Recoletos: record-high housing prices
According to the notarial statistics portal Penotariado, from September 2024 to August 2025, 764 residential property purchase-and-sale transactions were completed in Madrid’s Recoletos district, bounded by the streets:
- Alcalá
- José Ortega y Gasset
- Conde de Peñalver
- Paseo de Recoletos
The price per square metre here is the highest in all of Spain: €11,142, which is more than double the average for the capital (€4,799), while the average home size is 134 sq m.
69.11% of buyers were residents of Spain, and the remaining 30.89% were foreigners. Among the latter, citizens of two countries far outperform all others in the number of luxury apartments purchased: Mexicans (21%) and Americans (16.78%). Many of them spend long periods here and then leave for a few months to the Bahamas, Miami, or wherever they have another home.
Apartments with views of Retiro Park are the most expensive, because there are few such homes in this area. Even the most modest apartments cost at least €3.5 million, and the largest transaction of 2025 amounted to €20 million.
Barcelona: Eixample and a high share of foreign buyers
This phenomenon is also seen in Spain’s second most expensive area for apartments – Barcelona’s Eixample, around the Jardins del Palau Robert, where a square metre costs €7,348. Over the same period, 111 transactions were completed here, with an average amount of €1,035,716. Foreigners buy six out of ten properties here, and 25% of them fall to Mexicans, Israelis, and Americans.
You can also compare price dynamics in the country’s largest cities in the overview “Spain’s most expensive housing is concentrated in three cities”.
Why investors choose Spain
Real estate experts note that Latin American investors seek physical and personal safety when buying property in Spain, since being able to walk around without security and wearing an expensive watch is unthinkable for them in the vast majority of their cities. Legal security and the tax burden compared to other capitals are also important factors.
Madrid is very popular among Americans who are critical of Trump. They come to Spain to spend their “golden retirement” here. Their attention will be drawn to events such as NFL games or Formula 1 races that the Spanish capital is set to host, unless there is a shift toward hostility toward foreign investors.
In addition, there are buyers whose children are going to study in Madrid, and it makes sense for them to invest in housing for them and use it from time to time. Other investors typically do not live permanently in the purchased property and do not have tax residency. They use this apartment (usually with 3–4 bedrooms) as a second home and a base every time they come to Europe.
As for Barcelona, the largest number of transactions are carried out by Israeli citizens, who for many years have had a noticeable presence in the municipality of Sant Cugat del Vallès and neighbouring Valldoreix, where they settled due to proximity to a Jewish school and the family-oriented nature of these areas. Many Israeli entrepreneurs have been actively involved in real estate promotion projects, contributing to the dynamism of the local market. However, the inflow of new investors has slowed due to a number of factors, including urban planning regulation – such as the requirement for 30% social housing in new developments.
Current listings of luxury real estate in Spain, as well as a selection of new developments in Madrid, are available in the Alegria Premium catalog. Information on legal support and additional opportunities (including immigration matters) can be found on the “About the company” page and in the “Contacts” section.
