That housing is too expensive is a widespread feeling among Spaniards, especially in large cities. But there is something worse and that is paying for a product that may not be worth what it costs. 81% of the homes sold in Spain are second-hand. Many of them were built in the last century, at a time when the minimum requirements for energy efficiency or health were not applied. They are apartments without an air chamber in the façade or any type of insulation, so they are energy drains, they do not generate a feeling of comfort and the walls are frozen in winter and scorching in summer. Through those thin and flimsy walls one can hear every conversation of the neighbor. They are buildings of poor quality, in which humidity comes out and some even have asbestos – a carcinogenic material – in roofs, downspouts, gutters and party walls. “Materials such as asbestos were widely used for many years,” says Marta Vall-llossera Ferran, president of the Superior Council of the Colleges of Architects of Spain (CSCAE). It was not until 2002 when its use was prohibited. These are not houses with little maintenance and an ugly and neglected appearance, which need a coat of paint, changing the old kitchen or replacing outdated tiles. It is not what is seen, but what is not seen. “We are paying very expensively for poor quality products due to the shortage of homes on the market, a good part of them built in the bum, where poor construction was allowed, or in previous years, in which energy efficiency and health regulations were very lax,” says Pere Linares, CEO of House Habitat and expert in biopassive construction. And he insists: “What is really expensive, not only in economic terms, but also in terms of well-being and the environment, is living in houses that waste energy and do not provide an adequate level of comfort.” Why do we pay for such expensive low-quality apartments? ? What is taken into account when setting the price of a house? Location is king, followed by surface area. “There is a factor that does not depend on the quality of the construction and is the largest element of the cost of any home: the location, and, therefore, the value of the land where it is built,” comments José García Montalvo, professor of Economics at Pompeu Fabra University. César Escobar, Tinsa appraiser, agrees that the location is what tips the balance. “In certain neighborhoods the price per square meter does not go below 6,000 euros, regardless of the construction,” he exemplifies. This is because it is what the market is willing to pay. “In economics, if someone pays a certain price for a good it is because for that person the value (objective or subjective) is higher than the price. Otherwise I wouldn't buy it,» adds García Montalvo, who remembers the phrase of the writer Francisco de Quevedo: «Only a fool confuses value with price.» Paloma Arnaiz, general secretary of the Spanish Association of Value Analysis (AEV), explains that when making an appraisal, “all those characteristics and variables of the home that the local market itself takes into account are taken into account, that is, those that the demand in that area seeks and for which it pays.” He gives an example: “Having air conditioning in Alicante is a parameter that greatly influences the value, while having it in Galicia probably barely has an impact.” Thus, the buyer does not give the same importance to the location — for which he is willing to pay more—than to issues such as air quality, insulation, energy savings, orientation—it has a direct relationship with environmental and light comfort—or whether there are high levels of CO₂, volatile organic bodies or formaldehydes. “The first thing you decide and set as a condition for looking for a home is where you want to live, and then you begin to discriminate the characteristics of the houses that are offered in those areas. Normally, you do not accept to live anywhere just because you can get a higher quality house there,” explains Arnaiz. This does not mean that when setting the price of a home, construction quality is completely ignored. “It is taken into account, but it is not a determining factor,” says Escobar. “The better the materials and devices installed and the more correct their execution, the higher the value of the property,” explains Arnaiz. Although, he returns to the idea of location as a key factor: “This characteristic will be valued to the extent that the market itself values it because, sometimes, demand may prefer an older home located in a well-established neighborhood than a new one in a less attractive area.”All those homes with questionable quality that are sold at precious metal prices—although the price is lower than that of a better quality house, the public feeling is that they are still too expensive—respond to a stage in which There were no regulations or they were unambitious. The president of the CSCAE explains that the air chamber requirement was introduced widely in 1969. Therefore, all homes prior to that date lack the minimum conditions of health and insulation compared to today's premises. The first minimum regulations on energy efficiency did not arrive until 1979 with the basic building standard NBE-CT. All buildings and thermal installations in our country have been built with this document for decades, until the publication of the Technical Building Code in 2006.
Antique buildings
“50.8% of the more than 16 million Spanish main homes were built before 1980, when the Technical Building Code had not come into force, which requires compliance with minimum energy efficiency and thermal insulation in the facades, and that has been modified over the years,” indicates Álvaro Vega, regional director of PlanRadar in Spain. Spain has one of the oldest housing stock in Europe. “It is one of the pending issues, we have little maintenance culture, unlike Austria, Germany and France,” comments Marta Vall-llossera Ferran. And she adds: “The rehabilitation rate of the Spanish park is 0.08% per year when it should be 3.4% per year.” Now, something has to change, and quickly. European regulations require homeowners to improve the energy rating of their properties before 2033, with the aim of reducing their carbon footprint. “This fact will require communities of owners to renew their buildings, since, as is the case in other countries such as France, in the future a good energy rating will be an essential requirement to be able to rent or sell a home at a higher price,” indicates Eduard Mendiluce, CEO of EFFIC, Blackstone's ESG company for rehabilitation. Mendiluce insists on the opportunity presented by the next calls for the Next Generation Funds, which subsidize up to 80% of the work. Follow all the information from Economy and Business on Facebook and xor in our weekly newsletter
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