Overview
- Madrid closed 2025 as the country’s fastest‑rising market, up 20.9% year over year, with the price pressure spilling into the metro area as Torrejón de Ardoz jumped 22.6% and Parla and Fuenlabrada posted double‑digit gains.
- Barcelona remained the most expensive provincial capital to rent at €29.34 per m² in Q4 2025, while sale prices rose fastest in working‑class districts such as Sants and Nou Barris.
- The 2026 update to Spain’s rental law is in force, obliging landlords to notify increases at least 30 days in advance; tenants can reject improperly notified hikes, and updates use CPI for pre‑26 May 2023 contracts and the reference index for later agreements.
- Catalonia intensified market intervention by extending caps to seasonal rentals and is preparing a first‑quarter proposal to curb purchases for investment using fiscal and planning tools, a plan that has drawn pushback from property groups.
- Andalusia reported about 22,700 housing starts between January and September 2025 and will implement a new regional housing law on January 24 to expand affordable supply, free up land, streamline approvals and bolster legal certainty for owners.