Overview

• In Madrid, the average room now costs €550 a month after a 10.2% annual rise, compared with a national average of about €420, according to Live4Life.
• Real-estate intermediaries are still demanding multiple months upfront and extra fees that are banned for habitual rentals under the 2023 Housing Law, pushing initial outlays near €2,000 for some renters.
• Banco de España estimates a shortfall of roughly 600,000 households, while the government plans more than 40,000 affordable rental homes and tighter rules on tourist and empty flats.
• Price pressures vary widely by district, with Moncloa up 5.6% year over year and previously cheaper Villa de Vallecas jumping 18.9%.
• Students describe all-day searches and even decoy ads to recruit flatmates, and early-career teachers report continuing to share flats on modest pay.