Spain house prices rise more than twice as fast as EU average

Spain’s housing boom continues to outpace the rest of Europe, with prices rising more than twice as fast as the EU average at the end of 2025. The latest figures underline just how exceptional the Spanish market has become in a European context.

House prices in Spain rose by 12.9% year-on-year in the fourth quarter of 2025, more than double the EU average increase of 5.5% and well above the eurozone average of 5.1%, according to the latest data from Eurostat.

The surge means Spain now has the fourth-fastest rising housing market in the EU, trailing only Hungary, Portugal, and Croatia. It also marks the strongest annual increase in Spain since early 2007, just before the last property bubble burst.

Spain’s housing market has now outperformed the EU and eurozone averages every quarter for three consecutive years, highlighting the country’s persistent price momentum.

Across the EU, house prices rose in 25 countries in the final quarter of the year, with nine markets posting double-digit increases. The fastest annual price growth was recorded in:

• Hungary: +21.2%
• Portugal: +18.9%
• Croatia: +16.1%
• Spain: +12.9%
• Slovakia: +12.8%

Several Central and Eastern European countries also posted strong gains, including Bulgaria, Latvia, Lithuania and the Czech Republic.

At the other end of the spectrum, price growth was much weaker in parts of Western and Northern Europe. Sweden saw prices rise by just 1.2%, France by 1%, and Luxembourg by a negligible 0.1%. Finland was the only country to record an annual price decline, with prices falling 3.1% year-on-year.

Quarterly growth also above EU average

Spain’s housing market also outperformed the European average in the short term.

Between the third and fourth quarters of 2025, house prices in Spain increased by 1.8%, compared with 0.8% across the EU and 0.6% in the eurozone.

While not the fastest quarterly increase in Europe, Spain still ranked in the top ten for quarterly growth, indicating continued upward pressure on prices.

A standout performer in Europe

Taken together, the figures confirm Spain’s position as one of Europe’s most revved-up housing markets. Strong demand, limited supply in many areas, and robust economic growth continue to push prices higher, even as some northern European markets stagnate or decline. However, this rapid appreciation — particularly in popular coastal and urban hotspots — signals potential overheating and calls for increased caution.