In February 2025, the Spanish real estate market showed significant signs of recovery, with 59,000 home sales transactions recorded, marking a remarkable 12.2% increase compared to the same month in 2024. This surge reflects a broader trend of revitalization in the housing sector, which had already begun to show positive signals late last year, according to the Colegio de Registradores de la Propiedad.
Additionally, total sales transactions, encompassing all types of properties, reached approximately 117,500, representing an 11.4% year-on-year increase. These statistics underscore a robust rebound in the market, particularly in regions such as Asturias, Extremadura, and Andalusia, which led the charge with impressive growth rates of 29.7%, 25.4%, and 24.5%, respectively.
However, the mortgage segment displayed a more tempered performance. While the number of mortgages on homes rose by 1.9%, reaching 38,500, this growth was significantly slower compared to the previous year's more vigorous trends. Overall, slightly less than 51,000 mortgages were constituted across all property types, reflecting a modest increase of 1.6% year-on-year.
The increase in home sales was not uniform across the country. Notably, only a few regions experienced declines in home sales, with Navarra witnessing a steep drop of 27.6%, followed by Melilla at 17.9%, and Valencia at 1.9%. This uneven performance highlights the varying dynamics of local markets within Spain.
In terms of total sales transactions, Ceuta emerged as a standout performer with an astonishing 72.7% increase, followed by Asturias with 37.7% and Andalusia at 26.4%. Conversely, regions like Melilla (-21.3%), Navarra (-15.0%), and the Canary Islands (-13.0%) faced challenges, contributing to the overall mixed results.
The mortgage landscape also exhibited notable disparities. Among the increases in mortgages on any type of property, Ceuta and La Rioja led with remarkable growth rates of 100% and 82.4%, respectively. Murcia followed with a 28.8% increase. Yet, the largest declines were observed in the Canary Islands, which saw a staggering 52.9% decrease, alongside significant drops in Navarra (-29.9%), the Balearic Islands (-24.1%), and Madrid (-22.8%).
When examining mortgages specifically for homes, the trends mirrored those of total mortgages, with increases in 13 regions and decreases in six. Ceuta again topped the list with a 76.9% increase in home mortgages, followed by La Rioja at 57.9% and Cantabria at 56.1%. In stark contrast, the most significant declines were again in the Canary Islands (-49.9%), Navarra (-34.0%), the Balearic Islands (-21.4%), and Madrid (-20.1%).
Overall, the data reveals a complex picture of the Spanish housing market as it continues to recover. The increasing number of home sales suggests a growing confidence among buyers, while the slower growth in mortgages indicates a cautious approach from lenders and potential buyers alike. As the year progresses, it will be crucial to monitor these trends closely to understand the long-term implications for the real estate market.
The first two months of 2025 have shown a positive trajectory, although the growth rates in mortgage activity remain a point of concern for analysts. The shift in focus from aggressive mortgage growth to more stable home sales could signal a new phase in the market, one that emphasizes sustainable growth over rapid expansion.
In summary, while the Spanish real estate market is demonstrating recovery through increased home sales, the mortgage sector's slower growth raises questions about future trends. As regions continue to diverge in their performances, stakeholders must adapt to the evolving landscape of the property market.
