Madrid is the most active real estate market in the country with a significant number of transactions and above average housing prices. Each real estate market is made up of numerous micro-markets and location is always the most important variable when buying a home.
In the province of Madrid, as in all of them, there is a huge disparity in prices. It is not the same to buy a house in Barrio de Recoletos (Salamanca District), the most expensive in the capital with an average price of 8,333 euros/m2, than in the town of Tielmes, where the price of an apartment is around 731 euros/m2. We are talking about a difference of 11 times between one area and another.
The analysis, which includes apartments in more than 450 areas, shows that all are above 3,800 euros/m2 and that most are in the most expensive districts of Madrid (Salamanca, Retiro, Chamberí, Centro and Moncloa).
There are a few neighborhoods outside these districts that have some peculiarity that adds value to them. This is the case of La Colina in Ciudad Lineal; Montecarmelo and Las Tablas in Fuencarral; Legazpi, Delicias and Acacias in Arganzuela; Sanchinarro and Conde Orgaz-La Piovera in Hortaleza; Cuzco-Castillejos and Cuatro Caminos in Tetuán or Costillares in Ciudad Lineal.
(Source: Bankinter)
After the confinement, many families decided to change their apartment for a larger, brighter house with outdoor spaces such as terraces or garden. However, it is difficult to find this type of house in the center of large cities, so many decided to move to the outskirts, where houses have become significantly more expensive. Specifically, the price of housing on the outskirts of Madrid has shot up 7% in the last year.
In the fourth quarter of 2021, the average price of housing in Madrid stood at 3,308 euros/m2, an increase of 2% year-on-year. Meanwhile, in the Madrid metropolitan area, the average amount increased by 7% in the same period, rising from €2,263/m2 to €2,422/m2, according to Gloval data.
In this regard, the firm highlights the 7.4% increase in the average price of housing in Pozuelo de Alarcón, where it reached 3,526 euros/m2 in the fourth quarter of 2022. On the other hand, in Boadilla del Monte there was an increase of 7.2% in year-on-year rate and the average price stood at 2,804 euros/m2.
If you have a second home on the outskirts of Madrid, this is the time to reform it, you can even get benefits of up to 50 or 60%:
