Spain · Housing

A hot market,
honestly priced.

Spanish home prices rose 12.9% in the year to Q1 2026 — a record. The official average is €2,315/m², purchase taxes run 4–13% depending on region, and no, the "100% tax on foreign buyers" is not law. Here are the numbers.

Last verified: 8 July 2026

What homes cost

Measure (official)ValuePeriod
House price growth (INE index)+12.9% year-on-year (new build +9.1%, second-hand +13.5%)Q1 2026
Average appraised value (MIVAU)€2,315/m² — record high, +13.9% YoYQ1 2026
Average registered sale price (Registradores)€2,429/m² (+8.9% YoY) · Madrid region €4,407 · Balearics €4,173 · Cataluña €2,852 · Málaga province €3,339Q1 2026
Sales volume (Registradores)178,096 homes sold in the quarterQ1 2026

City-level asking prices (portal data, so treat as indicative, not official): Madrid €6,694/m², Barcelona €5,399, Palma €5,169, Valencia €3,694, Málaga ~€4,250, Alicante €2,811, A Coruña €3,157 (idealista, May–Jun 2026). See Where to Live for the full comparison.

The purchase taxes — region decides

Purchase typeTax2026 rate
New build (anywhere)IVA + stamp duty (AJD)10% IVA nationally + AJD ~0.5–1.5% by region (Madrid 0.75%; C. Valenciana 1.4% from 1 Jun 2026)
Resale — MadridITP6% — the lowest mainland rate
Resale — AndalucíaITP7%
Resale — Comunitat ValencianaITP9% from 1 June 2026 (cut from 10%; 11% on the tranche above €1M)
Resale — CataluñaITPTiered 10–13% since mid-2025, plus a 20% deterrent rate for large holders (10+ dwellings)
National rangeITPRoughly 4–13% — the widely repeated "4–11%" is out of date

On top: notary, land registry and gestoría fees typically total around 1–2.5% of the price (typical range, not an official statistic). All-in, budget roughly 8–15% above the purchase price depending on region.

The "100% tax on foreign buyers" is NOT law. A bill registered in May 2025 would create a state tax of up to 100% of the taxable base on purchases by non-EU non-residents (with ITP/AJD deductible). As of mid-2026 it is stalled in Congress without a majority, and legal scholars flag constitutional and EU-law conflicts. It would in any case target non-residents — buyers who move to Spain and become resident are outside its stated scope. We re-check its status before every update to this page; treat any site stating it as current law as unreliable.

Mortgages as a non-resident

Typical market practice (no official Banco de España statistic distinguishes non-resident lending): loan-to-value of 60–70% for non-residents (non-EU buyers often 60%) versus up to 80% for residents; rates roughly 0.5–1 point above resident offers; and terms usually required to end by age 70–75 — which shortens the loan for buyers in their 60s. Budget the deposit gap accordingly.

Renting: strong tenant law, tight supply

Tenure

5–7 years

Minimum secure tenure on a standard housing lease: 5 years with an individual landlord, 7 with a company (LAU, as amended 2019/2023).

Deposit

1 + 2 months

Legal deposit (fianza) is 1 month; additional guarantees are capped at 2 more months.

Annual increases

2.48% cap

Contracts signed after 26 May 2023 update by the IRAV index — 2.48% at May 2026.

Rent trend

+3.5% (2024)

INE's tax-data rent index; new contracts +8.8%. Fastest-rising capitals: Valencia +5.9%, Málaga +5.2%, Alicante +5.1%.

Market asking rents (portal data — INE publishes only an index, never €/m² levels): national average 15.1 €/m²/month, Madrid 23.7, Barcelona 23.0, Palma 19.1, Valencia 16.7 (idealista, May 2026). An 85 m² two-bed therefore runs roughly €1,300–2,000/month in the big cities.

Two regional wrinkles. Cataluña is the only region applying the housing law's tense-market rent caps — around 271 municipalities covering ~95% of the Catalan population, where new lets by larger landlords are capped at a reference index. And the national short-term rental registry (in force July 2025) was reportedly annulled by the Supreme Court in May 2026 for invading regional powers — the whole short-let area is in legal flux; check current rules before planning rental income.
In this section

Guides

Coming soon

Buying as a non-EU foreigner, step by step

NIE, the arras contract, notary day — and the real all-in costs by region.

Coming soon

Renting long-term: your LAU rights

What landlords can and can't do, deposits, and the IRAV update rules.

Coming soon

The "100% tax" tracker

Where the bill stands in Congress, what it would actually do, and who's exempt.

Sources

  1. INE — Índice de Precios de Vivienda, Q1 2026 (+12.9%): ine.es
  2. MIVAU — Valor tasado de la vivienda, Q1 2026 (€2,315/m²): mivau.gob.es
  3. Registradores de España — Q1 2026 property statistics: registradores.org
  4. ITP/AJD Madrid — Comunidad de Madrid: comunidad.madrid · C. Valenciana (9% from 1 Jun 2026, Ley 5/2025) — Agència Tributària Valenciana: atv.gva.es · other regional rates from secondary tax tables, re-verified at fact-check
  5. Tenancy law — LAU (consolidated): boe.es · IRAV rent-update index — INE: ine.es
  6. Rent index — INE IPVA 2024: ine.es · asking prices/rents — idealista reports (portal data, indicative): idealista.com
  7. Catalan rent caps — MIVAU: mivau.gob.es · short-term rental registry — RD 1312/2024: boe.es (Supreme Court annulment reported May 2026 — status in flux)
  8. Proposed 100% tax on non-EU non-resident buyers — proposición de ley, stalled as of mid-2026; legal analysis: PwC Periscopio
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