Young people in Santa Cruz de La Palma give up on the capital and look for flats in nearby towns

The capital, ever more expensive for those starting out

Finding a one-bedroom flat in Santa Cruz de La Palma for under 500 euros a month has become all but impossible, according to the property portals that track the island capital's market. An ageing housing stock, a very thin rental supply and steady demand from civil servants, health workers and teachers posted to the island have gradually squeezed out young islanders looking for their first home.

The exodus to Breña Alta and Breña Baja

Property sector sources report a clear shift of young buyers and renters towards the neighbouring municipalities of Breña Alta and Breña Baja, where average housing prices remain between 15% and 20% below those of the capital. Proximity to Santa Cruz de La Palma, barely ten minutes away by car, and slightly more land available for new building explain the move, which is nonetheless beginning to push up prices in those two municipalities as well.

Mortgages out of reach on island wages

Average salaries on the island, lower than the regional average according to Istac figures, run up against banks demanding ever larger deposits before granting a mortgage to younger buyers. Several agencies say most of their clients under 35 manage to buy a home only with direct family help, whether as a guarantee or as a deposit.

Regional support falls short, the sector says

The Canary Islands government's youth housing programmes do operate on La Palma, but industry sources consider the number of homes covered by them in the capital still very small against real demand. Meanwhile, Santa Cruz de La Palma town council is exploring ways to bring empty homes in the historic centre into the youth rental market, though no concrete measure has yet been approved.