Foreign Property Purchases in the Canary Islands See a Dip
According to a recent report from the General Council of Notaries, the purchase of non-subsidized homes by foreign buyers in the Canary Islands fell by 7.7% in the first half of the year compared to the same period last year, with 2,666 transactions completed. This decline stands in stark contrast to the national picture, where overall home sales increased by 2% to 71,155 transactions. The notaries describe this national growth as “consolidating a sustained upward trend, albeit at a more moderate pace than in previous years.”
A Shift in Buyer Profiles
Foreign buyers accounted for 19.3% of all property sales in Spain during the first six months of the year. This figure is lower than the 20.3% share they held in the first half of the previous year and the 21.3% from the same period in 2023. A closer look reveals a split in behavior: foreign residents in Spain were responsible for 60.9% of foreign-bought homes, showing a healthy 6.4% annual increase. Non-resident foreigners, however, accounted for the remaining 39.1% and saw their purchases decline by 4.1%. The notaries note that “the dynamism of resident buyers contrasts with the slight correction among non-residents, reflecting a change from the second half of 2024 when both groups had grown at a similar rate.”
Regional Winners and Losers
While most Spanish regions saw an increase in foreign property purchases, a few key tourist destinations experienced a downturn. Asturias led the growth with a remarkable 30.8% surge, followed by Castile and León (+25.9%), Galicia (+14.3%), and Castilla-La Mancha (+11.7%). On the other end of the spectrum, the Canary Islands (-7.7%) and the Balearic Islands (-6.8%) saw the most significant declines, along with Navarre (-3.7%) and the Valencian Community (-3.6%).
Rising Prices and Who Pays the Most
The average price per square meter paid by foreign buyers in the first semester was €2,417, a 7.6% increase from the previous year. A clear spending hierarchy emerged: non-resident foreigners paid the highest prices at €3,126/m², followed by foreign residents at €1,912/m². Spanish nationals paid the least, with an average of €1,809/m². The sharpest price hikes were recorded in Madrid (+17.1%), La Rioja (+16.3%), and notably, the Canary Islands (+14.1%).
Where Different Buyers Are Concentrated
The Valencian Community was the undisputed leader for non-resident foreign buyers, attracting 11,025 transactions (39.6% of the total). Andalusia followed with 6,733 homes (24.2%), and the Canary Islands ranked third with 2,666 purchases. For foreign residents, the Valencian Community also took the top spot with 9,515 acquisitions (22%), ahead of Catalonia (8,909) and Andalusia (6,677).
Top Nationalities in the Spanish Property Market
British buyers continue to lead the pack, with 5,731 purchases in the first half of the year (8.1% of all foreign sales). They were closely followed by Moroccans with 5,654 transactions (7.9%) and Germans with 4,756 (6.7%). The UK market is particularly strong in Murcia (28.7% of foreign purchases there), Andalusia (15.5%), and the Balearic Islands (10.9%). German buyers, meanwhile, dominate the Balearic Islands (50%) and have a significant presence in Extremadura (29.6%).
Notable Trends and Price Ranges by Nationality
Among the countries with the highest transaction volumes, Portugal (+22.8%), the Netherlands (+18.6%), and the United States (+14.3%) saw the most significant growth. In contrast, purchases from Russia (-17.4%), Poland (-11.1%), and Argentina (-7.6%) fell sharply. When it comes to spending power, buyers from the United States paid the highest average price per square meter at €3,465, followed closely by Switzerland (€3,457) and Sweden (€3,421). At the other end of the scale, Moroccan buyers paid the least (€747/m²), followed by Romanians (€1,325/m²) and Ecuadorians (€1,328/m²).
