Spain continues to attract foreign home buyers, but a new report reveals the market is cooling compared to previous years—even as prices reach new highs. According to data released by the General Council of Notaries, foreigners purchased 71,155 homes in the first half of the year, marking a modest 2% increase over the same period last year.
This uptick extends the trend of steady, albeit slightly slowing, growth from 2024, when foreign purchases rose by 2.3% in the first half. However, this year’s transactions by overseas buyers accounted for only 19.3% of all home sales—a dip from 20.3% last year and 21.3% the year before.
Who’s Buying—and Where?
The data highlights some notable shifts in who is buying, and where. Foreigners living in Spain were behind 60.9% of transactions by overseas buyers, a figure that grew by 6.4% from last year. In contrast, non-residents—those purchasing second homes or investment properties—accounted for 39.1% of sales, but that group’s activity fell by 4.1%.
Popular regions for foreign buyers remain consistent, with the Valencian Community leading the way. Non-residents snapped up 11,025 homes there, making up nearly 40% of all non-resident transactions. Andalusia followed with 6,733 sales, while the Canary Islands (2,666), Catalonia (2,351), and Murcia (2,121) rounded out the top five.
Regionally, Asturias (+30.8%), Castilla y León (+25.9%), Galicia (+14.3%), and Castilla-La Mancha (+11.7%) saw the biggest jumps in foreign property purchases. On the flip side, the Canary Islands (-7.7%), the Balearic Islands (-6.8%), Navarre (-3.7%), and the Valencian Community (-3.6%) experienced declines.
Rising Prices—Especially for Non-Residents
Despite more moderate growth in sales, prices are rising faster than ever. Foreign buyers paid an average of €2,417 per square metre, up 7.6% from the year before. Non-residents paid a premium, shelling out an average of €3,126 per square metre, while resident foreigners paid €1,912, and Spanish nationals paid €1,809.
Price hikes were most dramatic in Madrid (+17.1%), La Rioja (+16.3%), the Canary Islands (+14.1%), Murcia (+12.2%), and Catalonia (+10.9%). Only Extremadura (-3.5%) and Cantabria (-2.8%) saw year-on-year price drops.
Meanwhile, the average price paid by non-resident foreigners rose by 8% in a year, and resident foreigners saw an even steeper rise of 10.3%. Spanish nationals also faced an increase, though slightly milder, at 9.1%.
Who’s Buying? UK Leads, Portugal Surges
British buyers remain the largest group, with 5,731 home purchases—8.1% of the total. They’re closely followed by Moroccan buyers (5,654) and Germans (4,756). Notably, buyers from non-EU countries accounted for 8,545 sales (12% of the total), showing continued global interest in Spain’s property market.
The report also points to impressive growth from several countries: Portuguese buyers increased their activity by 22.8%, Dutch by 18.6%, and US buyers surged by 14.3%. Other nations like Colombia (+6.6%), Venezuela (+6.3%), Bulgaria (+6.2%), and Ukraine (+4.5%) also saw more buyers entering the Spanish market.
However, sharp decreases were recorded in some other countries: Russian purchases fell by 17.4%, Polish by 11.1%, Argentinian by 7.6%, and Belgian by 5.6%.
Outlook: Foreign Demand Remains Strong Despite Changing Landscape
While the overall percentage of foreign buyers in Spain’s housing market is edging down, the sector remains robust and continues to attract a wide array of nationalities. As average prices rise—especially for non-residents—experts suggest the market is evolving toward more premium purchases and increased interest among residents over pure investors. Despite regional slowdowns, especially in traditional hotspots like the Balearics and the Canaries, renewed interest in inland regions and emerging buyer groups indicate Spain’s property market for foreigners remains dynamic and resilient.
