Most Spaniards admit to browsing luxury homes beyond their budget, and summer 2026 has been no exception. idealista users have spent the holiday season exploring dream mansions and villas, with the greatest interest focused on properties in Las Palmas, Mallorca, Madrid and Alicante. Priced above €1 million, these homes feature infinity pools, expansive gardens, generous interiors and stylish terraces designed for outdoor living and entertaining.

Luxury housing in Spain remains concentrated in the most exclusive districts of major cities such as Madrid, Barcelona, San Sebastián and Palma, while premium coastal destinations in the Balearic Islands and Costa del Sol continue to attract high-end buyers. Prices exceed €10,000/m² in some areas of Madrid's Salamanca district and in the most sought-after enclaves of Mallorca, Ibiza, Formentera and Marbella, with Costa d'En Blanes standing out as the only coastal location to surpass the five-figure threshold.

Among the most exclusive enclaves on the Costa del Sol, Sotogrande is always on the radar. This high-end community is known across Europe for its privacy, golf courses and mild climate.

The Spanish housing market remained resilient in the first quarter of the year – despite a slight year‑on‑year slowdown. More than 178,000 homes were sold, the third‑best quarterly result since late 2007, although transactions fell 1.9%, according to the Property Registrars. Average prices climbed to a new high of €2,429 per square metre, up 8.9% year on year. Foreign buyers also stayed active, with almost 25,000 purchases recorded – the fourth‑highest figure on record, despite a 3.2% annual decline.

According to a study by idealista, 49% of the current supply of two-bedroom flats for sale in Spain is priced below the reasonable affordability threshold. In other words, they are within reach of a household on an average income that allocates no more than 30% of its earnings to mortgage repayments – equivalent to €805 per month.

Strong demand for housing and limited supply are pushing prices up in Spain. According to the Tecnocasa Group Chair – UPF Market Analysis, resale prices rose 15.3% year-on-year in the second half of 2025, reaching €3,338/m² at year-end – comparable to early 2006, at the height of the housing bubble.

House price growth across 55 global markets accelerated in Q3 2025, reports Knight Frank, with average prices rising 2.4% annually. Turkey, North Macedonia and Portugal led gains, while Finland and China posted the steepest declines amid easing monetary policy globally.

In 2025, 73.3% of Spanish households owned their homes, the lowest since 2004 and down 0.3 points from 2024. Ownership has fallen for three years in a row, dropping over 2.5 points since 2022. Rented households fell slightly to 20.2%, while households letting their homes rose to 6.5%, the largest increase among housing arrangements.