Spain’s housing market remains under pressure: in some cities, demand far exceeds supply, which cannot keep up. The ranking of large cities with the biggest gap between demand and supply in Q3 2025, published by Idealista, is once again topped by Madrid, followed by Zaragoza and Santa Cruz de Tenerife.

Top 10 cities with the highest demand

The top ten Spanish cities with the highest demand for buying a home are as follows:

  1. Madrid
  2. Zaragoza
  3. Santa Cruz de Tenerife
  4. Valencia
  5. Las Palmas
  6. Barcelona
  7. Seville
  8. Santa Coloma de Gramenet
  9. A Coruña
  10. Gijón

These cities attract the greatest interest from potential buyers, which is reflected in average home prices. In Madrid and Barcelona, they exceed €600,000 and €460,000 respectively.

Strong demand in suburbs

The “top 30” also includes several cities that are not provincial capitals, highlighting strong demand for residential property in suburbs. In addition to Santa Coloma, these include L’Hospitalet de Llobregat (11), Badalona (13) and Terrassa (25) near Barcelona; Gandia (19) in Valencia; Dos Hermanas (24) in Seville; Puerto de Santa María (22) in Cádiz; and Reus (23) in Tarragona.

Overall, this demand ranking for housing purchase and sale, compiled by Idealista, includes 36 provincial capitals with more than 1,000 listings published during the quarter analyzed, and with average prices above €1,000/m2.

Most expensive locations among the high-demand areas

As for housing prices, some of the most sought-after towns are also among the most expensive in the country, located along the Mediterranean coast and the Balearic Islands. In nine of them, the average property price exceeds one million euros.

  1. Benahavís (Málaga) – 2 458 274
  2. Santa Eulalia del Río (Balearic Islands) – 2 142 512
  3. Calvià (Balearic Islands) – 1 761 701
  4. Marbella (Málaga) – 1 734 306
  5. Sotogrande (Cádiz) – 1 650 253
  6. Benissa (Alicante) – 1 382 198
  7. Moraira (Alicante) – 1 331 779
  8. Altea (Alicante) – 1 203 755
  9. Benitachell (Alicante) – 1 149 258
  10. Casares (Málaga) – 971 901

Property selection in Spain is available as a service, and in the catalogue you can view listings in popular destinations: Madrid, Valencia, Costa del Sol, luxury real estate.

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