Blanca Castro wears a builder’s helmet when entering her kitchen. A large hole in the ceiling drips water constantly. It looks like the ceiling might collapse at any moment.
The kitchen is no longer usable. Blanca now washes her dishes in the bathtub. She cooks using a camping stove set up in her living room.
Many of her neighbors face the same issues. They live in an apartment block near Madrid’s Atocha station. The building’s owner has stopped fixing basic problems. Since informing tenants that their leases will not be renewed, the company has become unreachable.
Blanca believes this is no coincidence. She says the owner wants long-term renters out. The plan, she claims, is to replace them with tourists or higher-paying tenants. Blanca and others have vowed to stay. They see the situation as part of a larger crisis across Spain.
In her area, a similar apartment would now cost double. Many families can’t afford to move. They are stuck between worsening living conditions and skyrocketing rent prices.
Across Spain, the housing crisis is growing fast. Over the last decade, average rent has doubled. At the same time, wages have only increased by about 20%. Just last year, rent went up by another 11%. These rising costs have made housing the number one concern for most Spaniards.
Many people are taking their anger to the streets. Protests are planned across major cities. On April 5, thousands are expected to demonstrate. They want the government to take stronger action.
The supply of rental homes is shrinking. Yet demand continues to grow. Juan Villén from property website Idealista says this imbalance is fueling the crisis. In Barcelona, rental competition has exploded. Five years ago, nine people applied for each rental. Now, 54 applicants fight for the same home.
In that time, rents in Barcelona have increased by 60%. Villén says the country needs to build more homes. He also calls for incentives to get more owners to rent out properties.
The government agrees. It estimates that Spain needs 600,000 to one million new homes in the next four years. But construction is not keeping up. In 2024, fewer than 100,000 new homes were completed. High building costs, land shortages, and lack of skilled workers are slowing progress.
Authorities are trying new solutions. They have set aside land for affordable housing and are promising to keep public housing from ending up in private hands. Prime Minister Pedro Sánchez has also spoken out. He says Spain needs housing rules based on fairness, not greed. He has blamed foreign investors and speculators for driving up prices.
Short-term tourist rentals are also under fire. They reduce housing availability in city centers. In response, cities like Barcelona are acting. By 2028, the city will cancel all short-term rental licenses. Other regions are also limiting permits for tourist flats.
To control prices, the national government passed a housing law. It allows rent caps in areas with the highest demand. Early signs in Catalonia show a small drop in prices—3.7% in the region and 6.4% in Barcelona. Still, many landlords have left the market, reducing the number of available homes.
Some critics argue these laws are backfiring. They say the rules punish landlords and discourage investment. Even developers who built properties for rent are now selling them instead.
Another idea under discussion is a new tax. It would target non-EU buyers who purchase homes but leave them empty. The government says this would free up unused housing. But opponents say the plan is too aggressive.
Tenant groups believe the government is still not doing enough. Gonzalo Álvarez from the tenants’ union says the real problem is ownership. He says too many homes are controlled by banks and big investors. These homes are often empty or used as tourist rentals.
Álvarez wants drastic rent cuts and stronger protections for tenants. His group is even considering a nationwide rent strike. Tenants would stop paying rent to pressure the government into action.
He believes the time for waiting is over. If leaders don’t act, he says, the people will.
Spain’s housing crisis is reaching a breaking point. For millions of citizens, safe and affordable housing is slipping out of reach. Public anger is growing. The government now faces a clear choice: protect tenants or let the crisis deepen.
