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In Spain’s residential market, the gap between supply and demand has pushed rents more than 40% above pre-pandemic levels, particularly in Madrid and Barcelona, according to the latest DWS Real Estate report. As a result, investors must be increasingly selective. DWS identifies affordable housing developed with local authorities, student accommodation and flex living schemes for short- and medium-term stays as some of the most attractive opportunities in the current market.

Facing the Mediterranean and just a short walk from Cala Serena beach, this luxury villa is one of the standout properties currently on Mallorca’s high-end real estate market. Built on 927 m² of land, the home offers 490 m² of living space, a prime seafront location and panoramic sea views. Listed on idealista for €3.5 million, it combines privacy, spacious interiors and direct access to one of the island’s most sought-after coastal settings.

In 1950, a French consul commissioned the construction of this villa in Terramar – one of Sitges's most exclusive and peaceful areas. More than 75 years later, the property remains true to its original design and is now listed for €7.5 million. It offers 1,294 m² of living space on a 3,006 m² plot bordered by three streets – with no adjoining neighbours and just 200 metres from the sea, ensuring exceptional privacy.

Concerns about smoking in rental properties are common among landlords – largely due to potential damage and persistent odours. Lawyer José Ramón Zurdo, CEO of Agencia Negociadora del Alquiler, confirms that it is entirely legal to prohibit smoking in a tenancy agreement. However, the clause must be clearly stated and precisely worded – ensuring there is no ambiguity, and it may even apply to specific areas within the property.

Summer drives increased interest in homes with outdoor space – particularly those with private pools.

Barcelona is set to gain a major new green space – with La Sagrera park expected to transform the city’s urban landscape over the next five years. Covering 36 hectares and stretching four kilometres, it will become the largest park in the Catalan capital, twice the size of Ciutadella. Often compared to New York’s Central Park, the project will anchor the wider redevelopment linked to the future La Sagrera station.

If you love tennis, this striking villa in Gijón stands out – though powerful shots could send the ball into the Cantabrian Sea thanks to its clifftop court. Listed on idealista for €2.3 million, the nine-bedroom property offers exceptional views, a dramatic coastal setting and generous living space – making it one of the most distinctive homes on the Asturian coast.

San Sebastián continues to consolidate its position as one of Spain’s most exclusive housing markets. According to Engel & Völkers, 20% of homes sold in the city and surrounding areas exceeded €1 million in 2025. Strong demand and limited supply in prime locations are driving prices, with an average of €5,829/m² and peaks above €13,000/m² in the most exclusive areas.

TM Tower in Benidorm, set to become the tallest residential building in the EU at 230 metres and 64 floors, is already under construction. Half of its 260 apartments have been reserved, with strong demand from Polish and Spanish buyers. Prices start at around €600,000, while the most exclusive units exceed €2 million, highlighting the project’s strong appeal in the luxury market.

The real estate market has added a new standout property in northern Spain. In Igeldo, a district of San Sebastián, an impressive villa overlooks the Cantabrian Sea, where the landscape becomes the defining feature of every room. Listed on idealista for €2.27 million, the property sits on a landscaped plot of over 1,200 m², arranged in terraces that descend towards the sea horizon.

Spain has become a leading destination for real estate investment, attracting strong interest from global investors. At SIMA, BlackRock’s Spain chief, Adolfo Favieres, described the country as “the star of Europe” thanks to solid fundamentals. The firm is focusing on hotels, student housing, residential sales and flexible living, while also maintaining interest in affordable housing. He expects this positive trend to continue in the short term.

Spain has once again positioned itself as Europe’s most attractive destination for hotel investment for the third consecutive year, ahead of Italy, the United Kingdom and Portugal. This performance is driven by strong tourism demand and solid operating results, despite ongoing geopolitical and macroeconomic uncertainty linked to conflicts in the Middle East. Barcelona ranks as the most attractive city for investment, sharing the top position with London, while Madrid also features among Europe’s top three destinations.

Previously the headquarters of the Andalusian Railway Company – and later home to the Southern Hydrographic Confederation (CHS) and the Andalusian Water Agency – the historic Palacio de la Tinta (which translates to Ink Palace) has now been transformed into a five‑star hotel. Designed by architect Julio O’Brien, the building dates back to 1908 and originally functioned as a railway administrative centre, when large amounts of ink were required daily for the manual issuing of tickets – a detail that gave the palace its distinctive name.

Rental agreements are set for a fixed term agreed between landlord and tenant, but situations such as illness may force tenants to leave early. The Urban Leases Law (LAU) does not explicitly recognise illness as force majeure, although this does not mean tenants are entirely unprotected if a serious health condition prevents them from continuing to pay rent. In such cases, it is advisable to speak with the landlord, explain the situation and try to reach a written agreement – while also complying with the notice periods required by law.

Some places seem frozen in time – with dirt tracks winding through pine forests, weathered stone façades, old industrial chimneys and rows of houses that evoke a different Catalonia shaped by factory colonies and rural estates. In this landscape, the historic Colonia Antius, in the Bages region, has been listed for sale on idealista for €3.5 million. Marketed by LM Finques, the property spans the municipalities of Callús, Sant Mateu de Bages and Súria, and includes more than 11,000 square metres of built space, comprising former factory buildings, residential units and agricultural structures.

Prefabricated homes are becoming increasingly popular in Spain amid the ongoing housing crisis. Faced with high prices in the traditional real estate market, more and more consumers are seeking quick, affordable and efficient alternatives. In this context, a home listed on Amazon is attracting considerable attention, as for just over €10,000, you can purchase a prefabricated house ready to move into.

The Armani Group is set to land on the Costa del Sol with Armani Residences Marbella – an exclusive development of 33 homes. The project is a joint venture between Sierra Blanca Estates and Playa Assets, led by Abel Matutes and Rafa Nadal. Set within a 50,000 m² plot, surrounded by nature and boasting panoramic views of the Mediterranean and Sierra Blanca mountains, construction is expected to begin in June and be completed in 2028.

The Catalan government has approved a decree‑law to simplify urban planning in rural municipalities and encourage housing development in small towns. The measure aims to cut bureaucracy, adapt planning rules to local needs and tackle depopulation across around 590 rural municipalities. It introduces a new planning model tailored to councils with limited technical capacity – designed to streamline procedures and provide more effective tools to promote housing and economic activity.

Spain’s housing market continues to explore alternatives to rising property prices – including a prefabricated home of nearly 40 m² with two bedrooms, a full bathroom and an open‑plan living area for under €8,000. Listed on Amazon, the model features an expandable double‑wing design that maximises space, offering flexible areas for both relaxation and work without compromising comfort.

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.

Sixty percent of the demand for luxury housing in Spain comes from abroad, primarily from Latin America, Western Europe, the United States, and the Middle East, according to The Simple Rent, an online real estate network specializing in luxury properties. During the last fiscal year, transactions exceeding €1.5 million have maintained steady growth, driven by international demand and an increasingly limited supply.

Spain has reinforced its standing as a leading destination for real estate investment – with €6.39bn recorded in the first quarter, according to Colliers. This figure surpasses the combined total for Italy, France and Portugal, highlighting the market’s strength. Beyond southern Europe, Spain is also emerging as one of the most dynamic real estate hubs across the EMEA region – with strong performance driven by the living, retail and hotel sectors.

A unique property in Corçà, Girona, blends rural Catalan architecture with the features of a medieval fortress – complete with walls, battlements and a moat. Set on more than five hectares and offering 528 m² of living space, the converted farmhouse is on the market for €990,000 – standing out as one of the most distinctive homes in the Baix Empordà.

A striking 16th‑century Galician manor house in A Pontenova (Lugo) is on the market for €2.1 million – standing out as one of the most distinctive historic properties in northern Spain. Set within 3.3 hectares of land, the estate includes a mid‑18th‑century private chapel housing a valuable Baroque altarpiece in carved and gilded wood – adding significant heritage value and enhancing the property’s unique character.

idealista and the General Council of Notaries have signed a collaboration agreement via the Notary Technology Centre – allowing anonymised data from notarised home sales to be integrated into idealista’s analysis tools. Real estate professionals will gain access to independent valuations, including closing price, date, surface area and price per square metre – with advanced filters to refine market insights based on actual transaction data.