Older homes are rising faster than new ones: the widening gap
In early 2026, prices of existing homes rose 19.7% and new builds 12.6%. The gap is changing the maths for buyers.
When people talk about house prices, they usually reach for a single number. But INE data for early 2026 shows two very different realities under the same roof: existing homes rose 19.7% year-on-year, while new builds advanced 12.6%.
At first glance it looks like a technical detail. It is not. It means that older housing, long the cheaper option, is getting more expensive faster than newly built homes — and the gap between what used to be affordable and what was top of the range is closing.
Why older homes are surging
Several forces are pushing up the price of existing homes: not enough new supply, location (older homes are often in the most sought-after centres), and buyers who, priced out of new builds by scarcity or cost, pile into the existing market instead. The result: more demand chasing the same ageing stock.
For house-hunters, the practical takeaway is that the old rule “older always pays off” is no longer automatic. In some areas, carefully comparing price per square metre between new and old can throw up surprises — and with demand cooling across the market, there is room to negotiate that did not exist a year ago.
See also: foreign buyers are purchasing fewer homes. The official data is on the INE portal.
Illustrative · Photo: Jeffrey Eisen / Pexels
