‘Perfect storm’ in Spain’s housing market causes prices to jump by a staggering 21.5% in Malaga in just twelve months 

ANDALUCIA’S record breaking housing market has seen prices in Malaga rise by over a fifth during 2024 – nearly double the rate of second-place Granada.

Across the province house prices rose by 13.9%, but in Malaga city they jumped up by a staggering 21.5%. Compared to 13.6% in Granada city.

Malaga remains the most expensive Andalucian city to buy a property in overall, with property prices averaging €3,241 per square metre.

Property portal idealista called 2024 the ‘perfect storm’ that has led to the disappearance of supply which has in turn caused suffering for thousands of people.

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Spokesperson Francisco Iñareta blamed, among other factors, ‘the criminalisation of housing construction in recent years, the disappearance of construction companies and specialised companies, the significant shortage of labour and demographic increase which have left the most dynamic markets in the country without housing.’

He was not optimistic for future improvements either: “Without solving the supply problem, this will result in greater tension in prices.”

Malaga was rocked by frequent protests across 2024, primarily targeting the housing crisis, which many believe is exacerbated by the proliferation of tourist apartments.

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Overall, across Andalucia house prices surged 11.5% in 2024 reaching an average of €2,318 sqm, according to the latest property report from Idealista. 

This marks a quarterly increase of 3.7% and sets a new record for property prices in the region.

In contrast, the best place to look for a bargain in Andalucia is in Jaen, which continues to be the most affordable at an average of €844 sqm.

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Andalucía’s housing market trends mirrored those across Spain, where property prices rose by 11.2% in 2024, setting a national average of €2,271 sqm — also a record high. 

Among major cities, Madrid experienced a 20.2% increase, reaching €4,952 sqm, while Barcelona’s prices rose by 12.8% to €4,700 sqm. 

Valencia saw a dramatic 24% increase, bringing prices to €2,836 sqm.

Despite the upward trend, a handful of areas saw price stability or declines. Huesca recorded the only price drop among Spanish capitals, down by 0.4%.