Spain’s housing crisis will continue for years because ‘house building is just not profitable’ in the country, according to a housing consultant and mortgage expert.
Montse Cespedosa believes that the Spanish housing crisis will not disappear any time soon and highlights that a major problem is the cost of construction materials.
The average house price in Spain in the latter quarter of 2025 is €2,153.4 per metre squared – this is a 12.1% increase compared to the price at the same time last year, according to official data by the Ministerio de Vivienda y Agenda Urbana (Ministry of Housing and Urban Agenda).
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This price is even higher than that of the 2008 housing crisis when properties cost an average of €2,101.4 per metre squared.
Housing prices are therefore at a record high with the Banca de España raising concerns about the gap between what’s on offer and what is needed, they state that 700,000 houses are necessary to meet the country’s residential demand.
Cespedosa, who has accumulated thousands of social media followers, believes that things will not improve because ‘Spain is one of the countries that is least profitable to build houses in’.
‘Spain is condemned to remain in a housing crisis for years,’ she added.
Increase in prices of labour materials, lengthy bureaucratic processes, and housing taxes make the construction sector unprofitable and, therefore, it will take years before house prices fall back in line with average salaries in Spain, says Cespedosa.
A lack of effective political measures to regulate the purchase of multiple properties and control speculation has also influenced prices with the uncertainty making it difficult for young people to move out of home.
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The increase in touristic apartments is a further problem – now there are over 380,000 flats of this kind, an increase of 1.4% on last year.
Often these apartments are located in urban environments, where people are also trying to make permanent moves to.
This means individuals are looking for homes in already saturated areas that tourists are searching to stay in.
The combination of touristic apartments, political inaction, and expensive materials means that house prices are expected to remain at record highs over the next few years.
It is these factors that make it “much more attractive to build outside of Spain,” according to Cespedosa.
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