Lorraine Williamson
Planning a trip to Spain this summer? Holiday rentals in Spain for 2025 are significantly more expensive than in previous years. The average weekly cost for a coastal rental has climbed to €1,270 — nearly 40% more than in 2020.
A combination of post-pandemic travel demand, limited rental stock, and inflationary pressures is driving up the price of summer holidays in Spain.
Where are prices rising fastest?
The steepest increases are concentrated in Andalucía and the Balearic Islands. According to recent property data, average prices in Málaga and Cádiz provinces rose by over 12% in the last year alone.
For example, a week in a modest beachfront apartment in Nerja now costs around €1,450, while a 130 m² apartment in San Roque has reached €2,300 per week.
Over in the Balearics, the figures are even higher. A week’s stay for two in Menorca now averages €2,726.
Luxury rentals stretch budgets further
For those looking at higher-end destinations, the costs increase significantly. A 110 m² flat in Puerto Banús, Marbella, will set you back €3,700 a week. In Santanyí, Mallorca, a 250 m² villa rents for about €3,400. Meanwhile, homes in Cabo de Palos are commanding prices between €3,500 and €6,000 per week.
These locations are popular among international visitors — particularly in July and August — where demand continues to outstrip supply.
Less popular, more affordable
However, it’s not all bad news. A handful of coastal towns are still relatively budget-friendly. Places like Moncófar, Vinaroz (Castellón), and Valdenoja (Santander) offer weekly rentals between €510 and €550.
While these destinations are less well known, they often offer a more relaxed atmosphere and a slower pace — with fewer crowds and more authentic surroundings.
Locals struggle to compete with tourist demand
Rising holiday rental prices are not only impacting travellers. Locals in many cities are finding it increasingly difficult to secure long-term housing. In Cádiz, for instance, more than 6,000 residents have left since 2018, as short-term rentals have doubled.
According to Spanish media, the number of tourist beds in Cádiz has reached 12,000, leading to fears of gentrification and community displacement.
Can regulation restore the balance?
Efforts by city councils to cap or regulate holiday rentals have so far been limited in effect. With tourism being a key economic driver, balancing short-term profit with long-term community health remains a challenge.
For those hoping to holiday in Spain without overspending, booking early or exploring lesser-known coastal towns is advised. The coast remains stunning, but affordability is slipping out of reach for many.
Tourist rental reforms 2025
Sources: 20Minutos, Cadena Ser, El País