Retiro · Madrid
Rental yield in Estrella
Estrella is an expensive area for Madrid, with a low rental yield and a Total Return below the city average. Here is what a typical flat in Estrella costs to buy and rent, and the Total Return (IRR) it delivers, compared with Retiro and the rest of Madrid.
Sale price
6,593
€/m² · second-hand homes
Rent
20.7
€/m² per month · market rate
Gross yield
3.8%
annual rent ÷ price
Total Return
9.5%
10-year IRR · typical flat
Appreciation
+6.5%
a year, 10-15 year history
Cash flow
-€807
per month, year 1, after tax
What the data says
Estrella is a neighbourhood in the Retiro district of Madrid. The reference sale price is €6,593/m², based on the 2025 registry statistics (Madrid City Council): 37% above the Madrid median (€4,808/m²) and 7% below its district median (€7,116/m²). It ranks 31 of 130 neighbourhoods in Madrid by price and 4 of 6 within Retiro.
The achievable market rent is around €20.7/m² per month (the neighbourhood's own figure; idealista asking rents adjusted to achievable rent): about €1,904 a month for a typical 92 m² flat, with no legal cap. The gross yield (annual rent ÷ price) comes to 3.8%, 0.9 points below the city median (4.7%): rank 101 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 9.5%, below the Madrid median (9.8%). It takes about €221,070 of cash (deposit, taxes and costs), and first-year cash flow after tax is -€807 a month.
Asking prices in the Retiro district have grown by an average of 6.5% a year over the last 10 and 15 years (idealista, December 2025), capped at the 6.5% we apply in the IRR. Historical, not a forecast: it is the appreciation the modelled sale assumes.
A typical flat in Estrella
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
- 92 m²
- Purchase price
- €606,556
- Monthly rent
- €1,904
- Cash needed · deposit + transfer tax + costs
- €221,070
- Monthly cash flow (year 1)
- -€807
- Total Return (IRR)
- 9.5%
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 Retiro, ranked by gross yield
| Area | €/m² | Rent €/m² | Gross | IRR |
|---|---|---|---|---|
| Adelfas | 5,741 | 19.8 | 4.1% | 10.1% |
| Pacífico | 6,287 | 21.1 | 4.0% | 9.9% |
| Estrella | 6,593 | 20.7 | 3.8% | 9.5% |
| Niño Jesús | 7,639 | 22.4 | 3.5% | 9.2% |
| Ibiza | 9,264 | 25.7 | 3.3% | 8.9% |
| Los Jerónimos | 9,950 | 24.8 | 3.0% | 8.3% |
Frequently asked questions
How much does a square metre cost in Estrella?
€6,593/m² on average, based on the 2025 registry statistics (Madrid City Council). A typical 92 m² flat costs about €606,556, 37% above the Madrid median.
How much is rent in Estrella?
Around €20.7/m² per month at market rates: €1,904 a month for a 92 m² flat, with no legal cap.
Is Estrella a good buy-to-let investment?
The gross yield is 3.8% (Madrid median: 4.7%). With a 70% mortgage and a sale after 10 years, the estimated Total Return (IRR) is 9.5% against a city median of 9.8%. It depends on your financing and tax residency: with your own profile the number can change.
Is Estrella 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 Estrella?
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 · neighbourhood 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