Spain House Prices to Rise by Up to 3% by End of 2024

Stay informed on the latest trends in Spain real estate market as house prices are projected to increase by up to 3% by the close of 2024.

The Spain real estate market is expected to see continued growth in 2024, with a recovery in transaction volume and a slight increase in property prices during the first quarter of the year. According to the 1st Solvia Market View 2024, housing prices are projected to rise by 2% to 3% by the end of the year due to a shortage of supply in the market.

In the period between January and March 2024, housing prices in Spain reached €1,998/m2, reflecting a 0.8% increase compared to the previous quarter and a 4% increase compared to the same period in 2023. New build properties saw a year-on-year increase of 4.7% and a quarterly growth of 3%, reaching €2,233/m2. Used housing prices also showed an upward trend, with a year-on-year growth of 3.6% and an average price of €1,940/m2.

The analysis by province revealed that Guipuzcoa and Madrid had the highest property prices, exceeding €3,000/m2. Cordoba, Caceres, and Soria experienced significant quarterly increases, while Ciudad Real, Segovia, and Huesca saw decreases in property prices.

In Madrid, the average price of a home fell slightly by 1.5% quarter-on-quarter to €3,722/m2, while Barcelona saw prices reach €3,701/m2. Transactions in 2024 are expected to close with an adjustment of between 3% and 5%, with an increase in mortgage lending.

Rent prices also continued to rise in the first quarter of 2024, with Barcelona and Madrid being the most expensive areas for renting. New building permits are projected to fall by 10%-13% in 2024, with coastal areas such as Ibiza, San Sebastián, and Marbella having the highest house prices.

Overall, the Spain real estate market is showing signs of growth and recovery in 2024, making it a good time to invest in both residential and rental properties.

The housing market in Spain is expected to see continued growth in 2024, with rising property prices and an increase in transaction volume. Investors and individuals looking to purchase a second home in coastal areas should consider the current market conditions for potential investment opportunities.