The real estate market in the southeast of Madrid has shown a sustained growth in prices during the first half of 2024. According to a study carried out by Activum Real Estatea company with more than 25 years of experience in the real estate sector, house prices have risen by between 4% and 9% in different areas, with Berrocales and El Cañaveral standing out as the neighbourhoods with the highest increases.
Berrocales Leads in Price Increases
Among the areas that have seen the highest growth in house prices, Berrocales tops the list with an increase of 8,40%. In January 2024 the price per square metre in Berrocales was 2.960 €/m²and by July, it had risen to 3.209 €/m². This area has attracted the attention of buyers looking for new opportunities in Madrid's residential market.
El Cañaveral: A Neighbourhood in Full Expansion
The CanaveralIn the south-east of the capital, it continues to consolidate its position as one of the most sought-after areas. In the first six months of the year, prices have risen by 6,30%from 3.266 €/m² in January to 3.471 €/m² by July 2024. This increase is only part of the impressive development of the neighbourhood, which has seen an increase of 148% in the last eight years.
In 2015, the average price of free market housing in El Cañaveral was 1.265 €/m²and by the end of 2023, it had already reached 3.138 €/m². This growth has caused property values in the area to rise significantly, with three-bedroom properties going for around 350,000 euros and four-bedrooms exceeding 450,000 euros. The supply of housing in El Cañaveral has decreased considerably, from more than 2,000 units available between 2019 and 2020 at less than 900 units in the last year.
Market trends in the South East of Madrid
In addition to price increases, there has been a tendency for prices to rise. reduction in the average size of dwellings available in the south-east of Madrid. Since 2015, the average surface area has decreased by 17%from 119 m² to the 99 m² current. This adjustment is in response to the growing preference for more affordable housing. two bedroomsThe price increases have relegated larger homes to a marginal segment of the market.
Key Data on the Real Estate Market in the South East of Madrid
The analysis of Activum Real Estate reveals a mixed picture in terms of price developments by area:
- Vallecas: The average price per square metre increased by 4,60%from 3.547 €/m² in January 2024 to 3.709 €/m² in July 2024.
- BerrocalesWith the highest increase, 8,40%the price rose from 2.960 €/m² a 3.209 €/m² in the same period.
- Ahijones: Experienced an increase of 5,70%with the price going from 3.112 €/m² a 3.288 €/m².
- El CañaveralWith a growth of 6,30%prices rose from 3.266 €/m² a 3.471 €/m².
Price growth in south-east Madrid is a reflection of the high demand and consolidation of these areas as high-value residential destinations. Berrocales and El Cañaveral, in particular, have proven to be areas with huge development potential and a booming property market. With a continuously developing infrastructure and a housing offer that adapts to the new needs of buyers, these areas continue to attract both investors and residents looking for quality of life in Madrid.
