The average square meter price of new residential real estate in Spain was the highest in Catalonia and the Community of Madrid in 2024. In the second quarter of the year, both regions boasted home prices of over 4,000 euros per square meter. That was substantially higher than the average for the country, which amounted to 2,930 euros per square meter. Overall, house prices in Spain have been on the rise since 2016.

House prices in Spain have risen year-on-year since 2013. The house price index measures the development of house prices, with 2015 chosen as a base year when the index value was set to 100. In 2023, the index stood at 147.28 index points, meaning that since 2015, prices have risen by almost 42 percent. Overall, newly built homes saw appreciated faster than existing homes. Catalonia, the Balearic Islands and Madrid were the Spanish regions where prices of both new and existing housing have risen the most in recent years.

Housing Index in Spain increased to 2033 EUR/SQ. METRE in the first quarter of 2025 from 1972.10 EUR/SQ. METRE in the fourth quarter of 2024. This dataset provides the latest reported value for - Spain House Prices - plus previous releases, historical high and low, short-term forecast and long-term prediction, economic calendar, survey consensus and news.

After a long period of steady increase in real estate prices in Spain, the market was hit by the global financial crisis of 2007, resulting in the burst of the Spanish property bubble. House prices have since picked up and in 2023, the average square meter price reached 2,809 euros - just slightly below 2008 levels. Though prices have risen across the whole country, some regions, such as the Balearic Islands, Catalonia, Madrid, and Andalusia, experienced faster growth than others. Additionally, the gap between newly built and existing home prices has widened. Spain’s real estate market behind others The property market has made great progress, but it is still far off the rest of its European counterparts, and it is positioned, in fact, at the bottom of the European list of the EMF’s house price index, which is led by Czechia and Portugal. Supply is a major factor influencing the price development. Many European countries suffer housing shortages due to sluggish construction activity, and Spain is no exception. In 2022, ranked among the countries with the lowest number of residential construction starts per 1,000 citizens in Europe. Buying vs renting As happens with many other countries, the affordability of buying a home and renting will differ considerably dependent on the area. In 2022, the average Spanish citizen needed between five and 18 years to purchase an average priced property in their region with their full salary, with Murcia and La Rioja being the most affordable regions. The house price to rent index shows that house price growth has been much faster than rental growth. That is good news for homeowners whose homes appreciate over time, but an issue for renters who are yet to purchase a property.

House prices in Spain have risen year-on-year since 2014. The house price index measures the development of house prices, with 2015 chosen as a base year when the index value was 100. Between 2021 and 2023, the house price index in Spain rose by eight percent for new housing and 3.2 percent for existing housing. Overall, newly built housing has appreciated more than existing homes.

Cádiz had the highest average house price among the different coastal cities in Andalusia, reaching close to 2,800 euros per square meter in December 2023. In contrast, Hueva had the most affordable prices, at 1,300 euros per square meter.

The house price index (HPI) in Spain has increased steadily since 2013, reaching a 10-year record value in 2023. In that year, the HPI reached a value of 167.33 index points for newly built and 144.19 index points for existing homes, meaning that house prices for new construction have risen faster than for existing homes. An index value of 160 suggests that house prices have risen by 60 percent since 2015 - the base year of the index. Catalonia, the Balearic Islands and Madrid were the Spanish regions where prices of both new and existing housing have risen the most in recent years.

The Spain Residential Real Estate Market is Segmented by Property Type (Apartments & Condominiums and Villas & Landed Houses), Price Band (Affordable, Mid-Market and Luxury), Business Model (Sales and Rental), Mode of Sale (Primary and Secondary) and Key Cities (Madrid, Barcelona, Catalonia, Valencia Community, Andalusia – Malaga & Costa Del Sol and Rest of Spain). The Market Forecasts are Provided in Terms of Value (USD).

Zamora, Castile and Leon, were the cities with the most affordable residential rent in Spain in May 2023, with an average price that stood at six euros per square meter. Caceres closely followed with an average cost of a square meter of the rental home of 6.2 euros.

House prices in Spain have grown year-on-year since 2016 and 2023, increasing by almost 500 euros per square meter. In October 2023, the average house price per square meter reached 2,016 euros - almost as high as in 2007 before the global financial crisis hit and the market plummeted.

Navarra, Ceuta, and the Canary Islands were the Spanish regions where house prices grew the most between in 2023. The house price index measures the development of house prices, with 2015 chosen as a base year when the index value was set to 100. In 2023, the house price index for the Canary Islands rose by 5.3 index points for all homes, compared to 3.5 index points in the Basque Country. Catalonia, the Balearic Islands and Madrid were the Spanish regions where prices of both new and existing housing have risen the most since 2015.

Companies operating in the third-party real estate industry have had to navigate numerous economic headwinds in recent years, ranging from rising interest rates, spiralling inflation and muted economic growth. Typically, estate agents can earn income via fees and commissions charged to clients, which allows them to protect their operating profit margin from property price fluctuations. Revenue is projected to sink at a compound annual rate of 0.6% over the five years through 2025, including an estimated rise of 1.2% in 2025 to €207.6billion, while the average industry profit margin is forecast to reach 35.1%. Amid spiralling inflation, central banks across Europe ratcheted up interest rates, resulting in borrowing costs skyrocketing in the two years through 2023. In residential markets, elevated mortgage rates combined with tightening credit conditions eventually ate into demand, inciting a drop in house prices. Rental markets performed well when house prices were elevated, being the cheaper alternative for cash-strapped buyers. However, even lessors felt the pinch of rising mortgage rates, forcing them to hoist rent to cover costs and pricing out potential buyers. This led to a slowdown in rental markets in 2023, weighing on revenue growth. However, this have started to turn around in 2025 as interest rates have been falling across Europe in the two years through 2025, reducing borrowing costs for buyers and boosting property transactions. This has helped revenue to rebound slightly in 2025 as estate agents earn commission from property transactions. Revenue is forecast to swell at a compound annual rate of 3.7% over the five years through 2030 to €249.5 billion. Housing prices are recovering in 2025 as fixed-rate mortgages begin to drop and economic uncertainty subsides, aiding revenue growth in the short term. Over the coming years, Proptech, which has been heavily invested in, will force estate agents to adapt, shaking up the traditional real estate industry. A notable application of Proptech is the use of AI and data analytics to predict a home’s future value and speed up the process of retrofitting properties to become more sustainable.

House prices in Spain are forecast to fall in 2024, after increasing by 1.2 percent in 2023. Nevertheless, prices are expected to pick up in 2025, with an increase of one percent. The Portuguese housing market, on the other hand, grew by 5.5 percent in 2023, but was forecast to contract in the next two years.

Graph and download economic data for Consumer Price Index: OECD Groups: Services Less Housing: Housing Excluding Imputed Rentals for Housing for Spain (ESPCPGRLH02GPM) from Feb 1976 to Nov 2023 about imputed, Spain, rent, services, CPI, price index, indexes, and price.

The Spain office real estate market, exhibiting a Compound Annual Growth Rate (CAGR) exceeding 4.00% from 2019 to 2024, presents a robust investment landscape. Key cities like Madrid, Barcelona, Valencia, and Seville are driving market growth, fueled by a burgeoning tech sector, increasing foreign direct investment, and a robust tourism industry. The market is segmented by key cities, allowing for targeted investment strategies. Major players like Cushman & Wakefield, Savills Spain, and CBRE Spain are shaping market dynamics through their development projects and leasing activities. Factors such as evolving workplace strategies (demand for flexible workspaces), increasing sustainability concerns (demand for LEED-certified buildings), and economic fluctuations in the broader European market present both opportunities and challenges for investors. The forecast period (2025-2033) suggests continued growth, though potential economic downturns and shifts in global investment patterns warrant careful consideration. The market size in 2025 is estimated (based on extrapolation from historical data and industry benchmarks) at €15 Billion, a conservative projection that takes into account the fluctuations that are inherent in real estate markets. This prediction will require regular review and adjustment to account for evolving macroeconomic factors. Continued growth in the Spain office real estate market is anticipated through 2033, driven by ongoing urbanization, a growing population, and a strengthening economy. However, potential headwinds include regulatory changes influencing construction and development, and competition from other European markets. The market’s resilience will depend on adapting to shifting tenant demands for flexible workspaces, sustainable buildings, and technologically advanced infrastructure. Successful players will need to demonstrate strategic agility, technological prowess, and a deep understanding of local market conditions. The concentration of activity in key cities presents both opportunity for significant returns but also the risk of oversaturation in specific micro-markets. Careful due diligence is therefore crucial for investors looking to participate in this vibrant sector. Recent developments include: Feb 2023: Hospitality technology provider and apartment operator, limehome, has signed 82 flats in the Balgequartier district of Bremen. The Balgequartier, a new inner-city district along Langenstraße, is currently being developed by Joh. Jacobs and Co. Four buildings of the mixed-use development will house shops and office space., March 2022: Meta announced new, 2,000 Staff Meta Lab to be Developed in Madrid. The new office space will provide flexible base for Meta's remote workers in Spain with space for local tech entrepreneurs and small businesses start-ups.. Key drivers for this market are: Increasing geriatric population, Growing cases of chronic disease among senior citizens. Potential restraints include: High cost of elderly care services, Lack of skilled staff. Notable trends are: Office Take-up Remains Strong in Spain.

The Spain condominiums and apartments market, valued at approximately €XX million in 2025, is projected to experience robust growth with a Compound Annual Growth Rate (CAGR) exceeding 5.40% from 2025 to 2033. This expansion is fueled by several key drivers. Firstly, Spain's burgeoning tourism sector consistently demands increased accommodation options, driving investment in both new construction and renovations. Secondly, a growing urban population, particularly in major cities like Madrid and Barcelona, creates sustained demand for modern, comfortable housing. Thirdly, favorable government policies and incentives aimed at stimulating the real estate sector contribute to market dynamism. While challenges exist, such as fluctuating interest rates and potential construction material cost increases, the long-term outlook remains positive due to the strong underlying fundamentals of population growth and tourism. The market segmentation reveals significant regional variations. Barcelona and Madrid, as the largest cities, naturally dominate the market share, with Valencia, Malaga, and Catalonia also contributing substantially. Leading construction companies like Dragados Sociedad Anonima, Ferrovial Construccion SA, and Constructora San Jose SA play crucial roles in shaping the market landscape. Future growth will likely be influenced by evolving consumer preferences, including an increasing demand for sustainable and energy-efficient buildings, smart home technologies, and flexible living spaces. The market's continued success hinges on addressing challenges such as maintaining affordability in the face of rising construction costs and ensuring sustainable development practices. Recent developments include: Oct 2022: A build-to-rent (BTR) cooperation between Layetana Living and Aviva Investors was established in Spain. According to the statement, the collaboration between Aviva and the Spanish developer Layetana will construct a more than EUR 500 million (USD 531.20 million) residential portfolio, already securing its first development project. Based on the recommendation of international real estate consultancy Knight Frank, the partnership purchased a 71-unit residential building in Barcelona's Sants neighborhood. Construction is scheduled to begin at the end of 2023., Sept 2022: Berkshire Hathaway HomeServices, a global residential real estate brokerage franchise network, expanded its services in the Valencian Community. It is now running with Maryana Kim directing a new office in Denia, in the northern section of the Costa Blanca. It was the fourth facility that Berkshire Hathaway HomeServices Spain opened in 2022.. Notable trends are: Rise in International Buyers in Spain.

Spain SSPI: Annual: Real Estate Activities data was reported at 112.001 2021=100 in 2024. This records an increase from the previous number of 108.855 2021=100 for 2023. Spain SSPI: Annual: Real Estate Activities data is updated yearly, averaging 106.703 2021=100 from Dec 2021 (Median) to 2024, with 4 observations. The data reached an all-time high of 112.001 2021=100 in 2024 and a record low of 100.000 2021=100 in 2021. Spain SSPI: Annual: Real Estate Activities data remains active status in CEIC and is reported by National Statistics Institute. The data is categorized under Global Database’s Spain – Table ES.I037: Services Sector Price Index: 2021=100.

The average square meter price of residential real estate in the Balearic Islands was higher than in any other region in Spain in October 2023. At over 4,000 euros per square meter, house prices in the Balearic Islands were about twice higher than the national average. In Spain, the majority of households live in an owner-occupied home.

Spain - Severe housing deprivation rate: Tenant, rent at market price was 7.00% in December of 2023, according to the EUROSTAT. Trading Economics provides the current actual value, an historical data chart and related indicators for Spain - Severe housing deprivation rate: Tenant, rent at market price - last updated from the EUROSTAT on June of 2025. Historically, Spain - Severe housing deprivation rate: Tenant, rent at market price reached a record high of 8.90% in December of 2020 and a record low of 2.80% in December of 2017.

Information on each housing rental advertisement each of the Spanish province capitals as of April 23.