What is the profile of home buyers in Spain? What trends are currently shaping the market, and what can we expect in the coming months? What are buyers looking for in their ideal home, and how can you target this market to achieve the best price?
In this article, we examine the latest data on the Spanish property market to help inform your sales strategy.
Increased demand for housing and shortage of supply
A key factor in understanding the real estate market is the surge in housing demand. This trend is expected to continue in the coming months, with supply remaining insufficient to meet the growing demand.
The increasing tension between supply and demand favours sellers: any reasonably priced property is likely to sell quickly if it is sufficiently appealing.
According to BBVA Research, demand is expected to remain strong in 2025, easing in 2026 due to slower economic growth. As a result, 2025 could be an ideal year to sell your property at a higher price.
Specifically, activity in Spain is projected to increase by 2.8% in 2025, before slowing to 1.8% in 2026 amid rising geopolitical tensions and uncertainty over trade policy. This is expected to translate into home sales growing by around 9.0% in 2025 and 5.0% in 2026.
What is the profile of the home buyer?
Regarding the profile of the typical homebuyer, trends from 2024 and the early months of 2025 indicate an age range of 30 to 49.
Moreover, access to mortgage financing has improved in recent months due to lower interest rates, opening the market to new buyers. According to BBVA Research, new home purchase loans reached nearly €68 billion in 2024, representing an increase of almost 56% compared with 2019.
It is also important to note that the way this average buyer selects a property has evolved over time, largely influenced by the possibilities and tools offered by new technologies.
- Homebuyers are more digital than ever: searches are primarily conducted online, through property portals such as Idealista and social media. This direct access to listings allows buyers to better understand their options and needs, making them more discerning when making the final purchase decision.
- The increased use of price analysis tools and mortgage simulators further empowers buyers. These tools help assess current market prices and estimate the likelihood of securing mortgage financing. As a result, sellers are more likely to encounter serious buyers who have already considered the details of their decision in advance.
- Demand for housing from foreign buyers is on the rise. Depending on your property’s location, it may be worth considering this trend and targeting this group if appropriate. The United Kingdom continues to lead foreign property purchases in Spain, followed by Germany. France has been overtaken by Morocco in third place, while buyers from Poland, Ireland, Ukraine, and the United States are gaining ground. There are notable differences between regions: in tourist areas of the Mediterranean and the Canary Islands, demand is highest from the major European economies, whereas inland areas see more buyers from Morocco, China, and Romania.
Migration balances are expected to remain positive in the coming years, which will further increase demand for housing.
Trends shaping demand in 2025
Beyond the buyer profile, here are some trends shaping housing demand this year that can help inform your sales strategy:
- Sustainability and flexibility are increasingly important: buyers are seeking energy-efficient, healthy homes and value the ability to adapt the property to different stages of family life. As a result, modern and functional homes are becoming more desirable.
- Outdoor spaces continue to be a key selling point: a terrace, balcony, or garden adds significant value. This trend, which emerged during the pandemic, remains strong among buyers.
- Remote working is influencing property searches: providing a comfortable space for working from home can be a significant selling point, as more people work remotely, either part-time or full-time.
- Well-connected areas are in highest demand: buyers increasingly prioritise cities with good transport links, while also valuing environmental factors such as clean air, low noise, and green spaces. Consequently, suburban and outlying areas are becoming more attractive.
- The investment aspect is becoming ever more important: property purchases are less emotional and more strategic. In today’s changing lifestyle, buyers want assurance that they can sell their home in the future at a good price and make a profit if needed.
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How will housing prices evolve?
Housing prices continue to rise due to the ongoing shortage of available properties. The increase accelerated in 2024, with an annual average rise of 5.8% compared to 2023. However, in real terms, prices remain well below the 2008 peak.
All autonomous communities recorded growth last year, with the Balearic Islands (9.7%), the Valencian Community (7.9%), and Madrid (7.6%) showing particularly notable increases. Aragon, Andalusia, the Canary Islands, and Cantabria also saw growth above the national average.
According to the report, continued demand pressure, combined with economic growth and limited residential supply, is expected to drive further price increases: 4.8% in 2025 and 3.1% in 2026.
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