Valencia faces worsening housing affordability crisis

A new report from the Housing Observatory at the Polytechnic University of Valencia shows that the price of new multi‑family housing in Valencia has risen to an average of €4,500 per square metre, far outpacing wages and making home ownership unattainable for many residents. Director Fernando Cos‑Gayón warns that the city is running out of affordable housing and proposes building smaller 40‑55 m² units with lower construction costs and reduced bureaucracy.

The report also highlights a surge in rental prices, with average rents around €1,780 per month—almost double the 2019 level—and a growing share of tenants forced to share flats, rent rooms, or opt for short‑term rentals. A survey by the National Federation of Real Estate Associations indicates that 36.5% of Valencian renters now consider shared housing a necessity.