Analysis of the Spanish Real Estate Market in 2024: Recovery, Rising Mortgages, and Good Prospects for 2025

Carlos Pérez

25 May 2026
4:17 pm

The real estate market has regained strength during 2024. After a 2023 of adjustment due to the rise in interest rates, the year 2024 has closed with one of the best sales figures since the 2008 crisis, highlighting a growth of 9.2% in the total number of transactions. This momentum has also been reflected in mortgage data, sale prices, and activity in new housing.

In this article, we analyze in detail the most relevant data from the 2024 Real Estate Market Yearbook of Spain, published in April 2025, and complement it with the recent results from February 2025, according to the EjePrime portal, which highlights a year-on-year increase of 10.5% in sales and 24% in mortgages.

When we talk about real estate market forecast 2024, it is important to understand that it is not just about sales figures, but about identifying the moment in the cycle: what is driving demand, what is holding back supply, and how interest rates affect buyer behavior. In 2024, we have seen a very clear combination: recovery of credit, pent-up demand from previous years, and insufficient supply in the most sought-after areas.

In markets like Barcelona, Madrid, Valencia, or Málaga, this context translates into a typical tension scenario: few quality properties available, rapid absorption of supply, and prices that rise even when the buyer is more demanding.

Home sales: a sustained growth

During 2024, 636,909 home sales were recorded, representing a 9.2% increase compared to the previous year. It is the second-best annual result since 2007, only behind 2022.

This growth is not coincidental: it responds to a phenomenon that in real estate we know as pent-up demand. Many families postponed their purchase in 2023 due to the rise in the Euribor, and when the market began to stabilize, they returned with force. The result has been an increase in transactions, especially in new housing, where the buyer seeks energy efficiency, elevators, terraces, and better quality.

Another relevant fact is that the speed of sales has increased in urban areas. In Barcelona, for example, well-located and renovated homes continue to close quickly, often with multiple offers in parallel, demonstrating that the market remains very active despite the rising costs.

Used homes: 505,145 sales (+6.4%)
New homes: 131,764 sales (+21.6%)

This data reflects a growing dynamism, especially in new construction, which is gaining weight in the market composition. The relative activity per inhabitant is also increasing: 13.05 sales per 1,000 inhabitants compared to 12.03 the previous year.

The mortgage boost and improvement in financing conditions

One of the data points explaining the market reactivation is the revival of mortgage credit:

423,761 mortgages signed in 2024 (+2.8%)
66.5% of sales were financed with a mortgage
Average interest rate: 3.38%
EURIBOR: 2.44% at the end of 2024 (compared to 3.68% in 2023)

Interest rates have begun a downward trend, which has facilitated an improvement in accessibility, albeit limited. 60% of new credits have been at a fixed rate, showing caution on the part of buyers.

At this point, the professional reading is clear: when the Euribor stabilizes or decreases, the buyer regains confidence and increases their borrowing capacity. This not only increases the number of signed mortgages but also raises competition for the best properties, especially in neighborhoods with high residential demand.

Additionally, many banking entities have resumed offering more attractive conditions, including bonuses for direct deposit of income or purchasing insurance, which improves accessibility for solvent buyers and reactivates operations that had been paused.

In February 2025, according to EjePrime, mortgages on housing grew by 24% year-on-year, confirming a trend of consolidation in residential financing.

Price evolution: upward trend but moderate

The price per m² of housing in Spain reached 2,086 €/m² at the end of 2024, with a year-on-year increase of 6.3%, according to the annual report.

Used housing: 2,039 €/m² (+6.3%)
New housing: 2,265 €/m² (+4.8%)

In terms of average price per housing:

Total: 199,711 € (+10.4%)
New: 298,686 €
Used: 188,007 €

Barcelona, one of the most tense cities, has experienced increases above the national average. Data from the Idealista and Fotocasa portal for Barcelona confirm values above 4,100 €/m², with a stable or upward trend in districts such as Eixample or Gràcia.

An important detail: when the market rises, not everything rises equally. In Barcelona, there is a clear difference between standard housing and “premium” housing (exterior, with elevator, renovated or with terrace). This second category is the one that receives the most pressure, as it concentrates the demand from local families and international buyers. Therefore, in real terms, well-positioned properties are rising above the average.

On the other hand, interior homes, those without elevators or in need of deep renovation usually have more room for negotiation, although they still maintain interest if the price is adjusted.

New construction: permits, starts, and completions on the rise

New housing has gained prominence:

Construction permits: 127,721 (+18.3%)
Started homes: 112,220 (+14.5%)
Completed homes: 86,609 (+7.6%)

This balance between permits and sales (ratio 0.97) reflects a good alignment between supply and demand, especially in areas such as the Mediterranean coast or provincial capitals.

Available supply: widespread decline

The supply of homes for sale fell below 775,000 units, according to the yearbook. This contraction particularly affects collective housing (apartments), which represents 69.5% of the total. This scarcity of supply puts upward pressure on prices and reduces the buyer’s ability to choose.

This is one of the most determining factors of the current cycle. The market is not rising solely due to demand: it is rising because there is a structural supply deficit. New construction takes years to be delivered, and individual owners, faced with legislative and tax uncertainty, tend to hold onto the property or allocate it for rent instead of selling.

When supply decreases and demand remains, the result is immediate: more pressure on prices, less room for negotiation, and a buyer forced to decide more quickly. This is especially noticeable in capitals like Barcelona, where the available stock remains insufficient to absorb real demand.

In Barcelona city, the supply remains limited, especially in renovated and exterior properties with elevators, which raises the average price in areas with strong national and international demand.

Foreign demand: a pillar already established

The purchase of housing by foreigners has once again broken records:

14.6% of total sales (93,000 transactions)
Average price: 2,249 €/m²
- Residents: 1,734 €/m²
- Non-residents: 2,895 €/m²

The main buyers are European citizens with high purchasing power, who find cities like Barcelona, Alicante, Valencia, or Málaga an attractive destination for both residence and investment.

Rent: increasing tensions

The average rent price stood at 13.5 €/m²/month, with an increase of 11.5% during 2024. The lack of structural supply and restrictive regulations have impacted availability, raising prices even in peripheral areas.

Barcelona is a clear example of these tensions: in districts like Sant Antoni, Poble-sec, or Poblenou, the average rent exceeds 18 €/m².

Analysis by autonomous communities

The report includes detailed data by community. The four with the highest activity were:

Andalusia: 124,799 sales (+6.2%)
Valencian Community: 103,515 (+8.2%)
Catalonia: 98,732 (+7.6%)
Madrid: 77,623 (+10.5%)

By sales rate per 1,000 inhabitants, the following stand out:

Valencian Community (19.3)
Cantabria (15.6)
Murcia (14.9)
La Rioja (14.8)

Catalonia remains at 12.2 sales per thousand inhabitants, above the state average.

Macroeconomic factors explaining the cycle

The economic environment has played in favor:

GDP: +3.2%
Inflation: 2.8%
Unemployment: 10.6%, lowest since 2008
Job creation: 21.8 million employed
Population increase: +459,170 people

These data have driven the formation of new households and strengthened structural demand.

What this means for buyers, sellers, and investors

If anything is clear from the market evolution in 2024, it is that we are facing a favorable scenario, but with nuances. For the buyer, it means that one must act quickly, but with analysis. For the seller, it is an interesting moment because demand remains high and well-presented products sell quickly. And for the investor, the key is to choose locations with high liquidity and stable rental demand.

Buyers: it is advisable to have the mortgage pre-approved and to spot opportunities before they hit the market.
Sellers: a professional appraisal and a good pricing strategy remain decisive for selling at maximum.
Investors: rental demand remains tight, so assets in high-demand areas maintain profitability and security.

In summary, this 2024 real estate market forecast confirms that the market has entered a new cycle of activity, where the scarcity of supply will continue to be the dominant factor in price behavior.

Outlook for 2025

With interest rates declining and sustained demand, 2025 could consolidate the new expansionary cycle of the real estate market. ECB forecasts point to further rate cuts, which could further reactivate financing and buying and selling.

However, risks remain:

Structural supply shortage
Uncertain rental regulations
Possible geopolitical or energy tensions

Conclusion

The year 2024 has marked a clear recovery of the real estate market in Spain and especially in Barcelona, where the pressure from demand remains very present. The balance between prices, financing, and supply will be key to consolidating sustainable growth in the coming years.

At Gumper Asesores Inmobiliarios, we closely monitor the evolution of the market to offer you the best possible advice, whether you are a buyer, seller, or investor. Contact us to find out the value of your property or to find your next home in Barcelona with complete confidence.

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