Real Estate in Barcelona, Spain

Barcelona is one of the liveliest cities in Europe and it seems to offer all things to all people.  Not only is it a Mediterranean resort and port, a cosmopolitan business city and a smart shopping haunt, but it’s a cultural capital, an historic gem and a year round party destination.  Unsurprisingly real estate prices in Barcelona are among the highest in Spain because of the undeniable and massive desirability of property in this city.

Real estate in Barcelona, Spain’s capital city of the Catalonia region, is hot and getting hotter.  In the past 12 - 18 months prices have increased by 30% and they are showing no signs of slowing down, this article examines the property and general prospects for real estate in the city.

Barcelona airport welcomes many cheap airlines daily which makes the city highly accessible internationally, in turn this has increased the location’s desirability for both tourists and international businesses seeking a base in Europe.  The volume of visitor traffic to Barcelona is constant year round with smaller more intense peaks in the summer months when the attraction of La Barceloneta beach intensifies under the welcoming summer sun.

For an investor looking at the real estate market in Barcelona there are some very attractive features to consider.  Firstly short term rental accommodation is in high demand.  There are many colleges, language schools and universities in the city offering a variety of courses all year round which attract high numbers of students all seeking affordable city pads.  Furthermore rental accommodation for tourists is in relatively short supply as well and those looking for a self catering alternative to the hotels and hostels seek apartments in and around the city.  For the higher end of the market many international and national businesses have headquarters in Barcelona and some take on quality executive apartments that are used by travelling business men and women when they are in Barcelona.  The average long term monthly rental income obtainable in Barcelona is currently EUR 675.95 a month with the highest prices obtainable in the Sarria Sant Gervasi area.

With real estate capital appreciation running higher in Barcelona than any other area in Spain, there is an added investment capital attraction to purchasing and holding real estate in the city as well.  Over the last ten years real estate prices across Barcelona have increased by an average of 150%, with the exception of 1998 the percentage increases yearly have been in the double digits and though there is sign of a slow down to follow no one can deny the evergreen popularity of this city for property buyers and investors meaning that even if a global slowdown in the real estate market happens, prices in Barcelona will never crash and will actually continue to appreciate - if a little slower than has been observed in the past few years.

In terms of what’s available…well, in Barcelona the majority of accommodation is apartment based with penthouses, studios and flats all highly available.  There are also a lot of renovation, regeneration and some new build blocks coming on the market.  Prices start from around EUR 250,000 for a simple two bedroom flat and creep into the millions for luxury penthouses in the most desirable city centre or beachside locations.  There are of course town houses, villas and mansions for sale in Barcelona as well, though the price of such real estate is steep and usually on application - i.e., if you have to ask you can’t afford it anyway!

If you move slightly away from the most popular places such as San Cugat, San Just, Esplugues, Vallvidrera and Tibidabo and into the more residential suburbs your money will go far further and such real estate is great for anyone seeking a new home or a second holiday home as transport links to the centre of Barcelona are good.