain, in Catalonia, in Barcelona.” 

The mayor also added that the measures should be “clear, permanent and give legal certainty, because they are here to stay.” 

Idealista report 

On Thursday, Idealista published a report stating that the supply of rental properties in Barcelona has fallen by 84% in the last five years while prices have increased by 62%.  

The report blames “the punitive and coercive measures against homeowners” for the “drastic disappearance” of the rental supply 
 
In response, Collboni said that rental and real estate websites put out bleak data “because regulations don’t work in their favor,” adding that “the real data is provided by the Catalan government.” 

Rent cap law

Catalonia was the first - and so far only - autonomous community in Spain to introduce a rent cap, which came into effect in March 2024.

The cap was enforced in 140 towns and cities across Catalonia, covering 80% of the population. These areas have been classified as tense housing zones.

In these zones, new rental contracts cannot exceed the price of the last contract in the last five years, adjusted for inflation.

For properties owned by landlords with more than five units, rents cannot exceed the reference price set for the property, which could result in potential rent reductions.