Madrid skyline
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★ Core Market

Spain

🇪🇸 Madrid

5.1% Avg Yield$4,600/m² Avg Price

Spain's capital — Golden Visa, EU gateway, strong yields

5.1% yield
+64% 7yr
$4,600/m²
Neutral
Key Metrics
Avg Price / m²
$4,600
USD, city average
Gross Yield
5.1%
annual, before tax
7yr Appreciation
+64%
2018 → 2024 in USD
Rent vs Buy
Neutral
Break-even: 20yr
Price History

7-Year Price Trend

2018201920202021202220232024$0K$2K$3K$5K$6K
Average price per m² in USD · Source: Arkon market research
Rent vs Buy Analysis

Monthly Cost Comparison

Monthly RentMortgage/mo$0$500$1,000$1,500$2,000
Typical 2-bed price
€378K
EUR (approx.)
Monthly rent
€1K
EUR/mo (approx.)
Monthly mortgage
€2K
at 4.2% rate
Break-even point
20 years
to recover vs renting
Neutral
Buying and renting are roughly equivalent in this market.
Neighborhoods

Top Areas to Invest in Madrid

Salamanca
Luxury / Upscale
1
Price/m²
$7,200
Gross Yield
3.8%
Chamberí
Elegant Residential
2
Price/m²
$5,800
Gross Yield
4.6%
Malasaña
Trendy / Creative
3
Price/m²
$5,200
Gross Yield
5.1%
Lavapiés
Multicultural / Value
4
Price/m²
$3,800
Gross Yield
6.2%
Vallecas
Affordable Entry
5
Price/m²
$2,200
Gross Yield
7.8%
Carabanchel
Regenerating
6
Price/m²
$2,600
Gross Yield
7.2%
Active Deals

Active Deals in Madrid

6 verified properties · Updated daily
Retiro Park Views — 2BR Renovated Apartment
7.8% yield
€600K
Score 85

Retiro Park Views — 2BR Renovated Apartment

Premium
Retiro
2BR
type
70 m²
area
€4K
rent/mo
Retiro ParkPark viewsRenovated
Salamanca District — Luxury 3BR, Prime Location
7.2% yield
€900K
Score 87

Salamanca District — Luxury 3BR, Prime Location

Elite
Salamanca
3BR
type
100 m²
area
€5K
rent/mo
SalamancaGolden MileLuxury
Malasaña Studio — Trendy Arts District, High Occupancy
9.6% yield
€270K
Score 80

Malasaña Studio — Trendy Arts District, High Occupancy

Comfort
Malasaña
1BR
type
40 m²
area
€2K
rent/mo
MalasañaTrendyShort-term rental
Chamartín Business District — 2BR Corporate Rental
8.4% yield
€540K
Score 82

Chamartín Business District — 2BR Corporate Rental

Business
Chamartín
2BR
type
70 m²
area
€4K
rent/mo
ChamartínBusiness districtCorporate tenants

Showing 6 of 6 deals

Interactive Map

Neighborhood Price Map

Click any circle or label to see price per m² and gross yield for each neighborhood.

82
78
85
3
Leaflet © OpenStreetMap contributors
Neighborhood Prices
LowerMidHigher
6 active deals
ROI Analysis

Investment Score Breakdown

Rental Yield60/100
Price Appreciation68/100
Market Liquidity80/100
Risk Profile72/100
70
/ 100
Moderate Buy
Composite score based on yield, appreciation potential, market liquidity, and risk factors.
City Profile

Demographics & City Overview

👥

City Population

3.4M

🏙️

Metro Area

6.8M

📈

Population Growth

+0.9% / yr

🎂

Median Age

43 yrs

✈️

Expat Population

14%

💰

GDP per Capita

$38K

📊

Unemployment

9.2%

🕐

Time Zone

UTC+1

🏛️

Founded

865 AD

🗣️ Languages

Spanish

🌤️ Climate

Semi-arid Mediterranean — hot dry summers, cold winters

Legal & Tax

Buying as a Foreigner in Madrid

No restrictions for foreigners
Spain imposes no restrictions on foreign property ownership. A NIE (Número de Identificación de Extranjero) tax ID is required for the purchase.
6–10% transfer tax (ITP)
Madrid Community charges 6% ITP on resale properties (lower than Catalonia's 10%). New builds pay 10% VAT + 1.5% AJD stamp duty.
Golden Visa — under review
Spain's €500K Golden Visa for residential property is under political review and may be abolished. Check current status before purchasing for residency.
Rental income taxed at 19–24%
Non-EU residents pay 24% flat tax on gross rental income. EU residents pay 19% and may deduct expenses. Annual IRNR declaration required.

This information is for general guidance only and does not constitute legal advice. Always consult a qualified local lawyer before purchasing property abroad.

🇪🇸
Free Investor Guide

Buying Property in Madrid — The Complete Foreign Investor Guide 2026

Step-by-step legal process, cost breakdown, visa rules and more — free PDF.

Download free guide

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Official Sources & Market Data

✓ Arkon data verified against official sources

Government
Official property registry
Registro de la Propiedad
Spain
Market Data
Madrid price index
Idealista Price Index
Idealista
Government
Tourist apartment licensing
Comunidad de Madrid VUT Licensing
Comunidad de Madrid
Government
Spain Golden Visa investment
Spain Golden Visa (Ley 14/2013)
Ministry of Foreign Affairs
Tax
Non-resident property tax
Agencia Tributaria IRNR
Agencia Tributaria
Government
Notary requirements for property purchase
Consejo General del Notariado
Spain
Banking
Official mortgage interest rates
Banco de España
Banco de España
Arkon

Arkon Deals — Invest Smarter in Global Real Estate.
Verified deal intelligence across 4 core markets.

Company

Investments Medina GmbH
Hildesheim, Germany
[email protected]

Market data is sourced from local listing platforms, public price registries, and proprietary deal sourcing. Primary sources include CIAN and Avito (Russia), Bayut and Property Finder (UAE), Idealista and Fotocasa (Spain), and Zillow and Realtor.com (United States). Watchlist markets rely on aggregated third-party estimates and are indicative only.

© 2026 Arkon Deals. All rights reserved.

Arkon provides real estate market intelligence for informational purposes only. Nothing on this platform constitutes investment advice, a solicitation, or an offer to buy or sell any asset. Real estate investments involve risk, including potential loss of capital. Always conduct independent due diligence and consult a qualified financial or legal advisor before making any investment decision. Investments Medina GmbH is not a licensed investment advisor in any jurisdiction.

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