The Real Estate Market Maintains a Profitability of 7.1%.
In the third quarter of this year, the Spanish real estate market has maintained stability in the gross yield of properties intended for rent, standing at 7.1%. This data is consistent with the same period last year, reaffirming the sector’s strength. According to a study by Idealista, this yield surpasses the rates offered by 10-year State Bonds, reaching 4%.
Diversification of Real Estate Investments: Offices Leading the Way
The study reveals that offices are consolidating as the most profitable real estate investment, presenting a gross yield of 12.7%, a significant increase compared to the 11.3% recorded twelve months ago. Commercial premises also stand out with a performance of 9.8%, compared to 9.5% the previous year. Meanwhile, garages experience growth in their yield, reaching 7.7%, surpassing the 6% recorded in September 2022.
Yield by Location: Murcia and Lleida Lead
Among Spanish capitals, Murcia and Lleida stand out for offering the highest yields, reaching 8.3% and 8%, respectively. They are followed by Huelva (7.6%), Jaén (7.3%), and Castellón (7%). In contrast, San Sebastián has the lowest yield at 3.8%, followed by Palma (4.5%), Pamplona, and A Coruña (4.7%). Madrid and Barcelona show yields of 5.2% and 5.8%, respectively.
Garage Yield: Discrepancies in Performance
In some capitals, garages have experienced a yield lower than the State Bond (4%). Salamanca, Ourense, Palencia, Granada, Vitoria, Santander, Jaén, and San Sebastián are examples of cities where garage yields are below 4%. In contrast, Murcia, Castellón, Toledo, Oviedo, and Ávila lead with rates of 11%, 8.3%, 7.6%, 7.6%, and 7.5%, respectively.
Commercial Premises Yield: High Performance in Various Cities
Commercial premises prove to be the most profitable product in most capitals. Ávila leads with 12.5%, closely followed by Murcia (11.4%), Girona (10.7%), Zaragoza, Santa Cruz de Tenerife, and Cáceres (10.7%). Barcelona and Madrid present yields of 8.4% and 8.2%, respectively. At the lower end of the table are Teruel (7%), Jaén (7.5%), A Coruña (7.6%), Salamanca, and Palma (7.7%).
Office Yield: Zaragoza Leading
Offices in Zaragoza lead the yield among capitals, with 11.7%. They are followed by Almería (11%), Vitoria (9.2%), and Murcia (9%). Barcelona and Madrid have rates of 7.8% and 7.4%, respectively. On the other hand, Bilbao (6%), San Sebastián (6.3%), Santa Cruz de Tenerife (6.5%), Palma (6.6%), Málaga (6.6%), and Ourense (6.6%) show more moderate returns.
In conclusion, the diversification of real estate investments remains an effective strategy, with offices standing out as the most profitable option. Murcia and Lleida lead in yield, while garage yield varies significantly between cities. This data provides a comprehensive view of the market, crucial for making informed decisions in the real estate sector. As Real Estate Lloret de Mar in the province of Girona (10.7%), we are clear that our work serves our clients to protect their assets, create homes where they can live and dream with total tranquility.
The diversification of investments, highlighting the outstanding yield of 12.7% in offices, underscores the versatility of the real estate market. The variation in return rates between different property types allows investors to adapt their strategies to the specific trends of each segment.
Regionalization of yield reveals leaders such as Murcia and Lleida, indicating specific geographical opportunities to maximize returns. However, the variability in garage and commercial premises yield rates in different cities emphasizes the importance of a localized approach and a detailed understanding of the market.
The information collected in this analysis provides a complete view of the current state of the Spanish real estate market, offering valuable insights for informed decision-making to industry stakeholders. In a dynamic economic environment, stability and diversification emerge as essential pillars to capitalize on opportunities and address challenges in the ever-changing real estate landscape, self-defined as Stability and Performance.
Reference Article: Idealista.com
