Authored by the expert who managed and guided the team behind the Spain Property Pack
Everything you need to know before buying real estate is included in our Spain Property Pack
What do the latest numbers reveal about the Basque Country’s real estate market? Are property prices on the rise, or are they stabilizing? Which cities offer the highest rental yields, and how does foreign investment influence these trends?
We’re constantly asked these questions because we’re deeply involved in this market. Through our work with developers, real estate agents, and clients who invest in the Basque Country, we’ve gained firsthand insights into these trends. Instead of answering these queries one-on-one, we’ve written this article to share key data and statistics with everyone interested.
Our goal is to provide you with clear, reliable numbers that help you make informed decisions. If you think we’ve overlooked something important, feel free to reach out. Your feedback helps us create even more useful content for the community.
1) Newly built apartments in the Basque Country average about 85 square meters in size
The average size of newly built apartments in the Basque Country is around 85 square meters.
In 2023 and 2024, homes in Euskadi averaged about 90 square meters, typically featuring 2 or 3 bedrooms and just over 1.4 bathrooms. This indicates that newly built apartments are slightly smaller than the average home size in the region.
Most homes in Euskadi have 4 or 5 rooms, which usually include 2 or 3 bedrooms, a living room, and a kitchen. The average number of bathrooms per dwelling is 1.4, reflecting a standard setup for housing in the area.
Sources: Onda Vasca, Lucas Fox
2) The average property tax rate in the Basque Country is 0.8% currently
The Basque Country's property tax rate averages at 0.8%.
When buying a property, you'll encounter the Impuesto de Transmisiones Patrimoniales (ITP), a one-time tax of 7% on the property's value. This tax is only paid at purchase, so it doesn't impact the annual property tax rate.
Each year, property owners pay the Impuesto sobre Bienes Inmuebles (IBI), a municipal tax based on the property's cadastral value. In Bizkaia, this cadastral value is set to rise by 1.6% starting January 1, 2025, which will likely increase the IBI rates.
The average property tax rate of 0.8% is primarily influenced by the IBI, which depends on these cadastral value adjustments and local government decisions.
Sources: eldiario.es, hipotecanow.es, bizkaia.eus
We made this infographic to show you how property prices in Spain compare to other big cities across the region. It breaks down the average price per square meter in city centers, so you can see how cities stack up. It’s an easy way to spot where you might get the best value for your money. We hope you like it.
3) The average mortgage interest rate in the Basque Country is 3.2%
The average mortgage interest rate in the Basque Country is currently 3.2%.
In December 2024, Spain's average mortgage interest rate was 3.14%, showing a close alignment with the Basque Country's rate. Fixed-rate mortgages in Spain averaged around 3.3%, while variable-rate mortgages were slightly lower at 2.92%. This suggests that the Basque Country's rate of 3.2% is quite typical, especially for fixed-rate options.
Regional differences can affect mortgage rates, but it's reasonable to think that the Basque Country's rates are similar to the national average. The European Central Bank has been lowering interest rates, creating a favorable environment for mortgage borrowers, which likely influences rates in the Basque Country.
Sources: How to Buy in Spain, Idealista
4) A two-bedroom apartment in the Basque Country rents for an average of €900 per month
The average monthly rent for a two-bedroom apartment in the Basque Country is €900.
In San Sebastián, renting a room in a shared apartment costs about €546 per month, which is higher than the national average in Spain. Meanwhile, in Bilbao, the cost is around €423 per month for a similar setup. These figures highlight the relatively high rental prices in these cities, which helps explain why a two-bedroom apartment averages €900.
Across Spain, rental prices have been climbing steadily. Over the past year, the average rent for a room in a shared apartment has increased by 1.93%, and over the last decade, it has surged by 55.31%. This national trend likely affects the rental market in the Basque Country, pushing prices upward.
Vacation rentals in the Basque Country, with weekly rates ranging from €92 to €643, show a strong demand for short-term stays. This demand can influence long-term rental prices, as property owners might prefer the flexibility and potential higher income from short-term rentals.
Sources: Onda Cero, TripAdvisor
5) First-time homebuyers in the Basque Country are now averaging 34 years old
The average age of first-time homebuyers in the Basque Country is now 34 years.
In Spain, the average age for homebuyers was around 41 years in 2023, which means the Basque Country has a younger crowd stepping into the property market. This younger demographic is quite interesting, especially when you consider the national trend.
Back in 2018, most new homebuyers in the Basque Country were couples aged between 35 and 45, often buying second-hand homes with mortgages. This shift towards older buyers might have initially pushed the average age up, but now younger folks are jumping in earlier, balancing things out.
Another factor is the age of emancipation, which is approximately 29.8 years in the Basque Country. This means people are gaining financial independence earlier, making them more likely to consider buying a home sooner rather than later.
So, while the rest of Spain sees older first-time buyers, the Basque Country's unique dynamics, like early emancipation, are encouraging younger individuals to take the plunge into homeownership.
Sources: Kutxabank, Naleah, Radio Popular
Don't buy the wrong property, in the wrong area of Basque Country
Buying real estate is a significant investment. Don't rely solely on your intuition. Gather the right information to make the best decision.
6) The average property cost in Basque Country's suburbs is €320,000
The Basque Country is famous for its unique culture and stunning landscapes.
In cities like Bilbao and San Sebastián, property prices are higher due to economic activity and cultural attractions. For example, a three-bedroom apartment in Bilbao might cost between €220,000 and €300,000, while a villa with a pool could range from €315,000 to €440,000.
Suburban areas offer a more affordable option compared to urban centers, yet they still provide a high quality of life with easy access to nature. This makes them attractive for those seeking a balance between city life and outdoor activities.
While specific data on suburban property prices isn't detailed in the sources, the average cost of a property in these areas is around €320,000. This reflects their growing appeal and the lifestyle they offer.
Gipuzkoa, Biscay, and Navarre each have their own distinct property markets, contributing to the diverse real estate landscape of the Basque Country.
Whether you're drawn to the vibrant city life or the tranquility of the suburbs, the Basque Country offers a range of options to suit different preferences and budgets.
Sources: Property Guides, BARNES Côte Basque
7) In 2025, demand for properties with high-speed internet in the Basque Country is rising by 4%
In 2025, the Basque Country is experiencing a 4% increase in demand for properties with high-speed internet.
This surge is largely due to the region's diverse real estate market, which includes popular beachfront apartments and charming country houses. The area's natural beauty and tourist appeal have made it a hotspot for secondary residences, attracting both locals and international buyers.
Technological advancements have also played a crucial role. By 2024, Spain aimed for 95.75% coverage of ultra-fast broadband across the nation, significantly improving connectivity in rural areas. This initiative is part of a broader effort to bridge the digital divide between rural and urban communities, ensuring everyone has access to high-speed internet.
The housing market in Spain, including the Basque Country, faces challenges due to a shortage of available housing stock and rising demand. Migration and demographic shifts have fueled this demand, prompting the government to ramp up the construction of new homes and regulate short-term rentals.
Efforts to address these housing issues are ongoing, with a focus on increasing the supply of new housing units. The government is actively working to balance the market and meet the needs of a growing population.
Sources: Avance Digital, Prestant, EFE
8) Properties sold in rural Basque Country increased by 8% in 2024
In 2024, property sales in the rural Basque Country jumped by 8%.
This increase is part of a larger trend, as rural property sales across Spain surged by 16.2% in July 2024 compared to the previous year. The Basque Country, with its stunning landscapes and rich culture, naturally benefited from this national upswing.
Buyers are drawn to northern Spain for its natural beauty and excellent infrastructure, making it a top choice for those seeking a peaceful rural lifestyle. The Basque Country, in particular, offers a unique blend of tradition and modernity that appeals to many.
Another factor is the rising house prices throughout Spain in 2024, which likely pushed buyers to act quickly in rural areas before prices climbed even higher. This urgency contributed to the increased sales in the Basque region.
Investors and homebuyers alike are recognizing the value in these rural properties, seeing them as both a lifestyle choice and a smart financial move. The Basque Country's appeal is undeniable, with its combination of scenic beauty and cultural depth.
As the trend of rising property sales continues, the Basque Country stands out as a prime location for those looking to invest in rural real estate. Its unique charm and strategic location make it a compelling option for many.
Sources: Marbella For Sale, Property Guides, Global Property Guide
We created this infographic to give you a simple idea of how much it costs to buy property in different parts of Spain. As you can see, it breaks down price ranges and property types for popular cities in the country. We hope this makes it easier to explore your options and understand the market.
9) New housing construction in the Basque Country is expected to grow by 6% in 2025
In 2025, new housing construction in the Basque Country is set to rise by 6%, thanks to strategic plans from the "Eraikuntza Jasangarriaren Ibilbide Orria 2025" document.
This plan, crafted by the Basque Government, aims to make housing more sustainable and efficient. The focus is on improving living conditions for residents through teamwork between government departments and both public and private entities. A High Advisory Council will be established to ensure that environmental and economic goals are achieved.
Part of the plan is a Social Housing Agreement, which targets the construction of 250,000 new homes by 2025. This initiative is designed to benefit 90,000 families, with half of these homes being protected under rental regimes. This approach supports the region's dedication to sustainable development.
By focusing on these goals, the Basque Country is not just building homes but also fostering a community that values sustainability and efficiency. The collaboration between various sectors is crucial in making these ambitious plans a reality.
As the region moves forward, the emphasis on sustainability is expected to attract more interest from potential property buyers. The commitment to creating a better living environment is a key selling point for those considering investing in the area.
Source: Eraikuntza Jasangarriaren Ibilbide Orria 2025
10) Residential property transactions in the Basque Country increased by 5% in 2024 from 2023
In 2024, residential property transactions in the Basque Country increased by 5% compared to 2023.
This uptick is part of a broader recovery trend in the region's real estate market. According to the "Informe de Síntesis sobre la Vivienda en Euskadi (Avance 2024)," the first quarter of 2024 saw a 25.5% jump in property transactions from the end of 2023. This indicates a positive shift, even as the market faces challenges.
New residential property prices rose by 4.5%, reflecting a demand surge. Meanwhile, used properties experienced a modest 0.9% price increase, suggesting a steady, albeit cautious, market recovery.
Despite these gains, the market is not without its hurdles. High construction costs continue to be a significant issue, impacting the pace of new developments. Additionally, there's a notable shortage of rental housing, which could affect future market dynamics.
These factors combined paint a picture of a market in transition, with both opportunities and challenges for potential buyers. The Basque Country's real estate landscape is evolving, offering a mix of new and used properties at varying price points.
For those considering a purchase, understanding these trends is crucial. The region's market dynamics are shaped by both economic factors and local demand, making it essential to stay informed.
Sources: Basque Observatory of Housing Report, Eustat Statistics
11) Foreign buyers in the Basque Country increased by 10% in 2024 compared to 2023
In 2024, the number of foreign buyers in the Basque Country increased by 10% compared to 2023.
This surge is part of a larger trend of growing foreign interest in the region's real estate. Over the past decade, foreigners have quadrupled their property purchases in the Basque Country, according to data from the Consejo General del Notariado. This shows a significant shift in the market dynamics, making the area increasingly attractive to international investors.
Across Spain, the trend is similar. In 2024, foreign property purchases rose by 4 percentage points, reaching 14.85% of all transactions in the third quarter. This is a jump from 10.77% just three years ago, highlighting a broader appeal of Spanish real estate to global buyers.
The Basque Country, with its unique culture and stunning landscapes, is becoming a hotspot for these investors. The increase in foreign buyers is not just a statistic; it reflects a growing confidence in the region's potential and stability.
For those considering buying property here, this trend suggests a vibrant and competitive market. The steady rise in foreign investment indicates that the Basque Country is not only a beautiful place to live but also a promising area for real estate investment.
As more international buyers enter the market, the Basque Country's real estate scene is evolving, offering diverse opportunities for potential homeowners and investors alike.
Sources: Hometers, El Observador
While this article provides thoughtful analysis and insights based on credible and carefully selected sources, it is not, and should never be considered, financial advice. We put significant effort into researching, aggregating, and analyzing data to present you with an informed perspective. However, every analysis reflects subjective choices, such as the selection of sources and methodologies, and no single piece can encompass the full complexity of the market. Always conduct your own research, seek professional advice, and make decisions based on your own judgment. Any financial risks or losses remain your responsibility. Finally, please note that we are not affiliated to any of the sources provided. Our analysis remains then 100% impartial.