Demand in the Spanish housing market continues to be strong. Buyers are both local and foreign.  The Spanish housing price index (Tinsa IMIE) rose in the first quater of this year by 6.6% compared to the same period last year. In the region of Andalusia, this increase was even slightly higher at 8%.

At the city level, the most expensive square meter prices were found in the San Sebastian region of Northern Spain. Prices per square meter in the province of Malaga were above the Spanish average, but they are still moderate compared to Madrid's housing prices. 

Although house prices in some areas have surpassed pre-crisis levels of 2008, Spain as a whole is still a whopping 30.4% below the peak before the previous downturn.  At the moment, properties are selling faster and there is less room room for price negotiations.

Buying  property in Spain still seems to be a good investment, especially now that remote working has become the new norm which has  increased the demand for overseas homes. 

Are you thinking about buying a home in Spain? Get in touch with us and our experts will help you to find a suitable property as well as assist you during the entire purchasing process.

The writer, Laura Stevens, holds a MSc in Econ and is a mother of three childen. She has experience of the Spanish financial markets and real estate since 2004. She works on the Costa Del Sol as a real estate consultant and a property finder, helping foreign buyers to find and buy the perfect home in the sun.  She can also assist you with getting a Spanish mortgage. You can contact  laura@costadreamhouse.com or call/whatsapp +34 681 30 77 95.

Graph 1: Average property price in Malaga vs Madrid vs. Spain (source TINSA), Graph 2: Average property price in Malaga (source TINSA)