Home ownership sinks among young people and only grows among those over 74 years of age
Little by little, Spain ceases to be a country of owners. There are fewer and fewer, and those that exist are older than ever. Access to home ownership has become impossible for those under 35 years of age, where the percentage of owners has gone from 69.3% in 2011 to 36.1% in 2020. But the downward trend is generalized in all age groups, except for the elderly. This is demonstrated by the Household Financial Survey published this week by the Bank of Spain with data referring to 2020. That year, the rate of homeowners in Spain stood at 73.9%. It represents two points less compared to 2017... and almost ten points less compared to 2008, when at the dawn of the real estate bubble the rate of owners in Spain stood at 82.7%. Since then, the rate of owners in Spain has been gradually reducing. To a large extent, due to the difficulties in accessing home ownership by young people. Between 2008 and 2011, the ownership rate among those under 35 years of age grew, from 65.8% to 69.3%. But then the impact of the real estate bubble manifested itself strongly among the collective. And the rate of owners plummeted twenty points between 2011 and 2014, to stand at 49.5%. More than the fall, the main problem is that young people never recovered those rates of access to housing. The economic recovery came in 2015, but the percentage of under-35s owning real estate continued to fall in subsequent years. Between 2014 and 2017, it maintained the downward trend and stood at 41.3%. And three years later, in the midst of the coronavirus pandemic, it marked a new historical low with the 36.1% mentioned above. At the opposite extreme are those over 74 years of age. The Bank of Spain already explains in its survey that the percentage of home ownership is greater the older the head of the family is. So much so that those over 74 years of age were the only ones who increased their commitment to home ownership in the last three years collected in their survey by the supervisor. In 2017, 82.4% of those over the age of 74 owned a home; in 2020, 83.4%. Twelve years earlier, in 2008, the rate was similar, at 87.8%. Impossible to buy Both the Administration and real estate experts agree that the lack of access to housing for young people is one of the main challenges in the sector. And not only that, but different appraisers, such as the Appraisal Society, have already warned that this lack of access is already having an impact on other statistics, such as the creation of homes. MORE INFORMATION Young people who pay exorbitant rents will not be able to access Sánchez's housing bonus FROM HURRIES IN CATALONIA TO DOUBTS IN THE BALEARIC ISLANDS: THE 17 SPEEDS OF THE YOUNG RENTAL BONUS According to data from Fotocasa , the average Spaniard will have to dedicate his entire salary gross of 6.2 years (74 months) to purchase a home. Added to this is the fact that, in the midst of a pandemic, 90% of young people could not become independent on their own. A situation that experts fear will worsen with the recent rise in interest rates by the European Central Bank. According to Pisos.com, the rise in the Euribor that the increase in rates entails will produce an increase of approximately 1,400 euros on average in the annual mortgage payment.