A new study by property portal Idealista reveals that Barcelona has seen the sharpest fall in rents with prices per square metre slumping 13 percent between May and November.
The Catalan capital, which in normal years receives the largest share of visitors to Spain, has seen a glut of short term holiday lets put on the open market as coronavirus restrictions drained the city of tourists.
Likewise, the capital Madrid and tourist hotspot, Palma de Mallorca, saw average rents fall around by 8 percent.
Sevilla and Valencia, both with large student populations meanwhile saw rents drop 6 percent to 7cent as classes shifted online.
Investors and those with second residences who placed properties on tourist accommodation portals such as Airbnb have instead sought longer term tenants, meaning the supply has boomed since the first lockdown was lifted.
Many residents have also sought to move out of city to cheaper, more spacious accommodation after experiencing almost three months of being shut in at home in the strictest lockdown conditions in Europe.
Madrid still ranks as Spain’s most expensive city for renters where it costs an average of €15.40 per square metre, just surpassing Barcelona at €15.30.
- What's the latest on property trends and prices in Spain?
- Property in Spain: What are the best areas of Barcelona to buy in right now?
- This Barcelona barrio has been named the 'world's coolest' in 2020