The Spanish property market is showing two contrasting developments. Property values continue to increase, while the number of registered transactions has declined for the third consecutive quarter. At the same time, differences between regions are becoming increasingly important when comparing prices, demand and affordability.
The latest Estadística Registral Inmobiliaria, published by the Colegio de Registradores, provides a detailed picture of these developments during the third quarter of 2026.
For anyone considering buying property in Spain, the figures offer more than a general overview of the market. They help identify the regions where prices are highest, where demand remains particularly active and how mortgage costs can affect the overall affordability of a purchase.
1. Property prices in Spain: which regions are the most expensive?
The average registered residential property price in Spain reached €2,512 per square metre in the third quarter of 2026, representing a new historical high.
However, the national average conceals substantial regional differences.
The Community of Madrid and the Balearic Islands remain the most expensive autonomous communities, followed by the Basque Country and Catalonia. At the other end of the market, Extremadura, Castilla-La Mancha and Castilla y León recorded the lowest average prices.
The rate of price growth also varies considerably. Asturias recorded the strongest quarterly increase, followed by Murcia and Castilla-La Mancha. On an annual basis, Asturias, Murcia and Cantabria registered the largest increases.
An important distinction is the difference between new-build and resale properties. Nationally, newly built homes recorded a higher average price per square metre than resale properties, with a stronger quarterly increase.
This distinction becomes particularly relevant when comparing individual regions. In the Valencian Community and Murcia, for example, new-build properties recorded considerably stronger quarterly price increases than resale homes.
2. Where are the most homes being bought and sold?
The number of registered residential property transactions reached 164,148 during the third quarter, representing a 2.3% decrease compared with the previous quarter and a 5.9% decline year-on-year.
Despite this slowdown, activity remains concentrated in several major Spanish property markets.
Andalucía recorded the highest number of transactions among the autonomous communities, followed by Catalonia, the Valencian Community and the Community of Madrid.
At provincial level, Madrid and Barcelona remained the two largest markets, followed by Alicante, Valencia and Málaga.
However, the quarterly changes reveal a more varied situation. Málaga recorded a particularly significant reduction in transactions, while Murcia and Castellón registered increases. Valencia also experienced a slight quarterly rise.
This is important because a high number of transactions does not necessarily mean that activity is increasing. A region may continue to account for a large share of the national market while experiencing a decline compared with the previous quarter.
Another interesting development concerns the geographical distribution of demand. According to the Registrars, property purchases are increasingly extending beyond provincial capitals towards surrounding municipalities, where buyers may find more affordable housing.
For people considering a purchase, this means that looking beyond the main city can reveal different opportunities in terms of property prices, available space and housing types.
3. Foreign buyers: which parts of Spain attract the most international demand?
Foreign purchasers accounted for a record share of residential property transactions during the third quarter, although their presence varies considerably across Spain.
The Balearic Islands recorded the highest proportion of foreign purchases, followed by the Valencian Community and the Canary Islands. Murcia, Catalonia and Andalucía also recorded substantial international demand.
The provincial figures provide an even more detailed picture. Alicante stands out, with foreign buyers accounting for almost half of all registered residential purchases. Málaga and the Balearic Islands also recorded particularly high proportions.
The nationalities represented in the market reflect its international character. British purchasers remained the largest group, followed by Moroccan, Dutch, German and Romanian buyers.
These figures are particularly relevant when considering the type of legal and tax advice required for a property purchase.
For example, a non-resident purchasing a second home in Spain may have different tax obligations from someone who intends to establish their permanent residence in the country. Similarly, buying a property does not automatically provide immigration or residency rights.
Understanding these distinctions before completing a purchase is important, particularly when the property will be used as a holiday home, rented out or occupied as a permanent residence.
4. New-build or resale: what does the market show?
Resale properties continue to dominate the Spanish residential market, accounting for almost four out of every five registered transactions.
Nevertheless, the proportion of new-build purchases differs considerably between autonomous communities.
Navarra recorded the highest proportion of new-build transactions, followed by the Canary Islands and Murcia. By contrast, La Rioja, Extremadura and Castilla y León had particularly high proportions of resale transactions.
The type of property being purchased also varies between regions.
Apartments account for the majority of transactions nationally, but detached and semi-detached homes represent a considerably larger share in some areas.
Castilla-La Mancha recorded the highest proportion of single-family home purchases, followed by Extremadura and Galicia. In contrast, apartments were particularly dominant in the Basque Country, Madrid and Asturias.
Property size is another factor worth considering. The average surface area of residential properties sold in Spain was 101.1 m². Castilla-La Mancha, Extremadura and Galicia recorded the largest average properties, while the Basque Country and Asturias had the smallest.
For buyers, these differences can help narrow down potential locations depending on whether they are looking for an apartment, a detached home, a new-build development or a property with more living space.
There are also legal and tax differences between new-build and resale purchases. Resale properties are generally subject to Property Transfer Tax (ITP), whereas new-build homes are normally subject to VAT and Stamp Duty (AJD). The applicable rates depend on the autonomous community and the circumstances of the transaction.
5. Mortgage costs and property affordability across Spain
Property prices are only one part of the cost of buying a home. Financing conditions and monthly repayments also have a significant impact on affordability.
The average monthly mortgage repayment in Spain reached €857.60 during the third quarter, equivalent to 35.3% of the average salary.
However, the differences between regions are substantial.
The Balearic Islands recorded the highest average monthly mortgage repayment, followed by Madrid. At the other end of the scale, Extremadura and Murcia recorded the lowest monthly repayments.
The proportion of mortgage payments relative to average salaries also highlights significant regional differences. In the Balearic Islands, mortgage repayments represented 62.1% of the average salary, compared with 45.5% in Madrid. In Murcia, the figure was 27.3%.
These indicators provide a useful comparison of regional affordability, although individual mortgage conditions will depend on the borrower’s income, financial commitments, deposit and the property being purchased.
The report also shows that fixed-rate mortgages represented the majority of newly formalised residential mortgage agreements. The average initial interest rate was 3.15%, while the average mortgage repayment period stood at just over 25 years.
For non-resident purchasers, obtaining financing in Spain may involve additional requirements. Banks may request documentation relating to overseas income, employment, tax residence and existing financial commitments.
It is therefore advisable to understand the available financing options and associated costs before making a financial commitment to a property.
6. What should you check before buying property in Spain?
The latest statistics show that buying property in Spain involves very different considerations depending on the region, the type of property and the buyer’s financial circumstances.
Regardless of where you decide to purchase, there are several important checks to complete before signing a contract:
- Ownership and Land Registry information: Confirm the seller’s ownership and check whether the property has mortgages, charges, debts or other registered issues.
- Planning and building compliance: Check that the property complies with applicable planning regulations and that its registered description corresponds with its actual characteristics.
- Purchase taxes: Establish whether ITP or VAT and AJD apply, and calculate the relevant regional rates.
- Contractual conditions: Review reservation agreements and private purchase contracts, paying attention to deposits, deadlines and the conditions for completion.
- Additional expenses: Include notary, Land Registry, legal and other relevant costs when calculating the total acquisition budget.
- Ongoing tax responsibilities: Understand the obligations associated with property ownership, particularly if you are a non-resident or intend to rent out the property.
These checks are particularly important when buying in an unfamiliar location or purchasing a new-build property that has not yet been completed.
Legal and tax advice for buying property in Spain
The third-quarter 2026 statistics highlight how varied the Spanish property market has become. Differences in prices, property types, transaction activity and mortgage affordability mean that the right approach will depend on the location and circumstances of each purchase.
At Fuster & Associates, we assist clients with property purchases and sales in Spain, providing legal and tax advice throughout the process.
Our team can help review property documentation, assess contractual conditions, calculate purchase taxes and deal with the legal formalities required to complete a transaction.
Whether you are purchasing a new-build home, buying a resale property or selling a property in Spain, contact Fuster & Associates to find out how we can help protect your interests.
We want to help you navigate all the legal complexities that come with your home buying in Spain, but this article is legal information and should not be seen as legal advice.
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