The housing market in Bizkaia has kicked off the year with price increases of 10%, and experts find it «complicated» to contain prices. According to a market report by Gesvalt, a consulting and appraisal firm, housing prices surged by 10.7% and rents by 4% in the first quarter compared to the previous year. The square meter now exceeds 2,740 euros, meaning a 90-square-meter apartment costs an average of 246,600 euros.
The association of developers and builders in Bizkaia had already warned that 2026 would be a «difficult year» for the sector. The increase in production costs, driven by the conflict in the Middle East, will «inevitably» affect the final price of new construction. Furthermore, the Iran war «is increasing instability» and putting «operations at risk», which could harm the much-needed construction of new properties in Euskadi.
“"There is activity, but it is still insufficient to meet demand. The system does not operate at the required speed. Everything that comes onto the market sells because we are not able to build at the necessary pace."
Alberto Marín, president of the construction cluster in Euskadi, agrees that the war in the Middle East and rising costs «do not help to contain prices». Last year, 1.8 homes were built per thousand inhabitants, a rate far below what is needed to meet a demand that exceeds 58,000 people in Bizkaia. Construction began on 2,097 apartments, 24% less than the previous year.
Pressure is also evident in the rental market. In Bizkaia, rents increased by 4.6% during the first three months of the year, placing the average square meter at 15.79 euros. The increase was even more pronounced in Gipuzkoa (+6.5%) and more contained in Álava (+2%). Regarding capital cities, Bilbao ranks as the seventh most expensive in Spain, with an average price per square meter of 16.08 euros, only surpassed by Barcelona, Madrid, San Sebastián, Valencia, and Málaga.
