As Fuerteventura continues to attract investors, the Spanish real estate market shows remarkable growth driven by both local and foreign demand.
In 2025, Spanish housing prices surged by 7.5%, with the Canary Islands witnessing an even steeper rise of 12%. This uptick not only surpassed pre-crisis peaks from 2007 but also coincided with a 4.4% increase in overall sales, despite a slight decline in the islands where transactions fell by 4.7%. These insights stem from recent data released by the General Council of Notaries.
The average price per square meter reached a record high of €1,902, marking a 7.5% increase from 2024 and surpassing the 2007 benchmark of €1,832. The upward trend shows robust momentum, with annual price growth ranging between 6% and 9% across four quarters last year.
Notably, apartments saw the most significant price growth, escalating by 10.1% to €2,186 per square meter, while single-family homes experienced a 3.8% increase, settling at €1,424 per square meter. All autonomous communities reported price rises, with notable surges of 14.4% in both Murcia and Cantabria, and 13.3% in the Community of Madrid.
In terms of property values, the Balearic Islands topped the list with an average price of €4,061 per square meter, followed by the Community of Madrid at €3,463, while the Canary Islands trailed at €2,177 per square meter.
Sales figures revealed a total of 752,661 transactions, representing the second-best performance historically, just behind the 2007 peak of 853,568. However, the latter part of the year saw a cooling off in this momentum, with signs of stagnation and a downward trend emerging in the final months. While apartment sales rose by 2.3% to 567,564 units, single-family homes saw a sharper increase of 11.5%, reaching 185,097 transactions, surpassing past records.
Most regions saw sales growth except Madrid, the Canary Islands, and the Balearic Islands, which recorded slight declines. The most significant increases occurred in Castilla y León (13.6%) and the Basque Country (12%).
In real estate financing, new mortgage loans for home purchases rose by 13.7% in 2025, totaling 389,090 loans, with the average loan amount increasing to €173,989—up 11.8%. Significant growth in mortgages took place across all communities, especially in Extremadura (21.2%), Asturias (18.7%), and Catalonia (18.5%).
Foreign interest in Spanish real estate remains strong, particularly in the Canary Islands, where 30% of property purchases are attributed to international buyers. This sustained demand reflects the region’s appeal and positions it as a valuable market for investors.
Image credit: www.eldiario.es
Source: www.eldiario.es.
Curated by Fuerteventura Times Real Estate Desk.
