The rental market in the Community of Madrid shows high demand pressure, positioning it among the provinces with the highest number of interested parties per property. Each available flat receives, on average, 136 applications, a figure far exceeding the 15 contacts considered typical for a balanced market. The average monthly rent in the region stands at 1,637 euros, making it the third most expensive in Spain.
The Observatorio del Alquiler (Rental Observatory) forecasts that the national rental housing supply will decrease by 3.35% during 2026. This trend is attributed to the shift of properties towards short-term tourist rentals or room rentals, as well as regulations in 'tense' market areas.
In contrast, the housing sales market in the Community of Madrid shows signs of improvement. According to data from Idealista, the supply of homes for sale has grown by 16% year-on-year in the second quarter of 2026. The capital, Madrid, leads this increase with a 23% rise in supply, standing out among other provincial capitals.
Francisco Iñareta, spokesperson for Idealista, notes that while the supply of homes for sale continues to decrease in most of the country, the deceleration in the rate of decline suggests a potential change in trend. Provinces such as Palencia, Ourense, and Zamora continue to experience significant drops in their sales supply.




