Andorra la Vella property market: prices, rents and foreign buyer rules

The average asking price of an apartment in the parish of Andorra la Vella is €7,359/m² in Q3 2026 (CASAFARI Area Insights, location id 2341), up 14.7% year on year and 47.2% since Q1 2023. Official notarial averages are far lower—€4,885.9/m² for flats in the parish at end-2025, according to the Departament d'Estadística—because advertised listings skew heavily towards large, high-specification units. Asking rents average €24.3/m²/month, giving an indicative gross yield of about 4.0%, while non-residents require Government authorisation and pay a 3% to 10% foreign-investment tax.

What does an apartment in Andorra la Vella cost in 2026?

Imagine a couple from Barcelona or Toulouse scrolling through property portals on a Sunday evening, planning a move across the Pyrenees. On screen, apartments in Andorra la Vella consistently ask over €7,000 per square metre. Yet when they sit down with a local adviser on Monday morning, they hear that the notary's register records an average closer to €4,900. Understanding why those two numbers sit so far apart is the first step to buying well in the Principality.

In the advertised market tracked by CASAFARI Area Insights (parish-level location id 2341, asking prices from indexed listings with outliers excluded, updated weekly), apartments in Andorra la Vella reached €7,359/m² in Q3 2026. That figure is up 4.2% on Q2 2026 (€7,060.1/m²) and 14.7% higher than in Q3 2025 (€6,418/m²). Since Q1 2023, when the series opened at €5,000/m², the average asking price has risen in every single quarter, accumulating a 47.2% gain.

Translated into practical budgets on simple arithmetic at the parish asking average, a 90 m² flat is advertised at roughly €660,000, while a 120 m² family apartment comes to around €880,000.

Why the asking price and the price paid are so far apart

The official transaction record tells a quieter story. According to notarial data from the Departament d'Estadística (series A145, reported by Bondia), the average transaction price for flats in the parish of Andorra la Vella was €4,885.9/m² at the end of 2025, down 3.5% on the €5,063.6/m² recorded a year earlier—making the capital the only parish in the country where the official average slipped that year, even as the national flat average rose 8.2% to €4,547.3/m². By Q2 2026, the national average transaction price for flats stood at €4,569.7/m², up just 0.2% year on year (Departament d'Estadística via Diari d'Andorra).

A third reference point sits between the two: the Col·legi Professional d'Agents i Gestors Immobiliaris d'Andorra (AGIA), in its fourth market report of January 2026 (reported by La Veu Lliure), put the parish benchmark at €5,106/m², second only to neighbouring Escaldes-Engordany (€5,408/m²), against a national average of €4,373/m².

Metric	Value (€/m²)	Period	Source & Scope
Asking price (apartments)	€7,359	Q3 2026	CASAFARI Area Insights (location id 2341, active listings)
Industry benchmark (parish)	€5,106	Jan 2026	AGIA 4th Market Report (Andorra la Vella)
Official transaction price (parish flats)	€4,885.9	Q4 2025	Departament d'Estadística A145 (notarised sales)
Official transaction price (national flats)	€4,569.7	Q2 2026	Departament d'Estadística A145 (notarised sales)

Why is the CASAFARI asking average roughly 50% above the notarial average? It is a matter of composition rather than a 30% negotiation discount at the notary's table. What is openly advertised online skews heavily towards newly built towers, large floor plates and high-specification refurbishments that sit on the market for months. The notary's register, by contrast, captures every deed signed, including older walk-up flats, small units traded quickly between locals, and contracts agreed off-plan years earlier.

In a small parish, a handful of large deals can also swing the official quarterly average either way. The practical rule for a buyer or adviser is straightforward: read the asking-price series to judge seller sentiment and current listing momentum, then run Comparables and market studies alongside an online property valuation to see what similar buildings actually justify before putting forward an offer.

Where in the parish are buyers looking?

For anyone arriving for the first time, Andorra la Vella is a compact 27 km² mountain valley parish sitting at roughly 1,000 metres of altitude, cut through by the Gran Valira river. To the east, it blends seamlessly across a single bridge into Escaldes-Engordany, which holds the highest prices in the Principality (€5,408/m² in January 2026, per AGIA).

Because the valley walls are steep and buildable land is scarce, the residential market here is overwhelmingly made up of apartments. Detached houses and chalets are rare inside the parish boundaries and are sought instead in parishes such as La Massana or Ordino.

Within the capital, daily life and buyer searches cluster around distinct pockets:

• Centre Històric: The old stone quarter around the Casa de la Vall, quieter and more traditional in character.
• Avinguda Meritxell: The main commercial spine running through the valley floor, lined with retail and mixed-use apartment buildings.
• Prat de la Creu, Prada Casadet and Clot d'Emprivat: The modern administrative, banking and newer residential districts stretching towards the Escaldes border.
• Santa Coloma and La Margineda: Sitting south along the road towards the Spanish border, offering slightly lower-rise buildings and a more suburban feel.

Note that the CASAFARI figures in this guide are calculated at the parish level (location id 2341); we do not split prices by sub-neighbourhood here.

What rents and yields look like for a landlord

Demand for rented homes in the capital is structural. Andorra's resident population passed 90,021 in July 2026, growing 1.9% in a year, with 24,884 residents living in the parish of Andorra la Vella (+0.5% year on year, Departament d'Estadística via Diari d'Andorra). At 31 December 2025, the parish counted 11,284 households, up 2.6% in twelve months, with an average of 2.20 persons per household (Departament d'Estadística, Estadística de llars 2025).

Even so, rental growth is losing steam after a steep climb. In Q3 2026, the average asking rent for an apartment in Andorra la Vella is €24.3/m²/month (CASAFARI Area Insights, location id 2341). While that is 27.2% higher than in Q1 2024 (€19.1/m²), it is only 2.5% above Q3 2025 (€23.7/m²) and represents a 4.0% dip compared with Q2 2026 (€25.3/m²).

Because sale asking prices have continued to climb faster than rents, yields have compressed. Dividing the annualised asking rent by the average asking sale price (12 × €24.3 ÷ €7,359) gives an indicative gross yield of 3.96%—about 4.0%—in Q3 2026, down from an indicative 4.4% in Q3 2025. For those evaluating CASAFARI for investors or comparing property market trends across southern Europe, a 4.0% gross parish ratio leaves little margin for leveraged buy-to-let.

Rules on letting have also tightened. Under the March 2025 Omnibus law, foreign buyers are prohibited from purchasing homes for short-term tourist or holiday letting; any rented flat acquired through foreign investment must go to the long-term residential market. As a policy incentive, the Government offers a 90% rebate on the foreign-investment tax if the property is let as an affordable main residence for at least ten years.

Can a foreigner buy in Andorra la Vella, and what does it cost in tax?

Yes, a non-resident can buy property in Andorra la Vella, provided they obtain prior foreign real-estate investment authorisation from the Government before signing the deed before an Andorran notary. The rules governing that process have changed three times in eighteen months: a temporary moratorium suspended non-resident purchases from 7 September 2023 (Llei 16/2023, summarised by Garis Legal) until a new tax took effect on 29 February 2024, followed on 6 March 2025 by the Omnibus law (Llei 5/2025 on the Portal Jurídic d'Andorra), which banned foreign investment in holiday-let housing and in build-to-sell property development.

When budgeting for an acquisition of an existing flat, a foreign buyer or a resident with fewer than three years of continuous residence in Andorra faces two main purchase taxes:

1. Property transfer tax (ITP): Paid by every buyer on existing homes at 4% of the real value, split between 1% to the Govern d'Andorra and 3% to the parish council (comú), as set out on the Govern d'Andorra tax pages (checked October 2026).
2. Tax on foreign real-estate investment: Created by Llei 3/2024 on the Portal Jurídic d'Andorra (in force since 29 February 2024) and payable by non-residents and residents of under three years. The rate is 3% of the real value on a first dwelling for single-family or own use, 5% on a second dwelling, 8% on the sixth to ninth unit, and 10% on ten or more units or property development. A 90% tax rebate applies if the property is committed to affordable long-term main-residence rental for at least ten years.

Many international buyers acquire a home as part of a broader relocation under Andorra's active or passive residence permits, though buying real estate does not in itself grant residency. Because housing remains at the centre of political debate in the Principality, prospective buyers should have an Andorran lawyer verify the consolidated legislative text before signing a reservation contract.

Who is buying, and is the market cooling?

Despite Andorra's international profile, domestic buyers drive the vast majority of sales. In Q1 2026, non-residents accounted for 26.8% of individual housing purchases nationally (241 of 898 buyers), leaving 73.2% in the hands of residents, according to the Departament d'Estadística (series A117, reported by Diari d'Andorra). Across the whole of 2025, non-resident individuals made 1,464 purchases (24.9% of the individual total), while companies with majority foreign capital completed 412 purchases (+43.1% year on year). Non-resident buyers come chiefly from Spain and France, alongside other European families relocating, while 65.2% of individual buyers in Q1 2026 were aged between 30 and 59.

After a record 2025 nationally—when total transactions jumped 35.3% to 2,175 deals worth €1,397.9 million and 2,004 flats changed hands (Bondia)—volumes have cooled noticeably. Even in 2025, the parish of Andorra la Vella transferred fewer properties than the year before: 980 properties worth just under €200 million, down from 1,123 in 2024 and about €45 million lower in value (Departament d'Estadística via Diari d'Andorra).

By Q2 2026, national real-estate transactions had fallen for three consecutive quarters, dropping 11.8% year on year to 473 transactions, with the total number of properties transferred down 35% to 1,090; resident purchases fell 20.6% (to 628) and non-resident purchases declined 14.5% (to 184), according to the August 2026 release from the Departament d'Estadística. In short, while sellers continue to re-price advertised stock upwards, actual deal flow has slowed since the Omnibus law, thinning the pool of fresh comparables and lengthening selling times.

How to check these numbers yourself

Every asking-price and asking-rent figure in this guide comes directly from the CASAFARI Area Insights screen for Andorra la Vella (location id 2341), which indexes active listings across the parish, removes statistical outliers and tracks the quarterly price per square metre.

If you are advising a client on a specific building on Avinguda Meritxell or in Prat de la Creu, you can move from the parish trend to street-level evidence using Comparables on our property valuation and market study page.

For analysts and engineering teams building their own models, the Area Insights documentation on developers.casafari.com and the Comparables and valuation documentation return the exact same time series via API, while Casafari MCP lets you query location id 2341 (resolved from the place name via Location Lookup) directly inside an AI assistant. Both API and MCP requests consume tokens from your plan balance.

Whether you are sense-checking a single apartment listing before a trip to the Pyrenees or underwriting a residential portfolio, you can explore the full parish data on our Area Insights page or sign in to the CASAFARI platform to get started.