Forecast: double-digit growth through the end of 2025
According to a study by the Association of Real Estate Agencies and Realtors of Madrid (COAPIMADRID – AIM), the upward trend in prices for resale housing and rentals in Spain is far from over. By the end of 2025, residential property prices nationwide will grow at an average double-digit pace, with the rental market expected to see even stronger gains.
Rental market: up to 15% and key drivers
In particular, real estate professionals forecast rent increases of up to 15%. More than 93% link this growth to supply constraints due to legal uncertainty and government intervention amid rising demand.
Resale market: 10% price growth and demand
For previously owned homes, an average price increase of 10% is forecast. In this case, 90% of specialists state that demand for home purchases continues to grow, while the supply of homes on the market remains more restrained.
Transactions and financing
They also expect a 10% increase in transactions in the resale market. According to realtors, this is supported by favorable financing conditions with stable interest rates at around 2%.
Supply shortage and low construction pace
The Spanish real estate market continues to suffer from one of its main shortcomings—namely, the shortage of both new housing and housing available for rent. The most striking example is the continuous rise in rental prices and the slow pace of new housing construction, which is an important factor for supply to meet existing demand.
Idealista data: rental dynamics
According to the Idealista portal, the average rent in September was €14.5/m² per month, up 10.9% year-on-year. The market average fell by 1.3% in the last quarter, although record rents were recorded in several provincial capitals.
Rent increases occurred in all autonomous communities as well as in all provincial capitals, where prices are higher than a year ago. Among them, the following stand out:
- Madrid – 11.2%;
- Seville – 9.8%;
- Alicante – 7.5%;
- Barcelona – 6.9%;
- Palma – 6.2%.
These cities have recorded the highest prices ever observed.
Resale market: records in Q3 2025
In the case of resale transactions, annual growth in the third quarter of 2025 reached 15.3%, resulting in an average price of €2,517/m², a historical high. Prices rose in all provincial capitals except Girona (−3.5%), and nine of them—including Alicante, Bilbao, Málaga, Palma, and Valencia—set new records.
Notaries’ statistics: prices and sales
Notaries’ data also show a record average price for homes sold, although in their case these figures include both previously owned properties and new builds. According to notarial statistics, from January to July Spain as a whole saw a 6.2% year-on-year increase in home sales, and in the seventh month of the year the average price reached €1,910/m².
