Purchase to lease what one in five new homeowners does

Rental force

• Experts detect gross returns ranging from 4.6% to 8%
• Many new investors are buying home cash

"There is a cultural issue, It is pure and simple economics." Such confidence responsive sources a consultancy to the question of whether or not there is a change of mentality that explains the current rise of rent. Indeed something moves on the market.'s hard to detect what the statistics, as there are no official studies to measure rates of leases in Spain and there is not even a holiday census. Indeed, the Spanish government is studying the best way to develop one, but the project is still building, according to sources from Obras Publicas.

The only official for years in Spain is only 12% or 13% of households living in rented, while the remaining 85% own. These percentages contrast with the European average of 70% of owners and 30% of renters and away from reality in Germany, where more than half of the population chooses to rent.

With or without the cultural factor, the arrival of the economic boom of the post-Franco Spain and, above all, the adoption of the euro and the free bar credit, caused all the economic parameters advise buy and not rent. The benefits were for the two components of the market: supply and demand.

From the demand side, the massive entry of baby boomers into the labor market made ​​him shoot the housing need. In this context, the emergence of mortgage financing to minimum interest rates and repayment terms in eternal appearance made ​​affordable purchase for almost all segments of the population.

Then came a time when a housing similar income requesting his own rent was equal to the mortgage payment to be paid if the house was acquired, which helped it coined the famous slogan: "is that the same money, it is better to buy than rent, so no money is pulled. "

For although it is true that the purchase has to be paid the first year a number of expenses that the rent not required (entry, taxes, notary, registration and management services, among others), dealing with banks and finance 100% if the property value was not available prior saving enough.

Automatic adjustment

And all spurred by a bullish market price revaluations two digits each year and a system of state aid (VPO) and tax deductions that only invited to buy and rent seemed to have forgotten.

On the supply side only need to remember that Spain came to build more homes than Germany, France and Italy together and have an empty apartment was one of the most profitable investments possible, as it was thought that the price increase would not stop ever.

Then came the crisis and the bursting of the bubble ended with that other mantra of "housing never low." At the moment, however, everything seems to conspire in favor of rent .

The houses have become cheaper on average between 40% and 50% since it peaked (as the statistic to see) and gross rental yield stabilizes at around 4.6%, according to Bank of Spain .

Other sources say that the financial sector in certain neighborhoods with high demand for leasing, that gross return rises to 7% or 8%, "which in net terms gives a gain of 6.5%. No financial product can compete with that. " These two factors (cheaper houses and interesting perspective yields) are those who are leading that one in five new homeowners are buying homes to rent r, as confirmed by all sources consulted sector.

Moreover, this is that while the prices of home sales fall will not stop at least in the short term, income closed 2013 with an average decline of 3.06%, the study of Pisos.com, and such as Idealista.com remember, your tendency is to stabilize throughout this year. In fact, in some neighborhoods Sought leases Madrid or Barcelona and regrow.

So, for those who have savings, "homes on the market at very attractive prices that are being purchased without a mortgage and are as tenant, are beginning to offer benefits," recalls Luis Corral, CEO of Foro Consultores.

Those who are now thinking of renting either by obligation (their income did not allow them access to home ownership) or conviction (opponents of long-term debt), also have more advantages than in the past years. On the one hand, an abundant supply of choice, resulting in increased price competition and, secondly, a plan for public support in the making. Whether this improvement will continue to not rent to reach European levels is anybody's guess, but that largely depends on recovery speed and the new mortgage banking policy.

Who will buy house this year

Investors: solvent demand is beginning to see that the setting is at an end and the time has come to buy. Many of them rented.

Foreiners Come to Spain great opportunities. They prefer the coast and the most exclusive areas of Madrid or Barcelona.

Replenishment: Families who need a larger or better located apartment, although most current sell to buy.

New homes: The key segment, but is is the most dependent on the economic situation.