At SpanishDevelopments.com, we are not just property brokers — we are real estate investment advisors specialising exclusively in the Spanish property market.
Our team monitors market data, developer activity and macroeconomic indicators across Spain’s coastal regions to help our clients make informed, secure and profitable investment decisions.
Spain remains one of Europe’s most dynamic and stable real estate markets — blending Mediterranean lifestyle with solid financial fundamentals, growing international demand, and limited new-build supply in prime locations.
The Spanish Property Market – Facts & Trends (2025 Outlook)
Steady price growth: Property values in Spain rose by an average of 6.8% in 2024, led by Costa del Sol and Balearic Islands (INE 2025).
Foreign demand: International buyers now represent over 14% of total transactions, with the UK, Germany, France, the Netherlands and Scandinavia leading purchases (Registradores de España).
Supply gap: New-build housing stock remains limited — less than 25% of total transactions are new developments, pushing demand toward off-plan projects.
Rental demand: Long-term rental prices increased by 8–10% year-on-year, especially in Málaga, Marbella, Alicante and Valencia.
Tourism recovery: Spain welcomed over 85 million tourists in 2024, driving consistent short-term rental yields between 5 – 8% gross annually in major coastal zones.
The combination of economic resilience, international relocation trends, and infrastructure investment makes Spain a long-term safe haven for property investors seeking both lifestyle and performance.
Key Investment Destinations in Spain
Spain’s real estate market is highly regionalised. Each coastal area offers distinct advantages, pricing levels, and investment profiles.
Costa del Sol – Luxury, Lifestyle & Liquidity
- Home to Marbella, Estepona, Benahavís and Fuengirola.
- Average new-build prices: €4,000 – €6,500 per m² (prime Marbella exceeding €8,000).
- Year-round demand from international buyers ensures strong resale liquidity.
- High rental yields (5–7%) supported by luxury tourism, golf resorts, and digital-nomad relocations.
- Infrastructure: Málaga airport, AVE high-speed rail, and international schools.
Costa Blanca – Value Growth & International Appeal
- Centered around Alicante, Torrevieja and Benidorm.
- New-build apartments from €230,000 – €400,000.
- Popular among Northern Europeans and digital professionals for affordability and climate.
- Yields between 4–6%, with strong resale demand.
- Lower entry costs and continued infrastructure improvements (airport expansion, tram networks).
Murcia & Costa Cálida – Emerging Golf & Lifestyle Market
- Rapidly developing resort zone with golf communities, marinas and eco-friendly projects.
- Average property prices: €180,000 – €300,000.
- Yields 5–8% driven by domestic tourism and lower competition.
- Regional government incentives for foreign investors.
Balearic Islands – Limited Supply, High Exclusivity
- Includes Mallorca, Ibiza and Menorca.
- Average villa prices exceed €1.5 million, apartment values from €6,000/m² upwards.
- One of the tightest-regulated and most in-demand luxury markets in Europe.
- Strong capital growth potential due to geographic limitations and exclusive demand.
Tenerife & Canary Islands – All-Year Returns and Tourism Strength
- Subtropical climate ensures 12-month rental season, rare in Europe.
- Tenerife, Gran Canaria and Lanzarote are Spain’s top tourism performers, welcoming over 13 million visitors annually (Ministerio de Turismo, 2024).
- Average new-build pricing: €3,000–€4,500/m², lower than Balearics yet strong yield potential (6–9% gross annually).
- Popular with both private investors and holiday-rental operators due to consistent occupancy and limited seasonality.
Investment Types We Advise On
As real estate investment advisors, we structure opportunities to fit your objectives:
- Off-plan developments – early entry pricing with 10-15% capital uplift on completion.
- Key-ready new builds – fully completed, ready to occupy or rent.
- Buy-to-let apartments – designed for steady rental income in tourist areas.
- Luxury villas & penthouses – long-term value retention and lifestyle appeal.
- Diversified portfolios – combination of regions and property types for balanced yield and growth.
Every project we present is independently verified, with due diligence, developer track record review, and full transparency of build schedules and payment plans.
Legal, Tax & Residency Framework
Spain allows full property ownership for non-residents.
Foreign buyers typically pay 10 – 12% in purchase taxes & fees (IVA + AJD or ITP).
Non-residents pay annual income tax (IRNR) on potential rental income.
Mortgages are available up to 70% LTV for EU buyers, 60% for non-EU.
Residency options now include Non-Lucrative Visa (for financially self-sufficient individuals) and Digital Nomad Visa for remote workers.
Note: The Golden Visa based on property investment was officially discontinued in April 2025.
Market Outlook (2025–2030)
Continued foreign buyer demand driven by lifestyle migration and climate.
Limited land availability in premium coastal zones ensures price resilience.
Renewed investor confidence post-Golden Visa era, focusing on long-term fundamentals.
ESG-focused construction and energy-efficient homes will dominate future new-build demand.
Expected annual price growth 4–6% in prime coastal markets (Savills & Tinsa data 2025).
Why Partner with us
- We combine local expertise with international investor perspective.
- Our advisory team operates across Spain’s key markets, maintaining direct contact with developers, banks, and legal partners.
- We offer a strategic, data-driven approach — not sales talk.
- Our clients receive independent investment advice, portfolio design, and after-sales management to ensure lasting value.
Whether you’re investing €200,000 or €2 million, our mission is to help you make an informed, confident and profitable investment in Spain.
Start Your Investment Consultation
Let’s discuss your investment goals and identify the regions and developments best suited to your strategy.
Request a personalised consultation with our advisors.
