Madrid — Property price evolution in Madrid (€/m²)

Housing enters a new phase: fewer sales and more moderate price increases

Spain's residential market is showing signs of demand exhaustion: home sales have posted several consecutive months of year-on-year declines while prices continue to rise, but at a pace well below 2025 levels. Analysts note the upward cycle is not over, but has shifted in intensity — supply shortages are still supporting prices, but affordability pressures have already priced out a significant share of potential buyers.

El País·2 May

Are we facing a new housing bubble?

Spain's residential market is once again posting figures that raise an uncomfortable question: is a new bubble forming? Prices are rising sharply, activity remains at elevated levels, and access to housing continues to narrow.

La Vanguardia·17 Apr

Owners of 8% of rental homes are starting to sell as rent caps and fear of non-payment make letting unprofitable

Large investment funds owning 8% of Spain's rental stock are shifting strategy. The current housing law caps rent increases, eroding yields. Combined with fear of non-payment, lengthy eviction processes, and constant regulatory changes, these landlords are concluding that selling is more profitable than renting.

COPE·10 Apr

Housing Boom Drives Away Speculative Investment With Mortgage Financing

Gross rental yields are falling. The share of buyers taking out a mortgage to purchase a second home for investment purposes has plummeted from 56.2% a year ago to just 33.7% today.

El Confidencial·8 Apr