If you’re thinking of buying a property in Spain this year or next, what can you expect to pay?
The cost of buying a property in Spain has skyrocketed in recent years and in the last year alone prices have risen by 14.8%. According to experts the surge in housing prices in the Spanish market is driven by tight supply and rising demand.
If you’re wanting to buy your dream property in Spain is it best to wait to see if prices, come down or should you act now to ensure they don’t rise even higher?
According to property portal Idealista, the average cost per metre squared has now reached a historic maximum of €2,489 m/2. If we take the average property size of 100m2, this means a home in Spain now costs an average of €249,800.
The most expensive place to buy a property in 2025 in Spain is the Balearic Islands with an average of €5,068 /m2. This means here a 100m2 home would cost you just over €500,000. This exceeds the price in most other regions by a considerable amount.
The second most expensive region is Madrid with an average of €4,384 /m2. Behind the capital is the Basque country with an average of €3,287 /m2 and then the Canary Islands with €3,080 /m2. So expect to pay more than €300,000 in any of these three regions.
At the other end of the scale, the most affordable region to buy a property in Spain is Castilla-La Mancha where homes cost an average of 986/m2, followed closely by Extremadura at €989m /m2. This means that an average 100m2 home in either of these regions would cost just under €100,000.
Since August 2024, property prices have risen the most in Madrid with an increase of 23.3%. Surprisingly, this is followed by ‘cheaper’ regions Murcia and Cantabria, where prices have increased by 17.6%.
They have also risen by 17.4% in Valencia, one of the most popular regions for foreigners to buy homes in Spain.
Prices have reached historic maximums this year in a total of 6 regions including Madrid, the Basque Country, Valencia, the Canaries, the Balearics and Andalusia, which means that there are still 11 regions where prices have ultimately fallen in the past, even though they all increased in price during the last year.
This suggests that prices are continuing to rise into next year, so waiting could be a risk.
If you are looking to but a property on Spain, Portugal or Greece and need a mortgage, email mark@vci-network.com for the latest criteria