Volume of transactions in the housing market in the third quarter of 2025
The province of Alicante ranks third in the country in terms of residential properties, purchased in the third quarter of 2025 – 13,261, which is 0.3% more than in the second. At the same time, the total number residential purchase and sale transactionsregistered in the Valencian Community during this period amounted to 27,578 (+3.9%). For all of Spain, the figure reached 174,384 (+1.9%), which is the second best result since 2007.
Of the 27,578 transactions registered in the Property Register, 4,715 relate to new housing and 22,863 to secondary housing. In the ranking of autonomies, the Valencian Community took third place with a market share of 15.59% of the national total, behind Andalusia (34,601 transactions) and Catalonia (27,733). Among the provinces, Alicante ranks third (13,261) and Valencia ranks fourth (10,491).
Dynamics of housing prices
From July to September, house prices in Spain continued to rise. While the national average price per square meter of housing increased by 2.3% to 2,303 euros (a new historical high), in the Valencian Community it was 1,835 euros (9th place in Spain), with an increase of 3.5%.
In the third quarter, housing prices increased in 15 autonomies and 41 provinces. In Alicante the price was 2,120 euros/m2 (+4.6%), in Valencia – 1,655 euros/m2 (+3%), and in Castellon – 1,304 euros/m2. In Spain, the highest prices were recorded in Madrid, the Balearic Islands, the Basque Country and Catalonia, and the lowest in Extremadura, Castile-La Mancha, Castile y Leon, Murcia and La Rioja.
Foreign demand for real estate
Foreign demand for housing in the Valencian Community accounts for 27% of the total number of transactions, which puts this autonomy in second place after the Balearic Islands (29.5%). This is followed by the Canary Islands (25.3%), Murcia (21.9%), Catalonia (15.1%) and Andalusia (13%).
The share of foreign home purchases in the region is twice the national average (13.6%), which decreased slightly in this period both in percentage and in absolute terms (23,700 transactions throughout Spain carried out by foreign nationals). By province, Alicante again leads (43.29%), far ahead of Malaga, Santa Cruz de Tenerife and the Balearic Islands.
Mortgage lending: rates and conditions
70.8% of sales transactions registered in Spain in the third quarter were completed using mortgage lending. The number of such loans decreased slightly compared to the previous quarter (-0.1%), amounting to 123,483 throughout Spain. The Valencian Community (14,839 mortgages) ranks 4th in the autonomy ranking after Andalusia, Catalonia and Madrid.
The average interest rate on new mortgages issued in the Valencian Community during the third quarter was 3.12%, the second highest in Spain. 66.14% of new loans issued in Spain have a fixed interest rate, a decline of 6.1% after six consecutive quarters of growth. In all regions, the number of fixed-rate mortgages exceeds the number of variable-rate loans. In the Valencian Community, 62.56% of loans have a fixed interest rate.
The average debt level on residential mortgages increased by 2.7% compared to the previous quarter, reaching €128,556 in the Valencian Community. In turn, at the national level, the average amount was recorded at 167,828 euros (+5.9%), which became a new historical maximum. The average term of new mortgages in the Valencian Community was 24.83 years, lower than the national average (25.42).
Housing affordability and mortgage payments
Affordability indicators show a clear deterioration: average monthly mortgage payment is 620 euros with a quarterly increase of 2.2% and the share of this payment in relation to wages at 29.6%. In Spain, the monthly mortgage payment increased by 5.1% and reached 786 euros – 33.6% of wages.
