What is the average rental yield in Galicia?

Average gross yield on the Costa da Morte is 6-9% for tourist rental and 4-6% for residential. Best areas: Corcubión (8-9%), Cee (7-8%), Camariñas (7-9%). The Spanish average is 4-5%.

Is investing in Galicia property a good idea?

Galicia offers competitive prices (€800-1,800/m²), growing tourism demand, improving infrastructure, and high quality of life. Low risk combined with high relative returns makes it attractive.

Vacation rental or long-term?

Vacation rentals generate 30-60% more income but need active management and a tourist license. Long-term offers stability. The optimal strategy is usually mixed: vacation in high season, long stays the rest of the year.

What expenses does a rental property have?

IBI (€400-1,200/year), community fees (€600-1,800), insurance (€300-600), maintenance (1-2% of value), management (15-25% with agency), platform fees (3-15% for tourist). Net income is typically 60-75% of gross.

Investing 20 April 2025 3 min 536

Best Areas to Invest in Galicia 2025: Yields and Opportunities

Why invest in Galicia in 2025

Galicia has established itself as one of Spain's most attractive real estate markets for foreign investors. With an average price of 1,280 euros/m2 compared to 2,900 euros/m2 in Madrid or 2,400 euros/m2 in Barcelona, Galicia offers unbeatable value. The market grew 4.8% in 2024 (INE data), with forecasts of sustained 3-5% annual growth.

The 8 best areas ranked by yield

Rank	Area	Average annual ROI	Price/m2	Monthly rent/m2	Demand
1	Sanxenxo	6.1%	2,500-4,500 euros	12-20 euros	Very high (seasonal)
2	Baiona	5.8%	2,000-3,500 euros	10-17 euros	High
3	Rias Baixas	5.5%	1,500-3,000 euros	8-14 euros	High
4	Costa da Morte	5.2%	1,100-2,200 euros	6-10 euros	Growing
5	Vigo	4.8%	1,400-2,200 euros	7-11 euros	Very high (stable)
6	A Coruna	4.5%	1,600-2,800 euros	7-12 euros	High (stable)
7	Santiago	4.2%	2,000-3,200 euros	8-13 euros	Very high (stable)
8	Ribeira Sacra	4.0%	700-1,400 euros	4-7 euros	Moderate (growing)

1. Sanxenxo: king of seasonal yields

Sanxenxo leads with 6.1% average ROI, reaching 8-9% for well-located tourist properties. Galicia's premier vacation destination with beaches like Silgar and Baltar, a marina, and exceptional gastronomy.

Current prices: Seafront apartments: 3,500-4,500 euros/m2. Second line: 2,500-3,500 euros/m2. Townhouses: 2,000-3,000 euros/m2.

Strategy: Tourist rental in summer (800-1,500 euros/week for 2-bed) plus medium-long term rest of year. Gross yield: 6-7%.

2. Baiona: the southern jewel

History, natural beauty (Cies Islands), expanding tourism. ROI 5.8%. Historic center: 2,200-3,500 euros/m2. Cies views: 2,500-3,800 euros/m2. Periphery: 1,800-2,600 euros/m2. 20 min from Portugal, 30 min from Vigo airport. Tourist occupancy 78% in high season.

3. Rias Baixas: guaranteed diversification

From Baiona to Arousa, including Cambados (Albarino capital), O Grove, Vilanova de Arousa. ROI 5.5%. Cambados: 1,800-3,000 euros/m2. O Grove: 1,600-2,800 euros/m2.

4. Costa da Morte: the emerging opportunity

Cee, Corcubión, Fisterra, Muxia, Camarinas. The top investment opportunity in 2025. Prices from 1,100 euros/m2, ROI 5.2%. Driven by Camino to Finisterre (30,000+ pilgrims/year), cinematic tourism, prices 40-60% below Sanxenxo.

Costa da Morte prices: Corcubión 1,300-2,100 euros/m2. Cee 1,200-1,800 euros/m2. Fisterra 1,300-2,200 euros/m2. Muxia 1,100-1,900 euros/m2. Camarinas 1,000-1,700 euros/m2.

5. Vigo: the urban powerhouse

Galicia's largest city (300,000 pop.). ROI 4.8%, stable. City center: 1,800-2,600 euros/m2. Residential: 1,400-2,000 euros/m2. Periphery (Nigran): 1,600-2,400 euros/m2. Student and professional demand ensures 90-95% occupancy.

6. A Coruna: stability and quality of life

ROI 4.5%. Old town: 2,200-2,800 euros/m2. Residential (Riazor, Matogrande): 1,800-2,500 euros/m2. Periphery: 1,400-2,000 euros/m2.

7. Santiago: the safe investment

Most stable demand from Camino tourism, university, and regional government. ROI 4.2%. Historic center (UNESCO): 2,500-3,200 euros/m2. University areas: 2,000-2,800 euros/m2.

8. Ribeira Sacra: alternative investment

Lowest prices (700-1,400 euros/m2), ROI 4.0%. Long-term bet on wine tourism and potential UNESCO World Heritage designation.

Tourist vs long-term rental

Metric	Tourist	Long-term
Gross ROI	5.5-8%	3.5-5%
Net ROI	3.5-5.5%	3.0-4.5%
Occupancy	40-75%	90-97%
Management	Active	Passive
Regulatory risk	High	Low

Infrastructure projects driving value

AVE Vigo-Madrid: 4 hours (from 6.5h). Impact: +5-10% in Vigo area.
Santiago airport: New international routes 2025-2026.
A-6 highway: Improved Madrid connectivity.
Morrazo corridor: New expressway Cangas-Moana-Bueu-Vigo.
Rural fiber optic: Broadband across rural Galicia by 2027.

Investment strategy by budget

Low budget (50,000-100,000 euros)

Renovate small apartments in Cee, Camarinas or Vigo interior. Buy at 800-1,200 euros/m2, renovate for 300-500 euros/m2. Expected ROI: 5-7%.

Medium budget (100,000-250,000 euros)

Seafront apartments in Costa da Morte or Baiona. Townhouses in Vigo/Coruna periphery. ROI: 4.5-6%.

High budget (250,000-500,000 euros)

Sea-view properties in Sanxenxo or Baiona. Villas in Santiago. Tourist premium properties. ROI: 5-8% as tourist rental.

5-year forecasts (2025-2030)

Area	Current/m2	Estimated 2030/m2	Appreciation
Sanxenxo	3,000 euros	3,800-4,200 euros	25-40%
Baiona	2,500 euros	3,200-3,800 euros	28-52%
Costa da Morte	1,500 euros	2,000-2,500 euros	33-67%
Vigo	1,700 euros	2,000-2,300 euros	18-35%
A Coruna	2,000 euros	2,400-2,800 euros	20-40%
Santiago	2,400 euros	2,800-3,200 euros	17-33%
Ribeira Sacra	900 euros	1,200-1,600 euros	33-78%

Conclusion

Galicia in 2025 is a smart buyer's market. Costa da Morte offers the best combination of low entry price and appreciation potential. Sanxenxo and Baiona are ideal for high tourist yields. Vigo and A Coruna provide the most stable long-term rental option. Diversifying across 2-3 areas maximizes returns while minimizing risk.