Villa de Vallecas · Madrid
Rental yield in Casco Histórico de Vallecas
Casco Histórico de Vallecas is an affordable area for Madrid, with a high rental yield and a Total Return above the city average. Here is what a typical flat in Casco Histórico de Vallecas costs to buy and rent, and the Total Return (IRR) it delivers, compared with Villa de Vallecas and the rest of Madrid.
Sale price
2,884
€/m² · second-hand homes
Rent
17.0
€/m² per month · market rate
Gross yield
7.1%
annual rent ÷ price
Total Return
11.3%
10-year IRR · typical flat
Appreciation
+4.2%
a year, 10-15 year history
Cash flow
€156
per month, year 1, after tax
What the data says
Casco Histórico de Vallecas is a neighbourhood in the Villa de Vallecas district of Madrid. The reference sale price is €2,884/m², based on the 2025 registry statistics (Madrid City Council): 40% below the Madrid median (€4,808/m²) and 0% above its district median (€2,896/m²). It ranks 121 of 130 neighbourhoods in Madrid by price and 3 of 3 within Villa de Vallecas.
The achievable market rent is around €17.0/m² per month (district figure adjusted to the neighbourhood's rent structure; idealista asking rents adjusted to achievable rent): about €1,190 a month for a typical 70 m² flat, with no legal cap. The gross yield (annual rent ÷ price) comes to 7.1%, 2.4 points above the city median (4.7%): rank 14 of 130 by gross yield.
With a 70% mortgage at 3.80% over 25 years and a sale after 10 years, the estimated Total Return (IRR) for that typical flat is 11.3%, above the Madrid median (9.8%). It takes about €74,780 of cash (deposit, taxes and costs), and first-year cash flow after tax is €156 a month.
Asking prices in the Villa de Vallecas district have grown by an average of 4.2% a year over the last 10 and 15 years (idealista, December 2025). Historical, not a forecast: it is the appreciation the modelled sale assumes.
A typical flat in Casco Histórico de Vallecas
The same standard assumptions as the CasaROI map: change the mortgage, term or tax profile in your account and the Total Return is recalculated for your case.
- Size
- 70 m²
- Purchase price
- €201,880
- Monthly rent
- €1,190
- Cash needed · deposit + transfer tax + costs
- €74,780
- Monthly cash flow (year 1)
- €156
- Total Return (IRR)
- 11.3%
Assumptions: 70% mortgage over 25 years at 3.80%, sale after 10 years, Spanish tax resident at a 37% marginal rate, no renovation.
Neighbourhoods in Villa de Vallecas, ranked by gross yield
| Area | €/m² | Rent €/m² | Gross | IRR |
|---|---|---|---|---|
| Casco Histórico de Vallecas | 2,884 | 17.0 | 7.1% | 11.3% |
| Santa Eugenia | 2,896 | 16.1 | 6.7% | 10.8% |
| Ensanche de Vallecas | 3,373 | 17.1 | 6.1% | 10.0% |
Frequently asked questions
How much does a square metre cost in Casco Histórico de Vallecas?
€2,884/m² on average, based on the 2025 registry statistics (Madrid City Council). A typical 70 m² flat costs about €201,880, 40% below the Madrid median.
How much is rent in Casco Histórico de Vallecas?
Around €17.0/m² per month at market rates: €1,190 a month for a 70 m² flat, with no legal cap.
Is Casco Histórico de Vallecas a good buy-to-let investment?
The gross yield is 7.1% (Madrid median: 4.7%). With a 70% mortgage and a sale after 10 years, the estimated Total Return (IRR) is 11.3% against a city median of 9.8%. It depends on your financing and tax residency: with your own profile the number can change.
Is Casco Histórico de Vallecas in a stressed rental zone?
No. Madrid is not a declared stressed rental zone: rents are set by the market, with no legal cap.
Buying in Casco Histórico de Vallecas?
Paste the listing and we tell you whether it holds up at that price: legal rent, taxes, red flags and a verdict.
Sources and method
- Sale: Estadística Registral · Ayuntamiento de Madrid (precio declarado, neighbourhood) · MITMA city anchor 4212 €/m² (2024)
- Rent: idealista · district rent adjusted to achievable rent (×0,95)
- Appreciation: average of the 10- and 15-year rates of the area's asking price — historical, not a forecast