The cost of pre-owned housing in the Canary Islands has reached record-breaking levels, according to data published by the property portal Idealista. In July 2025, the average price per square metre in the archipelago was set at €3,090 – representing a sharp 17.2% increase compared to the same month in 2024. By comparison, the national average in Spain now stands at €2,471 per square metre, an annual increase of 14.7%.
A Housing Market Out of Reach for Many
Finding an affordable home has become increasingly difficult for the average household in Spain. While some Caribbean countries offer citizenship to property buyers under certain conditions, in the Canary Islands securing a home within a reasonable budget has become nearly impossible for many. For those lucky enough to succeed, the process can be long and exhausting.
Idealista’s report paints a stark picture: in just one year, the average value of a pre-owned home in the Canary Islands has risen by around €46,000. In August 2024, the average stood at €2,682 per square metre; by July 2025, it had increased by €408. Even month-to-month, prices rose by 0.7% from June and by 3.6% since April.
Regional Breakdown: Tenerife vs. Gran Canaria
Within the archipelago, prices vary considerably by location:
- Santa Cruz de Tenerife: €3,292/m²
- Las Palmas: €2,802/m²
The most expensive municipality is San Bartolomé de Tirajana (Gran Canaria) at €4,677 per square metre, followed closely by Guía de Isora (Tenerife) at €4,632/m².
At the other end of the scale, Ingenio (Gran Canaria) remains the most affordable, with prices at €1,237/m², followed by Icod de los Vinos (Tenerife) at €1,368/m².
Among the capital cities, Santa Cruz de Tenerife (€2,486) slightly exceeds Las Palmas de Gran Canaria (€2,483).
Rental Market: Still Rising, but Slower
Rental prices have also reached near-record highs. In July 2025, the average rental price per square metre in the Canary Islands was €15. Though this represents a slight decrease of 0.6% compared to June, it marks a year-on-year increase of 7.9%.
- Las Palmas: €15.1/m²
- Santa Cruz de Tenerife: €15.0/m²
- Mogán (Gran Canaria): €20.5/m²
- Adeje (Tenerife): €19.8/m²
June 2025 saw the highest rental average recorded at €15.1/m².
New Housing and Affordability Concerns
In the first half of 2025, the average price of new-build properties in the Canary Islands reached €3,151 per square metre, based on an analysis of 43,461 homes across 2,245 developments by the Sociedad de Tasación. According to this study, a typical buyer would need nearly eight years’ full salary to pay off a home, underlining the affordability crisis.
Notably, in January, the Bank of Spain sanctioned the valuation firm Sociedad de Tasación for failing to comply with official appraisal standards, imposing fines totalling nearly €600,000.
National Trends: Canary Islands Among the Fastest-Rising
Across Spain, pre*home prices climbed by 14.7% year-on-year in July 2025. This is the steepest rise recorded by Idealista to date, with a national average of €2,471/m². The Community of Madrid led the growth (+24.4%), followed by:
- Murcia (+19.3%)
- Valencian Community (+18%)
- Canary Islands (+17.2%)
- Cantabria (+17%)
- Andalusia (+15.2%)
Regions such as Extremadura (0.3%), Navarre (1.4%), and La Rioja (2.9%) experienced the smallest increases.
Most and Least Expensive Areas
- Most expensive regions:
- Balearic Islands: €5,025/m²
- Community of Madrid: €4,359/m²
- Basque Country: €3,263/m²
- Canary Islands: €3,090/m²
- Catalonia: €2,632/m²
- Least expensive regions:
- Extremadura: €979/m²
- Castile-La Mancha: €982/m²
- Castile and León: €1,233/m²
In terms of capital cities, San Sebastián remains the most expensive in Spain at €5,230/m², with Madrid at €5,718 and Barcelona at €4,943. By contrast, Zamora (€1,227), Jaén (€1,285), and Ciudad Real (€1,386) rank among the most affordable.
Idealista’s index is based on a monthly estimate of property prices for listings currently advertised on its platform. The data is processed to minimise distortions caused by changing market composition or property types over time.
