This extended overview from Global Property Guide covers key aspects of the Spanish housing market and takes a closer look at its most recent developments and long-term trends.

Table of Contents

• Property Prices and Price Index
• Historic Perspective
• Property Demand Trends
• Property Supply Trends
• Rental Market: Rents and Rental Yields
• Mortgage Market and Interest Rates
• Economic and Social Factors

Property Prices and Price Index

Spain’s house-price upswing strengthened further at the end of 2025, with the widening imbalance between demand and available stock continuing to push values higher. According to the National Statistics Institute (INE), the transaction-based House Price Index rose by 12.89% year-on-year in Q4 2025, with second-hand housing prices increasing by 13.15% and new-housing prices by 11.22%.

In the appraisal-based series, the appraised value of free-market housing reported by the Ministry of Housing and Urban Agenda (MIVAU) reached EUR 2,230 per square meter (USD 2,594), up 13.08% year-on-year and marking the highest level in the history of the series.

Although price acceleration was broad-based, the territorial pattern remained highly uneven. CaixaBank Research distinguishes two broad groups of provinces. On the one hand, the most tourism-exposed markets and the main economic hubs, including the Balearic Islands, Malaga, Santa Cruz de Tenerife, Valencia, Alicante, and Madrid, recorded double-digit price growth in both 2024 and 2025. On the other hand, a second group of inland provinces, including Ciudad Real, Palencia, Ourense, Jaén, and Zamora, recorded much more moderate price growth.

The appraised value of free-market housing in selected provinces: