Housing in Catalonia breaks the record that had been most resistant to it

BarcelonaHousing prices in Catalonia have reached their peak. First it wasthe price of new apartments, then the one of all the homes on the open market together–both new builds and resale properties– and, finally, what had resisted the most has fallen: the value of the latter, also called used homes, has just surpassed the peak reached in 2007. Almost twenty years after the bursting of the bubble, which had devastating consequences for the real estate sector.

This is reflected in the data from the Housing Price Index (HPI) for the fourth quarter of 2025. Collected by the National Institute of Statistics (INE), the data shows how the three indicators – general price, new housing price, and resale housing price – have followed a U-shaped trajectory starting at 0. A few weeks ago, another indicator was added to these variables: the appraisal value. According to the Ministry of Housing and Urban Agenda, the price per square meter of housing reached €2,153 in the third quarter of last year. the highest value in the historical series

This entire escalation has been disconnected from that of other fundamental economic variables, such as wages, the economy, or even the price of rent. which has not grown as much as the purchase price. However, it hasn't grown as much as inflation, a factor that, according to experts, may indicate that it still has room to grow. While the Consumer Price Index (CPI) in Catalonia has increased by 50% from 2007 to 2016, the overall price of housing has only increased by 13.3%. In contrast, over the last decade, housing prices have risen much more than the CPI because they plummeted from 2007 to 2013. This has led economic institutions and government bodies to comment on the possible existence of another bubble in the sector. The consensus is that, given that housing prices have risen much more than other variables, there is a price bubble, as they point out. some studiesHowever, since there is no credit bubble like the one in 2008, if one were to burst, devastating effects are not expected.

The difference between Catalonia and Spain

Across Spain, the price of second-hand housing has reached a record high. It already broke in the second quarter of 2025However, overall prices are rising faster than in Catalonia. In the fourth quarter of last year, across Spain, the cost of housing increased by 12.9%, the largest increase since the peak in the first quarter of 2007 (13.1%). In Catalonia, the increase was 10.9%, also lower than the 13.5% recorded in the second quarter of 2007.

One explanation for this divergent evolution, in which housing prices in Spain have recovered to pre-bubble levels sooner than in Catalonia, is that prices in Catalonia reached higher peaks, making it more difficult to recover those levels. The fact that this latest record was broken in 2025 is no coincidence. It was also the most dynamic year in Catalonia's history: the number of sales reached 112,585, the highest figure ever recorded, thanks to a record-breaking December. The last month of the year was also the most dynamic since 2009 in terms of mortgage approvals, although, unlike sales and prices, these have not reached—or even come close to—the levels prior to the bursting of the bubble. In December 2025, 6,464 mortgages were signed; in September 2005, there were more than 24,000.

Why is the second-hand market growing more?

According to Òscar Gorgues, manager of the Barcelona Chamber of Urban Property, one fact stands out. "The price variation in 2025 has balanced between new construction and resale properties. In previous years, new construction prices rose while resale prices didn't rise as much," explains this expert in the ARA (Argentine Association of Real Estate Agents). In Spain, growth rates have been 11.22% and 13.5%, respectively, and in Catalonia, 10.17% and 10.93%, respectively. "Demand has skyrocketed, as indicated by the sales figures, and has put significant pressure on the resale housing market. Given the lack of available stock, this explains the overall price increase, which has been concentrated in the resale housing sector," concludes Gorgues, who believes that the fact that housing prices have grown less significantly, considering the strength of demand, "which is constantly increasing."