Spain’s second‑hand house prices jump 20.5% in 2025 to €2,879/m². Murcia, the Valencian Community and Asturias see the biggest rises; supply lags demand.
Spain’s used‑home market posted a shockingly strong rebound in 2025, with average prices rising 20.5% year‑on‑year and the national cost per square metre now at €2,879, according to Fotocasa’s “Second‑hand Housing in 2025” report. That jump is the largest annual increase recorded by the Fotocasa Real Estate Index since the series began in 2006.
Which regions rose most?
The biggest regional increases were concentrated in southeastern and coastal areas. The Region of Murcia led the pack with a 29.6% rise, followed by the Valencian Community (24.4%) and Asturias (24.0%). Other notable rebounds included Cantabria (22.9%), Andalusia (22.2%), Madrid (21.7%) and the Canary Islands (21.3%). Catalonia, the Balearic Islands and Galicia also recorded double‑digit gains.
At the other end of the spectrum, some regions posted far more moderate growth, with Navarra and Extremadura among those with the smallest increases.
Demand far outstrips supply
Fotocasa highlights a structural imbalance behind the spike: demand for housing now quadruples supply. Post‑pandemic shifts in buyer preferences — more space, better locations and improved amenities — have persisted, and rising immigration has strengthened housing demand. In addition, investor activity has increased sharply, now representing roughly 10% of total demand, double its share two years ago.
This combination has exposed a chronic housing shortfall: Spain needs more than 200,000 homes a year while only about 100,000 new dwellings are being delivered. Fotocasa argues this structural mismatch makes a sustained fall in prices unlikely in the short term.
Provinces and municipalities: nearly universal growth
By year‑end 2025, prices rose in 48 of Spain’s 50 provinces (96%); only Soria and Teruel saw annual declines (both down about 9.6%). The province ranking by average price per square metre remains led by the Balearic Islands (€5,267/m²) and Madrid (€5,206/m²), with Málaga and Gipuzkoa close behind (€4,364/m² each) and Santa Cruz de Tenerife rounding out the top five (€3,668/m²).
On a municipal level, 576 municipalities recorded price increases while 66 registered falls. The most dramatic jumps were in tourist or fast‑growing towns: Vandellòs i l’Hospitalet de l’Infant (Tarragona) surged roughly 80%, followed by Sant Fruitós de Bages (Barcelona) at nearly 70%, and Albal (Valencia) and Vera (Almería) with rises above 60%.
Highs and lows in absolute price terms
High‑end pressure remains concentrated in major tourist hubs and coastal towns. Thirteen municipalities exceeded €6,000/m² in 2025. Santa Eulària des Riu (Ibiza) topped the list at €8,494/m², followed by Ibiza town (€7,689/m²), Sant Antoni de Portmany (€7,608/m²), Sant Josep de sa Talaia (€7,440/m²) and San Sebastián (€7,155/m²).
Conversely, the most affordable municipalities are mostly inland and in provinces with weaker demand. Villanueva del Arzobispo (Jaén) was the cheapest average municipality at €623/m², with Torreperogil (€658/m²), La Carolina (€683/m²), Montijo (Badajoz, €698/m²) and Jamilena (Jaén, €709/m²) among the lowest.
What this means for buyers, sellers and investors
• Buyers: Competition is strong in most regions, especially coastal and urban areas. Expect bidding pressure and rising prices for well‑located, well‑sized homes.
• Sellers: Market conditions favor vendors in many provinces; listings in attractive locations are selling faster and at higher prices.
• Investors: With investor demand doubled in two years and structural undersupply, many see continued upside — though regional variation and liquidity should guide decisions.
Spain’s real estate market data paint a market driven by persistent demand, demographic growth and investor interest, set against a tight supply pipeline. Barring major macroeconomic shocks or a sudden rise in construction output, the report suggests the near‑term trend will remain upward for second‑hand housing prices across much of Spain.
