The most expensive municipality in the country to buy a property last March was Formentera, with 9.150 euros per square meteraccording to the pisos.com’s quarterly sales price report. This figure is 263 percent above the Spanish average.
It is followed in this order by Santa Eulària (8,165 euros), Ibiza (7,348 euros), Calvià (6,975 euros) and Sant Josep (6,922 euros).
The average price of second-hand housing in Spain in March 2025 was 2,516 euros per square meter. This figure represented an increase of 1.50 percent compared to December 2024 and 12.78 percent compared to the same period last year. The decrease compared to February 2025 was 2 percent, as the average price last month was 2,568 euros per square meter.
“We find ourselves with a booming residential sector, in which practically everything that comes up for sale is transacted fairly quickly,” says the director of pisos.com research, Ferran Fonte in a statement
Although there is a very solvent demand, the expert emphasizes “the deterioration of accessibility to housing that is accompanied by rising prices”. Thus, Font indicates that “although mortgage financing is favorable, at least for the moment, the level of indebtedness of many families to buy a home continues to grow”. The manager points out that “the strength of the labor market sustains operations, but the capacity to save is limited, as is the improvement in salaries”.
In this sense, Font reveals that “increasing housing production is the strategy that should be implemented as soon as possible to achieve balance again and prioritize the welfare of society”. A argument that was recently shared by Idealistaalthough each territory has its own idiosyncrasies and the islands even more so as they are a more limited territory.
Font adds that “prolonging this imbalance between supply and demand will end up affecting the smooth running of the Spanish economy”.
Balearic Islands leads annual price increases
The Balearic Islands continues to lead the price of the most expensive housing in Spain, with 5,086 euros per square meter. In the first quarter of the year, the archipelago also recorded one of the highest rises with a 3.13 percent increase. The annual variation was 19.16 percent, the highest rise in the country.
Baleares is also the most expensive province, above Madrid, Guipúzcoa, Málaga or Barcelona. As for the provincial capitals, Palma is in fourth place in the ranking with the highest prices (5,274 euros per square meter), behind San Sebastian (6,641 euros), Madrid (6,600 euros) and Barcelona (5,392 euros). The capital of Palma also registered one of the highest annual increases, with an annual rise of 24.36 percent.
For the full article, please visit Diario de Ibiza website here.