Mark Stücklin
According to new figures from property portal Idealista, the supply of homes for sale in Spain has suffered a historic collapse, while rental listings—particularly seasonal rentals—have increased. But what’s really going on in the housing market? As always, it depends how you read the data.
A sharp fall in homes for sale
Idealista, the largest property portal in Spain, reports a 20% year-on-year decline in homes for sale in Q2 2025—the steepest drop they’ve ever recorded. Every provincial capital in Spain saw a decrease in listings, with major markets like Madrid (-25%), Valencia (-24%), Palma and Barcelona (-21%) all registering big falls. Even Malaga, the best performing city in this regard, still saw supply down by 3%.
At first glance, this seems counterintuitive. With a housing law in place that increasingly favours tenants over landlords—by extending tenant rights and introducing new restrictions on rental contracts—you might expect many fed-up landlords to exit the rental business and sell up, flooding the sales market with properties. Yet Idealista’s data suggest the opposite: a shrinking pool of homes for sale.
But it’s important to remember that this is only Idealista’s data. While they are the leading portal in the market, their listings don’t represent the entire market. A 20% drop in listings on Idealista doesn’t necessarily mean a 20% drop in homes for sale nationwide. Owners and agents may be using other portals, relying more on social media or private networks, or simply holding off on listing while they wait for better market conditions. Without multi-platform data, it’s impossible to know for sure.
Rental market grows… or does it?
On the rental side, Idealista reports a 3% increase in listings for permanent rentals and a whopping 26% increase in alquiler de temporada (seasonal rentals). Seasonal lets now make up 15% of all rental listings on the portal—nearly half (49%) in Barcelona and significant shares in cities like San Sebastián (39%), Girona (37%), and Madrid (18%).
But here too, the numbers are not as straightforward as they seem. Agents routinely leave seasonal rental listings active on Idealista even after the property is rented, especially when contracts are short—say three to six months—and they expect to re-let soon. That doesn’t happen with long-term rentals, many of which aren’t even listed publicly because agents already have a waiting list. The result? Seasonal rentals look more plentiful than they really are, while permanent rental supply is likely underrepresented.
So while the data suggest an increase in rental listings, especially of the seasonal variety, this may say more about Idealista’s listings strategy and market position than it does about actual housing availability. Perhaps Idealista is gaining share in the rental segment even as overall rental supply declines—or perhaps owners are shifting from long-term lets to seasonal ones in response to tenant-friendly laws. Either way, the figures tell only part of the story.
Market misalignment and policy distortion
What’s clear from Idealista’s report is that the market is struggling to match supply with demand—on both the sales and rental sides. Fewer properties are listed for sale at a time when more owners might be expected to sell. Meanwhile, the rental market continues to be distorted by policy decisions that favour tenant protections over landlord incentives.
In cities like Barcelona, Madrid, Valencia, Palma, Málaga and Alicante—where demand is strong and regulation is tightening—these distortions are especially visible. Seasonal rentals appear to be crowding out long-term lets, and the sales market is thinning out even as many landlords lose faith in renting altogether.
Whatever the underlying causes, Idealista’s latest data make one thing clear: housing policy is not producing a healthy, well-functioning property market. Quite the opposite.
