Housing prices soar again: Balearic Islands up 14.5% and Santa Eulària becomes the most expensive municipality in Spain

The average price of free housing in Spain continues to climb and has set a new all-time high by closing the third quarter of the year with a year-on-year increase of 12.1%, according to data published by the Ministry of Housing and Urban Agenda. The square meter has already reached 2,153 euros, surpassing the record registered in 2008, at the beginning of the real estate bubble.

In the Balearic Islands, the increase has been even more pronounced. The Community is among the most expensive in housing, with 14.5% more than a year ago, only below Cantabria (+15.1%) and tied with the Valencian Community. Compared to the previous quarter, the rise between July and September was 4.4%, also one of the highest in the country.

Santa Eulària, Spain’s most expensive municipality

The report especially highlights the case of Santa Eulària des Riu, in Ibiza, which becomes the municipality of more than 25,000 inhabitants with the highest price in the country, reaching 6,120 euros per square meter. At the opposite extreme, the cheapest municipality is Puertollano (Ciudad Real), with average values of 631 euros/m².

Double-digit increases in new and used homes

The rise in prices was maintained in both new and second-hand housing. Unrestricted homes up to five years old reached an average price of 2,515 euros/m², an increase of 11.5% year-on-year.

For its part, free housing over five years old registered an increase of 12.1%, standing at 2,142 euros/m², which confirms that the pressure of demand is being transferred to the entire market.

Subsidized housing and volume of appraisals

As for subsidized housing, the average price per square meter reached 1,195 euros, 2.4% more than in the same period of the previous year, far from the rate of increase in the free market.

To compile these statistics, the Ministry has analyzed 154,686 real estate appraisals, a volume that makes it possible to draw a representative x-ray of the market’s behavior throughout the country.

The report confirms that the residential market continues to increase in price at an intense pace, while territories such as the Balearic Islands continue to stand out among the most stressed in the country. In this context, the gap between territories is once again evident, with Ibiza once again being in the highest price bracket in the national market.