Natalie When looking at the most expensive places to buy property in Spain, there are some surprises but also some areas that have been heavy on bank balances for several years. Spain, a country that thrives on tourism, expat living, and foreign buyers, sees average prices vary from coastline to coast. Including the famous Costa Blanca, this popular destination is a firm favourite with Brits and other European nationalities.
International buyers certainly bump up the real estate marketplace, with the Spanish International Realty Alliance (SIRA) reporting they account for 22% of all sales. Indeed, if you plan to become a buyer, here are the areas with the most hefty prices in the real estate market.
Most Expensive Places to Buy Property in Spain
1: Balearic Islands
At 4,112 Euros per meter, the Balearic Islands are officially the most expensive places. But a year-on-year cost increase of 6.64% hasn’t deterred foreign buyers from the sandy beaches. Consisting of Menorca, Ibiza, Mallorca and Formentera, the costliest district within them is Serra de Tramuntana area in Mallorca.
However, this isn’t your typical coastal town. It consists of the mountain range of the same name and is a UNESCO World Heritage site. Compared to large cities on Spain’s Mediterranean coast, Serra de Tramunatana couldn’t be more different, with small exclusive villages and quiet lifestyles. With costs of expensive homes running into six figures, this isn’t your national average. (The best Balearic Island to buy real estate.)
2: Gipuzkoa in the Basque Country
Now we head to a surprise because the second place is on Spain’s northern coast, which doesn’t receive as many foreign buyers as the east and south coasts. As the smallest province, covering 760 square miles, Gipuzkoa, with the provincial capital of San Sebastian, sits on the border with France. Attracting lovers of the great outdoors and many Spanish residents, the Aralar National Park is famous for hiking and trekking thanks to mountainous regions with urban centres.
Although there is a wide range of property for sale, once you get aside the provincial capital, don’t be surprised to see average property costs going into six figures. The bonus is those amazing green mountain views. Gipuzkoa came in at 3.529 euros per meter for average house prices. However, the annual growth rate was only 2.62%.
3: Madrid City
Ah, Madrid city, with more than 3 million residents, presents 3303 euros per square meter for sale prices and an annual growth rate of 4.49%. Naturally, as Spain’s largest city, demand for housing is high, with new and old buildings sitting on every corner. Given that it is a significant destination, we drilled down even further to find the most high-priced neighbourhood, Sierra Norte, one of the outskirt rural districts.
Since it comprises small communities and villages, this is a case of exclusive privacy when looking at homes for sale. Expect cobbled streets and the Sierra de Guadarrama National Park on your doorstep—a small price for luxury. The next most expensive municipality is Majadahonda, and you will also find costly streets in the Pozuelo De Alarcon area.
4: Malaga Province
At 3171 euros per square meter for house prices, Malaga province, a time-honoured favourite of British expats and holiday homeowners, consists of significant beaches, many British expats, and a vibrant real estate market that never seems to stop. Drilling into Malaga’s top six expensive Spanish towns, we see Alhaurín El Grande, Benahavís, Estepona, Marbella, Fuengirola and Benalmadena topping the list.
Belonging to the Costa del Sol region, the Malaga province is an all-rounder, with most districts offering affordable housing alongside sandy beaches. The rental market and commercial properties also do well, thanks to the high-status tourism industry. Of course, the Mediterranean climate is a significant factor in second home ownership, and with many foreign residents, Malaga truly is multicultural.
5: Biscay on the Northwest Coast
With property prices coming in at 2775 euros, with a slight increase YOY of 1.54%, the Biscay province is another area with exclusive homes but surprisingly low British buyers. This could be due to the mild oceanic climate, but the area excels in Spanish properties with ornate architecture.
The historic centre has much to tell, but the highlight of this area is Bilbao, the largest city in the province, which sees many French tourists thanks to the nearby border. Forget about the significant beaches since Biscay is more known for its cultural tourism. However, overseas buyers will find an exciting area to enjoy.. For rental prices, there is a decent yield of 6.13%.
6: Barcelona for Working Expat Communities
As another of Spain’s most expensive cities, Barcelona’s city centre is a cultural destination with much to offer. Prices per meter of 2,739 €/m2 make it cheaper than Madrid, with many Spaniards heading to Mortgage lenders. (population of 5,712,000) As a significant city, tourism is abundant. However, anyone looking at a buy-to-let should know that Barcelona was one city protesting mass tourism. Foreign demand for houses is high for those still working, but British retirees rarely venture here, preferring the coastal regions like the Costa Brava.
7: Alava for Spanish Properties
Sitting inland and with a distinct lack of coastline, Alava, forming part of the autonomous community of the Basque Country, is the southernmost and most significant of three provinces, the others being Bizkaia (Biscay) and Gipuzkoa. Vitoria-Gasteiz is the capital of Alava and the capital of the entire Basque Country.
Known for its well-preserved medieval old town, numerous parks, and as a hub for green energy and sustainability initiatives, Vitoria-Gasteiz has a significant automotive industry, with major factories like the Mercedes-Benz plant. The southern part, especially the Rioja Alavesa region, is famous for its wine production, particularly Rioja wines. Alava registers at 2,397 €/m2 and has seen an impressive six % increase in value yearly.
8: Santa Cruz De Tenerife on the Canary Islands
Santa Cruz de Tenerife, a cultural holiday destination with mixed Spanish, African, and Latin American influences, hosts the most famous Carnival in the Canary Islands. Aside from several gorgeous beaches and inland hiking trails, there is much to see and do, hence the growing expat community. Although listed as the 8th most expensive place, Santa Cruz de Tenerife can be more affordable than the mainland. Average prices are 2,376 €/m2, and house owners can enjoy a record low crime rate.
But Where are the Cheapest Places to Buy Property?
The cheapest place to buy property in Spain is the narrow streets of Ciudad Real, with 737 €/m2. However, price values are falling here, having decreased by 1.47% year on year. The other top four places were Cuenca, Jaen, Toledo, and Avila, with only the latter two experiencing price appreciation. If we look at popular places where Brits buy, this is Murcia, which comes at 1,211€/m2.
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Browse our listings of apartments and villas for sale, and then use the contact details to find out more or to arrange a viewing. Alternatively, call us today and chat more with an agent about the most expensive places to buy property in Spain. The following articles will be of use.
Costas of Spain: From the Costa Brava to Costa Blanca and more, expect hundreds of sandy beaches and gorgeous weather climates that attract overseas buyers. Indeed, when it comes to living by the coast, Spain provides numerous destinations with style and finesse. This article looks at all the popular costas for tourism and foreign house sales.
Rich People and Marbella: Sitting on Spain’s Costa del Sol, Marbella is what Monaco is to Europe. From gated communities to golf courses, luxurious villas, and prestigious international schools like Aloha College, homes here match glamour and stylish lifestyles. Marbella operates with five-star hotels and massive mansions for sale. With stunning views and private pools, living in Marbella means an easy lifestyle. But as always, specific neighbourhoods stand out. Let’s find out where they are.
(SOURCE FOR PRICES – www.endeksa.com.)
