The rental market in Spain continues to show strong momentum, with prices in the Canary Islands climbing by 8.1% in October compared to the same month in 2022. According to the latest report from the real estate portal Idealista, average rental prices in the archipelago reached €15.1 per square metre, cementing the region’s status among Spain’s most expensive rental markets.
Breaking it down by province, Las Palmas leads with an average rent of €15.3 per square metre, closely followed by Santa Cruz de Tenerife at €14.9 per square metre. The three-month trend also shows a steady, albeit modest, uptick for the Canary Islands, with a 0.3% price increase both quarterly and month-on-month.
Nationwide, the Spanish rental market remains robust. October closed with a 10.9% year-on-year increase in rental prices, setting the national average at €14.5 per square metre. However, the overall Spanish market saw a slight quarterly dip of 0.7%, even as prices nudged up 0.1% compared to September.
Idealista’s data reveals that rents have risen in all regions year-on-year. The Community of Madrid saw the sharpest surge at 12.7%, followed by Andalusia and Castilla-La Mancha, each with an 11.8% jump. Other strong performers included La Rioja and the Valencian Community (both at 9.9%), Castilla y León (9.1%), the Balearic Islands (9%), and Aragon (8.5%).
While the Canary Islands’ 8.1% annual increase sits just below the national average, it still outpaces several regions. Notably, the most moderate increases occurred in Navarra (3%), Extremadura (4%), Cantabria (4.5%), the Basque Country (5.2%), and Galicia (5.3%).
The rising prices across most of Spain illustrate a rental market marked by high demand and limited supply, especially in popular destinations like the Canary Islands. With many regions reporting double-digit growth, both tenants and investors will be watching closely to see whether these trends continue into the new year.
