According to the Organisation for Economic Development (OECD), Property Prices in Spain are undervalued by 26%, whilst prices in the United Kingdom are 7% overvalued.

The research by the OECD has been running for the last decade and examines Property prices against wages in each country.  It then compares this against the long term average for each country.

According to the methodology used by the OECD, a value of 100 shows that property prices are fair value and in line with long term averages.  A reading of 90 means property is 10% undervalued compared to its long term average.  A value of 110 would show a 10% over valuation compared to the long term average. 

Spain scores a value of 74 in the latest research, giving an under valuation of 26%.