New data shows that the share of foreign buyers purchasing property in Spain has fallen slightly, but done little to slow the speed of price rises in the country.
New property data has revealed that foreign demand in Spain dipped in last year, bucking longer-term trends while prices have continued to soar in the country.
Foreigners accounted for 13.58 percent of total home purchases between January and September 2025, according to data from Spain’s Land Registry. However, in 2023 they accounted for 14.98 percent of the total, a decrease of over 1 percent that translates to thousands of properties.
This slight dip does little to slow longer-term market trends, however. The share of foreign buyers in the Spanish market has grown by 63.81 percent since 2007, when international buyers accounted for just 8.29 percent of the total.
READ ALSO: The overlooked factors causing Spain’s housing crisis
This comes as house prices in Spain continue to soar, something that increased foreign demand has partly contributed to in recent years, experts say, and could now explain the slight fall in foreign demand. According to Spain’s National Statistics Institute, property prices in 2025 rose by 12.8 percent year-on-year, marking 42 consecutive quarterly increases.
Despite these soaring prices combined with dwindling supply, the Bank of Spain has previously ruled out another property bubble but warned against price rises in certain areas of the country.
Advertisement
Laura Martínez, spokesperson for the mortgage comparison service iAhorro, stated in the Spanish press that, despite the recent dip, consistent foreign demand has played a role in price rises: “Foreign demand is another factor contributing to tension, but it is not the only one, nor is it the most important. But the fact that purchases have tripled since their lows 16 years ago, in a market already under pressure due to a lack of supply, increases that pressure,” she said.
Registry data also reveals preferences among foreign buyers. When purchasing property in Spain, foreigners opt above all for the coastal cities and islands.
In the Balearic Islands, almost three out of ten buyers are foreigners, 29.46 percent of the total, 16 percent above the national average. Meanwhile in the Valencian region, it reaches 27 percent; in the Canary Islands, 25.30 percent; and in Murcia, 21.89 percent.
At the other end of the spectrum, in regions such as Extremadura, Galicia, Castile and León, Cantabria and the Basque Country, foreign buyers account for only between 2 percent and 4 percent of the total, ranging between 9-11 percent below the national average.
Advertisement
Even in Madrid, one of the most competitive markets in the country, international buyers represent only 6.85 percent of the total.
The profile of international buyers in Spain has also changed. UK buyers remain on top, although their share has decreased compared to previous years. Buyers from Germany and France remain stable, and countries such as Belgium, the Netherlands and Sweden have increased their market presence.
Demand from Morocco and Romania is growing, though less likely to be for second homes like in the case of many northern Europeans.
International buyers are involved in 62 percent of purchases of luxury properties in Spain, according to a recent report by real estate agency Lucas Fox.
READ ALSO: Foreigners buy over 60 percent of Spain’s luxury homes
