Following a period of decline, housing supply in the Canary Islands has experienced a notable recovery, reaching 6% growth in the first half of 2026. This rebound, according to a study by Fotocasa Research, indicates increased residential activity in the archipelago, affecting both supply and demand.

The percentage of individuals offering properties for sale or rent has risen from 4% in 2025 to 6% in 2026, breaking the downward trend of previous years. While this increase is still below past levels, it could improve opportunities for those seeking a home.

Aggregate demand is also evolving positively, with a rise from 25% to 27% in the participation of adults searching for housing. Despite rising prices, interest in accessing a home remains high.

Effective demand, meaning purchase or rental transactions successfully completed, has grown to 11% as of February 2026, three points higher than the previous year. However, non-effective demand remains predominant, affecting 17% of searchers.

Sales are consolidating as the main driver of this recovery, with a significant increase in individual participation, rising from 15% to 20% over twelve months. The percentage of potential buyers grew from 14% to 17%, and sellers from 2% to 3%.

In contrast, the rental market has lost momentum. Rental demand has fallen from 15% to 13% between February 2025 and 2026, while supply remains stable. This suggests that some households may be reconsidering purchasing due to high rental prices.

María Matos, Director of Studies at Fotocasa, highlights the simultaneous recovery of supply and demand as a sign of market dynamism. Despite persistent challenges such as housing scarcity and demographic pressure, the first half of 2026 marks a positive trend shift for the Canary Islands' real estate market.