Post on 23-Feb-2023
MARKET REPORT 2019-20 · SPAIN AND ANDORRA
INDEX
05 Editor’s Note
16 Real Estate Market Trend in Spain
132 Andorra
06 World Economic
Outlook
Real Estate in Spain
Editor’s Note | 5
EDITOR’S NOTE
Juan-Galo Macià
The balance sheet of the real estate sector in 2019 did
not meet expectations. Although it was not a bad year,
political and economic uncertainty aff the housing
market, causing a drop in home sales in June and July,
when a new mortgage law came into full eff
Housing prices rose by 4% while sales dropped by 3,3%.
The belief among many Spanish households that
economy would soon undergo a recession, strongly
contributed to this decrease in sales. However, no such
recession took place in 2019 and no international organi-
zation believes one will aff our country before the
conclusion of this report.
Generally speaking, my current view is no diff than
the one I held last year. It is my opinion that the
housing market in Spain is still in its expansionary phase.
Nevertheless, within a phase of expansion there are some
fl with periods that are excellent, others that
are good, and some that are simply stable, the latter
of which would apply to 2019, and, according to our
forecast, to 2020. I disagree with the analysts who think
we are now approaching the transition from expansion
Juan-Galo Macià
CEO of Engel & Völkers in Spain, Portugal and Andorra
to recession. Interest rates are lower than at any period
in modern history, while banks are especially
willing to grant credit. a great formula for a strong
preventative medicine.
That being said, in 2020 the behavior will be
diff than in previous years. It is possible that big
capital, which was the driving force behind the market's
improvement, will no longer be so and that economic
uncertainty will cause investment to be withdrawn. The
demand for investment will therefore be lower than in
previous years.
At Engel & Völkers, we are ready to face the future of
real estate with confi and strength. As a well-or-
ganized company, we are more than capable of adapting
to the shifting tides. Whereas before we enjoyed smooth
sailing, this year we will be pushing forward of our own
accord. Our dedication to ensuring client satisfaction is
what will continue to achieve the excellent results we
value. The demand for housing has not disappeared, it
has simply changed. Fortunately, we possess the expertise
required to accomodate the needs of our potential clients.
6 | Market Report 2019-20 Spain and Andorra
Current Situation
Global Economy
In 2020, the world economy will maintain its moderate
growth rate of 2-3%, against 2.9% from last year. Its
development will be heavily conditioned by the impact
from the coronavirus, counteracting positive factors such
as the easing of commercial tensions between the United
States and China, an orderly Brexit, and an accommoda-
tive monetary policy.
International organizations warn that the situation is fra-
gile, and advocate extreme caution with regards to the
full extent of the epidemic which started in China. Both
the International Monetary Fund (IMF) and the Organi-
sation for Economic Cooperation and Development
(OECD) have assessed the downward trends in their eco-
nomic forecasts for 2020. The IMF has announced that
the economic growth could decrease by 0.1%
and 0.2% as a result of the extent. The OECD
has warned that the growth of the world economy could
be reduced by 1.5% in 2020, which is half of what was
forecast last November, if the epidemic is not stopped.
The impact caused by the coronavirus will aff all
regions. The United States is the only developed country
that will reach a growth of 1.9% to 2%, whereas the euro
zone will not reach 1%, and Japan will see no growth at
all, and might even enter a recession. Regarding China,
a decrease from around 6% to less than 5% is predicted.
In any case, the world economy will be capable of a swift
recovery and see its growth increase by more than 3% in
2021. This will happen if the virus is successfully con-
tained and if tax or monetary measures are implemented.
Although monetary policy remains expansionary, extraor-
dinary measures by the central banks, such as
maintaining fi costs at a minimum and injecting
liquidity, are not ruled out.
GDP Growth
4,5
4
3.5
3
Percentage Variation %
2.5 2011 12 13 14
15 16 17
18 19
20 21
22 23 24
Grupo de Cuatro World
Source: IMF Footnote. Grupo de Cuatro = China, eurozone, Japan and US
World Economic Outlook | 7
Spain’s Economy
A low growth profi marked by global economic uncer-
tainties for the better part of 2020, will condition the
development of economy. According to forecasts,
it will grow from around 1.5%-1.6%, against 2% in 2019.
The external sector will stop contributing to
growth due to deteriorating world trade. Export will be
weakened while imports will increase at a rate consistent
with the demand, but not lesser than the demand, which
is what happened in 2019.
The lower growth rate will also be conditioned by dete-
rioration in the internal sector. We are expecting to see a
decline in investment and public consumption. While we
can count on an upturn in some areas of private consump-
tion, it will not be sufficient to compensate for the degree
of moderation expected with regards to the domestic
demand.
The impact of the coronavirus on the economy could
result in the downturn hitting its lowest point by the
middle of the year. In the second half of the year, we will
see a rebound in activity as a consequence of the impro-
vement expected in the exterior sector, which will entail
greater growth in the Growth Domestic Product (GDP),
ranging between 1.7% and 1.9% in 2021.
The Evolution of the GDP in Spain
Inter-annual variation %
5
0
-5
Source: INE (National Statistics Institute)
National and External Demand
Contribution to annual growth in terms of GDP volume
6
4
2
0
-2
-4
-6
-8
-10
-8,2
4,0
0,4
-0,1
2,2
-5,3
1,9
-0,9
4,3
-0,1
1,5
1,0
3,1
-0,9
1,8 1,2
0,6 0,1
2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019
2007
T3
2007
T4
2008
T1
2008
T2
2008
T3
2008
T4
2009
T1
2009
T2
2009
T3
2009
T4
2010
T1
2010
T2
2010
T3
2010
T4
2011
T1
2011
T2
2011
T3
2011
T4
2012
T1
2012
T2
2012
T3
2012
T4
2013
T1
2013
T2
2013
T3
2013
T4
2014
T1
2014
T2
2014
T3
2014
T4
2015
T1
2015
T2
2015
T3
2015
T4
2016
T1
2016
T2
2016
T3
2016
T4
2017
T1
2017
T2
2017
T3
2017
T4
2018
T1
2018
T2
2018
T3
2018
T4
2019
T1
2019
T2
2019
T3
2019
T4
8 | Market Report 2019-20 Spain and Andorra
Domestic Demand Foreign Demand Source: INE (National Statistics Institute)
World Economic Outlook | 9
Infl could recover this year at an inter-annual rate
of around 1.3% by December. However the impact of the
coronavirus on the economy and on the price of petrol,
will be stronger in the fi part of the year, giving an
average annual rate of 0.8%.
The lower dynamics of the economy will also be refl -
ted in the labor market. The creation of employment will
slow down, even though more than 800,000 net jobs will
be generated in the next three years. This year the rate
of unemployment will decrease to around 13.5% and in
2021 to 12.3%.
The main problem for the Spanish economy continues
to be the public defi whose reduction will be minimal
during this period, remaining well above the target. The
public debt is also concerning, as it is above 95% of the
GDP, causing the price of financing to rise should interest
rates become normalized.
Rate of Inflation in Spain
Year-on-year change %
1,5
0
1,5
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan 2020
Source: INE (National Statistics Institute)
Unemployment Rate in Spain
%
28
7
Source: INE (National Statistics Institute)
1,3
1,1 1,0
1,1
0,8 0,5 0,8 0,4
0,3 0,4
0,1 0,1
2007
T3
2007
T4
2008
T1
2008
T2
2008
T3
2008
T4
2009
T1
2009
T2
2009
T3
2009
T4
2010
T1
2010
T2
2010
T3
2010
T4
2011
T1
2011
T2
2011
T3
2011
T4
2012
T1
2012
T2
2012
T3
2012
T4
2013
T1
2013
T2
2013
T3
2013
T4
2014
T1
2014
T2
2014
T3
2014
T4
2015
T1
2015
T2
2015
T3
2015
T4
2016
T1
2016
T2
2016
T3
2016
T4
2017
T1
2017
T2
2017
T3
2017
T4
2018
T1
2018
T2
2018
T3
2018
T4
2019
T1
2019
T2
2019
T3
2019
T4
Seal Estate in Spain | 9
Current Situation
In the context of an economic slowdown after 5 years of
consecutive growth, the real estate market showed the
first signs of decline in 2019. Data from the National
Statistics Institute (INE) register a drop in sales by 3.3%
compared to last year, with a total of 501,085 operations
completed. Prices have maintained an upward trend,
although at lesser intervals than in the last three years.
Along with the economic and political uncertainty, the
real estate sector was aff last year by the changes
implemented to regulate rent and enforce the Real Estate
Credit Law. Experts think these factors will cease to have
further repercussions in the market once agents become
accustomed to the new environment.
Therefore the real estate market foresees a favorable evo-
lution this year, but with regards to prices and sales, the
pace of progress will be moderate, and we will also see
a progressive adjustment.
Historically, the development of the real estate sector
paralleled the economic cycle. In the current deceleration
phase, we can expect moderate growth in the following
years. In any case, analysts see the risk of a real estate
bubble given that current prices are still below those rea-
ched during the crisis by 20%.
Number of Registered Home Sales
In the thousands
2015 2016 2017 2018 2019
New Used
501,1
467,6
405,4
355,6
426,3 408,2 384,4
330,3 278,6
77,0 75,1 83,2 91,7 92,9
Real Estate Sector in Spain
10 | Market Report 2019-20 Spain and Andorra
DIC
-18
EN
E-1
9
FE
B-1
9
MA
R-1
9
AB
R-1
9
MA
Y-1
9
JUN
-19
JUL
-19
AG
O-1
9
SE
P-1
9
OC
T-1
9
NO
V-1
9
DIC
-19
Financing
The interest rates and fi conditions will continue
to be favorable for a prolonged period due to policies set
forth by the European Central Bank. Experts predict
a rise in interest rates during the second half of 2021. In
fact, the market is awaiting a revision of the mone-
tary policy strategy, predicted to be fi during the
aforementioned period.
2019 was the fourth consecutive year of nega-
tive growth, which is not forecasted to rise above 0%
within the next two years. Its lowest point was recorded
last August to have an average of -0.356%, after which
it rose by the end of the year to an average of -0.261%.
Taking the last 12 months as a reference, the index regis-
tered a drop of -0.132 points. This meant that 30-year
mortgages of 150,000 euros, with a Euribor differential of
+0.99%, which will need a revision, undersold by 104.64
euros for its annual payment compared to the same month
last year, or, in other words, by 8.72 euros a month.
By midyear, the slow upward trend could cause
mortgages to become more expensive if they are revised,
as the rates in 2020 will not be as negative as in 2019.
Last Year’s Euribor
0,00%
-0,05%
-0,10%
-0,15%
-0,20%
-0,25% -0,261% -0,30% -0,35% -0,40% -0,45% -0,50%
Source: Bank of Spain
Seal Estate in Spain | 11
Financial Position of Spanish Households
Spanish families currently enjoy a healthy economic stan-
ding. The net wealth of households, obtained by deducting
fi liabilities from total assets, was at 1.57 trillion
euros in the third quarter of last year. This fi marks
a historical high point, representing a 7.1% increase com-
pared to the same period from the year before. It is equal
to 127.4% of gross domestic product. The ratio
between the two amounts shows an increase of 4.1 per-
centage points against the previous year.
According to data from the Bank of Spain, the balance of
financial assets from Spanish homes reached 2.33 trillion
euros, which is 4.7% more than the previous year. This
increase was the result of a net acquisition of 53 billion
in fi assets, due primarily to a rise in the price of
equity assets. Regarding the GDP, financial assets of Spa-
nish households constituted 189.4% at the end of the third
quarter in 2019, an increase of 1.8 points compared to the
Furthermore, in the third quarter of 2019, according to the
National Statistics Institute (INE), the household savings
rate was at 6.4%, removing seasonal and calendar effects.
This figure is 1.4 points less than in the previous quarter.
Spanish households spent more than they earned, and, not
including seasonal effects, families in Spain registered
savings at -1.3% of their disposable income. Between July
and September, household disposable income amounted
to 176,055 million euros, a 3.1% increase, while expendi-
tures rose by 2.5% up to 177,132 million.
Household Savings
Percentage of Quarterly Gross Disposable Income
Corrections of Seasonal and Calendar Effects
15
12,1
year before. The bulk of household fi assets was 10
in cash and deposits (39% of the total), followed by equity
holdings (27%), pension funds and insurance (17%), and 5
mutual fund shares (14%).
0
On the other hand, household debt stood at 708,499
million between July and September 2019, in line with -5
10,7
5,3
8,9
4,3
6,2 7,0
5,4
6,4
what was recorded in the same period in 2018. This level
of debt accounts for 57.4% of the GDP, a long way from
the 85% registered in 2010.
2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019
Source: INE (National Statistics Institute)
Property Ownership of Spanish Families
(Data in a million of millions of euros)
8
7
4
3
2 1,57
1
0 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019
6
5
5,463
12 | Market Report 2019-20 Spain and Andorra
Net Financial Wealth Real Estate Wealth
Source: Engel & Völkers with information from the Bank of Spain and Inverco
Seal Estate in Spain | 13
Price Development
In line with a curbed demand, last prices saw a
moderated growth. The appraised price of free housing in
2019 amounted to 1,653 euros/sqm, constituting a 2.1%
increase, the slowest growth rate registered in the last three
years, according to data from the Ministry of Transport,
Mobility and Urban Agenda. This amount is the highest
seen since the last quarter of 2011, but it is also slightly
more than 20% lower than the maximum reached in 2008,
when the real estate boom was in full swing.
The regions which registered the greatest increase in pri-
ces were the Balearic Islands (6.7%), Navarre (6.1%) and
Madrid (4.9%), whereas the largest decrease took place
in Cantabria (-2.2%), La Rioja (-1.9%), Extremadura
(-1.2%), Asturias (-0.5%), Murcia (-0.3%), and Castilla
La Mancha (-0.2%).
By province, again the Balearic Islands, Navarre and
Madrid showed the most growth, along with Valencia
(4.1%), Las Palmas (3.8%) and Biscay (3.5%). The lar-
The 10 most expensive
municipalities in Spain
(euros/sqm)
gest decrease by province took place in Soria (-8.7%),
Palencia (-7.8%), Lleida and Cáceres (both by -2.8%)
and Albacete (-2.6%).
Regarding municipalities with more than 25,000 inhabi-
tants, the highest prices were seen in San Sebastián, Ibiza
and Santa Eulalia del Río (Ibiza), all of which were above
3,700 euros/sqm.
In turn, the latest available data from the INE's Housing
Price Index (HPI) (which refers to house purchases)
corresponding to the third quarter of 2019 showed an
annual increase of 4.7%, six tenths less than in the pre-
vious quarter and the lowest annual percentage in the last
three years. By type of housing, both the annual rates for
new and second-hand housing decreased six tenths as
compared with the previous quarter, standing at 6.6%
and 4.4%, respectively.
Source: Ministry of Development
San Sebastián 3.811,1
Ibiza 3.809,9
Santa Eulalia del Río 3.711,5
Sant Cugat del Vallès 3.474,6
Barcelona 3.387,4
Madrid 3.332,9
Pozuelo de Alarcón 3.322,1
Castelldefels 3.191,7
Calvià 3.126,4
Majadahonda 3.033,3
14 | Market Report 2019-20 Spain and Andorra
IPV Annual Rate
General index, new and second-hand property. Percentage
10,4
6,3
7,0
6,8
7,2
8,0
6,6
6,8
7,2
6,6
5,7 5,7 6,1 6,4 6,2 5,3
5,0
4,7
4,4
General Index New-builds Second-hand
Source: INE (National Statistics Institute)
Experts point out that both prices and sales should see a
decline in the following years, but without dropping by a
significant amount except in certain urban centres with
overvalued housing markets. One forecast is based on the
fact that price levels, indebtedness, and the financial effort
of Spanish families, are still moderate.
Average property price per square metre (€/sqm)
2.200
2.000
1.800
1.600
1.400
1.200
2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019
Source: The Ministry of Development
T1 T2 T3 T4 T1 T2
2019
T3
2018
T1
T2
T3
T4
T1
T2
T3
T4
T1
T2
T3
T4
T1
T2
T3
T4
T1
T2
T3
T4
T1
T2
T3
T4
T1
T2
T3
T4
T1
T2
T3
T4
T1
T2
T3
T4
T1
T2
T3
T4
T1
T2
T3
T4
T1
T2
T3
T4
T1
T2
T3
T4
T1
T2
T3
T4
T1
T2
T3
T4
Seal Estate in Spain | 15
Mortgages and Purchases
The new Mortgage Law that came into force last June
marked an important development in mortgages in 2019.
The eff of the law were felt in August and September
even as the market returned to normal. In fact, the num-
ber of home mortgages transacted shot up by 43%, rea-
ching 30,285 in the last month of the year, according to
the provisional fi from the National Statistics Ins- titute
(INE). This means that a total of 357,720 home
mortgages were secured during the last period, a 2.7%
increase compared to 2018. The increase was the lowest
seen since 2014, although this is the sixth consecutive
year of growth and the best annual turnout since 2011.
The average value of signed mortgages amounted to
125,007 euros, 0.6% more than in 2018, while capital
loans from fi institutions reached 44,717 million
euros, a 3.3% increase. The communities with the highest
number of home mortgages in 2019 were in the Commu-
nity of Madrid (69,616), Andalusia (67,845) and Cata-
lonia (57,787). The most amount of loans were given in
these communities for mortgages.
Fixed-term mortgages are gaining ground. In December
they constituted 44% of all mortgages compared to 41.4%
in the same period of the year before. The average rate
of interest for mortgages at the end of last year was 2.20%
for variable rates (a 9.1% decrease), and 3.06% for fi ed
rates (a 2.6% increase).
For their part, the Association of Property Registrars
shows that the average contract period of mortgages is
279 months (23 years and three months), a decrease of
about 2.11%. The average monthly mortgage payment
in the fourth quarter of 2019 was 604.09 euros. The effort
made by Spanish households to pay off their mortgages
and interest rates reached around 31% of their disposable
income, which is lower than what was seen in 2008, when
it amounted to over 50%.
The highest average of monthly mortgage payments were
registered in the Balearic Islands (924.04 euros), the
Community of Madrid (876.69 euros) and the Basque
Country (636.24 euros).
1.600.000
1.400.000
1.200.000
1.000.000
800.000
600.000
400.000
200.000
0
Registered Home Mortgages
2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019
Source: INE (National Statistics Institute)
16 | Market Report 2019-20 Spain and Andorra
-2,4 %
-4,9 %
-7,5 %
-14 %
0,5 %
7,5 %
-3,3 %
2,5 %
1,2 %
-10,9 %
-0,3 %
After five years of growth, the buying and selling of homes
declined last period by 3.3% to 501,085 purchases, accor-
ding to the INE. This decline is due to the contracting of
second-hand flats, which fell by 4.2%, while sales of new
homes increased by 1.2% to a total of 92,844, thus accu-
mulating three consecutive years of growth. All in all, the
2019 sales figure is the fourth best in the last 13 years.
Here are the percentages by autonomous community: Cas-
tilla La Mancha (7.5%), Extremadura (5.7 %) and La Rioja
(3,1 %) registered the highest increase in buying and
selling, whereas the most pronounced decline was seen in
the Canary Islands (-14 %), the Balearic Islands (-10,9 %),
and Navarre Navarra (-9,7 %). Andalucía was the region
with the highest number of homes bought and sold
(100.339 transactions), followed by Catalonia (79,751),
the Valencian Community (74,910) and Madrid (70,835).
The latest figures for the third quarter of 2019, taken from
the Ministry of Development, show a drop in buying and
selling by 4% to a total of 411,234 homes sold.
Registered property sales based
on the buyer’s nationality
Year 2019
Source: Spanish Association of Registrar
Property Purchase by Autonomous Communities
Andalusia
Cataonia
Valencian Community
Community of Madrid
Canary Islands
Castile and León
Castilla-La Mancha
Basque Country
Galicia
Region of Murcia
Balearic Islands
Aragon
Principality ofAsturias
Extremadura
Cantabria Chartered Community
of Navarre La Rioja
0
10.000
20.000
30.000
40.000
50.000
60.000
70.000
80.000
90.000
-1,1 %
National Total
2014 347.170 2015 383.107 2016 436.574 2017 509.847 2018 410.883 2019 501.085
100.000
Source: INE (National Statistics Institute)
Nationalities % % Foreigners
United Kingdom 1,74 13,94
France 0,98 7,85
Germany 0,89 7,12
Morocco 0,77 6,17
Belgium 0,73 5,83
Romania 0,73 5,87
Italy 0,64 5,13
Sweden 0,56 4,48
China 0,49 3,97
Russia 0,40 3,20
Holand 0,34 2,74
Norway 0,23 1,87
Polond 0,20 1,63
Ukraine 0,19 1,56
Algeria 0,18 1,43
Ireland 0,16 1,30
Bulgaria 0,14 1,12
Denmark 0,12 0,96
Switzerland 0,11 0,87
Other 2,86 22,96
Foreigners 12,45% 100,00%
Nationalities 87,55% TOTAL 100,00%
Real Estate Market Trend Residencial Español | 17
Spanish
Residential Market
18 COMMUNITY OF MADRID
Madrid
Surroundings
34
CATALONIA
Barcelona
Surroundings
Costa Brava
Tarragona
Cerdanya
66
VALENCIAN COMMUNITY
Valencia
Castellón
Alicante - Costa Blanca
84
ANDALUSIA
Costa del Sol
92
NORTHEAST REGION IN SPAIN
Galicia
Asturias
Castile and León
102
NORTHERN REGION IN SPAIN
Basque Country
Navarre
112
CANARY ISLANDS
Tenerife
116
BALEARIC ISLANDS
Mallorca
Menorca
Ibiza
122
NEW BUILDS
18 | Market Report 2019-20 Spain and Andorra
Community of Madrid
Madrid
3.226.126
38.224 €
30.094 €
3.732 €/m²
+1,3 %
Population or Number of Inhabitants
Average Gross Income
Disposable Income
Average Price 2019
Interannual Variation
The Spanish capital is the leader in attracting foreign
investments in the country. Madrid ranks as the fourth
most attractive destination in Europe for investing in
real estate, according to Emerging Trends in Real
Estate Europe in 2019 by ULI and PwC. One of every
five companies created in Spain has their offi in
Madrid, and 72% of the 2,000 main Spanish compa-
nies have their head offi in the city.
The entry into force of the new mortgage law along
with the moderation of economic growth have altered
the demand for homes in the whole country. In Madrid,
while the real estate market remains strong with pen-
ding urban developments such as Madrid Nuevo Norte
(The New North Madrid), or the Programa de Actua-
ción Urbanística (Urban Action Program) in southeast
Madrid. In the third quarter of 2019, housing sales in
the Community of Madrid reached 17,427 units, a
decrease by 3.57% compared to the same quarter the
year before, according to data from the Spanish pro-
perty registry.
Prices maintained some stability over the past year,
with increases of less than 5%. Forecasts from Engel
& Völkers point to sustainable growth throughout 2020
with similar spikes in areas where there is still room
for improvement and a correction in those that have
experienced strong increases. Despite their upward
trend, prices are still far from the highest point recor-
ded in 2007, about 33% below.
The Community of Madrid registers the highest bank
debt per square metre in the country. According to the
Spanish Association of Property Registrars, the debt
reached 1,985 euros / sqm in the third quarter of 2019.
Madrid also holds the greatest amount of home mort-
gage debt, reaching a sum of 202,426 euros / sqm. Its
longest average for periods of new mortgage contracts
was 307 months, 25 years and 7 months. The region
also holds the highest monthly mortgage rates, with an
average of 873.90 euros in the middle of last year.
With regards to the average time to sell a property, the
fi has fallen over the last four years from an ave- rage
of 6.4 months required to sell a property to 3.6
months at present. This fi is well below the 8.2
months that Tinsa has on average in Spain.
According to Tinsa, the average gross return on a home
for rent in the capital stands at 4.4%, although this
percentage varies considerably depending on the
district.
Real Estate Market Trend · Community of Madrid | 19
Districts in the City of Madrid
Fuencarral - El Pardo
Hortaleza
Barajas
Moncloa - Aravaca
Tetuán
Chamberí
Centro
Chamartín
Salamanca
Retiro
Ciudad Lineal
Moratalaz
San Blas
Latina
Carabanchel
Arganzuela
Usera
Puente
de Vallecas
Vicálvaro
Villa de Vallecas
Villaverde
Prices in euros / sqm
1.000
1.500
2.000
2.500
3.000
3.500
4.000
4.500
5.000
5.500
6.000 - - - - - - - - - - -
1.500 2.000 2.500 3.000 3.500 4.000 4.500 5.000 5.500 6.000 6.500
Salamanca 6.370 Hortaleza 3.800 Carabanchel 2.825
Retiro 5.150 Moncloa - Aravaca 3.660 Villa de Vallecas 2.430
Centro 5.105 Arganzuela 3.585 Usera 2.170
Chamberí 5.095 Barajas 3.350 Moratalaz 2.040
Chamartín 4.725 San Blas 3.095 Puente de Vallecas 1.895
Ciudad Lineal 3.905 Latina 3.035 Vicálvaro 1.645
Tetuán 3.895 Fuencarral - El Pardo 2.960
20 | Market Report 2019-20 Spain and Andorra
Centro and Arganzuela
The urban planning modifi carried out in the cen-
tral district were decisive for the signifi increase in
prices recorded in previous years. The expectation crea-
ted by the Canalejas complex and the pedestrianization
of the Gran Vía boosted the average price of the district
to 5,170 euros / sqm at the close of 2018. Since then the
price fell by 1.3% in 2019 to around 5,100 euros / sqm.
The neighborhoods closest to these projects-----Sol and
Universidad-----is where a small decline was seen in the
last year, whereas in other areas, such as Palacio and
Justicia, we saw a slight increase in prices of second-
hand homes.
The housing typology in highest demand are apartments
with more than two rooms, and a surface area between
80 and 150 sqm. Spanish clients constitute 68% of pur-
chases compared to 32% of foreigners, among which the
majority are from Venezuela, France, Italy, the US,
England and China. Looking at purchases according to
the nationality helps determine their motives.
50% of them seek a primary residence, 40% are making
an investment, and only 10% of the purchases are for a
second residence.
In Arganzuela, buyers tend to be Spanish families, cons-
tituting 90% of all transactions. Among the 10% of
foreign clients, it is worth pointing out that the Chinese
clients comprise the majority.
Palos de Moguer and Acacias are the neighborhoods in
highest demand, along with the residential area known
as Metales, where most fl complexes are new gated
housing projects offering community spaces such as pools
and gardens. Younger clients still prefer the area closest
to the Matadero because it is well connected and off
a variety of services.
Property Prices inCentro and Arganzuela
(Data in euros / sqm)
District by district
Minimum Maximum Average
Justicia 4.496 7.826 5.524
Cortes 4.324 6.915 5.261
Embajadores 3.089 5.123 4.082
Universidad 3.825 5.783 4.529
Palacio 4.102 6.520 4.901
Sol 4.493 4.500 4.400
Acacias 4.100 5.090 4.595
Palos de Moguer 3.125 4.529 4.017
Latina 2.938 3.692 3.034
Carabanchel 2.400 2.934 2.826
Real Estate Market Trend · Community of Madrid | 21
Retiro Salamanca
In 2019, the average price of the six neighborhoods com-
prising the Retiro district, surpassed 4,000 euros / sqm.
The top two were Jerónimos and Ibiza, both of them in
high demand due to their excellent location in front of
the most iconic park.
The buyer profi in 2019 became more international. If
in 2018, the ratio of clients was 90% Spanish and 10%
foreign, in 2019, we found that 70% of the buyers to be
Spanish, and 30% international, the majority of which
came from Mexico.
The stately street known as Alfonso XII is the main artery
of the Jerónimos neighborhood, and it continues to be
preferred by foreigners with a high purchasing power,
who seek houses with an area larger than 200 sqm, in
classical buildings. Meanwhile, wealthy Spanish families
opt for the neighborhoods Ibiza and Niño Jesús.
The 20.000 euros / sqm reached in the most exclusive
areas of the district highlight both the buyer profi and
the desired housing typology, in two of the most charac-
teristic neighborhoods in Salamanca: Recoletos and Cas-
tellana. Capacious and luxurious homes whose operations
are carried out by Spanish families and foreigners, both
with high purchasing power, in a ratio of 60% to 40%,
respectively.
However, other neighborhoods in the district, such as
Guindalera, offer more affordable prices, with an average
of about 4.440 euros / sqm. These neighborhoods join
the revival which Fuente del Berro already experienced
in previous periods.
After the surge of Venezuelans buying property in the dis-
trict for the past few years, in 2019 we saw that
now the main people doing the selling. Mexicans continue
to purchase homes with a surface area of around 120 sqm.
Property Prices in Retiro
(Data in euros / sqm)
Property Prices in Salamanca
(Data in euros / sqm)
Minimum Maximum Average
Jerónimos 4.750 9.580 7.520
Ibiza 5.470 6.521 5.890
Pacífico 3.900 4.280 4.120
Niño Jesús 4.543 4.831 4.687
Adelfas 3.909 4.347 4.189
Estrella 3.697 4.472 4.136
Minimum Maximum Average
Goya 3.740 8.155 6.300
Lista 3.378 7.745 6.299
Castellana 4.360 21.420 7.664
Recoletos 4.575 23.850 8.959
Guindalera 2.480 6.580 4.441
Fuente del Berro 2.170 9.400 4.545
22 | Market Report 2019-20 Spain and Andorra
Chamartín Chamberí
Homes of around 145 square metres distributed among
three bedrooms are typically in high demand in the
fi district. 80% of all purchases are carried out by
Spanish clients compared to the 20% by foreigners. Of
the latter, last year we saw a notable rise in transactions
involving Mexicans and North Americans.
Buyers mainly look for a main residence 84% of the time,
which they acquire using their own resources and through
fi Then a meager 8% of the purchases are for
investment purposes, and another 8% of buyers seek a
second residence.
Due to the excellent ratio of quality to price found in the
properties, this district boasts some of the most coveted
residential areas in the city centre, such as El Viso, Nueva
España, and Hispanoamérica.
In 2019 we saw a drop in prices by around 2% with a
volume of operations similar to the previous period. It
is worth pointing out that most sales were made for
properties under a million euros. 85% of the purchases
were carried out by Spaniards looking for 145 sqm
homes, with three bedrooms, preferably penthouses.
60% of the buyers fi their homes with mortgages
compared to 40% using their own resources. 15% of
the international clients, made up of primarily Venezue-
lans, French, Belgians, and Mexicans, sought remode-
led properties in classical buildings at prime locations
like Almagro, Trafalgar and Ríos Rosas.
Of these three aforementioned neighborhoods, the
second and third have become the most highly deman-
ded due to their slightly greater degree of aff
in comparison to the fi Therefore, the average price
in Almagro surpasses 5,500 euros / sqm, while Trafalgar
and Ríos Rosas remain beneath this fi re, with a diffe-
rence of little more than the 4,000 euros / sqm charged
in Vallehermoso.
Property Prices in Chamberí
(Data in euros / sqm)
Property Prices in Chamartín
(Data in euros / sqm)
Minimum Maximum Average
Viso 2.889 7.417 5.273
Nueva España 2.941 5.548 4.652
Hispanoamérica 3.596 6.898 4.694
Castilla 2.800 5.618 4.711
Prosperidad 1.335 5.309 4.452
Ciudad Jardín 3.800 5.206 4.591
Minimum Maximum Average
Almagro 4.095 7.100 5.598
Trafalgar 3.352 5.120 4.236
Ríos Rosas 3.215 5.210 4.213
Arapiles 3.021 5.500 4.261
Gaztambide 3.410 5.212 4.311
Vallehermoso 3.220 5.115 4.168
Argüelles /Moncloa 2.825 5.520 4.173
Real Estate Market Trend · Community of Madrid | 23
Tetuán Fuencarral
In the adjacent district known as Tetuan, Cuatro Caminos
is the area claiming the highest demand. It is in fact quite
similar to Castillejos in both the type of properties off
and the price range.
Then you have Valdeacederas, Almenara and Berruguete
undergoing a rising trend due to their proximity to the
Caleido Tower, fifth skyscraper. Their average
price stands below 3,300-3,500 euros / sqm.
The housing typology in highest demand is a fl with three
bedrooms distributed over an area of 180 sqm. These fl
are usually fi with a mortgage and purchased to be
used as primary residences.
The residential neighborhoods comprising nor-
theast region, are in great demand by families interested
in spacious homes with an area greater than 120 sqm
distributed among at least three bedrooms. However, the
type of property varies according to the nationality of the
client. While Spaniards prefer flats, foreigners seek either
terraced or single-family homes.
Property Prices in Tetuán
(Data in euros / sqm)
We have seen a lot of foreigners joining the common
buyer purchasing in Mirasierra, most of whom are Ger-
mans moved to Madrid since the German
College was established in Montecarmelo. Fuencarral
is a young district which, aside from its German com-
munity, attracts families with children that are younger
than in areas such as Mirasierra, Fuentelarreina or the
neighborhood known as El Pilar.
Peñagrande is also a good option for the young buyer,
especially after the major renovation carried out, so that
it now off terraced and single-family units at aff -
dable prices.
Property Prices in Fuencarral
(Data in euros / sqm)
Minimum Maximum Average
Mirasierra 2.650 4.259 2.960
Montecarmelo 3.351 4.606 4.192
Peñagrande 2.261 4.500 3.380
Fuentelarreina 2.727 3.292 3.000
La Paz 2.600 4.600 3.600
El Pilar 2.200 4.200 3.200
Minimum Maximum Average
Cuatro Caminos 5.800 3.200 4.500
Castillejos 5.800 3.200 4.500
Bellas Vistas 4.100 2.900 3.500
Valdeacederas 4.400 2.700 3.550
Almenara 4.500 2.100 3.300
Berruguete 4.300 2.300 3.300
24 | Market Report 2019-20 Spain and Andorra
Moncloa - Aravaca
Even though Spaniard comprise 85% of all purchases,
more and more clients buying in this district are interna-
tional. Of the remaining 15% who are international
buyers, the main nationalities we fi are Venezuelans,
Mexicans, and a growing presence of French and Bel-
gians in Moncloa-Arguelles, along with some Chinese.
The kind of property preferred by all of them are ample
homes with four bedrooms, in fl with more than 150 sqm
of surface area, or detached houses of around 300 sqm.
Specifi in the prestigious area known as Puerta de Hie- rro,
Spanish families tend to prefer fl whereas foreigners opt for
semi-detached, terraced, and single-family units.
Argüelles holds its status as the most premium area in
Moncloa, with prices reaching 6,000 euros / sqm. It is
located by the emblematic places like Parque del Oeste
and Temple of Debod.
In Aravaca and in the housing project called El Plantío,
maximum prices have remained at around 7,800 euros /
sqm, although a slight decline in the average price has
been registered in purchases.
Property Prices in Moncloa - Aravaca
(Data in euros / sqm)
Minimum Maximum Average
Argüelles 3.532 6.109 4.815
Ciudad Universitaria 2.856 3.225 3.041
Valdemarín 2.091 7.375 4.465
Aravaca 1.803 7.754 3.790
El Plantío --- La Florida 1.250 7.800 2.693
Puerta de Hierro 1.751 3.785 2.900
Real Estate Market Trend · Community of Madrid | 25
Ciudad Lineal Hortaleza
Although It is one of the largest in Madrid, a unique
feature is that the entire district is structured around one
street: Arturo Soria, the main artery running through
several highly diff areas.
In the northern area you can find neighborhoods resisting
depreciation, such as Costillares, Atalaya, Colina and San
Pascual, where the average price stands at around 4,000
euros / sqm. While during the crisis in the previous decade,
these areas took the longest to suffer from lowering prices,
they were also the first to go up during the recovery.
Quintana, Ventas and Pueblo Nuevo are located in the
southern area, where average prices approach around
2,000 euros / sqm, with the neighborhood Concepción
representing the intermediate area with regards to both
price and the type of property.
In 2019 Ciudad Lineal experienced a large volume of
sales whose average prices have stayed the same in an
environment of light decline. The properties built are of
high quality and the abundance of trees and
green spaces make Ciudad Lineal one of the most inte-
resting areas in Madrid for investment.
Property Prices in Ciudad Lineal
(Data in euros / sqm)
Hortaleza is a very extensive district to the west of
Madrid, in which you can see numerous contrasts
between the types of homes and the profiles of inves-
tors. With prime areas like Piovera, where you find
extremely high-quality buildings and excellent services,
you also get affordable prices in neighborhoods like
Santiago Apóstol.
Palomas represents one of the most valued areas in the
district. Its prices are more moderate than in Piovera, but
with high quality homes. For their part, Canillas, Pinar
del Rey and Santiago Apóstol are attractive neighbor-
hoods to investors. You can fi excellent well-connec-
ted fl to rent out, which allow high returns within the
surrounding M-40 freeway.
Property Prices in Hortaleza
(Data in euros / sqm)
Minimum Maximum Average
Palomas 2.894 4.211 3.553
Piovera 4.125 5.003 4.564
Canillas 2.895 3.189 3.042
Pinar del Rey 2.256 2.784 2.520
Santiago Apóstol 2.199 2.687 2.443
Minimum Maximum Average
Costillares 2.575 5.200 3.888
Atalaya 3.557 4.700 4.129
Colina 2.200 5.417 3.809
San Juan Bautista 3.302 4.117 3.710
San Pascual 2.300 5.123 3.712
Concepción 2.412 4.720 3.566
Quintana 1.923 3.321 2.622
Ventas 1.258 3.050 2.154
Pueblo Nuevo 1.850 2.520 2.185
26 | Market Report 2019-20 Spain and Andorra
Sanchinarro,
Las Tablas and Valdebebas
Barajas - San Blas
Located in the north of Madrid, these districts are largely
comprised of family residential neighborhoods. The constant
growth and high demand kept prices on the rise in 2019, with
Sanchinarro at the top, where the average cost has climbed
by 8% compared to 2018, surpassing 4,000 euros / sqm.
The most sought-after areas in Sanchinarro are closest to
El Corte Inglés mall and to the Sanitas Hospital in La Mora-
leja. The preferred neighborhoods in Las Tablas are closest
to the BBVA and Telefónica offi The demand is not as
high in Valdebebas since it is still undergoing development.
Since these residential neighborhoods are primarily inha-
bited by young Spanish families, the properties in highest
demand have three bedrooms. In Sanchinarro and Las
Tablas, properties are distributed throughout a surface
area ranging between 100 and 130 sqm, and up to 120-
150 sqm in Valdebebas.
About 90% of purchased homes are used as main resi-
dences, while the remaining 10% is for investors. Most
clients require financing, although that has seen a decline
throughout this year, and 10% of the buyers made their
purchase using their own funds, as opposed to the 5%
who did the same in 2018.
Located near airport, these districts off ave-
rage prices at around 3,000 euros, although the costs
can range considerably due to the wide variety of pro-
perties off
Alameda-Barajas are not neighborhoods well-known by
the general public. However, the average price is relati-
vely high compared to similar areas. This is due to their
high demand by people who already reside there, who
value their tranquility, the ample green spaces and superb
public transport.
San Blas is a relatively popular district, whose interesting
development has future prospects. Despite its location
outside of the M-30 freeway, the fact that it is right on
the border makes it attractive, especially with regards to
neighborhoods like El Salvador, where you can find some
outstanding properties, mainly in Rosas and Simancas.
From an investment point of view, Rejas off a great oppor-
tunity in east Madrid. Improvements planned for public
transport in the area promise an upcoming revaluation.
Property Prices in Barajas - San Blas
(Data in euros / sqm)
Property Prices in
Sanchinarro - Las Tablas - Valdebebas
(Data in euros / sqm)
Minimum Maximum Average
Sanchinarro 3.495 4.419 4.110
Las Tablas 3.360 4.270 4.027
Valdebebas 3.560 4.530 4.320
Minimum Maximum Average
Aeropuerto 1.586 1.854 1.720
Alameda de Osuna 3.340 3.485 3.413
Corralejos 1.420 5.000 3.210
Casco Antiguo Barajas 1.827 3.729 2.778
Timón 2.027 3.756 2.892
Rejas 2.260 3.286 2.773
Salvador 3.041 3.272 3.157
Simancas 2.090 2.373 2.232
Real Estate Market Trend · Community of Madrid | 27
Rentals
What makes rent attractive as a vehicle for investment,
mainly in the context of alternative assets with reduced
profi , is the remarkable dynamism of
market. This situation caused an upward trend in prices
in the last few years, but in 2019, the trend came to a halt
in districts with the highest demand.
In the city as a whole, the average price has risen by 5%
to 16.4 euros / sqm, even though in the most popular
districts such as Centro, Salamanca, and Chamberí, a
slight decline was registered, whereas in areas like Mon-
cloa or Chamartín, the increase reached around 6%.
In 2019, the most in-demand home was an apartment
with a surface area of 80-100 sqm, with two bedrooms,
two bathrooms, and a good location.
Engel & Völkers increased its leasing transactions by
20% in the city of Madrid in 2019, a trend they hope to
continue for the rest of the year.
Price of rent in Madrid by districts
(Data in euros / sqm)
Minimum Maximum Average
Centro 9 35 18,7
Salamanca 8,5 38 19,4
Chamartin 8,9 37,5 16,5
Chamberi 8 35 18,2
Moncloa 6,87 24,8 15
Hortaleza 5,5 23,1 12,4
Tetuán 9,25 26,7 16
Retiro 9,1 30 16,6
Noroeste 3,6 24,37 10,38
Norte 3,4 28 12,09
28 | Market Report 2019-20 Spain and Andorra
Madrid’s Surroundings
Pozuelo - Boadilla del Monte
Las Rozas - Majadahonda
La Moraleja
Zona Norte
Algete (Zona Norte)
San Sebastián de los Reyes (Zona Norte)
Cobeña (Zona Norte)
Las Rozas La Moraleja
Paracuellos (Zona Norte)
Majadahonda
Madrid
Boadilla del Monte Pozuelo
Real Estate Market Trend · Community of Madrid | 29
Pozuelo - Boadilla del Monte
Pozuelo de Alarcón and Boadilla del Monte remain the
municipalities with over 20,000 inhabitants and the
highest average of annual income per capita in Spain.
The first of the two, with an income of 25,957 euros per
inhabitant, is divided in two well-differentiated parts: La
Estación and Pueblo, two areas holding the bulk of the
district's services, and both surrounded by exclusive hou-
sing communities. Some of these communities, such as
Somosaguas, Montealina, Monte Gancedo, or Monteclaro,
are in high demand by Spanish families, who constitute
85% of the purchases compared to 15% of foreigners.
Throughout 2019, prices in the municipal centre
showed a notable increase, while the northern area and
the Estación maintained their maximum rates at 7,000
and 8,500 euros / sqm.
Property Prices in Pozuelo de Alarcón
(Data in euros / sqm)
Madrid’s Surroundings
Minimum Maximum Average
Pozuelo Pueblo 1.786 4.853 3.320
Pozuelo Norte 1.800 7.353 3.033
Pozuelo Estacion 2.250 3.800 3.025
Avenida de Europa 1.971 5.611 3.790
Montealina 1.629 4.000 2.531
Prado Largo 1.267 5.000 2.636
Monteclaro 1.513 4.250 3.121
Somosaguas 1.257 12.667 3.196
Prado de Somosaguas 2.130 5.236 3.295
La Finca 1.708 8.264 3.672
30 | Market Report 2019-20 Spain and Andorra
In 2019, the average housing price in Pozuelo de Alar-
cón stood at 3,155 euros / sqm, while in Boadilla del
Monte it stood at 2.416 euros / sqm, and in Villaviciosa
de Odón, at 1.977 euros / sqm, with an increase between
5% and 10%.
The housing typology in Pozuelo can be divided into
two categories: fl between 150 and 200 sqm distribu- ted
among four bedrooms, and spacious detached hou- ses
in green areas. The fi one you fi in Boadilla del Monte
and Villaviciosa de Odón, where you have in-de- mand
housing projects such as Valdecabañas and Mon-
tepríncipe. The second category you have in El Bosque,
where houses have surface areas between 400 and 500
sqm distributed throughout more than 5 bedrooms.
Property Prices in Boadilla del Monte
(Data in euros / sqm)
Property Prices in Villaviciosa de Odón
(Data in euros / sqm)
Minimum Maximum Average
El Bosque 877 3.780 1.821
Centro 566 4.980 2.477
Castillo - Campodon 1.014 3.798 1.781
Minimum Maximum Average
Monteprincipe 1.220 4.087 2.278
Valdepastores - Las Encinas 1.013 6.977 2.391
Bonanza 1.100 3.246 2.015
El Olivar 1.301 3.160 2.043
Las Lomas 781 4.200 2.154
Sector S 1.730 3.400 2.568
Sector B 1.800 3.990 2.965
Centro 1.925 3.681 2.508
Parque Boadilla 903 3.385 1.881
Real Estate Market Trend · Community of Madrid | 31
Las Rozas - Majadahonda
Las Rozas de Madrid is the third municipality in Spain
whose population of over 20,000 people has the highest
income per inhabitant, according to the Urban Indicators,
published by the INE in 2019. It presents a pro-
fi similar to Majadahonda, Villafranca del Castillo and
Villanueva del Pardillo.
In Las Rozas and Majadahonda, Spanish families prima-
rily demand penthouse flats and apartments in the central
area, with a surface area of around 120 sqm, and three
or four bedrooms. Regarding foreigners, buyers from
South America comprise 20% of all purchases in the area,
with a clear preference for capacious stand alone houses.
Property Prices in Las Rozas
(Data in euros / sqm)
The rising prices observed in all of the areas in Maja-
dahonda, is proof that the municipality is one of the most
desirable locations in the northeast of the capital.
Property Prices in Majadahonda - Villafranca
del Castillo - Villanueva del Pardillo
(Data in euros / sqm)
Minimum Maximum Average
Monte del Pilar 1.550 5.200 3.350
Centro 1.500 4.200 3.000
Golf - Carralero 2.300 5.400 3.500
Norte 1.450 4.800 2.900
Carretra del Plantío 1.200 4.800 2.760
Villafranca del Castillo 700 3.200 1.800
Villanueva del Pardillo 765 3.350 2.065
Minimum Maximum Average
Centro 1.200 4.300 2.750
Molino de la Hoz 940 3.700 1.800
Pinar - Punta Galea 900 3.500 1.870
Club de Golf 750 3.500 1.850
La Marazuela 960 4.000 2.450
El Burgo - Abajón 1.650 4.800 2.650
El Cantizal 1.700 4.100 2.900
Monte Rozas 750 3.300 1.950
Las Matas - Peñascales 750 3.500 1.900
32 | Market Report 2019-20 Spain and Andorra
La Moraleja
To the north of Madrid you find one of the most prestigious
districts in the capital. It is composed of three residential
areas: La Moraleja, El Soto de la Moraleja, and Encinar
de los Reyes. They are close to Arroyo de la Vega, where
the offices of various multinacionals are located. You can
find two golf courses, tennis clubs, healthcare and shopping
centres, along with the highest number of private and inter-
national schools in the entire country.
The properties in highest demand are located in El Soto
and El encinar, and they are either terraced or semi-de-
tached housing with a garden, and a surface area of more
than 250sqm distributed throughout four or five bedrooms.
These housing types change to 500 sqm stand-alone
homes in enclosed residential communities, when it
comes to clients seeking homes in La Moraleja.
That said, the average price in La Moraleja, in euros per
square metre, is not elevated for two reasons.
First, there are properties set for demolition, so they are
valued only for the land. Second, large sized homes actua-
lly lower the value of euros to square metre. We see a
wide range of prices according to the residential area,
and even the street.
Regarding Arroyo de la Vega, where the average price
stands at 3,500 euros / sqm and the maximum price does
no reach 5.000 euros / sqm, the most demanded type of
housing is a fl with 180 sqm of surface area, four
bedrooms, plus a balcony or garden. The buyer profi
tends to be Spanish or foreign families, among which we
fi an increase of older married couples whose children
have grown up and live on their own.
Property Prices in La Moraleja
(Data in euros / sqm)
Minimum Maximum Average
El Soto de la Moraleja 3.000 6.000 3.857
Encinar de los Reyes 3.953 6.839 4.577
La Moraleja 2.654 7.000 4.300
Arroyo de la Vega 2.212 4.900 3.500
Real Estate Market Trend · Community of Madrid | 33
Northern Region
In the region furthest to the north of the capital, you can
fi a variety of residential areas. Going beyond the La
Moraleja, we come across attractive modern municipa-
lities like San Sebastián de los Reyes, which is in full
expansion. It is well-connected, and increasingly desired
by young families, due to more aff ble prices when
compared to its neighbor, Alcobendas.
San Agustín de Guadalix has become a favorite desti-
nation for Madrileños wanting to purchase a second
home. Aside from the excellent stock of single-fa-
mily detached homes, and its proximity to the nearby
mountain range, the fl off aff prices, making
the properties an attractive investment to accommodate
the large number of people who work at companies in
the region.
Tres Cantos is a young, 35 year old modern city offering
a wide variety of flats, terraced housing and single-family
units, where Soto de Viñuelas claims the highest stan-
dards. The fact that it is so well-connected to Madrid
makes it desirable for many families, although its rising
prices are directing the interest of potential buyers
towards Colmenar Viejo.
Around the National I freeway, we can fi characteris-
tic residential areas such as Fuente del Fresno, Ciudal-
campo and Santo Domingo. Its single-family houses of
high standing, built in the 70s and 80s on large plots of
land, offer an excellent choice because of their affordable
prices, as opposed to the more modern homes in the area.
Lastly, we have the area known as Paracuellos del
Jarama. At the beginning of the century it saw significant
growth, making it a modern town that is well-organized
and equipped with high-quality properties, popular
among those who work at the airport and at industrial
companies nearby.
Housing price
in the northern region of Madrid
(Data in euros / sqm)
Minimum Maximum Average
San Sebastián de los Reyes 1.250 4.125 2.688
San Agustín de Guadalix 1.589 2.075 1.832
Fuente del Fresno, Ciudalcampo, Santo Domingo 1.798 2.595 2.197
Paracuellos del Jarama 720 3.197 1.959
Tres Cantos 2.150 2.895 2.523
Colmenar Viejo 1.351 1.846 1.599
34 | Market Report 2019-20 Spain and Andorra
Barcelona
1.636.762
37.124 €
29.199 €
4.390 €/m²
-4 %
Population or Number of Inhabitants
Average Gross Income
Disposable Income
Average Price 2019
Interannual Variation
In 2019, the housing market in Barcelona underwent
two diff stages. The fi one, which took place between
January and May, saw a slight increase in pri- ces and
transactions. The second, between June and
December, saw both variables drop considerably. The
outcome at the end of the year was negative, with a
decline in sales volume of new homes by 7% and 4% in
second-hand homes.
Economic, legal and political factors marked the diff -
rence between both stages. On the one hand, the demand
shrank. Many families saw the economic slowdown as a
sign that another crisis was underway. They decided to
postpone acquiring a new home and save their money
instead. On the other hand, the new mortgage laws in
Spain came into full eff in June and July, causing a
large decline in real estate transactions, although the
decrease was temporary.
In Barcelona, an analysis by district allows us to sepa-
rate them according to price changes. The following
districts registered an increase in costs: Nou Barris,
Sant Andreu, Gràcia, Sant Martí y Horta-Guinardó.
Then you have districts that registered a decline: Sarrià-
Sant Gervasi, Les Corts, Eixample, Ciutat Vella and
Sants-Montjuïc.
The trend in the outskirts was quite diff Despite its
unattractive setting, prices and transactions saw a good
increase. Sales costs climbed by 8%, standing at 2,170
euros / sqm.
The rental market in Barcelona remained stable, with
prices staying at 17.7 euros / sqm. This amount does not
include renewed contracts, only new rental agreements.
Diff trends unfolded. Expensive fl saw their pri- ces
get lower, as a consequence of all the tenants with more
purchasing power choosing to stop renting and start
buying. Meanwhile, cheaper fl became a bit more
expensive because of their growing demand. In the
outer area, rent rates rose by 2% to an average price of
10.8 euros / sqm.
In 2020, the price for both new and second-hand homes
will continue its decline in Barcelona, whereas in the rental
market, we will see a changing trend. Prices will undergo a
slight decrease in both the capital and the surrounding nei-
ghborhoods. The main reason will be that young families
switch from renting to buying. This change is owed to the
signifi raise in salaries seen in 2019 and 2020, along with
a greater willingness on behalf of banks willing to
concede loans and lower monthly costs, setting the mort-
gage rate at a similar amount as rent.
Catalonia
Real Estate Market Trend · Catalonia | 35
Districts of Barcelona
Prices in euros / sqm
1.000
1.500
2.000
2.500
3.000
3.500
4.000
4.500
5.000
5.500
6.000 - - - - - - - - - - -
1.500 2.000 2.500 3.000 3.500 4.000 4.500 5.000 5.500 6.000 6.500
Sarrià-Sant Gervasi 5.010 Sant Martí 4.170 Horta-Guinardó 3.020
Les Corts 4.890 Ciutat Vella 4.085 Sant Andreu 2.900
Eixample 4.750 Sants-Montjuïc 3.790 Nou Barris 2.620
Gràcia 4.300
Sarrià-Sant Gervasi
Les Corts
Sant Andreu
EixEaimxapmleple
Ciutat Vella
36 | Market Report 2019-20 Spain and Andorra
Barcelona by district
Ciutat Vella
old city , encompasses the historical centre
of the city, which includes neighborhoods such as Raval,
the Gothic Quarter, Born and the seaside area, the Bar-
celoneta. The unique character of the Ciutat Vella has
maintained the demand for homes in the area, primarily
by international clients, whose presence has grown.
In 2019, 62% of clients buying through Engel & Völkers,
were foreign. That is four points more than in 2018. Of
this percentage, 28.3% are French, 15% are Italian, and
9.4% are German. The common denominator among all
of them is their preference for old historical buildings that
conserve some of their original elements, with hydraulic
flooring and traditional Catalan volta ceilings.
The most highly demanded property in the district has
between 60 and 80 sqm of surface area, with two rooms.
A special preference is given to flats with an elevator and
outdoor access. 54% of all purchases are for primary
residences, 20% for secondary residences, and the 26%
for investment purposes make the city centre the most
prized location in Barcelona for this type of purchase.
Furthermore, many clients turn their secondary residen-
ces into profi assets by renting them out.
In 2019, the average price for properties in Ciutat Vella
was held at 4.085 euros / sqm, which is an 8% decline
compared to 2018, the most popular neighborhoods being
Born, the Gothic Quarter, Raval and Barceloneta.
Property Prices in Ciutat Vella
(Data in euros / sqm)
Minimum Maximum Average
Barri Gòtic 2.800 6.355 4.350
Raval 1.585 6.110 3.360
Barceloneta 1.760 7.930 5.030
Sant Pere, Santa Caterina i la Ribera 2.330 6.155 4.405
Real Estate Market Trend · Catalonia | 37
Eixample
Located in the centre of Barcelona, Eixample is the quin-
tessential modernist district, where the average price of a
home stood at 4,750 euros / sqm last year, which is a 7%
decrease compared to the previous period. Aside from the
decline in price, in 2019 the area saw a drop in foreign
clients and investors at the same time as a growing number
of national buyers sought to purchase their first residence.
The number of foreigners purchasing homes in Eixample
last year was 43%, compared to 52% in 2018. Chinese
buyers constituted most of the buyers, although a notable
rise in Italian and French clients was also observed. In
2019, Eixample claimed the most amount of expedited
Golden Visas transactions in Ciudad Condal (Barcelona).
Penthouse apartments and fl with balconies ranging
from 90 to 130 sqm, along with three rooms, represent
the most sought-after homes in Eixample. The most in-de-
mand areas are la Dreta de l'Eixample and l'Antiga Esque-
rra de l'Eixample, due to their proximity to major streets
like Passeig de Gràcia, the Rambla de Catalunya, and
Enric Granados.
That being said, Sant Antoni stands out as an increasin-
gly popular neighborhood to live in, with great restau-
rants, entertainment, and services, propelled by the remo-
deling of the market and the creation of new pedestrian
spaces such as Superilla.
Property Prices in Eixample
(Data in euros / sqm)
Minimum Maximum Average
La Dreta de l'Eixample 3.470 8.400 5.290
La Nova Esquerra de l'Eixample 3.110 7.320 4.410
La Sagrada Família, Fort Pienc 2.490 6.660 4.125
L'Antiga Esquerra de l'Eixample 3.140 8.080 4.810
Sant Antoni 2.690 5.730 4.260
38 | Market Report 2019-20 Spain and Andorra
Sants-Montjuïc Les Corts
Located in the south of Barcelona, about 10 minutes away
by subway from the centre, Sants-Montjuïc is one of the
most iconic districts in the city, as it combines the moun-
tains, the sea, and an excellent array of cultural activities.
It is also next to the most important train station in Cata-
lonia and the second in Spain.
The value of the properties dropped by 2.8% last year in
this district till it stood at 3,790 euros / sqm. Sales closed
by Engel & Völkers dropped by 5% in this area to a total
of 35 units.
The most in-demand properties offer 50 to 90 sqm of sur-
face area, with two or three rooms, and all buyers show a
special preference for penthouse apartments. Sants and El
Poble Sec-Parc de Montjuïc, which share part of the
demand for property in Sant Antoni, represent the most
coveted areas. Hostafrancs holds the highest average price
at 4,280 euros / sqm. The largest portion of the demand
comes from national buyers, comprising 65% of interested
parties. With regards to the international buyers, the majo-
rity come from France. 71% of all clients purchase homes
intended as their primary residence.
Three neighborhoods comprise this middle-class district:
Les Corts, Pedralbes and la Maternitat. Les Corts, Pedral-
bes and la Maternitat i San Ramon. It has a number of
advantages granted by its location, known as a fi
centre hosting Universidad Politécnica.
The average price of housing last year stood at 4.890
euros / sqm, which represents a decrease by 4% from
2018. The housing in the highest demand are fl and
penthouses with three rooms, and a surface area of 70
to 90sqm.
The neighborhoods Pedralbes and Les Corts claim the
highest demand, with the former known for the most
exclusive residential areas in Barcelona, where interna-
tional buyers seek houses with gardens. Regarding Les
Corts, it is one of the most consolidated areas with the
best services in the city. It is a familial neighborhood
off excellent transport and lots of tranquility.
75% of buyers are Spanish, but although the presence
of foreigners is not as great as in other districts, last
year two Golden Visa operations. Most purchases are
for primary residences, with only 8% constituting an
investment.
Property Prices in Les Corts
(Data in euros / sqm)
Property Prices in Sants-Montjuïc
(Data in euros / sqm)
Minimum Maximum Average
Poble Sec - Parc Montjuïc 3.100 5.225 3.950
Hostafrancs 4.120 4.340 4.280
Sants 2.215 4.565 3.530
Sants - Badal 3.270 3.800 3.625
Minimum Maximum Average
La Maternitat i Sant Ramon 3.310 4.885 4.000
Les Corts 3.230 5.060 4.150
Pedralbes 4.015 6.970 5.445
Real Estate Market Trend · Catalonia | 39
Sarrià-Sant Gervasi
The area with the highest income per capita in Barcelona
holds the most distinguished neighborhoods in the city.
This comfortable residential district brings together
numerous parks, prestigious schools and health centres.
The average price of the area fell by 3% last year to 5,010
euros/m2, and will remain more or less at this amount,
as this year expects to see some stability after the read-
justments from recent months.
Houses, penthouses and fl with a communal area and
parking are the most demanded properties. Sought-after
homes have three or more rooms from 130 to 200 sqm.
Galvany is one of the neighbourhoods with the highest
demand and where requests are centred on royal estates,
while in Sarrià and Bonanova there is a high demand for
houses with gardens.
87% of buyers are domestic, an increase of percentage
points compared to the previous year. The local client
has entered the market more strongly and is causing
downward closing price adjustments. Even so, the pro-
perties of more than four million euros continue to be in
demand by the international client.
85% of the purchases are made to acquire a main resi-
dence, and only 6% as an investment. 53% of the opera-
tions are done with a mortgage, a percentage that is
growing due to the increase in Spanish clients and low
interest rates.
Property Prices in Sarrià-Sant Gervasi
(Data in euros / sqm)
Minimum Maximum Average
El Putxet i el Farró 3.620 6.260 4.140
Sant Gervasi - Galvany 4.030 6.200 4.980
Sant Gervasi - La Bonanova 3.180 7.190 5.280
Les Tres Torres 4.530 6.070 5.440
Sarrià 3.160 7.000 5.075
Vallvidrera, el Tibidabo i les Planes
2.840
4.810
4.385
40 | Market Report 2019-20 Spain and Andorra
Gràcia
One of the oldest districts is also the smallest, but
that does not prevent it from registering the second
highest fi in terms of population density.
The price of properties reached 4,300 euros / sqm last
year, which is 7% more than the previous year. This
increase is due to a price adjustment for the type of pro-
perties sold by Engel & Völkers. More operations were
therefore carried out on refurbished properties in 2019,
whereas in 2018, they were done on unrefurbished pro-
perties.
Looking at 2020, an adjustment of current prices is expec-
ted considering the increase in foreign customers com-
pared to the previous year.
Property Prices in Gràcia
(Data in euros / sqm)
The area has stood out among international clients, who
are attracted by the charm of the neighbourhood's Cata-
lan-style atmosphere. Foreigners accounted for 37% of
the total purchases in 2019, compared to 15% in 2018.
Among them are a majority of French buyers, followed
by Chinese, Americans and British.
Flats and apartments from 70 to 90 sqm with two or three
rooms are the most requested in Gràcia. The four-be-
droom properties, although not frequently off in the
area, do have a high demand and are the ones that sell
the fastest. 80% of the buyers are looking for a main
residence, 10% for a second home and another 10% are
buying to invest.
The Vila de Gràcia, Camp d'en Grassot and Gràcia Nova
are the most sought-after neighbourhoods. All three are
characterized by having all kinds of services (hospitals,
schools, shops...), being located near the city centre, and
being well-connected.
Minimum Maximum Average
El Camp d'en Grassot i Gràcia Nova 3.230 6.160 4.690
La Salut 1.035 4.320 2.210
La Vila de Gràcia 2.270 7.170 4.480
Vallcarca i els Penitents 2.995 5.545 3.750
Real Estate Market Trend · Catalonia | 41
Horta - Guinardó Nou Barris
Located in the northeast of the city in a large valley, Hor-
ta-Guinardó is the third largest district of Barcelona after
Sants-Montjuïc and Sarrià-Sant Gervasi. It has a very
differentiated and heterogeneous urban structure due to
the varied topography, which includes the Collserola
mountain range, the Hebron valley or the Horta stream.
Horta-Guinardó is in increasing demand because, like its
neighbour Gràcia, it is both very well-connected and
equipped with all the necessary services. A great off of
green spaces makes it complete. The average price of a
property reached 3,020 euros / sqm in 2019, which is an
increase of 2% compared to the previous year.
Houses and fl from 110 to 150 sqm with three to four
rooms claim the main demand in this district. Among
them, the most sought-after properties are single-family
homes with gardens. The neighborhoods Can Baró and
La Font d'en Fargues receive the highest number of appli-
cations, the latter due to the fact that it is a residential
garden area. Spanish buyers comprise 75% of the demand,
the majority of whom are also among the sellers. Prac-
tically all purchases are for a primary residence, while
only 3% are made as an investment.
Property Prices in Horta - Guinardó
(Data in euros / sqm)
The youngest district of the city is located in the north
of the city. Composed of13 districts, Nou Barris off
green spaces next to historical buildings such as the Cas-
tell de Torre Baró. This brick castle with a medieval feel
is located at the top of the Collserola mountain range and
is one of the city's most privileged viewpoints.
The average price of a home in this district reached 2,620
euros / sqm in 2019. Apartments between 75 and 90
square metres constitute the most popular housing type.
The neighbourhoods attracting the largest number of
purchase requests, all of which come from Spanish citi-
zens, are Vilapicina i Torre Llobeta and Porta, known as
economic hubs off excellent transport to the centre.
Property Prices in Nou Barris
(Data in euros / sqm)
Minimum Maximum Average
La Guineueta 2.350 2.730 2.500
la Prosperitat 2.320 2.790 2.490
La Trinitat Nova 1.700 2.570 2.200
Porta 2.840 3.475 3.150
Vilapicina i la Torre Llobeta 1.245 3.000 1.850
Minimum Maximum Average
Can Baró 2.550 4.640 3.245
El Baix Guinardó - - 4.120
El Guinardó 3.250 3.970 3.710
Horta 1.980 3.730 2.670
La Font d'en Fargues 2.280 5.000 3.015
Montbau 2.050 3.330 2.880
42 | Market Report 2019-20 Spain and Andorra
Sant Andreu Sant Martí
The urban transformation of Sant Andreu is closely linked
to the arrival of the AVE (high-speed train) in the district
and the creation of the new La Sagrera station. This new
infrastructure and its railway accesses will give a more
innovative character to the neighborhoods of La Sagrera
and Sant Andreu. Therefore, while the average cost of
housing stood at 2,900 euros / sqm in 2019, the new
developments will drive increased demand and rising
prices in 2020.
Apartments between 90 and 110 square metres with three
or four bedrooms attract the highest demand in a district
where 89% of the buyers are Spanish people looking for
their main residence. On the other hand, 7% of the clients
carry out their purchases as an investment strategy, since
rent off more profi than in other areas.
Property Prices in Sant Andreu
(Data in euros / sqm)
With a privileged coastal location within the city, excellent
transport, and a wide range of services, Sant Martí offers
opportunities to renovate large three to four bedroom apart-
ments. The area received a boost in opportunities generated
from the Glòries Tower, where relevant companies in the
technology sector established their headquarters, attracting
their workers to the area.
The average price of a property in 2019 was 4,170 euros /
sqm, an increase of 5% over the previous year. The number
of sales made by Engel & Völkers was lower in 2019, but the
prices were higher. With the real estate agency opening up a
new offi in the district, an increase in sales by 25% for 2020
is expected.
Apartments between 80 and 100 sqm with two to three
bedrooms receive the highest demand. In addition, properties
with extras such as parking and balconies are sought-after.
The most popular neighborhoods, Poblenou, Camp de l'Arpa
i Clot and the area of Diagonal Mar, attract families looking
for quiet areas with schools and community facilities such as
swimming pools. 78% of all buyers seek a main residence,
13% an investment, and 10% a second home.
The percentage of international buyers in this area reaches
36%, led by British, French and Italians, while the presence
of Russian and Chinese clients has gone down.
Property Prices in Sant Martí
(Data in euros / sqm)
Minimum Maximum Average
Diagonal Mar i el Front Marítim del Poblenou 5.750 8.890 7.090
El Clot 2.565 4.510 3.460
El Parc i la Llacuna del Poblenou 2.990 4.085 3.650
El Poblenou 3.460 6.270 4.260
La Vila Olímpica del Poblenou 3.520 6.855 4.790
Provençals del Poblenou 3.100 5.615 3.915
Sant Martí de Provençals 2.735 3.810 3.060
Minimum Maximum Average
El Congrés i els Indians - - 3.280
Navas 2.790 4.010 3.125
Sagrera - - 2.430
Sant Andreu 2.570 3.060 2.690
Real Estate Market Trend · Catalonia | 43
Rental
The price of rent remained stable in Barcelona throughout
2019, and even showed a slight drop in the average cost
of the city. The operations carried out by Engel & Völkers
refl this stability with an average rental price of 1,740
euros, compared to 1,705 euros in the previous year, in
all the areas where the real estate company is present.
Thus, the average cost per square metre to rent in Bar-
celona reached 17.7 euros / sqm, in line with what was
registered in 2018, while in the periphery it rose by 2%
to 10.8 euros / sqm.
The centre of the city and the periphery show diff
developments. Prices rising in the surrounding areas are
driven by a growing demand, while in Barcelona, espe-
cially in the more central areas, the decline in interna-
tional customers has led to a drop in prices. 66% of
rentals were made by foreigners in 2019, only one point
more than in the previous year, although the volume of
properties rented to Italians, Americans and Germans
is increasing.
Forecasts for 2020 suggest that demand will remain sta-
ble, but the interest of domestic customers will shift to
buying property to take advantage of low interest rates.
The international demand on the other hand will be sus-
tained. Fewer transactions are therefore expected, and
the price will undergo a slight drop.
In addition, there is some fear of price regulation and we
are aware of the new rent law extending the duration of
contracts to five years.
In the periphery, demand is expected to increase while
supply will be constant, with the possibility of prices
increasing beyond what is expected. The high volume of
people looking to rent will be driven by those who can-
not acquire a property due to their economic situation.
Another factor to take into account is the mobility of
tenants in the city who, faced with a raise in rent, will
have to look for properties further out.
The most sought-after areas are Eixample,
Sarrià-Sant Gervasi and Ciutat Vella. Flats or penthouses
from 50 to 90 sqm with two rooms attract the most popu-
larity. In the surroundings, Sant Cugat del Vallès claims
the highest demand.
Rental prices in Barcelona by district
(Data in euros / sqm)
Minimum Maximum Average
Sarrià - Sant Gervasi 17 37 8
Eixample 18 40 7
Ciutat Vella 18 42 6
Les Corts 17 33 10
Gràcia 17 43 8
Sant Martí 18 32 11
44 | Market Report 2019-20 Spain and Andorra
Badalona and Hospitalet
Badalona
Hospitalet de Llobregat
Santa Coloma de Gramanet
Badalona
Sant Adrià de Besòs
Barcelona
Hospitalet de Llobregat
Real Estate Market Trend · Catalonia | 45
Badalona Hospitalet de Llobregat
Located 10 km away from Barcelona, Badalona has expe-
rienced a resurgence thanks to the port cons-
truction and the seafront redevelopment. The pos-
sibility of being close to the sea and the capital due to
excellent transport services is its strong point.
The average price of homes remained stable last year at
around 2,365 euros / sqm and is expected to see a slight
increase in 2020.
Both flats and duplexes, with three bedrooms, between
90 and 130 sqm, are the most sought-after properties,
although the hottest properties in the area are centrally
located fl with a balcony, which are close to the sea and
offer great views. The city centre claims the most
popularity in the area. All the buyers are from Spain and
the acquisitions are for a primary residence. In 2019,
small fl saw the most sales.
The second largest municipality in Catalonia (269,903
inhabitants in 2018) is part of the Barcelona metropolitan
area. It has excellent transport services to the city centre
and it is an ideal alternative for those seeking the comforts
of a residential environment without having to give up
living near the capital. The Ciudad Judicial has also dri-
ven a revitalization of the city and an important change
in urban development.
The average cost of properties last year reached 3,230
euros / sqm, which is very much in line with prices in
2018. Flats and penthouses from 90 to 110 sqm with four
bedrooms receive the highest demand, in areas such as
Plaza Europa and Santa Eulàlia, due to the architectural
typology of the buildings, most of them semi-new cons-
tructions built around the year 2000.
62% of the buyers are Spanish while the presence of
foreigners is comprised of Romanians, Chinese, Ukrai-
nians, Iranians and Nepalese.
Property Prices in Hospitalet
(Data in euros / sqm)
Property Prices in Badalona
(Data in euros / sqm)
Minimum Maximum Average
Badalona 1.670 3.780 2.365
Minimum Maximum Average
Hospitalet de Llobregat 2.465 4.650 3.230
46 | Market Report 2019-20 Spain and Andorra
Barcelona's surroundings
Vallès Oriental and Occidental
Baix Llobregat
Garraf
Vallès Oriental
Vallès Occidental
Barcelonés
Baix Llobregat
Garraf
Real Estate Market Trend · Catalonia | 47
Vallès Oriental - Vallès Occidental
The Vallès region, located between the rivers Llobregat
and Tordera, is divided into two administrative districts:
the Vallès Occidental, whose capitals are Sabadell and
Terrassa; and the Vallès Oriental, where the region's
capital is located: Granollers. In both districts housing
prices rose by around 4-5% in 2019.
Vallès Occidental
The average price of properties in Vallès Occidental rea-
ched 2,905 euros / sqm in 2019, 4% more than the pre-
vious year, with the demand centred on single-family and
terraced homes over 300 sqm, as well as penthouses and
fl with terraces between 90 and 110 sqm; all of them
with three or four bedrooms. The most profi fl
are those with four rooms, parking and an outside exit,
due to their scarce supply and because families comprise
the majority of the demand.
Sant Cugat del Vallès, Sabadell, Sant Quirze del Vallès
and Cerdanyola del Vallès are the most popular areas. In
Sant Cugat, both Parc Central and Eixample claimed the
highest demand from those looking for a fl while
Arxius, Valldoreix and Mirasol, areas close to the station,
attracted clients looking for a house. The strong points
of these residential areas include the high quality of life
offered, and their proximity to the metropolitan area. 90%
of the buyers purchase their primary residence while the
remaining 10% are making an investment.
Sant Cugat retains the title of the most premium area.
It is where the highest prices are reached at 5,600 euros
/ sqm, although the average cost has stood at 3,460 euros
/ sqm. On the other hand, in Sabadell the average price
remains below 2,000 euros / sqm, around 1,900 euros /
sqm, although operations carried out by Engel & Völkers
last year involved payments of up to 3,445 euros / sqm.
Barcelona's surroundings
48 | Market Report 2019-20 Spain and Andorra
Vallès Oriental
In Vallès Oriental the average cost of housing stood at
1,600 euros / sqm, a 5% increase, and prices are expected
to remain stable this year. Noteworthy is the increase in
Spanish buyers in 2019, accounting for 95% of all pur-
chases, compared to 80% in 2018.
Granollers holds the properties in highest demand, which
are the fl duplexes, and single-family homes with a
garden, more than 200 sqm and four rooms. Customers
seek well-connected houses close to the town centre, with
one or two fl on fl plots of land.
Granollers, La Garriga, Cardedeu and Caldes de Montbui
comprise the most sought-after areas for buyers; Grano-
llers for being the capital and the others for off an
excellent quality of life to its inhabitants, who also value
living in a privileged location between the Montseny
Natural Park and the Serralada Catalan Coast.
Cardedeu stands out as one of the most privileged areas
with an average price of 1,980 euros / sqm, and where
the most sales transactions were registered in 2019.
Property Prices in el Vallès
(Data in euros / sqm)
Minimum Maximum Average
Vallès Occidental 1.150 5.600 2.905
Vallès Oriental 1.225 2.475 1.600
Real Estate Market Trend · Catalonia | 49
Matadepera
Located in the region of Vallés Occidental, Matadepera
is a residential town that enjoys high-quality local com-
merce and the services necessary for a town of its size,
whose population is close to 10,000 inhabitants.
The price of housing increased by 4% last year to 2,350
euros / sqm. The most demanded housing typology is a
single-family home of 250 sqm and four rooms. Districts
attracting the most interest are Centro, Drac-Parc and
Can Prat - La Plana. Buyers are mostly couples between
45 and 50 years old, with two or three children and a
competitive economic capacity. Sellers are older people,
around 60 years old, who sell mostly single-family
homes, because they want to live in smaller and more
practical houses.
Property Prices in Matadepera
(Data in euros / sqm)
Rentals
The price of homes for rent increased by 5% to an average
of 8 euros / sqm. The supply of rental properties is low
for such a high demand composed largely of young fami-
lies from Barcelona, Sabadell or Terrassa. These couples,
most of them under 40 years old, want to rent a house in
Matadepera to see if they can adapt to life in a much
smaller municipality, with few central streets and where
most of the districts are housing estates.
Clients are looking to rent a 300 sqm, four-bedroom sin-
gle-family house. The area with the greatest off is the
Cavall Bernat housing development, but the most sou-
ght-after districts are the centre or those located nearby.
Price of rent in Matadepera
(Data in euros / sqm)
Minimum Maximum Average
Golf 2.400 3.000 2.700
Cavall Bernat/Can Roure 1.450 2.400 1.925
Centro 2.230 3.840 3.040
Drac Parc 1.710 2.700 2.205
La Plana/Can Prat 1.970 2.900 2.435
Les Pedritxes/Els Rourets 1.300 1.980 1.640
Verge de Montserrat 2.440 3.010 2.725
Minimum Maximum Average
Golf 8,5 11,5 10
Cavall Bernat/Can Roure 5,5 6,5 6
Centro 7,5 11,5 9,5
Can Solà Del Racó/ Pla De Sant Llorenç 5,5 6,5 6
La Plana/Can Prat 7,5 11,5 9,5
Les Pedritxes/Els Rourets 5,5 6,5 6
Verge de Montserrat 8,5 11,5 10
50 | Market Report 2019-20 Spain and Andorra
Baix Llobregat
The third most populated region of Catalonia has its capi-
tal in Sant Feliu de Llobregat. From a real estate point
of view it can be divided into two large areas with diff -
rent prices. While the north has reached an average price
of 1,440 euros / sqm, after rising by 10%, in the south,
the price has reached 2,030 euros / sqm, with a slight
increase compared to 2018.
Baix Llobregat Norte
The residential offer in the north is competitive, allowing
access to single-family houses in residential environ-
ments surrounded by vegetation, as well as high-quality
fl or semi-detached houses in small towns.
The single-family homes of 200 sqm or more and four
rooms attract the highest demand in the area, with Valli-
rana, Corbera de Llobregat and Cervelló the most popu-
lar locations. They off the possibility of living close
to Barcelona and with good transport. Most of the buyers
are Spanish people looking to acquire their primary
residence, although the increase in the presence of inter-
national clients stands out, rising from 5% in 2018 to
12% last year.
Property Prices in Baix Llobregat Norte
(Data in euros / sqm)
Baix Llobregat Sur
The type of in-demand property is three to four bedroom
117 sqm flats in Molins de Rei, to the five or six bedroom
houses of 200-300sqm in Sant Boi de Llobregat, Caste-
lldefels and Gavà. In Molins de Rei, the average cost of
a fl is 300,000 euros and the cost of the houses is
607,000 euros.
The municipalities in greatest demand are Molins de Rei,
Castelldefels (Pineda, Bellamar, Montemar and Poal),
Gavà Mar, Sant Boi de Llobregat (Marianao), Cornellà,
Viladecans and the municipality of Begues, where there
is a lot of internal demand from within the municipality
itself. It is important to highlight that many of the pro-
perties in the prime areas of Gavà Mar and Castelldefels,
have undergone overvaluation.
The most popular areas are in front of the beach , with
houses located in Gavà and Castelldefels, off views
of the sea. 88% of the buyers are Spanish citizens, and
in recent months there has been an increase in Russian
customers.
Property Prices in Baix Llobregat Sur
(Data in euros / sqm)
Minimum Maximum Average
Molins de Rei 1.450 4.035 2.120
Sant Boi, Castelldefels, Gavà, Begues, Santa Coloma de Cervelló 1.450 3.710 1.960
Minimum Maximum Average
Martorell, La Palma de Cervelló, Sant Andreu de la Barca 1.340 2.200 1.620
Corbera, Pallejà 1.165 1.920 1.400
Vallirana, Cervelló 1.280 1.840 1.470
Real Estate Market Trend · Catalonia | 51
Sant Just
These municipalities, part of metropolitan,
share two traits that attract real estate clients: their great
transport connection to the airport, and the location of
international schools within the vicinity.
Two diff price trends took place in 2019: a slight
growth lasting until the summer, which then gave way to
a decline at the end of the year, resulting in stabilized
housing costs in the area.
Prices range from a maximum of 5,000 euros / sqm in
the centre of Sant Just and Ciudad Diagonal de Esplugues,
to a minimum of 2,500 euros / sqm in Sant Feliu de
Llobregat. Forecasts indicate that the market will remain
stable this year, although there could be a drop in prices
of less than 5%.
Semi-detached 250 sqm houses and single-family homes
between 300 sqm and 400 sqm are the most sought-after
properties in Sant Just Desvern and Esplugues, while
fl of 100 to 150 sqm claim the highest demand in Sant
Joan Despí and Sant Feliu.
Price of housing in Sant Just, Esplugues,
Sant Joan Despí and Sant Feliu de Llobregat
(Data in euros / sqm)
Minimum Maximum Average
Esplugues: Ciudad Diagonal
3.700 5.000 4.100
Esplugues: La Mallola 3.000 3.600 3.200
Esplugues: Centro 2.800 4.000 3.200
Sant Just Desvern: Centro
3.000
5.000
3.800
Sant Joan Despí 2.600 3.800 2.900
Sant Feliu de Llobregat 2.500 3.700 2.800
Rentals
The price of housing for rent shifted in 2019 between
2,000 and 2,500 euros, an amount similar to that recorded
in 2018. As in the sales market, you fi the most expen-
sive properties in Esplugues and Sant Just Desvern, which
are 15-20% more expensive than those in Sant Joan Despí
and Sant Feliu. Also, regarding the cost of rent, there was
a slight increase which lasted until summer, but it was
compensated by the decrease seen at the end of the year.
52 | Market Report 2019-20 Spain and Andorra
Garraf
Sitges
The average time to sell a property in Sitges is six months,
which is hardly a change from 2017 and 2018. While last
year the average price of seafront properties stood at 6,800
euros / sqm, in the centre it was 4,400 euros / sqm. The
housing typology in highest demand are apartments
between 70 and 90 sqm, with three bedrooms. Parellades
street is the most popular area in Centro, where buyers are
mainly singles looking for a primary residence (40%) , a
second residence (40%), or an investment (20%).
The biggest drop in prices was recorded by Terramar, a
4.5% decrease compared to Vinyet's invariance, which
remained at 5,500 euros/sqm. In these districts buyers
mainly seek medium and large houses between 200 and
250 sqm, with four to five bedrooms.
Families comprise the main demand for a second home
near the promenade, like in Vinyet, where they appreciate
its proximity to the sea, and in Terramar, which is distin-
guished by its tranquillity.
While the sellers are only 20% international, most buyers
in Sitges are foreigners looking for apartments, with the
French accounting for 20% of the demand, and the
English carrying out 15% of the transactions. The Dutch
sign for 10% of the purchases and Americans for 10%,
both demand large houses, although Americans also opt
for apartments. Belgians, Germans and citizens of Eastern
countries account for 30% of the demand.
Property Prices in Sitges
(Data in euros / sqm)
Rentals
Rent in Sitges has remained unchanged at 13.5 euros/
qm. The most attractive type of housing to rent is an
apartment of 110 sqm and three rooms. The in-demand
areas are Vinyet and Terramar, both of which are close
to the town and the sea. 65% of the tenants are foreig-
ners, many of them French, and 75% of the landlords
are also foreigners. Properties are sought-after in equal
parts, both as a primary residence and as a second home.
Price of rent in Sitges
(Data in euros / sqm)
Minimum Maximum Average
Sitges 12 16 13,5
Minimum Maximum Average
Primera línea 6.000 8.500 6.800
Vinyet 5.000 7.000 5.500
Terramar 4.900 6.800 5.250
Centro 3.800 4.800 4.400
Real Estate Market Trend · Catalonia | 53
Bages and Anoia
Bages and Anoia are located in the centre of Catalonia.
This territory has a long history of real estate operations,
due to its important urban centres perfectly connected to
the A2 and C16 roads. Bages has its capital in Manresa
and Anoia in Igualada.
Both are popular places to live when it comes to buying
a home. These residential areas present an attractive and
varied offer to small and big investors, and also to buyers
not interested in living in Barcelona.
Prices for properties reached 1,340 euros / sqm last year,
with an increase in line with the rest of Barcelona's peri-
phery. The most requested properties are single-family
and terraced houses with 200 sqm or more, and three to
four bedrooms.
90% of the buyers are from Spain, a percentage which
has fallen by five points with regards to 2018, and all
purchases went for a primary residence.
Property Prices in Bages and Anoia
(Data in euros / sqm)
Minimum Maximum Average
Igualada 1.080 1.660 1.410
Manresa 980 1.590 1.255
54 | Market Report 2019-20 Spain and Andorra
Costa Brava
Cadaqués
Empuria Brava
Roses
Gerona
Costa
Brava Sur
Costa Brava
Real Estate Market Trend · Catalonia | 55
Cadaqués
With a population of almost 3,000 inhabitants, Cadaqués
is the easternmost town on the Iberian Peninsula, belon-
ging to the Alt Empordà region. An exclusive bohemian
enclave, its economy is based on tourism. The proximity
it enjoys to Barcelona and France makes the town a very
popular place for second-home buyers.
The Cadaqués real estate market experienced a quiet
year in 2019, but is looking forward to the prospect of
increased activity in 2020. Properties reached the
highest price with maximums of 10,000 euros/sqm,
which do not constitute a major change compared to
2018. In this exclusive area, buyers seek houses of 170
sqm, with three bedrooms, located close to the centre,
with great view of the sea and lots of charm. 90% of
the buyers are foreigners, but in recent months there we
have seen an increase in French clients.
Apartments and houses represent the most sought-after
properties in the centre overlooking the village. Buyers,
mainly families, want three-room apartments with a sur-
face area between 70 and 100 sqm, while those interested
in houses want a surface area ranging between 120 sqm
and 220 sqm, also with three rooms. Families make the
most purchases.
Property Prices in Cadaqués
(Data in euros / sqm)
Costa Brava
Minimum Maximum Average
Primera Línea 4.000 10.000 7.000
Centro 2.500 4.900 3.700
Port Lligat/ Parque Natural 3.500 7.400 5.450
2.750 3.550 3.150
Caials 2.000 3.350 2.675
Sa Conca/Es Quers 2.500 8.000 5.250
Poblaciones no Costeras 899 1.598 1.248
56 | Market Report 2019-20 Spain and Andorra
Peralada - Figueres
The region of Alt Empordà, bordering France, is one of
the most touristic areas in northern Catalonia. The local
economy is based on both tourism and winemaking, and
apart from the coastal towns with high demand for real
estate, the quiet and charming inland villages are sought
by those wanting privacy. The property demand goes for
country houses and farmhouses.
Figueres, the capital of the region, is the cheapest area
covered by Engel & Völkers, where one can buy a house
within the region of Alt Empordà. The properties with
more demand are fl from 60 to 200 sqm distributed
among two to five rooms. Buyers want to make an invest-
ment with their property purchases. Clients are divided
equally between middle-aged Spaniards and foreigners.
Located 9 kilometres away from Figueres, in Navata, the
popular housing typology in the Torremirona and Peralada
Golf communities consists of 200 sqm villas with three to
five bedrooms. Both exclusive areas are sought by golf
lovers. In peralada Gold, 100% of the buyers are 45 to 70
year old French citizens, while in Torremirona the demand
is divided equally between Spanish and foreigners.
In the town known as Peralada, buyers primarily seek
fl but also townhouses from 60 to 250 sqm with two
to five rooms, whereas in the outskirts both villas and
fl claim the demand.
Property Prices in Peralada y Alto Ampurdán
(Data in euros / sqm)
Minimum Maximum Average
Peralada 1.500 2.000 1.750
Torremirona Golf 1.500 2.000 1.750
Alrededores 2.000 2.500 2.250
Alto Ampurdán centro y norte 750 1.400 1.075
Figueres 600 1.000 800
Real Estate Market Trend · Catalonia | 57
Roses
This municipality is one of the most touristic in the region
of Alt Empordà. It claims the most renowned fishing port
on the north coast of Catalonia.
The buyer profile is composed of foreign citizens, who
account for 95% of the acquisitions. The majority are 45
to 75 year old clients looking for single-family homes with
a surface area between 100 and 120 sqm, along with plots
of up to 500 sqm. A noticeable decline in demand from
the French, German and English was registered last year.
Almadrava, Roses Puerto and Pau claim the highest pri-
ces, with a maximum of 2,500 euros/sqm, an amount
lower than those reached in previous years. The fi of
these areas, located four kilometres from town, is on the
beachfront. Its most sought-after properties are two-room
60 sqm fl and three-room 200 sqm villas. While in both
Roses Puerto and Pau, the properties sought are large
villas, the reasons for this preference differs in each area.
In the former, buyers value the proximity of the
marina, the promenade and the shops , reached in just a
few minutes, whereas in Pau, clients appreciate the great
views and the privacy.
Property Prices in Roses
(Data in euros / sqm)
Minimum Maximum Average
Roses Pueblo 1.000 2.000 1.500
Mas Busca 1.000 1.500 1.250
Almadrava 2.000 2.500 2.250
Puig Rom 1.500 2.000 1.750
Canyelles 1.500 2.000 1.750
Roses Puerto 2.000 2.500 2.250
Palau Savardera 1.500 2.000 1.750
Pau 2.000 2.500 2.250
Santa Margarita 1.500 2.000 1.750
Mas Fumats 1.500 2.000 1.750
58 | Market Report 2019-20 Spain and Andorra
Empuriabrava
Surrounded by the Marismas del Ampurdán Natural
Park, Empuriabrava stands out as the largest residential
marina in Europe. It off more than 30 kilometres of
navigable channels, allowing one to have a mooring in
front of their home.
The average price of real estate in Empuriabrava reached
2,615 euros/sqm in 2019, an increase of almost 15% over
the previous year, although prices ranged considerably
according to the location.
The profile of the buyer is made up of middle-aged entre-
preneurs, 90% of whom are foreigners, mostly French,
German and Belgian families. In recent months there has
been an upturn in demand from German buyers. The
sellers, also foreigners for the most part, upon taking the
generational leap, wish to get rid of their house to fi a
larger or smaller one.
The most demanded property typology is a house with
great views, access to the canal, 500 sqm of land, and
200 sqm distributed throughout four rooms. Houses offe-
ring views of or direct access to the canal or sea claim
the highest demand. 60% of the buyers seek a second
home while 30% are buying to invest.
Property Prices in Empuriabrava
(Data in euros / sqm)
Minimum Maximum Average
Canal ancho 2.700 4.000 3.300
Canal estrecho 2.300 3.600 3.000
Anteriores a los puentes 3.600 5.500 4.400
Sin canal ni amarre 2.000 2.900 2.400
Castelló d´Empuries 800 1.600 950
Real Estate Market Trend · Catalonia | 59
Costa Brava Sur
Only one hour away from Barcelona, and 20 minutes
from Girona, the southern Costa Brava holds some of the
most touristy areas on the Catalan coast. It also off a
rich interior where the Montseny and Les Guilleries natio-
nal parks represent the main attractions.
On the coast you fi a wide range of property types and
prices depending on the location. In Blanes, Platja d'Aro,
Sant Feliu de Guixols and Palamós, where apartments
attract the most demand, buyers look for three bedroom
80 sqm homes located in the centre, or on the front line
with views of the sea, and next to the shopping centre.
In areas such as Lloret de Mar, Tossa de Mar, Mont-
seny-Guilleries, Selva Interior, Calonge and Baix
Empordà Interior, the demand goes to single-family four
to five bedroom houses between 300 and 400 sqm, whose
prices are much higher. In fact, in Platja d'Aro, a village
that stands out for its location near the sea and the main
transport axes, a maximum of 8,000 euros/sqm was regis-
tered in 2019.
Spanish and foreign families constitute the buyer profile,
the latter being the majority in Lloret de Mar (where the
presence of Americans has increased), Tossa del Mar,
Platja d'Aro, Sant Feliu de Guixols and Calonge. While
Spaniards opt for flats, foreigners want houses. The majo-
rity buy secondary residences, although those who buy
to invest account for 30% of the buyers in Lloret de Mar
and 20% in Platja d'Aro.
Property Prices in el sur de la Costa Brava
(Data in euros / sqm)
Minimum Maximum Average
Lloret de Mar 1.200 4.500 2.700
Tossa de Mar 1.500 5.000 3.000
Blanes 1.200 4.500 2.400
Montseny 800 2.200 1.300
Selva interior 600 1.800 1.200
Platja d'Aro 1.800 8.000 3.500
Sant Feliu de Guixols 1.200 4.500 2.800
Calonge 1.200 4.000 2.200
Palamós 1.500 4.500 2.800
Baix Empordà interior 1.200 3.000 2.500
Real Estate Market Trend · Catalonia | 61
Tarragona
134.515
30.117 €
24.340 €
1.734 €/m²
+1 %
Population or Number of Inhabitants
Average Gross Income
Disposable Income
Average Price 2019
Interannual Variation
Located on the shores of the Mediterranean, in the heart
of the Costa Daurada, Tarragona is a tourist attraction, but
also a World Heritage Site, as declared by UNESCO for
its archaeological ensemble called Tarraco. In 2019 the
average price of the properties in the city moved within
the range of the highest amounts of 2,208 euros/sqm in La
Mora-Tamarit, and 1,432 euro/sqm in Barris Marítims.
Located at 11 km from the city of Tarragona, La Mora-Ta-
marit is distinguished for being a residential area of single-fa-
mily homes. The most sought-after property in this neigh-
bourhood is a 200 sqm house in Tamarit, with the bulk of the
demand coming from families (58% Spanish) looking for
their second home. In 2019, the average price fell by 8.6%.
In Eixample, Rambla Nova is the most popular area for
buying a house, right in the heart of the city. The average
price in this district increased by 4.27% in 2019 to 1,874
euros/sqm. The most popular properties are 120 sqm flats
with three to four bedrooms, sought by families, midd-
le-aged couples and young people. 85% of the buyers are
Spanish and 80% want to establish their primary residence.
The properties requested in this area vary from flats to
houses to be renovated, including penthouses. Buyers want
100 sqm homes with three to four bedrooms. Most of the
buyers are young people, 65% of whom are Spanish citi-
zens looking for their primary residence. The average price
increased in this area by 18.6% to 1,820 euros/sqm.
The most requested locations in the Urbanisations of Lle-
vant are the neighbourhoods overlooking the sea. Families
with children, in 71% of the cases involving Spaniards,
represent the main demand for housing with an area of
about 150 sqm and a minimum of four bedrooms. The
average cost of the properties here reached 1,776 euros/
sqm in 2019.
Finally, the maritime neighborhoods in Fonts del Serrallo
claim the most coveted territory, where buyers seek 100
sqm apartments with three to four rooms. Most clients are
couples and 84% are Spanish. In the last year, the average
price has increased by 5.5%.
Property Prices in Tarragona
(Data in euros / sqm)
Tarragona
Minimum Maximum Average
Parte Alta 1.667 2.679 1.820
Eixample 1.165 2.385 1.794
Urb. Llevant 960 2.815 1.776
La Mora - Tamarit 1.920 2.405 2.208
Barris Marítims 940 2.145 1.432
Real Estate Market Trend · Catalonia | 63
Cerdanya
Surrounded by the Catalan Pyrenees, the natural border
crossing between Catalonia, France and Andorra, the
Cerdanya Valley has excellent transport connections from
both Barcelona and Girona, making it the primary choice
for many Catalans in search of their second or third home.
The essential features of a property for sale in Cerdanya
are views of the valley and the mountains, as well as a
garden area. The demand in this region is entirely made
up of Spanish families.
The average price of second hand houses commercialized
by Engel & Völkers in Cerdanya was 2.100 euros/sqm
last year. The highest average cost was reached in Bolvir
at the Real Club de Golf Cerdanya, where it exceeded
4,000 euros/sqm.
Cerdanya is made up of 17 municipalities that can be
divided into five areas. The villages with the greatest real
estate activity are those equipped with all the necessary
services, such as Llívia, Puigcerdá, Bellver and Alp. Pri-
ces have remained stable in recent years.
Alp is a village in Cerdanya that is only 7 kilometres
away from the ski slopes of Masella and 12 kilometres
from La Molina. The most sought-after properties are
houses of 150 sqm, with a minimum of three rooms.
Nearby you have Soriguerola, which stands out for the
high demand of apartments on the ground floor with direct
access to the Golf de Fontanals. Another popular location
is Queixans. It is a village with a large child population
where buyers seek single-family homes of 170 sqm and
a minimum of three bedrooms.
The second territory comprises the municipality of Llívia,
which is in great demand for its family atmosphere, active
culture and diverse gastronomic off The most
demanded area is Camí d'Ur and Camí Ral, with its terra-
ced houses and private gardens. Buyers want single-fa-
mily houses of 150 sqm and three bedrooms.
Catalan Pyrenees
64 | Market Report 2019-20 Spain and Andorra
The municipality Puigcerdá is the capital of La Cer-
danya and the nerve centre of the region. The most
popular areas are Lake, Closa de l'Angel and the centre.
Services and commerce are the strong points.
Most requested properties are 125 sqm houses with a
minimum of three rooms.
La Solana is an area in Bolvir with one of the most popu-
lar municipalities, as it is a summer resort for well-to-do
middle-class Catalans. It is home to some of the main
residential developments in La Cerdanya, such as the
Real Club de Golf Cerdanya, Mas Sallent and La Corona.
The small village called El Remei also stands out, where
the few existing properties enjoy great tranquillity and
exclusivity. The buyer profi in this location seeks the
social life and prestige that comes with residing in this
area. The demand is focused on single-family houses
from 325 to 375 sqm with a minimum of five rooms, and
100% of all purchases are for secondary residences.
The fi territory is the closest to the municipality of
Bellver, the sub-region of Batlia. It is characterized by
small villages and isolated farmhouses. It is also one of
the largest areas of the region but with fewer tourist
crowds. Most of the clients who choose this area belong
to the middle or upper-middle class. The fashionable
areas are the El Pla and Tartera housing developments,
along with the small restored houses in the more quiet
isolated locations.
Property Prices in Cerdaña
(Data in euros / sqm)
Minimum Maximum Average
Puigcerdá 1.650 2.500 2.050
Llívia 2.420 2.420 2.420
Prats, El Pla 2.540 2.540 2.540
Bellver 892 1.100 925
Bolvir, RCGC 3650 5.300 4.165
Bolvir, Corona 2.900 3.870 3.160
Bolvir, Pleta 2.150 3.500 2.785
Alp 1.480 2.930 1.670
Fontanals 1.760 2.270 2.243
Guils de Cerdaña 1.700 2.200 1.955
66 | Market Report 2019-20 Spain and Andorra
Valencian Community
Valencia
794.288
29.498 €
23.835 €
1.779 €/m²
+3 %
Population or Number of Inhabitants
Average Gross Income
Disposable Income
Average Price 2019
Interannual Variation
Valencia is the third largest city in Spain after Madrid and
Barcelona. It has a relatively young population of 794,288
inhabitants, 15% of whom range from 15 to 29 years old,
and 30% from 30 to 49 years old. 83% of the population
works in the service sector, which is vital for the
economy. Industrial activity continues to be an important
base, with 11% of the population working at small and
medium enterprises involved in paper and graphic arts,
wood and furniture, metallic products, and footwear.
The decrease in both the real estate demand and in tou-
rism has been felt in the Valencian economy, which,
like the rest of the country, has been aff by Bre- xit.
However, foreign demand will continue to drive real
estate activity in the Valencian Community throu-
ghout 2020.
The latest data from the Spanish Association of Pro-
perty Registrars regarding the third quarter of 2019,
show a slight decrease by 0.63% in home sales carried
out in the Valencian province, amounting to 29,556
units. On the other hand, the Valencian Community
registered the greatest relative real estate activity, mea-
sured in the number of buying and selling per thousand
inhabitants, 3.83, as compared to the entire
average of 2.62 in the third quarter of the year. For the
city of Valencia, this ratio was 2.95, which placed it as
the eighth province in the country with the greatest rela-
tive real estate activity.
Data from the Spanish Association of Property Regis-
trars also underline the importance of foreign-purchased
homes in the Valencian Community. In the third quarter
of 2019, the region occupied second place, surpassing
the Canary Islands, behind only the Balearic Islands in
sales to foreigners, which accounted for nearly 26% of
all transactions.
The BBVA research service forecasts that the Commu-
nity's Gross Domestic Product (GDP) will close 2019
with a growth of 2% (above the national average fore-
cast) and 1.4% this year.
With regards to property prices, Tinsa data indicate that
the average cost of housing in the city of Turia recorded
a year-on-year growth of 8.4% in the third quarter of
last year, a fi more than 30% lower than the maxi- mum
reached in 2007. However, the comparison of the
second half of the year with the fi does show some
containment in the rise in prices.
Tinsa places the average profi of renting a home
in Valencia at 4.4% for foreign families looking for a
second home.
Real Estate Market Trend · Valencian Community | 67
Districts of Valencia City
Prices in euros / sqm
1.000
1.500
2.000
2.500
3.000
3.500
4.000
4.500
5.000
5.500
6.000 - - - - - - - - - - -
1.500 2.000 2.500 3.000 3.500 4.000 4.500 5.000 5.500 6.000 6.500
Camins al Grau 3.035 Poblats Marítims 2.045 La Saïdia 1.650
2.960 Quatre Carreres 2.035 1.590
El Pla del Real 2.690 Extramurs 1.955 Rascanya 1.465
Ciutat Vella 2.605 Patraix 1.845 Jesús 1.280
Benimaclet 2.395 Benicalap 1.740
Campanar 2.365 Algirós 1.705
El Pla del Real Ciutat Vella
Poblats
Camins al Grau
Quatre Carreres
Pobles del Sud
68 | Market Report 2019-20 Spain and Andorra
The city of Valencia is distributed among 19 administra-
tive districts, which are in turn subdivided into 89 neigh-
bourhoods and smaller districts. Engel & Völkers covers
the best locations in the capital and the province, grou-
ping them into three large areas: the Centre, made up of
Ciutat Vella, Eixample, Extramurs and La Saïdia; the
Beach, made up of Pla del Real, Ciudad de las Artes y las
Ciencias, Patacona, Malvarrosa, Alboraya, Puig, El Saler
as well as municipalities Puzol and Cullera, among others;
and the Surroundings, comprised of Paterna, Rocafort,
Godella, El Vedat, Bosque, La Eliana and Betera.
Centre
The Centre remains one of the most sought-after areas in
the city. However, in 2019 we observed two clearly distinc-
tive shifts: one coincides with the fi half of the year, where
prices rose by 28%, to give way to a second half of sharp
declines in which the market digested the previous excesses.
At the end of the year, the average price of a property in this
area reached 2,248 euros / sqm, which represents a 9.21%
decrease compared to the previous year.
The neighbourhoods with the highest demand are Ruzafa
and Arrancapins. The former, located in the Eixample dis-
trict, the most fashionable and exclusive area of Valencia,
is very attractive to housing investors and foreign buyers.
Arrancapins, on the other hand, located in the Extramurs
district, is characterised by being an upper-middle class
neighbourhood where prices are more competitive than in
the Eixample.
The maximum cost of a house in the Centre, which reaches
5,081 euros / sqm, is easily found in Pla del Remei, a
district part of the Eixample. However, the highest average
price of 3,758 euros / sqm, is registered in El Mercat,
which belongs to the Ciutat Vella district. The most affor-
dable prices are in Sant Francesc and Extramurs.
The property in highest demand is a 135 sqm apartment
with three bedrooms. The profile of the buyer is a Spanish
family, although foreign clients account for 30.8% of all
operations carried out in the area, with a greater presence
of Mexicans last year.
62% of those interested in buying a house in the centre of
Valencia want to acquire their main residence, while 27%
are looking for a second home, and only 12% are making
an investment. The profile of the seller is primarily made
up of Spanish families, compared to the 10.6% of inter-
national sellers, among which the British stand out. Last
year, Engel & Völkers carried out 25% more Golden Visa
transactions in this area.
Property Prices in el Centre
(Data in euros / sqm)
Minimum Maximum Average
Gran Vía 2.030 3.991 3.016
Pla del Remei 2.907 5.081 3.568
Ruzafa 1.367 3.125 2.300
El Pilar 2.368 2.699 2.487
El Carmen 1.986 3.031 2.481
La Seu 1.465 3.077 2.208
El Mercat 3.494 4.022 3.758
La Xerea 2.857 3.296 3.077
Sant Francesc 1.350 1.816 1.621
Extramurs 1.563 2.514 1.956
Real Estate Market Trend · Valencian Community | 69
Alameda - Costa
The city's largest and most heterogeneous district off
a wide range of properties, from beachfront apartments
and houses to flats near the city centre. The average price
of housing in this area closed the year at 2,088 euros/
sqm, a 2.9% decrease compared to 2018.
The most popular property is a 154 sqm apartment with
three bedrooms. 58% of the purchases are for a main
residence, 30% for a second residence, and only 12%
constitute an investment. The demand comes mostly from
families, 34% of which are foreigners, primarily Mexi-
cans and Venezuelans.
Regarding the most sought-after type of dwelling by
nationality, it is worth noting that fl are in the highest
demand from Spaniards (68.5%), followed by French
(9.3%) and Russians (4%). With a marked presence of
domestic buyers, Spaniards were also those who reques-
ted the most houses (64%), although the French accoun-
ted for 18% of the purchases of this property, followed
by Mexicans (9%) and Germans (9%).
The most attractive neighbourhood is Cabanyal, which
belongs to the Poblats Marítims district, an area in full
growth due to its remodelling, and which enjoys the par-
ticularity of being by the sea. The changes carried out
have made this area more cosmopolitan and urban. The
main buyers in Cabanyal are mainly investors, due to the
boom in demand for holiday and short-stay tourism,
which has led to a considerable increase in prices based
on profi .
Property Prices in Alameda-Costa
(Data in euros / sqm)
Minimum Maximum Average
Albors, Algirós o La Vega Baixa 1.706 1.706 1.706
Pla Del Real, Ciudad De Las Ciencias o Patacona 2.019 5.130 2.732
Urbanizaciones de Alto Standing 2.500 3.500 2.800
Trinital, Orriols, Torrefiel, Ayora 1.467 1.703 1.585
Poblaciones de Costa Norte de Valencia 613 1.361 1.035
Poblaciones de Costa Sur de Valencia 1.370 2.595 1.887
Poblaciones no costeras 899 1.598 1.248
70 | Market Report 2019-20 Spain and Andorra
Around Valencia
This extensive territory in the interior of the province
off a wide range of properties which vary according
to the diff municipalities. The most demanded pro- perty
is a single-family house of about 240 sqm and three
bedrooms, with well-connected transport lines and mul-
tiple services.
68% of buyers in these neighbourhoods and municipalities
are Spanish citizens, compared to the 32% who are foreig-
ners, of which the French, Swiss and British seek houses
while the Chinese opt for flats. The latter buy their homes
via Hong Kong because of limited capital outflows.
These are the exact areas around the city where Engel &
Völkers Valencia carried out the most Golden Visa ope-
rations in 2019, practically doubling the amount from
the previous year.
The wide range of prices present in this area goes from
an average of 1,330 euros/sqm in Alzira, to 2,567 euros/
sqm in Nou Campanar. However, the average price of a
house remained virtually unchanged in 2019 compared
to the previous year, standing at 1,325 euros/sqm.
The most expensive and highly popular districts are Nou
Campanar and L'Eliana, in demand for their extensive
services and excellent transport connections. The fi
neighbourhood, close to the Turia River and Cabecera
Park, is a relatively new growing area within walking
distance of the airport, port and train station, as well as
the bypass that connects to the centre of Valencia.
L'Eliana, on the other hand, is 18 km from the capital
and only 15 km from the airport. It also has a large sho-
pping centre, El Osito, and extensive green areas.
Price of homes in Valencia’s surroundings
(Data in euros / sqm)
Minimum Maximum Average
Nou Campanar 1.926 3.091 2.567
L'Eliana 1.727 2.715 2.287
Betera 655 2.459 2.095
Vedat-Torrent 1.257 2.106 1.640
Urb. El Bosque 1.387 2.123 1.985
Alzira 817 1.845 1.330
Godella 1.309 1.995 1.815
La Pobla de Vallbona 1.071 1.746 1.578
Mislata 1.215 2.134 1.550
Real Estate Market Trend · Valencian Community | 71
Rentals
The rental market in Valencia is infl by the fact
that there is not enough supply for the existing demand.
The average price per square metre of fl to rent in the
city of Turia in 2019 was 10.6 euros, a 6% increase over
the previous year. However, there is a considerable range
of prices according to each area, from an average cost of
14.88 euros/sqm and 14.83 euros/sqm in Pla del Real and
Ciudad de las Ciencias, respectively, to the minimum of
5.69 euros/sqm registered in Betera.
The area with the most in-demand properties is Ruzafa,
located in the Eixample district. It is known for its color-
ful emblematic neighbourhoods, where you can fi
most traditional markets.
The prized apartment for rent off 100 sqm and holds
three bedrooms. The profi of the tenant is of families
looking for apartments, with a strong presence of foreig-
ners, while Spaniards constitute only 43% of the demand.
Among the foreigners, an increase in the arrival of Ame-
ricans stands out. They have gone from being the fourth
nationality looking for more homes to rent in 2018 to
taking fi place last year.
Price of rent in Valencia
(Data in euros / sqm)
Minimum Maximum Average
Eixample 5,63 22,64 14,13
Ciudad de las Ciencias 6,33 23,33 14,83
Ciutat Vella 5,56 22,22 13,89
Pla del Real 5,09 24,67 14,88
Extramurs 5,93 22,62 14,27
Playa de Valencia 7,92 15,34 11,63
Betera (Mas Camarena - Torre Conill) 4,57 6,82 5,69
L'Eliana 7,14 7,14 7,14
Godella - Campolivar 5,33 8,00 6,67
Rocafort - Santa Bárbara 5,50 12,86 9,18
72 | Market Report 2019-20 Spain and Andorra
Castellón
Castellón
Peñíscola
Castellón Alcossebre
Oropesa
Benicasim
Castellón
Vila-Real
Burriana
Real Estate Market Trend · Valencian Community | 73
Castellón
579.962
27.327 €
22.156 €
1.102 €/m²
-1 %
Population or Number of Inhabitants
Average Gross Income
Disposable Income
Average Price 2019
Interannual Variation
Within only a few kilometres, the province of Castellón
offers the possibility of going from the sea - it has a 120
km long coast - to the mountains. In fact, it is the second
most mountainous province in the country. The service
sector carries great weight in the economy. It mainly entails
commercial activities, both wholesale and retail, as well
as the hotel and catering industries. Of course we
forget the importance of the tile industry in the province.
According to data from Engel & Völkers, the average price
of housing in Castellón last year reached 1,250 euros/sqm,
which is an 11% decrease compared to the previous year.
The most sought-after areas in the province's real estate
market are Peñíscola, Alcossebre, Burriana and Benica-
sim, all of them spread along the coast. You fi the
highest average cost in Benicasim, at around 1,930 euros/
sqm, its strong points including beautiful beaches and its
proximity to the capital. Vila-Real, on the other hand, is
where properties off the most aff , with an
average price below 1,000 euros/sqm.
The type of property in highest demand is a 140 sqm
single-family house with three bedrooms, which in 64%
of the cases is used as a second residence. Spanish fami-
lies, with a clear preference for a fl or apartment,
account for 64% of purchases compared to the 36% of
foreigners with a preference for single-family homes.
The seller's profile is mostly composed of singles, and in
71% of the cases they are Spanish. Among foreigners, an
increase in sales has been noted, led by Russian citizens.
Property Prices in Castellón
(Data in euros / sqm)
Castellón
Minimum Maximum Average
Alcossebre 1.380 2.176 1.735
Benicasim 1.883 1.978 1.930
Burriana 740 895 799
Castellón - - 1.074
Oropesa - - 993
Vila-Real - - 848
Peñíscola 1.243 1.785 1.256
74 | Market Report 2019-20 Spain and Andorra
Rentals
The average price of a house to rent in Castellón reached
7.34 euros/sqm in 2019. The 80 sqm, three-bedroom apart-
ment is the most requested property for rent, and the area
with the highest demand is the centre of Castellón.
The profi is single, and 58% of time Spanish,
who is looking for both a fl and an apartment. Among
foreigners, there is a growing demand for rental housing
by Russian citizens. As for the landlords, they are all
Spanish families.
Price of rent in Castellón
(Data in euros / sqm)
Minimum Maximum Average
Moncofar 3,59 6,71 3,6
Castellón 3,39 7,25 5,49
El Grao de Castellón 3,69 3,69 3,69
Benicasim 4,79 25,97 17,01
76 | Market Report 2019-20 Spain and Andorra
Costa Blanca
Alicante
Marina Alta
Marina Baja
Denia
Jávea
Benissa Moraira
Calpe
Alfaz del Pi
Benidorm
Alicante
Alicante
Real Estate Market Trend · Valencian Community | 77
Alicante
1.858.653
26.673 €
21.818 €
1.513 €/m²
+6,2 %
Population or Number of Inhabitants
Average Gross Income
Disposable Income
Average Price 2019
Interannual Variation
Alicante is the province with the highest relative Real
Estate activity in Spain. Good proof of this is the number
of sales per thousand inhabitants, a fi that reached
20.02, according to the latest report by the Spanish Asso-
ciation of Registrars.
combination of excellent infrastructure, gas-
tronomy, beaches and a superb climate, off enough
attractions to make the province one of the most popular
tourist destinations in Spain, and a place of residence for
all nationalities, including Germans, French, Belgians,
Swiss, Dutch and people from Scandinavian countries.
The most sought-after feature of a property in Alicante
is its view of the sea, which is why apartments with a
balcony and fl on the beachfront claim the highest
demand. The buyer profile is mostly Spanish families,
and only in the area of El Campello-Coveta does the
demand from foreigners exceed that of citizens. The
majority are looking for a second home with the excep-
tion of Vistahermosa, where 80% of the buyers intend to
acquire their primary residence.
In 2019, the highest average price was reached in Cabo
Huertas with a cost of 3,250 euros/sqm in 2019, an 3%
increase over the previous year. The most sought-after
property in this neighbourhood is a 300 sqm house with
three bedrooms, sea views and a garden. The cheapest
cost was in La Font, remaining unchanged since the pre-
vious year. In this neighbourhood the demand goes to
independent villas with their own garden, swimming pool
and good transport connections to the city.
Property Prices in Alicante
(Data in euros / sqm)
Costa Blanca
Minimum Maximum Average
Centro 1.600 4.500 2.750
Casco Antiguo 1.875 2.790 2.000
Cabo Huertas 1.500 5.000 3.250
Alicante Golf 1.000 3.100 2.050
Playa San Juan 1.780 4.500 2.900
Vistahermosa 1.200 2.600 1.900
La Font 1.000 2.300 1.650
El Campello - Playas 1.000 3.900 2.575
El Campello - Coveta - La Nuza 1.500 3.000 2.250
78 | Market Report 2019-20 Spain and Andorra
Rentals
The dynamic behavior of rental market has
been stable in recent years. The average price underwent
some moderation and in 2019 a small variation was regis-
tered between between 8 and 11 euros /sqm.
As with the market for buying and selling, the most
expensive properties are located in Cabo Huertas, but
there is also a strong demand in very specific areas of the
city centre such as the Explanada de España and Avenida
Doctor Ramón y Cajal, where prices can reach 20 euros/
sqm. However, the highest cost does not usually exceed
15 euros/sqm except in the areas mentioned.
Price of rent in Alicante
(Data in euros / sqm)
Minimum Maximum Average
Alicante Centro 8 15 11
Cabo Huertas 5 12 8
Alicante Golf 5 12 8
Playa San Juan 9 13 11
El Campello - Playas 5 12 8
El Campello - Coveta 5 12 8
Real Estate Market Trend · Valencian Community | 79
Marina Alta
Denia
The kilometres of long beaches and the charm of the town
attract home buyers to Denia, where they seek great views
of the sea, peace and quiet, and an area with less crowds
than in other municipalities.
With a profi of mostly Spanish buyers, two areas stand
out where international customers account for 90% and
80% of purchases, namely La Sella Golf and Els
Poblets-El Verger, respectively. On the other hand, in
Pego and Montepego, although there is a German colony,
and it is very popular among European retirees, there is
also a high percentage of Spanish buyers looking for 200
sqm villas with three bedrooms and views of the sea.
The urban centre is, however, where the Spanish prefer
to make their purchases and live all year round. They are
looking for a village house or a 100 sqm fl with three
bedrooms, and value having public services nearby.
Property Prices in Denia
(Data in euros / sqm)
Minimum Maximum Average
Centro Urbano 1.800 2.300 2.050
Las Marinas 1.560 2.500 2.030
Las Rotas 2.500 3.000 2.750
Montgó 1.600 1.800 1.750
Els Poblets-El Verger 1.250 1.600 1.425
La Sella Golf 1.950 2.100 2.025
Ondara-Beniarbeig 1.000 1.100 1.050
Pedreguer 1.300 1.600 1.450
Pego-Montepego 1.500 1.800 1.650
80 | Market Report 2019-20 Spain and Andorra
Jávea
Located between Denia and Moraira, on the northern
coast of the Marina Alta, Jávea stands out not only for
its historical centre but also for its mountainous topogra-
phy. Unlike nearby fl towns, Jávea is home to El
Montgó, the most outstanding mountain peak in the
region with an altitude of more than 750 metres. You also
have the bay stretching between Cabo San
Antonio and Cabo Prim.
Housing prices in Jávea have risen by an average of 3%
in 2019 to almost 4,000 euros/sqm in residential develo-
pments such as Montañar II near Arenal Beach, where
maximum costs reached 5,200 euros/sqm, making it the
most expensive area in the municipality.
On the contrary, the lowest prices are registered in the
village or the port, where you can fi apartments for
1.500 euros/sqm, a housing typology not as commonly
requested in Jávea, where large villas with between 300
and 600 sqm usually attract the highest demand.
Property Prices in Jávea
(Data in euros / sqm)
Minimum Maximum Average
Balcón al Mar/ Costa Nova/Portixol 2.800 4.700 3.600
Javea Golf 1.900 2.700 2.300
La Corona/Puchol/ San Antonio 2.370 4.250 3.300
Montañar 1/Via Augusta/El Arenal 2.300 3.300 2.800
Montañar 2 3.500 5.200 3.990
Pueblo/Puerto 1.500 2.000 1.800
Tosalet/Cap Martí/ Adsubia 1.780 3.225 2.300
Montgó 1.890 2.850 2.090
Real Estate Market Trend · Valencian Community | 81
Calpe, Benissa and Moraira
Located in the Marina Alta, in the northern part of Ali-
cante, these municipalities in the province facing the
Balearic Islands, off a stunning landscape combining
mountains and stunning beaches. The most sought-after
properties are 200 to 350 sqm houses with three to four
bedrooms, with prices varying from one municipality
to the next.
In Calpe the price increased by 6% in the last year to
1.926 euros/sqm. Its most sought-after properties are
located in residential developments close to the city cen-
tre and offer views of the sea. 83% of the demand in Calpe
comes from foreign families, although the presence of
Polish people has recently grown. Most people are also
looking for a second home (67%), compared to those
looking for their primary residence (17%). The profi
of the seller is 67% foreign families, with an increase in
sales by Swedes.
Benissa is divided into two areas, inland and coastal. In
both areas the demand and supply is made up entirely of
foreign families. The highest average price is 3,088 euros/
sqm for homes close to areas with supermarkets or res-
taurants, distributed throughout different towns in the
surroundings. The tranquillity of a rural area is what
attracts people to the interior of Benissa, where 100% of
the buyers seek their main residence.
In Moraira, prices rose by 15% throughout 2019 and it
is where you fi the greatest demand for housing. In
fact, the most popular properties are 350 sqm houses in
residential developments close to the beach, off
views of the sea.
In Cumbre del Sol, a residential area within the commu-
nity of Benitachell, the most sought-after houses off
views of the sea in an area known for its tranquillity.
Foreign families looking for their permanent home com-
prise the entire demand in the area. An increase in appli-
cations from US citizens was registered in the last few
months of 2019.
Property Prices in
Calpe, Benissa and Moraira
(Data in euros / sqm)
Minimum Maximum Average
Calpe 875 2.857 1.927
Benissa Interior - - 1.440
Benissa Costa - - 3.088
Moraira 1.637 3.609 2.490
Cumbre del Sol 2.125 2.359 2.267
82 | Market Report 2019-20 Spain and Andorra
Marina Baja
Benidorm
Considered the capital of the Costa Blanca, Benidorm is
the third city with the most hotel rooms in Spain, after
Madrid and Barcelona. It is a privileged place with a
microclimate attracting both Spaniards and foreigners.
The main real estate market can be divided into three
main areas: Playa de Levante, Poniente and Rincón de
Loix.
The highest prices reached in Playa de Poniente have an
average cost of 2,900 euros/sqm, which can climb to a
cost of 4,500 euros/sqm. In the other two areas the ave-
rage price stands at 2,400 euros/sqm.
On the beaches, the most demanded housing typology
are apartments between 90 and 120 sqm with two or three
bedrooms, preferably penthouses. In Rincón de Loix, the
demand goes for villas of 250 sqm and four bedrooms.
In this area, in-demand properties are located in prime
developments within a quiet residential environment
well-connected to the city centre.
Over the past year, the city has seen a notable increase
in Russian buyers. Also noteworthy has been the fact that
95% of the buyers do not require fi to make their
purchases.
Property Prices in Benidorm
(Data in euros / sqm)
Minimum Maximum Average
Playa de Levante 1.600 4.000 2.400
Rincón de Loix 1.400 3.600 2.400
Playa de Poniente 1.700 4.500 2.900
Real Estate Market Trend · Valencian Community | 83
Finestrat and Villajoyosa
In the surroundings of bustling Benidorm, an inland
village called Finestrat off four well-diff
areas in less than 10 kilometres. From the beach of La
Cala to the more than 1,000 metres of altitude in Puig
Campana, you fi the town and its commercial boule-
vard. This window to the sea, as its name indicates, is
one of the villages in Alicante with the smallest popula-
tion . It is a quiet area where the 170 sqm three-bedroom
houses are in highest demand, mainly in Sierra Cortina
thanks to the new builds.
The buyer profi is notably familial and foreign. 70%
of villa acquisitions are made by international clients,
led by Benelux nationalities, but with a signifi
increase of Russians registered last year. The remaining
30% are Spanish.
40% of buyers want a second home, 35% a primary
residence, and 25% are making their purchase as an
investment.
For its part, Villajoyosa is the municipality where most
investment properties are purchased, accounting for 40%
of all sales. It also has the highest proportion of foreign
buyers, 80%, led by Scandinavians who prefer apartments.
In this coastal town known for its colorful houses and
rich historical heritage, the type of house claiming the
highest demand is a two-bedroom 100 sqm apartment,
even more so if it is a penthouse, and if its location is on
the beachfront. Prices for such properties are similar to
those found in the interior of Finestrat, with maximum
amounts reaching 3,300 euros/sqm, although the average
cost can drop to 2,350 euros/sqm.
Alfaz del Pi
Located 49 km away from Alicante city, the municipa-
lity Alfaz del Pi bases its economy on tourism, and it
is distinguished by a large population of foreigners. In
fact, 80% of the real estate demand is made up of
foreign buyers, with a noteworthy arrival of Belgians
in the last year.
Two types of properties comprise the main market in the
area. On the one hand, you get individual homes with an
average age of 10 years, a surface area ranging between
150 and 250 sqm, and plots between 800 sqm and 1,000
sqm. On the other hand, you fi two or three bedroom
apartments between 65 and 80sqm, with an average age
of 15 years. Purchases of the fi type are for a primary
residence, while the second type is for holiday rentals.
Property Prices in Alfaz del Pi
(Data in euros / sqm)
Property Prices in Finestrat and Villajoyosa
(Data in euros / sqm)
Minimum Maximum Average
Villajoyosa 1.200 3.300 2.350
Finestrat 1.600 3.300 2.250
Minimum Maximum Average
Playa del Albir 2.300 2.800 2.500
Alfaz del Pi 1.600 2.000 1.800
La Nucia 1.200 1.800 1.600
Polop 1.500 2.100 1.700
84 | Market Report 2019-20 Spain and Andorra
Andalucía - Costa del Sol
Málaga
Málaga
Milla de Oro
Puerto Banús
Mijas
Marbella
Estepona
Costa del Sol
Real Estate Market Trend · Andalucía - Costa del Sol | 85
Málaga
1.661.785
23.248 €
19.479 €
2.213 €/m²
+4,1 %
Population or Number of Inhabitants
Average Gross Income
Disposable Income
Average Price 2019
Interannual Variation
The capital of the Costa del Sol holds one of the most
important Real Estate markets in the country. Its wide
cultural offer, constant innovation, strong business
network and solid infrastructure have made Malaga the
target of many investors.
In a market where foreigners already account for 25%
of purchases, in 2019 prices reached an average of
nearly 4,000 euros/sqm in areas such as La Malagueta
and the centre, both of which represent the most sou-
ght-after areas of the city, as they even exceed the 3,000
euros/sqm seen in areas like El Limonar and Pedrega-
lejo, in the eastern part of Malaga. The massive arrival
of the international investor in search of a second home,
together with the exclusive new construction projects,
has driven the maximum price throughout the centre to
8,000 euros/sqm.
Both the historical centre and the beachfront are still
suff from a mismatch between supply and demand, due
to the scarcity of land, which means that prices con-
tinue to rise in the most popular areas.
Andalucía - Costa del Sol
86 | Market Report 2019-20 Spain and Andorra
Although price growth is observed throughout the city
and forecasts for 2020 point to a more moderate increase
in both prices and volume of transactions, there are still
areas with properties costing around 2,500 euros/sqm,
such as Cerrado de Calderón or Palo.
The most demanded housing typology in Malaga is split
according to the buyer's nationality. While foreigners
prefer penthouses, apartments with balconies, and deta-
ched houses, Spaniards choose flats and terraced houses,
with a special preference for new properties. Among
foreigners, it is worth noting that there is no one natio-
nality that stands out, but you do see a greater number
of Scandinavian, Dutch, Belgian, French, English, Irish
and German buyers than Iranians, Swiss or Americans.
Property Prices in Málaga
(Data in euros / sqm)
Rentals
The rental market remains in good shape with supply far
below demand, leading to an average price increase of
10% in 2019.
The average price of a house to rent already exceeds 10
euros/sqm in almost all areas of the city, to the point that
it can reach 18 to 20 euros / sqm in the historic centre,
La Malagueta and Limonar.
The rental market has also sparked a lot of interest among
international customers, taking up more and more of the
market share.
Price of rent in Málaga
(Data in euros / sqm)
Minimum Maximum Average
Oeste 1.800 8.000 2.700
Centro histórico / Soho 3.000 8.000 4.000
Malagueta 3.000 8.000 3.900
Limonar 2.200 6.000 3.300
Cerrado de Calderón 2.000 4.000 2.600
Pedregalejo 2.200 5.000 3.000
Pinares de San Antón / Candado / Palo 1.800 4.000 2.100
Minimum Maximum Average
Oeste 7 17 11
Centro histórico / Soho 9 18 13
Malagueta 9 20 11
Limonar 9 18 12
Cerrado de Calderón 8 12 11
Pedregalejo 8 15 12
Pinares de San Antón / Candado / Palo 7 15 10
Real Estate Market Trend · Andalucía - Costa del Sol | 87
Mijas
The location of Mijas at the foot of the Sierra Blanca
mountain range grants privileged views of the Medite-
rranean Sea, which are highly valued by customers loo-
king for housing in the municipality, mainly foreigners.
International buyers account for 65% of the sales tran-
sactions closed in 2019 by Engel & Völkers, compared
to 35% of Spaniards.
Over the last year, the average price has risen by just over
5% to 2,222 euros/sqm, shooting up to a peak of almost
7,000 euros/sqm.
The growing demand along the 14 kilometres of the muni-
coastline, has already triggered prices to peaks
of over 15,000 euros/sqm in areas such as Chaparral - El
Faro, followed by Calahonda or Cala de Mijas, where
they reach maximums of 12,000 and 10,500 euros/sqm,
respectively.
You can divide the most sought-after type of housing into
two groups. On the one hand, you have two-bedroom
apartments, and, on the other, three-bedroom single-fa-
mily homes with more than 100 sqm, in great demand
among foreigners and Spanish families.
Property Prices in Mijas
(Data in euros / sqm)
Minimum Maximum Average
Calahonda 822 12.092 2.122
Riviera del Sol 780 6.786 1.878
La Cala de Mijas 776 10.571 2.538
Chaparral - El Faro 625 15.556 2.630
Cerrado del Aguila 423 4.468 2.011
Campo Mijas 344 9.032 1.689
Mijas Pueblo 518 6.923 2.222
Mijas Golf 781 6.667 1.896
88 | Market Report 2019-20 Spain and Andorra
Marbella
Synonymous with luxury, and undoubtedly the top holi-
day destination on the Costa del Sol, Marbella has once
again reemerged as a Real Estate investment for both
international and national clients. It is the most popular
and prestigious destination chosen by Northern European
clients as their second home.
The variety of housing typology offered oscillates within
a wide range of prices, allowing us to divide the popular
Andalusian tourist city into diff areas:
West Marbella – Puerto Banús
The western part of Marbella, with Puerto Banús at the
head, is one of the most sought-after areas in Costa del
Sol, off renowned developments such as Nueva
Andalucía and La Zagaleta. 70% of the buyers in these
two areas are foreigners, with an increase in those
coming from Northern Europe. Nueva Andalucía and
La Quinta are areas coveted by golfers, among which
British and Scandinavians stand out. In La Zagaleta,
Country Club with the highest prestige, the
aforementioned nationalities are joined by Germans,
French, Belgians and Russians. In Puerto Banús, howe-
ver, the demand from Arabs and Spaniards is higher.
The most demanded type of housing are 50 sqm to 1,000
sqm single-family villas close to golf courses and with
a view of the sea. In Puerto Banús, La Quinta and San
Pedro, the sought-after property is an apartment with
surface areas ranging 140 and 160 sqm, distributed over
two bedrooms.
Property Prices in
Marbella Oeste - Puerto Banús
(Data in euros / sqm)
Minimum Maximum Average
Benahavis 2.045 4.182 3.441
Guadalmina 4.125 9.157 5.684
La Alquería 2.708 3.027 2.850
La Quinta 2.784 3.690 3.339
La Zagaleta 3.517 6.250 4.450
Los Flamingos Golf 3.322 4.625 3.500
Nueva Andalucía 2.446 9.495 4.846
Puerto Banús 5.958 8.449 4.464
San Pedro Playa 2.647 3.022 3.296
Real Estate Market Trend · Andalucía - Costa del Sol | 89
East Marbella
Los Monteros, Rio Real Playa and the residential deve-
lopments Las Chapas and Marbesa continue to be the
most exclusively demanded areas in eastern Marbella. In
fact, although prices remained stable in 2019, the highest
average cost was recorded in Los Monteros at 6,500 euros
/ sqm, with peaks reaching 25,000 euros / sqm. In con-
trast, Cabopino claimed the cheapest price at an average
cost of 3,000 euros / sqm.
Milla de Oro
In the five kilometres of coastline known as the Golden
Mile, you fi the residential developments known as
Puente Romano, Sierra Blanca or Marbella Club, which
guarantee the buyers privacy, security and exclusivity.
The profile of the buyer mainly entails European families
looking for a second home, with a preference for modern
properties in gated communities. They seek especially
large villas in Sierra Blanca measuring up to 700 sqm,
and apartments of at least 120 sqm near the beach.
In Puente Romano, the most requested housing typology
is a 160 sqm apartment located in a resort with a wide
array of amenities and services. The area holds the highest
price in the Golden Mile, with an average cost of 12,000
euros / sqm.
East in-demand properties consist of newly
built villas off views of the sea, located next to the
beach. Most of the clients, both buyers and sellers, are
foreigners. The purpose of the purchase is to acquire a
second home, except in Marbesa and Rio Real Villas,
where 50% of purchases are investments.
Property Prices in la Milla de Oro
(Data in euros / sqm)
Property Prices in Marbella Este
(Data in euros / sqm)
Minimum Maximum Average
Marbesa 3.000 7.000 4.000
Las Chapas 3.500 15.000 4.700
Río Real 2.500 10.000 3.750
Los Monteros 4.500 25.000 6.500
Bahía de Marbella 3.500 8.000 4.500
Elviria 2.000 7.950 3.500
Cabopino 2.500 5.000 3.000
El Rosario 2.000 5.700 4.000
Costabella 2.000 8.000 5.000
Minimum Maximum Average
Puente Romano - - 12.000
Altos Reales 3.698 4.712 4.133
Cascada de Camoján 3.900 6.313 5.131
Lomas de Marbella Club - - 2.449
Marbella City 3.723 5.294 4.042
Marbella Hill Club 2.175 5.646 5.028
Sierra Blanca 4.500 8.000 6.500
90 | Market Report 2019-20 Spain and Andorra
Estepona
Known as The Garden of Costa del Sol , this munici-
pality boasts a renovated old town whose pedestriani-
zation started in 2011, and now totals 120 streets and
16 kilometres. This transformation has not gone unno-
ticed by private investors and home buyers.
Engel & clients are mainly families, 68%
foreign and 32% Spanish, except in the Estepona town
where local clients account for 55% of all purchases
compared to 45% of international buyers.
The strong demand for real estate in the municipality
drove prices in 2019 to grow by almost 15%. However,
areas such as the Estepona town, Playa Bahía Dorada
and Costa Natura, where double-digit growth was recor-
ded, contrast with areas such as Altos de Estepona,
Punta Plata and Selwo, where a decrease of between
7% and 2% occurred, in some cases due to oversupply.
The most popular housing types are, on the one hand,
two-bedroom apartments, and, on the other, three to
four bedroom houses of over 120 square metres, located
mainly in Selwo, Benamara and Atalaya.
Property Prices in Estepona
(Data in euros / sqm)
Minimum Maximum Average
Altos de Estepona 821 8.569 2.151
Benamara - Atalaya 1.230 14.520 2.228
Costa Natura 952 9.850 2.097
Estepona Pueblo 789 4.502 2.052
Playa Bahia Dorada 985 5.879 2.052
Punta Plata 1.020 10.256 2.961
Seghers 1.340 9.546 2.610
Selwo 892 6.217 2.112
92 | Market Report 2019-20 Spain and Andorra
Northwest Spain
Galicia
Asturias
Castilla and León
Gijón
Oviedo
La Coruña Asturias Cantabria
Galicia Pontevedra
Vigo
Valladolid
Castilla and León
Real Estate Market Trend · Northwest Spain | 93
La Coruña
245.711
28.657 €
23.206 €
2.033 €/m²
+3,8 %
Population or Number of Inhabitants
Average Gross Income
Disposable Income
Average Price 2019
Interannual Variation
Galicia's second largest city is made for taking long won-
derful walks. The city is unique for how the central area
intersects with the beaches, and how its surrounded by a
lovely promenade. La Coruña concentrates half of all
business wealth generated in the autonomous community.
Enterprises are closely linked to the fashion industry, and
the city also has one of the most important ports in Spain.
Here are the three areas covered by Engel & Völkers in
the city with the Tower of Hercules: Ensanche-centro,
Ciudad Vieja-Pescadería and Oleiros-alrededores, pre-
mium areas in La real estate sector, which com-
plement each other.
Ensanche is the area with the greatest projection for new
families with a high level of purchasing power who want
to live in the centre. Its location and multiple services are
its strengths. This area is also where the highest prices in
the city are reached, although the average cost of a house
in this district fell by 5.7% in 2019 to 2,450 euros / sqm.
The most demanded properties are apartments between
120 and 160 square metres, with four rooms. 70% are
looking for their primary residence and 20% for their
second home.
Galicia
94 | Market Report 2019-20 Spain and Andorra
The Old Town and Pescadería represent the Soho of La
Coruña. They have great appeal for young people who want
to live in a unique centrally-located neighbourhood. You
find a significant presence of investors who acquire their
property to rent out. You also have buyers with interests in
art and history, looking to live in a particularly unique buil-
ding. The properties with the highest demand are 100 sqm
three bedroom apartments. The average cost of a home in
this district was reduced by 4% to 2,200 euros / sqm.
In the middle of La bay and only 8 kilometres
from the city, Oleiros has become the residential town
par excellence. It mainly off developments with sin-
gle-family homes and communal facilities, which make
it attractive to families looking for peace and quiet. The
average price dropped in this area last year by 4% to
1,100 euros / sqm. The most requested properties are 250
sqm houses with four rooms, which in 90% of all pur-
chases are acquired as a permanent home.
Rentals
Average rental prices in the city of La Coruña range from
7 euros / sqm in the Old City, where the maximum prices
are close to 11 euros / sqm, to 5.5 euros / sqm in Oleiros.
The most requested properties to rent in Ensanche and
the Old City are apartments. In the former, you have
families looking for 100 sqm apartments with three
rooms, and in the latter, mainly singles requesting 65
sqm apartments with two rooms.
On the other hand, the demand for homes to rent in Olei-
ros is focused on single-family houses with 190 square
metres and four rooms, preferably in the central area.
Families make up most of the requests in this area.
Price of rent in La Coruña
(Data in euros / sqm)
Property Prices in La Coruña
(Data in euros / sqm)
Minimum Maximum Average
Ensanche/Centro 1.900 3.800 2.450
Ciudad Vieja/ Pescadería 1.700 3.600 2.200
Oleiros/Alrededores 730 1.250 1.100
Minimum Maximum Average
Ensanche 7,5 11 6
Ciudad Vieja 7 10,5 7
Oleiros 4 7 5,5
Real Estate Market Trend · Northwest Spain | 95
Vigo
295.364
26.636 €
21.858 €
1.921 €/m²
+6,8 %
Population or Number of Inhabitants
Average Gross Income
Disposable Income
Average Price 2019
Interannual Variation
Vigo stands out for being the most populated city in Gali-
cia, with nearly 300,000 inhabitants, and for its marked
industrial character. According to data from Engel &
Völkers, the average price of housing in Vigo last year
was 2,900 euros / sqm, a figure that represents an increase
of 3.75% over the previous year. The most demanded
housing typology is an apartment with 100 square metres
and three rooms.
The most sought-after areas are Centro, Arenal, Casa-
blanca, Traviesas and Casco Vello. The profi of the
buyer is made up of either families or investors. 90% of
the demand comes from Spaniards and only 10% from
foreigners, which includes Germans, English and Chinese
who have been living in Spain for years. While domestic
buyers are looking for houses with three bedrooms and
a garage, foreigners opt for single-family homes or char-
ming apartments.
On the other hand, 100% of the sellers are Spanish,
mostly recently retired people who sell their houses on
the beach. 75% of the purchases are made to acquire a
primary residence, 20% are investments, and only 5%
are for a second home.
Engel & Völkers increased operations carried out in Vigo
by 30% and this year foresees an increase above 20%.
96 | Market Report 2019-20 Spain and Andorra
Baiona
Integrated in the metropolitan area of Vigo, Baiona is an
area offering tranquility, proximity to the beach, and great
public services, with the average price of properties at
1,600 euros / sqm last year, 7% more than in 2018.
The most requested properties are terraced houses with
more than 100 square metres, three bedrooms, and a gar-
den. Spanish families looking for a terraced house as a
regular residence represent the buyer profi in the area.
Nigrán
Located 10 kilometres away from Vigo and integrated in
its metropolitan area, Nigrán has excellent beaches, such
as Playa America, which is one of the busiest in the pro-
vince, or Paxón, among others. The average cost of a
property reached 2,300 euros / sqm in 2019.
A penthouse of more than 60 square metres and two
rooms is the most requested housing typology. All of the
demand comes from Spanish families looking for their
primary residence.
Rentals
The most valued property for rent in Vigo is located in the
central area. It is a flat with two or three bedrooms and an
area between 80 and 90 sqm. The profile of the tenant is
composed of both families and singles, 70% of whom are
Spanish. The price of rent in the central area increased by
5.2% in the past to an average of 10 euros / sqm.
The beaches and tranquility are the main attractions in
Alcabre-Oia-Coruxo-Saiáns, an exclusive area with
luxury villas. The property with the highest demand is a
four-bedroom 200 sqm house with a garden. The profi
of the tenant is of a family, but also football players. 30%
of the demand comes from foreigners. The rental price
remained stable in 2019 at around 9 euros / sqm.
The same trend happened in Nigrán and Baiona, where
the cost of rent remained at 8 euros / sqm. The beach is
the main attraction of these two locations, where there
is no demand from foreign buyers. While in Nigrán clients
seek 200 sqm houses with a garden and three or four
bedrooms, in Baiona apartments of 90 sqm with three
bedrooms claim the most requests.
Property Prices in Vigo, Baiona and Nigrán
(Data in euros / sqm)
Price of rent in Vigo, Baiona and Nigrán
(Data in euros / sqm)
Minimum Maximum Average
Centro - Arenal 2.700 3.200 3.000
Casablanca 1.700 2.100 1.800
Traviesas 1.600 1.900 1.800
Venezuela/Plaza Elíptica 2.000 2.600 2.400
Casco Vello 1.900 2.600 2.300
Baiona 985 4.048 1.595
Nigrán 1.415 6.875 2.300
Minimum Maximum Average
Centro de Vigo 8 15 10
Alcabre/Oia/ Coruxo/Saiáns 6 12 9
Baiona 6 11 8
Nigrán 6 11 8
Real Estate Market Trend · Northwest Spain | 97
Pontevedra
83.029
26.108 €
21.452 €
1.552 €/m²
+1,7 %
Population or Number of Inhabitants
Average Gross Income
Disposable Income
Average Price 2019
Interannual Variation
Pontevedra stands out as one of the most comfortable
European cities to live in. In 1999, the city began a pro-
cess of transformation that has turned it into a world
reference for urban planning and sustainable mobility
policies. Most of the urban centre of Pontevedra is pedes-
trianised and the city boasts an absence of fatal car acci-
dents. This is facilitated by the fact that it is a compact
city of six square kilometres, the longest journey being
half an hour on foot, with almost all neighbourhoods only
a 15 minute walk from the centre.
According to data from Engel & Völkers, the average
price of a property in Pontevedra last year was 1,304
euros / sqm, 2% more than in 2018. The most demanded
type of housing is an apartment from 120 to 150 sqm
with two or three bedrooms. The most popular areas are
A Parda and the city centre, both in demand due to their
price, location and proximity to public services. Most of
the buyers are Spanish families and couples.
98 | Market Report 2019-20 Spain and Andorra
Poio
The same type of buyer profile is found in Poio, a town
distinguished by its almost 20 km of coastline. It off diff -
rent types of beaches, tranquility and good transport services.
The average cost of a property in this area underwent a strong
31% increase to 1,671 euros / sqm. The most demanded
property is the 100 sqm apartment with two bedrooms, and
the most requested locations are the Combarro and San Sal-
vador de Poio districts.
Sanxenxo
A large part of the attraction in the Sanxenxo municipa-
lity is the urban beach called Silgar. Prices in this area
registered a drop of 11% last year to 1,424 euros / sqm.
Buyers are looking for apartments of 70 to 80 square
metres with two or three bedrooms, with a central location
on Paseo Silgar because of its views. The demand here
is made up of families and investors, with 45% of home
purchases intended as an investment and 50% for a
second home.
Salnés and Morrazo
In Salnés and Morrazo, the demand comes from singles,
couples and investors. In Salnés, buyers look for apart-
ments located in Vilagarcía and Vilanova, ranging from
70 to 80 square metres and with two to three bedrooms.
In Morrazo, the most requested properties are fl and
houses from 80 to 200 square metres and with two to
four bedrooms. 20% of the demand in this town is made
up of foreigners looking for single-family homes.
Property Prices in Pontevedra
(Data in euros / sqm)
Rentals
Pontevedra off more aff average rental prices
than other big cities in the province despite having regis-
tered a 7% increase last year. In 2019, the average cost
was 5.6 euros / sqm, slightly below the 6 euros / sqm cost
found in Poio.
The demand for fl to rent in Pontevedra goes to apart-
ments between 70 and 80 sqm with two to three rooms.
While in the city the most requested area is the centre,
in the municipality of Poio the most sought after areas
are Combarro and San Salvador. In both Pontevedra and
Poio the demand comes from couples and singles.
Price of rent in Pontevedra y Poio
(Data in euros / sqm)
Minimum Maximum Average
Pontevedra 906 2.564 1.304
Poio 1.419 1.923 1.671
Sanxenxo 1.354 1.494 1.424
Salnés 1.019 1.384 1.197
Morrazo 739 1.476 1.043
Minimum Maximum Average
Pontevedra 4 8,5 5,6
Poio 3 7,7 6
Real Estate Market Trend · Northwest Spain | 99
Oviedo - Gijón
1.022.800
26.084 €
21.614 €
1.342 €/m²
-1,1 %
Population or Number of Inhabitants
Average Gross Income
Disposable Income
Average Price 2019
Interannual Variation
The Principality of Asturias has Oviedo as its capital and
Gijón as its most populated municipality. With an eco-
nomy centred on public services, the city of Oviedo is
the commercial, religious, university and administrative
centre of the Principality. Gijón, on the other hand, has
a markedly industrial character in which tourism has been
gaining more prominence in recent years.
The areas marketed by Engel & Völkers in Asturias regis-
tered signifi price increases in 2019, ranging from 30%
in the centre of Gijón and Somió, to 21% in the centre
of Oviedo. The centre of the two big cities have the
highest prices.
In Gijón, a maximum amount of 3,000 euros / sqm was
reached. The upward pressure on prices is owed to the
high demand for housing in the heart of the city and to
the low supply of both second-hand and new homes. The
most demanded typology are apartments of a little more
than 100 square metres and three rooms, preferably near
the Begoña street, the Nautico and the San Lorenzo beach.
The area with the greatest demand in the municipality of
Gijón is Somió, one of the most exclusive neighbour-
hoods in the city. This residential area has numerous parks
and facilities where you can practice sports, and it is
where the largest volume of operations by value were
carried out last year. However, the average price per
square metre is more contained due to the larger houses.
The most sought-after properties are 480 sqm houses
with four rooms and a plot.
As far as the capital is concerned, Oviedo has a larger
offer for housing than Gijón. The most requested property
is a 195 sqm, three-bedroom apartment located in the
centre or in Campo de San Francisco. The demand is
made up of families, 80% of whom want a primary resi-
dence and 20% of whom are making an investment.
Property Prices in Asturias
(Data in euros / sqm)
Minimum Maximum Average
Gijón Centro 1.156 3.026 1.872
Somió 682 2.049 1.304
Oviedo Centro 1.221 3.978 1.788
Asturias
100 | Market Report 2019-20 Spain and Andorra
Castilla and León
Valladolid
298.412
27.420 €
22.700 €
1.492 €/m²
+1,3 %
Population or Number of Inhabitants
Average Gross Income
Disposable Income
Average Price 2019
Interannual Variation
The capital of Castilla y León, Valladolid, has excellent
transport connections, from its airport, the AVE high-speed
train to an important network of motorways and highways.
Also known as Pucela, it is home to the seats of parliament
and the Junta of Castilla and León (governing body). It is
the most populated city in the region, with nearly 300,000
inhabitants, although its area of socio-economic influence
reaches more than 600,000 inhabitants.
According to data from Engel & Völkers, property pri-
ces last year in Valladolid shifted from 2,491 euros /
sqm in the central area, 6% more than in 2018, to 1,550
euros / sqm in San Juan-Batallas-Circular-Vadillos. The
off of super homes in the centre has shot up, with
properties reaching over 4,000 euros / sqm in areas like
Acera Recoletos and Miguel Íscar located in the outs-
kirts. This district receives its demand from singles
looking for two-bedroom 85 sqm apartments, with 65%
of all purchases are for a primary residence, while 25%
are investments.
The biggest increase in prices took place in Villa del
Prado, where they rose by 12.1% to 2,298 euros / sqm.
This area has established itself as one of the most
fashionable districts, surpassed only in price by the
centre. It is a young, quiet and quality neighbourhood,
with garden areas, parks and large roads.
On the other hand, the cost of housing was reduced by
8% in San Juan-Batallas-Circular-Vadillos, due to a drop
in demand directly proportional to the increase in the
supply of new properties in other neighbourhoods of
the capital.
Real Estate Market Trend · Northwest Spain | 101
In areas such as Santa Ana, Covaresa and Parquesol,
the marked drop in the minimum price is due to the high
volume of single-family homes in stock, their stagnation
caused by a lack of demand. Only the last two in the
list manage to contain the downward trend due to the
increase in the supply of new properties and the increase
in the price of multi-family homes.
The most demanded type of housing is an apartment
between 65 and 110 square metres with two to four
rooms. Only in the Las Villas-Santa Ana neighborhood
is the most requested property a single-family home of
250 square metres and four rooms.
Rentals
The highest cost for rent in Valladolid was reached in
2019 in the Santa Ana district, with an average price of
around 8.87 euros / sqm, a fi representing a 10.7%
increase over the previous year. Rental prices increased
throughout the city except in Covaresa, where they fell
by 10.8% and where they also registered a minimum of
3 euros / sqm.
Apartments from 65 to 85 square metres, with two or
three rooms, are the most popular to rent in the Pucelan
city. Singles choose the centre and the Santa Ana area to
rent a house, while students take a large part of the
demand in San Juan due to its proximity to the university.
Price of rent in Valladolid
(Data in euros / sqm)
Minimum Maximum Average
Centro 5 17 9
Covaresa 3 8 5
Santa Ana 8 9 9
Paseo Zorrilla 4,5 11,5 7
Parquesol 5 12 7
San Juan 6 8 7
Villa del Prado 7,5 10 8
Property Prices in Valladolid
(Data in euros / sqm)
Minimum Maximum Average
Centro 1.930 4.485 2.491
Covaresa/ Parque Alameda 1.215 2.942 1.703
Las Villas/Santa Ana 1.451 2.362 1.788
Pº Zorrilla/Cuatro de Marzo/C.Grande 1.425 3.579 1.706
Parquesol 1.150 2.984 1.735
S.Juan/ Batallas/ Circular/Vadillos 1.043 2.418 1.550
Villa del Prado 1.651 3.512 2.298
102 | Market Report 2019-20 Spain and Andorra
Northeast Spain
País Vasco
Navarra
Hondarribia - Irún
Bilbao San Sebastian
País Vasco
Vitoria - Gasteiz
Pamplona
Navarra
Real Estate Market Trend · Northeast Spain | 103
Vitoria - Gasteiz
251.774
20.643 €
17.245 €
2.232 €/m²
+6,7 %
Population or Number of Inhabitants
Average Gross Income
Disposable Income
Average Price 2019
Interannual Variation
The administrative capital of the Basque Country and
seat of its Parliament, Vitoria is a city designed for peo-
ple to live comfortably. Replete with natural spaces com-
prising the Green Belt, it also holds one of the best pre-
served medieval quarters in the peninsula.
The minimum and average property prices in Vitoria
registered slight increases last year, although the maxi-
mum prices remained stable. The central area recorded
the greatest increase (12.5%) in the average cost of hou-
sing, reaching 3,200 euros / sqm, followed by a rise of
9% in Avenida-San Martín, and 5% in Lovaina-Aranza-
bal. It is in the latter district that the properties reached
the highest average price at 4,000 euros / sqm.
The only area where prices fell was in Armentia, where
a 7% decrease to 2,800 euros was registered. This decline
was owed to the fact that the shortage of demand does
not cover the ample supply.
Properties from inheritances make up a large part of the
flats for sale. The seller profile also includes older people
who leave their homes to acquire smaller residences or
those simply looking to change their location.
The taller fl with a south or west orientation, between
130 and 150 square metres, with a minimum of three
rooms, claim the most demand in the central area of Vito-
ria and in Desamparados. The streets Prado, Manuel
Iradier and the fi addresses on Florida street, together
with the squares of Amárica and Fueros, comprise the
most sought after properties in the heart of the city, while
the Plaza de Santa Bárbara is the most requested in Des-
amparados. In both areas, the demand comes from fami-
lies with school-age children or older people who want
to have all the necessary services nearby.
The Basque country
104 | Market Report 2019-20 Spain and Andorra
The three-bedroom properties of 100 to 120 square
metres, with direct garage access, good orientation and
height, are the most sought-after homes in Leuven-Aran-
zabal, Avenida-San Martín and Txagorritxu. The proxi-
mity to schools and to the city centre, together with its
large parks, are the most valued features in these areas
popular among the elderly and families with school-age
children.
In Batán-Mendizorroza, Armentia, Zabalgana and Are-
txabaleta, the highest demand goes to residential deve-
lopments with green areas, to houses with three to four
rooms and a garage, with a collective surface area of 100
to 160 square metres. Families with children, elderly
people and investors drive the main demand in Batán-Men-
dizorroza, whose greatest appeal is its proximity to the
Prado park. Armentia, on the other hand, stands out as a
prestigious residential area. Zabalgana has high-quality
semi-new homes and is in great demand from people
between the ages of 25 and 40. A similar age group makes
up the buyer profi in Aretxabaleta, a newly built resi-
dential area with large balconies and 10 minutes from
the city centre.
Property Prices in Vitoria
(Data in euros / sqm)
Minimum Maximum Average
Centro 2.400 5.000 3.200
Desamparados 2.050 4.000 2.700
Lovaina-Aranzabal 2.500 6.000 4.000
Avenida-San Martín 2.500 4.200 3.300
Batán-Mendizorroza 1.900 5.500 3.200
Armentia 1.900 3.900 2.800
Txagorritxu 2.200 2.800 2.500
Zabalgana 2.700 3.200 2.900
Aretxabaleta 3.000 4.500 3.800
Real Estate Market Trend · Northeast Spain | 105
San Sebastián
187.415
25.141 €
20.486 €
4.540 €/m²
+6,2 %
Population or Number of Inhabitants
Average Gross Income
Disposable Income
Average Price 2019
Interannual Variation
Donostia has a privileged geographical enclave and good
transport infrastructures, soon to be joined by the high-
speed train that will connect Madrid to Paris. We must
add the popularity that the Basque gastronomy has acqui-
red worldwide, leading to the creation of a reference
centre for innovation and research in the last decade, the
Basque Culinary centre (BCC). As a result, San Sebastian
has become the city with the most Michelin stars per
inhabitant.
The great beauty of the city lies in its perfect combination
of sea and mountains, and its traditional and vanguard
architecture. It is also attractive because of its size, some
187,000 inhabitants, which makes it a comfortable, clean
and safe city. Important cultural events, such as the Inter-
national Jazz Festival or the International Film Festival,
have led to an increase in international luxury tourism.
Donostia-San Sebastián has become a leading tourist city.
Proof of this is in the urgency with which the legislation
on tourist fl has been regulated and the exponential
increase in the construction of new hotels, which will
exceed ten between 2018 and 2019, and whose trend is
expected to continue in 2020.
This increase in tourism employment, which has excee-
ded 80% on average per year, together with the boost
given to the Gipuzkoan industry over the last two years,
has generated longer-term accommodation and, conse-
quently, an increase in rental and property acquisition.
All of this means that the purchase of a property in San
Sebastian is a very profitable investment with a tendency
to increase prices. This has caused repercussions for the
increase in sales along with the recovery and stability of
values in the sector. Property prices rose in all of San
neighbourhoods in 2019, from 8.6% in Onda-
rreta-Igueldo to 1% in Miramón.
106 | Market Report 2019-20 Spain and Andorra
The areas with the highest value per square metre are those
covering the entire perimeter of San Sebastian Bay. The
maximum average price was reached in Zubieta-Miracon-
cha at 10,200 euros / sqm, 2% more than in 2018. Behind
it is the centre with an average cost of 8,325 euros / sqm,
a 4% rise. As we move inland, the price of the houses gets
lower. However, as it is one of the most expensive areas
in Spain, this decrease is not entirely significant.
The buyer profile is made up of Spanish families, with the
greatest presence of foreigners in the Centre and Gros
neighbourhoods, where they represent 20% of all the
clients. The majority of the buyers acquire a primary resi-
dence. The areas chosen by those looking for a property
to invest in are Miraconcha, the Centre, Gros and the Old
Town. In these areas, apartments attract the highest
demand. Their typology varies from 150 to 300 square
metres with three to four rooms, which are in demand in
Miraconcha, to apartments of 70 to 130 square metres
with two to four rooms, in demand everywhere else.
Houses are the most popular type of property in Onda-
rreta, Miramón, Berio and Aiete. In Aiete, buyers look
for three-room single-family homes with a minimum of
90 square metres, and in Miramón, a four-room unit with
a maximum of 350 square metres.
Property Prices in San Sebastián
(Data in euros / sqm)
Minimum Maximum Average
Zubieta-Miraconcha 9.200 11.200 10.200
Centro-Área Romantica 6.150 10.500 8.325
Ondarreta-Igueldo 4.300 7.650 5.975
Gros 6.400 8.300 7.350
Parte Vieja 5.900 7.500 6.700
Miramón 4.000 7.100 5.550
Berio 5.200 7.000 6.100
Aiete 4.730 6.165 5.448
Aretxabaleta 3.000 4.500 3.800
Real Estate Market Trend · Northeast Spain | 107
Hondarribia - Irún
Less than 25 km from the capital of Guipúzcoa, San
Sebastián, and close to the border with France, Honda-
rribia and Irún are two municipalities steeped in history.
Hondarribia has managed to preserve its great natural
and historical heritage, and it represents a holiday desti-
nation par excellence.
On the banks of the Bidasoa River, Irún is one of
main border crossings with France, which gives it unde-
niable importance as a commercial, railway, road and
logistical hub.
Both the Hondarribia and Irun real estate markets are
homogeneous and stable in terms of prices. In general,
prices between 2018 and 2019 only saw a slight change.
This invariable market off s a magnifi investment
opportunity, as it generates high returns and security.
The valued properties in Hondarribia are those close to
the sea, preferably with good views. The mountain
village off few possibilities to build in these coastal
areas, so the off is limited to what is available. The-
refore, the centre with views of the sea has the highest
average price at 5,500 euros / sqm. The in-demand areas
are the Paseo Miramar and Paseo Butrón, as well as the
private developments. Here, families are looking for
houses or apartments from 60 to 170 square metres,
with two or three bedrooms.
The most demanded properties in Irun are the comfor-
table quality homes for families located in Mendibil,
the centre or Palmera-Montero. The typology is of
apartments measuring from 80 to 110 square metres,
with two to three rooms. 90% of all purchases go to a
primary residence.
The profi of buyers in both Hondarribia and Irún is of
small families (two-four members), who have diff
but complementary needs (location, proximity to servi-
ces, beach, etc).
Property Prices in Hondarribia and Irún
(Data in euros / sqm)
Minimum Maximum Average
Hondarribia Norte 3.000 4.500 3.500
Hondarribia Centro (Vista Mar)
5.000
6.500
5.500
Hondarribia Centro 3.000 4.600 3.800
Hondarribia Sur 2.500 3.700 2.800
Golf Jaizubia 1.800 4.900 2.600
Irún 1.800 4.900 2.700
Rentals
The offer of long term rental properties is limited in Hon-
darribia. Focused on tourism, in the summer months the
town attracts a large demand from vacationers willing to
pay high amounts of money to rent properties near the
beach as well as luxury villas in both the Golf area and
the Campiña area.
In Hondarribia, families and singles are looking for two
to three bedroom apartments from 80 to 120 square
metres. The rental market is more varied, with a large
demand from American and Swiss clients.
In Irún the situation is diff Rent comes mainly
from clients looking for a primary residence. The supply
is much lower than the requests, as there is a high
demand for low-middle-range fl for workers. It
should also be noted here that 40% of all operations are
carried out by foreigners.
Price of rent in Hondarribia and Irún
(Data in euros / sqm)
Minimum Maximum Average
Hondarribia 9 13 11
Irún 7 11 8
108 | Market Report 2019-20 Spain and Andorra
Bilbao
346.843
21.245 €
17.556 €
2.931 €/m²
+2,5 %
Population or Number of Inhabitants
Average Gross Income
Disposable Income
Average Price 2019
Interannual Variation
The capital of the Biscay province has an area of 41.6
square kilometres and an important transport infrastruc-
ture connecting it to the main capitals of Europe. The
city is the heart of a metropolitan area with more than
one million inhabitants, the sixth largest in Spain. It is
the main axis of the economic and social deve-
lopment, and a driving force in its modernization.
The real estate market in Bilbao continues to be stable.
Although it is true that between 2000 and 2008 prices
underwent a notable increase, after a decrease of approxi-
mately 20%, no signifi variations have been registe- red.
The average cost of a home in the capital of Biscay
switched in 2019 from the maximum recorded in Aban-
doibarra at 5,500 euros / sqm, to the 3,700 euros / sqm
reached in Indautxu. The latter is the only area to regis-
ter a drop in prices in 2019, specifi by 3.8%. The
biggest increase was noted in the central district, with a
rise of 6.9%.
Couples between 40 and 50 years old, who have chil-
dren, are looking for spacious fl from 120 to 180
sqm. They normally choose the neighbourhoods Indau-
txu and Ensanche. The most emblematic buil-
dings, unique historic properties, are the main attraction
of Bilbao's Ensanche, where a large number of homes
for sale come from inheritances, and where the popular
area is Plaza Jado. In Indautxu, which stands out for its
commercial and service off , the popular street to live
on is Estraunza.
Located next to the estuary and the site of the Guggen-
heim Museum, Abandoibarra stands out for having
become the axis of the urban regeneration, with its
quality 10-year-old constructions. Families with high
purchasing power, sportsmen, lawyers, doctors, and
more, comprise the buyer profi They seek three-be-
droom 140 sqm homes.
Real Estate Market Trend · Northeast Spain | 109
A wide range of leisure activities coupled with the
traditions are of great appeal in Bilbao's Old Town, where
the demand comes from young couples without children,
looking for a two-bedroom 100 sqm flat. The Plaza Nueva
is the hot spot.
Property Prices in Bilbao
(Data in euros / sqm)
Rentals
Bilbao has undergone an urban transformation that began
in the 1990s, by changing its industrial character, reha-
bilitating emblematic parts of the city, recovering the
area around the estuary, and creating new transport infras-
tructure such as the underground.
One of the great icons of this New Bilbao is the Gug-
genheim Museum, and it is precisely in this area that
Abandoibarra registers the highest rental price in the city,
which, last year, reached 16 euros / sqm, 6.6% more than
in 2018. The most requested place in this neighbourhood
is Plaza Euskadi. As with purchases, properties with the
highest demand for rent are the 140 sqm three-room flats.
In 2019, the Ensanche was the district that registered the
greatest rise in prices, a 25% increase to 15 euros / sqm.
While the cost remained unchanged in the Casco Viejo
and Indautxu, the latter is where the lowest price was
reached at 12 euros / sqm.
Minimum Maximum Average
Abandoibarra 4.900 6.800 5.500
Indautxu 3.300 4.200 3.700
Ensanche 3.900 4.900 4.100
Casco Viejo 2.000 3.500 2.500
110 | Market Report 2019-20 Spain and Andorra
Pamplona
Pamplona, the capital of the Autonomous Community of
Navarre, is a historic gateway to the Iberian peninsula,
and a crossroads of cultural, historical and economic
paths. Located along the Camino de Santiago, and famous
worldwide for its San Fermin festival, its walled Renais-
sance city is an undeniable European reference. In addi-
tion to all this, its traditional gastronomy based on the
high quality of its local product, together with a varied
and extensive cultural offer, make Pamplona an important
city for national and international tourism.
Pamplona is the financial, commercial and administrative
centre of Navarre. It is the seat of the auto-
nomous and territorial administrative institutions. The
city has an important nucleus of industrial activity and
two important universities: the Public University of Nava-
rre and the University of Navarre.
The average price of a home in Pamplona was 198,000
euros in 2019. The average cost of the properties marke-
ted by Engel & Völkers last year reached 2,411 euros /
sqm, which represents an increase of 25.7% over 2018.
All of the districts registered price increases, espe-
cially Soto Lezcairu, where the average price reached
2,800 euros / sqm. The smallest increase was recorded in
Mendebaldea, which rose to 2,700 euros / sqm.
Roncesvalles street in the 1º Ensanche is where properties
reached the highest price, which stood at 3,700 euros /
sqm. Afterwards, the Paseo Sarasate in the Casco Viejo
took second place, with an average cost of 3,400 euros /
sqm, followed by Monte Monjardín in the 2º Ensanche,
with 3,300 euros / sqm.
With regards to fl the typical property marketed by
Engel & Völkers in the city has between 120 and 200 sqm,
three to four bedrooms, two bathrooms, an excellent loca-
tion, a garage and storage room. Its average price is
between 300,000 and 550,000 euros. For their part, the
single-family homes, mostly villas located in the surroun-
dings, have an average price between 350,000 and 600,000
euros, surfaces between 300 and 350 sqm, and a plot of
up to 900 sqm.
90% of the buyers are Spanish, compared to 10% of
foreigners, of which French, British and German buyers
stand out.
Property Prices in Pamplona
(Data in euros / sqm)
Navarre
Minimum Maximum Average
Casco Viejo 1.500 4.500 2.200
1º Ensanche 2.200 4.500 2.900
2º Ensanche 1.800 3.500 2.500
Soto Lezcairu 2.200 3.800 2.800
Iturrama 2.200 4.000 2.900
Mendebaldea 2.300 3.300 2.700
Barañain 1.800 2.800 2.400
San Juan 1.700 3.000 2.200
Berrioplano / Artica 1.500 2.300 1.700
Real Estate Market Trend · Canary Islands | 113
Costa Adeje
47.869
21.912 €
18.429 €
2.573 €/m²
+0,8 %
Population or Number of Inhabitants
Average Gross Income
Disposable Income
Average Price 2019
Interannual Variation
Located in the southwest of Tenerife island, Costa Adeje
is one of the most visited tourist destinations in Europe
thanks to its more than 26 km of coastline distributed
among 17 beaches. It offers one of the most modern hotel
networks in Europe, large shopping centres, and some of
the most renowned theme parks in the Canary Islands,
such as Siam Park.
The average price of the houses commercialized by Engel
& Völkers in Costa Adeje, goes from the 2,100 euros /
sqm registered in the Los Gigantes-Puerto Santiago area,
to the 6.000 euros / sqm reached in Golf Costa Adeje.
Golf Costa Adeje is one of the most exclusive areas in
the south of Tenerife. It reached the biggest price increase
in the last three years with an increase of approximately
20%. Macaronesia Avenue and Las Palmitas, next to
Samarin Street, are the most demanded areas in the high
standing sector. Buyers in this area are foreign families
looking for houses of approximately 250 sqm with a
minimum of four rooms. 90% of the buyers seek to
acquire a second residence, while 10% are making an
investment.
Abama Resort, a luxury residential area with hotel ser-
vice, is another of the most sought-after areas in sou-
thernTenerife. The prices here reached 6,500 euros / sqm
last year, which is 13% more than in 2018. The 150 sqm
apartments with two bedrooms are in the highest demand.
Again we see that foreigners comprise the majority of
the property buyers and sellers. 70% of the purchase goes
to a second home, while 30% are investments. Abama
has several projects underway, such as Los Jardines de
Abama, Villas del Tenis and Las Atalayas.
Tenerife
114 | Market Report 2019-20 Spain and Andorra
The demand in Costa Adeje, where the price of the pro-
perty marketed by Engel & Völkers has increased by
8.5%, is focused on two-bedroom 100 sqm apartments,
with districts Playa del Duque, Jardines del Duque and
La Caleta claiming the highest demand. Foreign families
account for 90% of the purchases, with a greater presence
of Belgian, German, Austrian and Swiss nationalities.
Last year saw a strong growth of Polish buyers.
Flats at a minimum of 80 sqm with one or two bedrooms
attract the most demand in Adeje, Los Cristianos and
Palm Mar. The latter two are of interest to both foreign
residents and Spanish citizens. 20% of the buyers acquire
their primary residence in these areas, while in Playa de
las Americas, a more touristic area, more purchases are
made as an investment in holiday apartments.
The most requested properties in San Eugenio-Caldera
del Rey, Roque del Conde-El Madroñal, Los Gigan-
tes-Puerto Santiago and Callao Salvaje-Playa Paraíso,
are the terraced and detached houses of approximately
100 sqm with two or three bedrooms.
Property Prices in Costa Adeje
(Data in euros / sqm)
Minimum Maximum Average
Costa Adeje 2.100 6.684 3.800
Golf Costa Adeje 4.500 8.000 6.000
Roque del Conde/ El Madroñal 1.700 4.400 2.800
Palm Mar 1.600 4.000 2.300
San Eugenio/ Caldera del Rey 2.000 5.000 2.500
Abama Resort 5.600 7.800 6.500
Los Gigantes/ Puerto Santiago 1.600 4.600 2.100
Callao Salvaje/ Playa Paraíso 1.900 3.900 2.500
Playa de Las Américas 2.400 5.000 3.400
Los Cristianos 2.100 8.000 3.400
116 | Market Report 2019-20 Spain and Andorra
The Balearic Islands
The Balearic Islands
Menorca
Mallorca
The Balearic Islands Ibiza
Real Estate Market Trend · The Balearic Islands | 117
The Balearic Islands
The real estate market in the Balearic Islands has main-
tained its positive and stable evolution. This stability is
underlined by the balance between supply and demand.
In the best locations, demand often exceeds supply in
terms of high-quality, modern and reasonably priced pro-
perties. The Balearic Islands attract clients with high
purchasing power and in Mallorca there is a growing
interest from wealthy buyers. According to the Ministry
of Development, the total sales volume in 2019 reached
the expected result of some 4,000 million euros, in line
with the fi from the last three years.
The high-end average prices, although among the highest
in Spain, remain stable. This, again, emphasises the stren-
gth of the Balearic property market, a driving
force for their economic growth. Many factors, such as
continued investment, indicate that the islands will main-
tain their appeal to international clients.
The Balearic Islands
118 | Market Report 2019-20 Spain and Andorra
Palma de Mallorca
Palma de Mallorca is booming. The apartment market is
still on the rise. The Old Town and Genoa are the main
locations, with average prices of 800.000 euros in Genoa,
and between 700.000 and 800.000 euros in Old Town.
Around Playa de Palma, the average cost of apartments
stands at 400.000 euros. The apartments are in high
demand, although townhouses are popular. Portixol, Es
Molinar and Ciudad Jardín off interesting investment
opportunities, with average prices between 1.5 and 2
million euros.
Engel & Völkers has a wide range of clients: families,
couples and entrepreneurs. They are mainly looking for
penthouses and apartments with a terrace and balcony,
which are either new or renovated properties. Buyers
increasingly value sustainable and environmentally
friendly architecture.
Palma Surroundings & Son Vida
Son Vida is associated with exclusivity, security and
peace of mind. In the surrounding area you will fi tra-
ditional villages such as Establiments, Esporles and Pui-
gpunyent, which are in increasing demand from interna-
tional buyers. The profi of Engel & Völkers clients in
this area is made up of families and people passionate
about sport. Most of them come from German-speaking
countries, followed by British, Scandinavian and Spanish
ones. The high-quality villas with avant-garde
architecture are sold within six months of their construc-
tion. Especially popular locations are on the golf course
or those with sea views.
Son Vida is the most coveted district in Palma for those
acquiring a villa, whose average price is 4.7 million euros.
In the surrounding areas, such as Puigpunyent, Establi-
ments and Esporles, average prices for villas and country
estates drop to 2 and 2.5 million euros.
Southwest Mallorca
This part of the island, near Palma, has a unique infras-
tructure. Port Andratx has developed a special dynamic
among clients with high purchasing power, establishing
a stable high average price level of over 4.3 million
euros for the villas. The average cost of villas and hou-
ses in Camp de Mar, Portals and Bendinat is between
2.8 and 4 million, while prices in Santa Ponsa remain
stable at between 1.8 and 2.8 million. In rural areas
such as Es Capdellà, properties cost between 1.4 and
1.8 million euros.
The main areas in the south west for those wanting to
buy flats and apartments are Bendinat and Port Andratx.
In Bendinat average prices remain at 800.000 euros.
Real Estate Market Trend · The Balearic Islands | 119
West Mallorca
Authenticity, culture and a traditional character are what
attract buyers in West Mallorca. The clients of
Engel & Völkers in this area are mostly British, and
clients with high purchasing power are increasing. Pro-
perties with outdoor facilities, a swimming pool and
great views are the most sought-after.
The prices of villas and estates remain stable. George
Sand, Deià and Port de Sóller have an average price of
3.5 million euros. Valldemossa, Estellencs and Banyal-
bufar (for properties with lots of land and views), ave-
rage prices range from 2.5 to 3 million euros. In For-
nalutx, Biniaraix and Sóller, houses and properties reach
prices between 1.3 and 2.5 million euros, and there are
opportunities below one million in Valldemossa. The
apartments in Puerto de Sóller are the most expensive
in the area, with average prices of 450.000 euros, while
the most aff can be found in Valldemossa, star-
ting at 310.000 euros.
North Mallorca
The coastal towns and historical villages contrast with
the mountains and the natural park S'Albufera. Tradi-
tional Mallorcan estates with modern facilities, as well
as seafront apartments and villas, lead the demand. Pro-
perties with a tourist rental licence are in great demand
by investors.
The area off a wide range of villas and estates. In
Formentor, due to the few properties available on the
market, average prices are up to 5.7 million euros, howe-
ver some houses are more expensive. The areas around
Alcúdia and Pollensa have stable prices, between 1.5
and 2.5 million euros. Rural areas such as Búger and
Campanet off a good and stable quality / price ratio,
with prices between 1.1 and 1.5 million euros. The
apartment market in Puerto de Pollença, Alcanada and
Puerto de Alcúdia remains at a stable level with prices
starting at 400.000 euros.
Northeast Mallorca
Buyers in this part of the island are looking for scenery
and tranquility. Couples and families buy property between
Colònia de Sant Pere and Porto Cristo, both for holiday
use and for extended stays. There is a particular demand
for modern properties with higher prices and an excess
demand for high-quality penthouses.
In the best locations, around Colònia de Sant Pere and
Artà, average house prices stand at around 1.7 million
euros, with the possibility of rising. The same applies in
the coastal area between Cala Mesquida and Canyamel,
as well as in Manacor; here the average prices are between
1.5 and 1.7 million euros. Buyers can find apartments
even in the best locations, such as Colònia de Sant Pere
or the village Artà at average prices of 350.000 euros.
Central Mallorca
The proximity to Palma, the views of the Sierra de Tra-
muntana mountains and the mixture of a rustic and
modern lifestyle, represent the main attractions,
where primarily German customers are looking for a
second home. New buildings with modern architecture,
good views and high quality construction draw the grea-
test demand.
The Santa Maria area is the most popular due to its proxi-
mity to Palma. Its average housing price is at 1.8 million
euros. Inland villages in the areas, such as Binissalem,
off great value for their cost, with average prices
between 1.2 and 1.6 million euros.
Southeast Mallorca
Dreamlike landscapes, fishing ports, good connections
to Palma and the airport make up the offer in the southeast
of Mallorca. Most buyers use their properties here as
holiday getaways.
In the southeast, the market for estates and villas is at a
high level. Between Cala Llombards and Portocolom,
with Santanyí in the centre, average prices continue to
stand above 1.6 million euros. Elsewhere on the coast
(Sa Rapita, Colonia de Sant Jordi, Ses Salines and Cala
Murada), prices fluctuate between 1.4 and 1.6 million
euros, and inland they stand at around 1.35 million euros.
As for apartments, there is a great demand along the
coast, from Cala Murada to Cala Llombards, with an
average price of 350.000 euros.
South Mallorca
South Mallorca takes good advantage of its proximity to
Palma airport and the city centre. Due to the grea-
ter appeal, prices have risen and there is a clientele with
increasing purchasing power.
The preferred locations are still by the sea, near Cala
Blava and Son Verí Nou, where the villas can be pur-
chased at an average price of 1.85 million euros. In the
areas adjacent to Maioris Décima and Puig d'en Ros,
prices are expected to rise from the current average of
between 1.4 and 1.5 million euros. Elsewhere on the
coast, such as Cala Pi, properties can be acquired for an
average price of around 1.4 million euros.
Rentals
The change in the tourist rental law has had a positive
eff on long-term rentals. Once again, more and more
properties are being off for long-term rental, which
slows down the constant increase in prices, balancing
supply and demand. Interest in rental property from
buyers and investors has increased significantly. In many
areas, foreign buyers are looking for licensed rental pro-
perties with the intention of earning income while using
the properties themselves. Engel & Völkers off r these
properties mainly in the north and southwest of the island.
As far as long-term rental properties are concerned, the
prices off at Engel & Völkers in diff regions depend
on size, location and facilities. These prices range from
2.000 to 15.000 euros per month for houses, and from
1.200 to 7.000 euros for apartments. The property rental
market shows that investors are convinced of the
property magic triangle in Mallorca, off
all three elements: security, liquidity and profi .
120 | Market Report 2019-20 Spain and Andorra
Real Estate Market Trend · The Balearic Islands | 121
Menorca Ibiza
The quiet sustainable tourism of Menorca guarantees its
lasting attraction. Improvements include the main
road, which is currently being refurbished, and even lar-
ger yachts can be moored at the port, Mahon.
The second largest island in the Balearic archipelago has
always been a fascinating place that reinvents itself to be
in line with world trends, but not only with regards to
gastronomy and entertainment. The experts on the island
know the quietest corners, especially in the north.
Ibiza also attracts a heterogeneous international clientele
in search of property. Modern properties overlooking the
sea are in particular demand. Around Ibiza town, like the
southwest with its famous sunsets, and the rustic interior
with towns like Santa Gertrudis, are highly sought-after
fashionable areas. The prices of properties remain high
and stable. Villas and country estates in the best locations
can be purchased for about 3 million euros. New cons-
truction projects in coveted locations have a modern
design. Some off new housing concepts and a wide
range of optional facilities. Many road improvements
will be completed in 2020, and they will have a sustai-
nable, long-lasting positive eff on the infrastructure.
Since the island has been declared a UNESCO biosphere
reserve, no more tourist buildings can be built. Those
who want to buy a property can expect to pay between
900.000 and 3 million euros for a villa, while townhouses
in Mahon or Ciutadella are available for prices between
300.000 and 1.5 million euros. Menorca is particularly
popular with the French.
122 | Market Report 2019-20 Spain and Andorra
Madrid
The buyer profi of new builds remained unchanged in
2019 with respect to recent years. Since 2018, the young
buyer looking to expand his home in areas undergoing
growth, has been joined by a customer with high purcha-
sing power, who is looking for homes with all kinds of
features in prime areas of the city.
This modifi boosted prices in Madrid's most pre-
mium developments, an upward trend that eased in 2019,
in iconic districts such as Salamanca, Centro and Cha-
martín, but not so much in Chamberí or Retiro, where
prices had a slight increase over the last year.
At present, six districts in Madrid maintain the average
price of new builds above 5.000 euros / sqm, with Cham-
berí leading the way at almost 8.000 euros / sqm. Behind
them you have Salamanca, Retiro, Chamartín, Moncloa
and Centro.
In addition to the most exclusive projects in these dis-
tricts, demand is concentrated in small housing develo-
pments of 50-80 sqm in areas like Tetuán, and somewhat
larger in Latina. Likewise, in the northern area of Madrid,
it is possible to get access to large houses exceeding 200
sqm in developments in Pozuelo, Boadilla del Monte, or
Las Rozas, at prices around 3.000-3.500 euros / sqm.
Engel & Völkers’ most significant
promotions in Madrid
(Data in euros / sqm)
New Developments
Residential project District or area Min. Max. Average
General Oraa 9 Salamanca 9.777 13.691 11.612
Fuencarral 142 Chamberi 5.558 11.655 7.961
Bailen 37 Centro 5.094 7.462 6.559
Zorrilla 19 Centro 8.097 12.309 9.857
Dulcinea 45 Tetuan 5.141 6.577 5.773
Cantueso 93 Tetuan 3.169 4.722 3.838
Manuel Marañon 4 Ciudad Lineal 6.611 8.972 7.536
Cuevas Del Valle 26 Aravaca 2.762 2.779 2.768
Calvo Sotelo 44 Pozuelo 3.131 3.364 3.218
Valdemarin 5 Valdemarin 3.494 3.965 3.802
Reyes Catolicos 6 Boadilla del Monte 3.227 3.703 3.403
Real Estate Market Trend · Obra Nueva | 123
Barcelona
The average price of new developments in Barcelona
reached 5.485 euros / sqm in 2019. The price of new
builds increased throughout last year in districts such as
Sarrià-Sant Gervasi, Eixample, Sant Martí, Gràcia, Hor-
ta-Guinardó and Sants-Montjuïc, while it has decreased
in Ciutat Vella and Les Corts.
The rising periphery
Development activity
Activity on behalf of promoters has shifted to the outs-
kirts. A signifi increase in the number of operations
is expected in surrounding, due to its 30%
reduction in the number of licence requests. This sce-
nario of political uncertainty has driven the buyer of
new builds to fi or rehabilitated products about
to be completed.
After reaching 3.470 euros / sqm, forecasts indicate that
the average price of new build property on the periphery
will remain stable but with a slight upward trend in 2020.
62% of the buyers are Spanish compared to the 38% who
are foreigners, among which French, German and British
buyers stand out. Most of the purchases, 69%, are made
to acquire a primary residence while 30% go to second
homes. There has been a decrease in the number of inves-
tor clients, which only accounted for 1% last year. 80%
of the sellers are Spanish, whereas Israelis stand out as
the majority of the international sellers.
Ground fl and penthouses with terraces, between 70 and
90 sqm, with three bedrooms, represent the most
requested properties. The highest demand is concentrated
in Eixample, Horta-Guinardó, Sants-Montjuïc and Grà-
cia. One outstanding development consists of the largest
building refurbishment where buyers continue to put their
stakes in premium areas such as Eixample, although in
2020 the periphery will have more protagonism with
regards to the construction of new properties.
The most significant promotions of
Engel & Völkers in Barcelona and
surrounding areas
(Data in euros / sqm)
Residential project District or area Min. Max. Average
Jacint Esteve Fontanet Pedralbes 5.340 7.980 6.980
Ausias Marc Eixample 11.500 13.320 12.570
Girona Eixample 8.145 14.240 10.155
Gran Via Eixample 5.165 5.535 5.420
Piquer Sants - Montjuïc 3.730 5.660 4.800
Valldonzella Ciutat Vella 5.670 7.933 6.850
Mare de Deu del Coll Gràcia - Vallcarca 4.695 5.790 4.965
Diagonal Mar Front Marítim 5.320 7.910 5.490
Taulat Poblenou 6.490 7.030 6.740
Caldes de Montbui Caldes de Montbui 2.640 2.990 2.850
Bonavista Beach Gavà Mar 5.390 6.585 6.260
Residencial Marianao Park
Sant Boi de Llobregat
2.525
3.605
2.860
124 | Market Report 2019-20 Spain and Andorra
Catalonia
Sitges
In Sitges, Engel & Völkers is marketing a new building
in the centre: Sant Antoni. These are 90 sqm apartments,
with an average price of 5.500 euros / sqm. Their strong
point lies in their proximity to the town centre and to the
sea. Most of the demand for new housing comes from
foreigners, as only 20% are Spanish. Purchases are made
for both fi and second homes.
Engel & Völkers’ most significant
promotion in Sitges
(Data in euros / sqm)
Costa Brava Sur
In the south part of Costa Brava, half of all new purcha-
ses go to second homes, mainly in towns such as Lloret
de Mar and Platja d'Aro, while 20% to 30% of all pur-
chases are investments.
Engel & Völkers off three new build developments
in diff locations in southern Costa Brava, with pri- ces
reaching a maximum of 7.000 euros / sqm in Lloret de
Mar.
In Lloret de Mar, Infi is a seafront project consisting
of 80 sqm apartments distributed among two to three
rooms. Customers are divided equally between Spaniards
and foreigners.
With a more Spanish buyer profile and an offer of two to
three bedrooms 80 sqm apartments, in Marina Port d'Aro
in Platja d'Aro, and Metropol in the centre of Sant Feliu
de Guixols, 70% of the purchases go to primary residences.
Engel & Völkers’ most significant
promotions in Costa Brava Sur
(Data in euros / sqm)
Minimum Maximum Average
Lloret de Mar 2.100 7.000 5.000
Tossa de Mar 2.300 2.700 2.500
Blanes 2.000 4.000 2.500
Platja d'Aro 2.800 3.700 3.300
Sant Feliu de Guixols 2.500 3.000 2.800
Palamós 2.500 3.200 2.800
Minimum Maximum Average
Sant Antoni. Centro 5.000 6.000 5.500
Real Estate Market Trend · Obra Nueva | 125
Cerdanya
Last year, Engel & Völkers commercialized diff
promotions of new developments in Cerdanya, at an ave-
rage price of 3.600 euros / sqm. The three developments
promoted by the real estate agency are Mas Barrera, Mas
Sallent and Pleta de Ger, which have average prices
between 3.000 euros / sqm and 4.400 euros / sqm.
Mas Barrera is the fi gated village in La Cerdanya.
It is a mixed project of both new and rehabilitated pro-
perties, with 18 houses located in a private area, which
have 90 sqm and two or three bedrooms. It is an area
for skiers.
The housing development called Mas Sallent, in Bolvir,
maintains the essence of mountain houses defining a new
standard of quality and modernity. All the houses are
unique structures built with Llívia stone. They are four-
room homes with a minimum of 200 sqm. They have
common facilities such as a social club, swimming pool
and paddle tennis courts.
Finally, the new housing project called Pleta de Ger, con-
sists of 50 single-family homes starting at 150 sqm, with
four rooms, top quality finishes and Ceretano styled mate-
rials. It is necessary to emphasize the technology found
in these houses, used to obtain maximum energy effi-
ciency, and to minimize maintenance costs.
126 | Market Report 2019-20 Spain and Andorra
Costa Blanca
Benidorm
Engel & Völkers is marketing five new developments in
Benidorm and Finestrat. The most expensive is the exclu-
sive Azure Sky. Located in Rincón de Loix, it is a private
community of homes with at least four bedrooms and
437 sqm, where 90% of the buyers are foreign families.
Also, in Rincón de Loix there are the Villas de Estocolmo,
a community of five-bedroom 400 sqm detached houses
with individual swimming pools. In this project, 70% of
the applicants are Spanish while 30% of the foreigners
are English.
The InTempo development is located in Playa de
Poniente, a unique building 200 metres high with two
to four bedroom apartments between 75 to 300 sqm.
The development is equipped with a spa, infi pool,
heated pool, sky lounge and chillout terrace with
jacuzzis and Balinese beds. 65% of the buyers are
foreigners, 50% of the purchases are investments, and
45% are buying for second homes.
Finestrat already has a promotion for both terraced and
single-family houses with two to five bedrooms, a swim-
ming pool and a gym. 80% of the buyers are foreigners,
with an increase in demand from Russian citizens, and
a clear preference for villas. 45% of the buyers purchase
the property as a second home, and 30% as an investment.
Engel & Völkers’ most significant
promotions in Benidorm
(Data in euros / sqm)
Minimum Maximum Average
Rincón de Loix - Villas Estocolmo 2.067 2.222 2.135
Rincón de Loix - Azure Sky 4.411 5.432 4.950
Playa de Poniente - InTempo 2.044 6.371 4.200
Finestrat 1.715 4.195 2.848
Alfaz del Pi
Engel & Völkers off five new developments in Alfaz del
Pi, in three areas: Playa del Albir, La Nucia and Polop,
where the vast majority of new home buyers are foreig-
ners looking for their main residence.
The area with the highest demand is Playa del Albir,
although it is an enclave with little supply of new pro-
perties, for which promotions are low and prices high,
causing a shift in purchase applications to the city of
Alfaz del Pi and its surroundings.
At the moment, supply exceeds demand in La Nucia and
Polop, where three-bedroom houses of 100 to 195 sqm
are for sale. On the other hand, in Playa del Albir the
typology of single-family houses ranges from 236 to 536
sqm and has four rooms.
Engel & Völkers’ most significant
promotions in Alfaz del Pi
(Data in euros / sqm)
Minimum Maximum Average
Playa del Albir 2.500 3.200 2.850
La Nucia 1.980 2.400 2.190
Polop 1.800 2.400 2.100
Real Estate Market Trend · Obra Nueva | 127
Moraira
The developments marketed by Engel & Völkers in
Moraira involve four-room homes with 238 to 280 sqm,
equipped with a private pool. The possibility of walking
to Moraira and the sea views constitute the main attrac-
tions. The buyer profi is composed of foreign families
looking for a second home.
Engel & Völkers’ most significant
promotions in Moraira
(Data in euros / sqm)
Jávea
New builds in Jávea reach prices of up to 6.000 euros /
sqm in the most popular areas. Large villas, between 400
and 500 sqm, are the most sought-after by families and
non-resident investors in developments such as Balcón al
mar, Costa Nova, La Corona or Jávea Golf, among others.
Residents, for their part, prefer Tosalet with traditional
Mediterranean villas, as well as Cap Martí or Adsubia,
where prices do not exceed 4.000 euros / sqm.
Engel & Völkers’ most significant
promotions in Jávea
(Data in euros / sqm)
Denia
The new developments in Denia are concentrated in
three areas: Las Marinas, Las Rotas and El Montgó,
with the later two also off a wide range of newly built
individual housing projects in high demand.
In both Las Rotas and El Montgó buyers are looking
for nearby villas with views of the sea, and surface areas
between 250-300 sqm. The greatest demand in Las
Marinas is for apartments of around 100 sqm, located
on the seafront.
The buyer profi in Las Rotas is familial, with Spanish
citizens accounting for 80% of acquisitions, while in
the two remaining areas this percentage drops to 60%.
Engel & Völkers’ most significant
promotions in Denia
(Data in euros / sqm)
Minimum Maximum Average
Las Marinas 1.800 2.000 1.900
Las Rotas 2.800 3.000 2.900
El Montgó 2.200 2.500 2.350
Minimum Maximum Average
Moraira 2.606 2.615 2.610
Minimum Maximum Average
Balcón al Mar /Costa Nova/Portixol 4.000 6.000 5.000
Jávea Golf 3.900 4.550 4.225
La Corona/Puchol/ San Antonio 5.500 6.000 5.750
Tosalet /Cap Martí / Adsubia 3.800 3.960 3.880
128 | Market Report 2019-20 Spain and Andorra
Galicia
La Coruña
For the present year, a great increase of new single-family
properties is expected in the residential areas of Oleiros,
and a slight decrease of development in the city. In fact,
Engel & Völkers is marketing five new developments in
La Coruña, three of which are located in Oleiros: Jardines
de Santa Cruz, Oleiros Village and Urbanización Club de
Tenis, all of them high standing developments.
Jardines de Santa Cruz is only 50 metres from the pro-
menade and the beach. The houses have one to four
bedrooms. 70% of the buyers are families, most of which
seek their primary residence, while 20% are looking to
invest. The Oleiros Village and Tennis Club developments
are made up of single-family homes with three to five
bedrooms.
In La Coruña, Engel & Völkers is off Residencial
Naútica, located in the main urban area of the new build,
Riazor. The sought-after properties are one to four
bedroom apartments, with 30% of the buyers making their
purchase as an investment. In the premium area,
in the Ensanche, you can fi the Artium building, which
has one to three bedroom apartments. Here 25% of the
purchases are made by investors.
Vigo
Engel & Völkers is marketing four new builds in Vigo.
Alameda 1, located in Plaza de Compostela, a few metres
away from the marina, yacht club and the A Laxe shopping
centre, off fl and apartments measuring 45 square
metres and with one to two bedrooms. Half of the buyers
of these properties are making an investment while the
other half is purchasing their primary residence.
Ecuador, 73 and the Balandrón building are located in the
city centre. The fi project consists of two to three
bedroom fl while at Balandrón the homes have three
bedrooms. The buyers are entirely Spanish clients mostly
looking for their main residence. On the other hand, the
Luis Taboada 6 development is made up of 12 one to four
bedroom homes, in a privileged location of the city, where
the Luis Taboada and Castelar streets intersect.
Engel & Völkers’ most significant
promotions in Vigo
(Data in euros / sqm)
Engel & Völkers’ most significant
promotions in La Coruña
(Data in euros / sqm)
Minimum Maximum Average
Jardines de Santa Cruz 3.712 3.952 3.832
Edificio Artium 2.769 3.673 3.221
Residencial Náutica 4.112 7.500 5.806
Oleiros Village 2.206 2.377 2.291
Urbanización Club de Tenis - - 2.179
Minimum Maximum Average
Centro - Luis Taboada 3.200 5.000 3.500
Centro - Alameda 1 1.700 2.100 2.000
Casablanca - Corte Inglés, Ecuador 73 1.800 2.300 2.000
Centro - Edificio Baladrón 2.300 2.800 2.500
Real Estate Market Trend · Obra Nueva | 129
Pontevedra
The Casas da Nova Pedra development is located in Pon-
city centre. It consists of two to three bedroom
fl between 100 and 130 sqm. They off a parking space,
a storage facility, social lounge, game room, and a
garden area. The demand is made up of Spanish couples
and singles acquiring their primary residence.
Engel & Völkers’ most significant
promotion in Pontevedra
(Data in euros / sqm)
Asturias
The market for new developments in Asturias experienced
a year with two clearly diff trends: an active fi
semester, in particular during the fi quarter, and a
second part where a general slowdown was detected.
Among the new builds marketed by Engel & Völkers in
Luanco, the one that stands out is La Quinta de Luanco.
Commercialized exclusively by the agency, the develop-
ment consists of 18 houses designed by the architect Joa-
quín Torres, with views of the Cantabrian Sea, and an
individual swimming pool.
In the centre of Gijón, the project located in Emilio Tuya
40 is made up of 12 homes with an average price of around
2.584 euros / sqm. A step away from San Lorenzo beach,
the fl have two to three bedrooms, a storage room and
garage space.
Surrounded by nature and in surroundings, you
fi the Parque de Viesques residential complex, which
has one to three bedroom apartments of up to 127 sqm,
equipped with parking and storage facilities. The deve-
lopment also off a swimming pool and a garden.
Finally, the Playa de la Espasa development, located
between the towns Ribadesella and Colunga, consists of
homes with direct views of the sea. They are 174 sqm
houses with three rooms, a porch and balcony.
Engel & Völkers’ most significant
promotions in Asturias
(Data in euros / sqm)
Minimum Maximum Average
Centro 2.424 3.125 2.584
Viesques 1.206 2.486 1.945
Quinta de Luanco 2.271 3.395 3.347
Playa de La Espasa - Colunga 2.031 2.363 2.139
Minimum Maximum Average
Casas da Nova Pedra 1.414 2.100 1.873
130 | Market Report 2019-20 Spain and Andorra
Castilla and León Andalusia
Valladolid
Engel & Völkers is offering four new developments in
Valladolid. As with second-hand housing, the boom in the
Villa del Prado neighborhood stands out. In this district,
the new Monasterio housing development located in Santo
Domingo de Silos street, has 96 homes with an average of
112 sqm, two to four bedrooms, a garage and storage room,
in an exclusive development with gardens, a children's
play area, swimming pool and paddle tennis court.
You can also find the Las Eras residential complex in Villa
del Prado. It offers single-family homes with four bedrooms
and a surface area of 250 sqm. Both developments benefit
from the fact that the demand for four-bedroom homes
over 100 sqm, is above the supply.
The Colmenares new development is located in the centre
of Valladolid, and consists of 14 homes. It is a unique new
housing project that maintains the facade from
the beginning of the 20th century. It has attractive ameni-
ties such as a gym, Finnish sauna and bithermal shower,
a parking and storage room. The homes have an average
of 105 sqm distributed among two to four bedrooms.
For its part, the new development called Bajada de la
Libertad, is located in the heart of the historic quarter.
The building was refurbished to create 100 sqm homes
with three bedrooms. In the Centro district, an increase
of investors making purchases can be seen. They now
constitute about 30% of the buyers. The reason for this
has less to do with the net profi than with the
revaluation of the property.
Engel & Völkers’ most significant
promotions in Valladolid
(Data in euros / sqm)
Mijas
El Chaparral and Cala de Mijas off new build develop-
ments with prices ranging between 2.000 and 6.000 euros
/ sqm. The most requested typologies are apartments and
penthouses of more than 100 sqm, with two or three
bedrooms. Also in high demand are semi-detached or
terraced houses, with four bedrooms, 150 square metres,
gardens and a swimming pool. For new builds, the per-
centage of foreign buyers rises to 70% compared to the
30% of Spanish buyers.
Engel & clients who buy a new build property
in these locations mainly use it as a second home (65%),
although 30% of them are making an investment, and only
5% seek a main residence.
Engel & Völkers’ most significant
promotions in Mijas
(Data in euros / sqm)
Residential project Minimum Maximum Average
Villa del Prado - El Monasterio 2.209 3.488 2.662
Villa del Prado - Las Eras 1.928 2.050 1.980
Centro - Colmenares 3.180 5.415 3.705
Centro - Bajada de la Libertad 3.360 4.605 3.593
Residential project
Area Mini- mum
Maxi- mum
Average
Eden by Kronos El Chaparral 2.479 5.148 4.180
Aria by the Beach El Chaparral 3.215 5.123 4.522
Residencial Mediterraneo El Chaparral 2.394 6.038 2.750
One Residences Cala de Mijas 2.174 3.212 2.736
Real Estate Market Trend · Obra Nueva | 131
Marbella
The new developments in Marbella have been very
well-received by foreigners, who account for 70% of all
purchases as opposed to the 30% of Spaniards.
Engel & Völkers Marbella off about 45 new develop-
ments from which it has carefully selected the six best to
market exclusively. Due to the limited space available and
the little guarantee of new licenses, soon after the begin-
ning of the construction, there were price increases of
10%, and later 20% increases from the resales.
Until now, in order to acquire a new villa in a private
complex, one had to look in Sierra Blanca or Nueva
Andalucía. That is why the new housing project called
La Fuente has been so long-awaited. La Fuente is a com-
plex of eco villas featuring the latest green technologies,
within a private community of a privileged enclave, just
a few metres walk away to the old town, the beach or
Puente Romano.
Estepona
Engel & Völkers is off new build homes in more than
fi developments throughout the area. They are highly
demanded by families that are 70% foreign com- pared
to 30% Spanish. The requests are split among the clients
purchasing a second resident, which constitutes 48% of
the transactions, those looking for a primary resi- dence
(40%), and the 12% making an investment.
We can highlight four of the developments marketed:
The Edge, The View, Terrazas de Cortesín and Darya
Estepona. The most sought-after typology in The View,
a development located in the Selwo area, is a four-be-
droom home. Then you have The Edge, which is near
Kronos in Costa Natura, and Las Terrazas de Cortesin,
which is located in Casares. In both cases preference is
given to three-bedroom apartments. In Darya Estepona,
a building located on the main avenue in front of the
beach, the two and three bedroom apartments claim the
highest demand.
Engel & Völkers’ most significant
promotions in Marbella
(Data in euros / sqm)
Engel & Völkers’ most significant
promotions in Estepona
(Data in euros / sqm)
Residential project
Area Mini- mum
Maxi- mum
Average
The Collection Milla de Oro 3.144 4.854 3.548
Benalus Milla de Oro 3.626 5.235 4.430
Grand View Nueva Andalucía 4.466 5.882 5.174
La Fuente Milla de Oro 2.850 3.352 3.286
Residential project
Area Mini- mum
Maxi- mum
Average
The Edge by Kronos Costa Natura 5.937 9.452 7.260
Las Terrazas de Cortesin Casares 3.245 4.215 3.760
The View Selwo 3.237 3.448 3.356
Darya Estepona Centro 3.285 8.250 5.767
Real Estate Market Trend · Obra Nueva | 133
Andorra
Andorra
España
Andorra
132 | Market Report 2019-20 Spain and Andorra
Real Estate Market Trend · Andorra | 133
The Country’s Economic Outlook
76.177
35.996 €
26.291 €
3.989 €/m²
+4 %
Population or Number of Inhabitants
Average Gross Income
Disposable Income
Average Price 2019
Interannual Variation
Located in the heart of the Pyrenees, the Principality of
Andorra is characterized by its great institutional and
political stability, its high levels of public safety and
moderate taxation. To all this we can add its high quality
of life and great social cohesion. Therefore, in the seven
parishes that divide the territory, people of more than 100
different nationalities live together, and there are no poc-
kets of exclusion or problems of coexistence.
The Andorran economy has been experiencing a sustai-
ned rate of recovery since 2012, accompanied by positive
growth rates since the fourth quarter of 2014. The fore-
casts of the Department of Statistics of the Government
of the Principality point to a slowdown in the
economic growth this year. The Gross Domestic Product
(GDP) will reach an increase of 2.4% in 2019, a fi
that will gradually decrease to 1.9% in 2022.
The service sector, with trade and tourism at the forefront,
is the basis of the Andorran economy. The Principality
is an important tourist centre receiving more than eight
million visitors a year. Specializing in winter sports, the
government and business people have undertaken a series
of measures aimed at strengthening the natural area and
2500
Andorra's nominal GDP
2,3%
1,9%
making the country a benchmark for activities such as
trekking, extreme sport, adventure tourism, gastronomy
and culture. The country has 65 peaks over 2.500 sqm,
some 60 lakes and 36% of its surface area is considered
a protected natural park.
2000
1500
1.885 1.901
1.843
0,8%
0,4%
1,7% 1,6%
2.002
1.937 1.970
2013 2014 2015 2016 2017 2018
Data in millions of euros. %
Source: Department of Statistics Government of Andorra
Andorra
134 | Market Report 2019-20 Spain and Andorra
Main figures of Andorra’s economy
Real Estate Market
and Trends
Residential
Source: Department of Statistics Government of Andorra
The economic crisis and recovery changed the pillars
of the Andorran economy. In a decade, the Principality
went from being an economy without indirect taxes and
practically closed to foreign investment, to deploying
a new tax model in which foreign investment already
accounts for nearly 6% of the GDP. This shift will be
sealed with the signing of a cooperation agreement with
the European Union, allowing the Principality to be a
part of the internal market without the need to be a
member of the Union, while preserving some of its own
characteristics as a small country.
Canillo
Ordino
La Massana
Encamp
Escaldes-Engordany
Andorra la Vella
The slowdown in the growth of the real estate market
will be felt throughout the year. Engel & Völkers Ando-
rra expects an increase in the number of properties sold
this year, of just over 5% compared to 10% in 2019. On
the other hand, 45% of Engel & Völkers clients
obtained the passive residency permit in 2019 through
the purchase of a property, five points less than the pre-
vious year.
In the third quarter of last year, the amount of property
transferred in the Principality-----flats, single-family units,
parking spaces, commercial premises, warehouses, and
more-----reached 402 units, a decrease by 9.9% compared
to the same period of the previous year. Its cumulative
fi was 6.9%, according to data from the Department
of Statistics of the Government of Andorra. Despite this
decline, it is the best figure recorded in the last seven
years, surpassed only by the one reached in 2018.
The Principality of Andorra is one of the smallest coun-
tries in the world, with less than 500 km2 of rugged
mountainous terrain. However, its population is almost
double that of other small European states such as
Monaco, Liechtenstein or San Marino. Its territory is
structured into seven parishes: Canillo, Encamp, Ordino,
La Massana, Andorra la Vella, Sant Julià de Lòria and
Escaldes-Engordany.
Sant Julià de Lòria
Height Metres
Canillo 1.526
Encamp 1.238
Ordino 1.298
La Massana 1.230
Andorra la Vella 1.013
Sant Julià de Lòria 908
Escaldes-Engordany 1.050
Source: Andorra Atlas (1989).
2014 2015 2016 2017 2018
Nominal GDP per capita (euros) 35.786 35.342 35.580 35.753 35.996
IPC -0,1% -0,9% 0,4% 2,6% 0,7%
Public Debt (% GDP) 41% 40,6% 40% 37,6% 36,1%
Business 7.557 7.929 8.347 8.837 9.170
Real Estate Market Trend · Andorra | 135
Andorra la Vella and
Escaldes-Engordany
They are the two least extensive districts of the Princi-
pality but also the most populated. Andorra la Vella stands
out as the capital, as well as its fi and
commercial centre. Escaldes-Engordany on the other
hand, located in the centre of the country, is recognized
for its thermal waters. In fact, it has the most important
spas in the country, Caldea.
In both parishes, the most demanded property is a house
for primary residence, with more than 100
sqm, three rooms and parking. The profi of the buyer
is mainly Andorran, while only 20% are foreigners.
Encamp
It is known for being a residential area with slightly lower
prices than other areas (3.020 euros / sqm is the average
price). The most demanded housing typology in Encamp
ranges from 70 to 100 sqm, with two or three rooms. Most
purchases are for a primary residence, and 80% of the
buyers are Andorran nationals. The seller, for his part, is
also almost entirely local.
La Massana
La Massana offers some of the best hotels and restaurants
in the country. A large part of its activity is centred on
the Vallnord ski resort. The most popular areas are La
Massana, Aldosa, Anyós and Escàs, while the most sou-
ght-after types of housing are varied: apartments between
80 and 120 sqm to houses from 250 to 500 sqm, with two
to five bedrooms for both primary and secondary homes.
The profi of the buyer and seller is divided equally
among foreigners and citizens.
Sant Julià de Lòria
The parish with the lowest altitude of the Principality
stands out for being a quiet residential area with many
services for local families. It is an interesting environment
for foreign investors due to its proximity to the Spanish
border. The buyer profile in this area is an Andorran wan-
ting to acquire his or her primary residence, the typology
of which includes apartments and houses starting at 100
sqm, with two or three bedrooms.
Ordino
Ordino is considered the Andorran cultural centre. It is
a typical Pyrenean enclave standing out for its snow
sports. The most requested area is Ordino town due to
its proximity to the capital, an area in high
demand from families. The most sought-after houses are
for primary residences between 100 and 120 sqm and
with three bedrooms. The buyer profi is an upper-mi-
ddle class resident, 65% of whom are Andorrans with a
strong preference for an apartment, house or villa.
Canillo
It is the largest parish in the Principality, considered the
summit in Andorra. Its most successful district is the
village Tarter next to the largest ski area in the Pyrenees,
Grandvalira. The most sought-after property is a second
residence at the foot of the slopes, with some 80 sqm
and two bedrooms. Foreign investors represent the majo-
rity in this area, comprising 70% of the buyers. The
seller is also mostly foreign, only 30% are citizens. The
latter is looking for a larger property while the former
wants to sell in order to return to their country. In the
last months of 2019, a strong increase of Argentine
sellers was noticed.
136 | Market Report 2019-20 Spain and Andorra
Prices Rentals
Properties reach their highest value in Escaldes-Engor-
dany and in Andorra la Vella. The price in Escaldes-En-
gordany is a maximum of 9.400 euros / sqm, although
the average is 4.900 euros / sqm. On the other hand, the
houses in the capital reach an average cost of
4.700 euros / sqm.
Encamp, Canillo and Sant Julià de Lòria are the che-
apest areas to buy a house in Andorra, with average
prices of 2.700 and 3.000 euros / sqm, respectively.
The minimum cost for the entire Principality, 1.500
euros / sqm, is in Encamp.
The cost of renting remained practically unchanged last
year in Andorra, with slight increases in Encamp,
Ordino and La Massana. 90% of those looking for a
property to rent in the principality do so to make it their
primary residence, while only 10% want a second home.
Property Prices in Andorra
(Data in euros / sqm)
The characteristics of the most demanded properties to
rent vary according to the area, although they are focu-
sed on two typologies, apartments and villas, the former
being the most sought-after in Canillo, Encamp, Ando-
rra la Vella, Escaldes-Engordany and Sant Julià de Lòria.
Regarding Ordino and La Massana, although there is also
a demand for apartments, the properties most commonly
sought are 200 sqm villas with three to five rooms.
Price of rent in Andorra
(Data in euros / sqm)
Minimum Maximum Average
Canillo 7 15 11
Encamp 6 12 8,5
Ordino 8 15 11
La Massana 8 14 11
Andorra la Vella 8 20 13
Sant Julià de Lòria 7 13 10
Escaldes-Engordany 8 20 14,5
Parishes Minimum Maximum Average
Canillo 1.850 5.000 3.000
Encamp 1.500 4.400 2.700
Ordino 2.500 5.555 3.850
La Massana 2.100 5.600 3.700
Andorra la Vella 2.300 8.900 4.700
Sant Julià de Lòria 1.600 4.200 3.000
Escaldes-Engordany 2.300 9.400 4.900
Real Estate Market Trend · Andorra | 137
New Developments
Engel & Völkers Andorra is currently marketing six new
development projects. The Isard Homes development is
located at the foot of the exclusive Grandvalira ski
slopes, in the village of El Tarter. These properties have
already begun to be marketed and are expected to be sold
by the end of 2021. With an average price of 5.000 euros
/ sqm, this development off two-to-four bedroom
homes, with 80 to 180 sqm and the following features:
entrance lobby with open spaces; a spa area with direct
views of the ski resort; ski room and a garage for one or
two cars per home. 90% of the buyers make their pur-
chases for a second residence, and 50% of them are also
making an investment.
The Lloser development in parish Ordino consists of two
to three bedroom homes ranging from 165 to 235 sqm.
The buyer is, in equal parts, both domestic and foreign.
Similarly, 50% purchase the home as a permanent resi-
dence and 50% as a second home.
The White Angel is located in the country's capital, and
it off 160 homes with two to five-bedroom ranging
from 80 to 220 sqm. It is a private development with
garden areas, underground parking, concierge & lifestyle
services, spa and gym. 80% of the buyers make their
purchases here for a primary residence.
Located in the parish Escaldes-Engordany, the A-Tower
development has the highest average price, 6.000 euros
/ sqm. It consists of homes from 165 to 235 sqm with
three or four bedrooms. The buyer profile is equally divi-
ded between locals and foreigners.
In the same district you can fi luxury residences
Terrasses d'Emprivat and Escala. Located on the most
important commercial avenue in Andorra, Terrasses
d'Emprivat is a 20-storey tower made up of 70 to 140
sqm two to four bedroom homes. Escala is also a unique
project that will have homes ranging from 237 to 603
sqm, with two to six bedrooms. Here the properties
come equipped with a wellness area and a gym. 80% of
the buyers will purchase this home as their fi resi-
dence and 20% as their second.
In one of the most exclusive and coveted residential
areas of La Massana, you can find Luxe Residencial
Escàs, a new development of terraced houses and villas.
The 8 terraced houses plus 3 villas bring together the
luxury of quality materials, an unbeatable location with
spectacular views, and absolute tranquillity. The houses
off wide functional spaces and up to 4 rooms, or 5 in
the villas. Most buyers will choose this option for their
main residence. The profi of the clientele is equal parts
local and foreign.
The most significant properties offered by
Engel & Völkers in Andorra
(Data in euros / sqm)
Project Area Min. Max. Average
Isard Homes El Tarter/Canillo 3.800 5.500 4.300
The White Angel Andorra la Vella 4.700 6.800 5.500
Lloser d'Ordino Ordino 3.800 4.400 4.200
A-Tower Escaldes-Engordany 5.500 8.800 6.000
Terrasses d'Emprivat Escaldes-Engordany 4.000 5.500 5.000
Luxe Residencial Escàs La Massana 3.000 3.250 3.500
Escala Escaldes-Engordany 4.650 5.500 5.000
Credits
Editor
Engel & Völkers Spain S.L.
Avenida Diagonal, 640 6ª planta
E-08017 Barcelona
Spain
Drafting
Stakeholders PR
Layout
Vänster and Lei
Coordination
Déborah Newton
Sources
For the preparation of this report, all the data and statistics have been collected from the following entities and agencies: Tax
Agency (AET), European Central Bank (ECB), Bank of Spain, Bloomberg, Association of Property Registrars, International
Monetary Fund (IMF), Inverco, Idealista, National Statistics Institute (INE), Ministry of Development, Housing and Land
Observatory, Organisation for Economic Co-operation and Development (OECD) and Tinsa.
This report was completed before the state of alarm was declared in Spain, so the forecasts that appear in some of its sections
referring to 2020 may suff signifi variations in both price and transaction forecasts.
All the information has been thoroughly researched. No responsibility can be taken for the accuracy of the information. The
reproduction of content protected by copyright is only allowed with the consent of Engel & Völkers Spain S.L. provided that
an appropriate reference to the source is made.