After such an unexpected turn of events in 2020, the property crisis some expected did not materialise in Marbella and prices held their own as we moved into 2021, a year that brought some respite from the Covid-crisis. While there had been a rally of interest as soon as borders opened again last summer, 2021 was the year that proved to be so much more than just a recovery.
Demand certainly rebounded after having been ‘tied up’ for significant parts of the previous year, but it went beyond that, as a lot of people across Europe and beyond re-evaluated their living and working circumstances, and decided to no longer put off lifestyle decisions. As a result, many bought second homes or even relocated to sunnier locations, and Marbella and the Costa del Sol were pretty much top of the list.
As a result, property sales on the Costa del Sol hit 7,208 in Q1/2021, a 14.4% increase on Q4/2020. Marbella, Estepona, Benahavis and Mijas continued to be at the heart of this trend, with Málaga city also becoming increasingly fashionable, but for many in Northern and Eastern Europe, North America and the Middle East, the Marbella-focused way of life remained the one to beat.
High-end demand
The fact that this has been a largely top-down movement comes as no surprise, as the higher segments have been driving Costa del Sol property sales for some time, with the main emphasis now on turnkey-ready modern villas of 3-5 bedrooms and approximately 200-400m2 in the €1 to €4 million price range. However, perhaps even more buoyant is the upper segment, where luxury modern homes sell for anywhere between €5 and €32 million.
And so prices have risen again, peaking in the most high-demand, low-supply locations such as the Golden Mile, but also Nueva Andalucía, Elviria, Guadalmina and newly upcoming zones such as Mijas Costa, Estepona, the New Golden Mile and the country club suburbs of Benahavis. Sotogrande also basks in a good deal of buyer interest, and so the Costa del Sol property market is buoyant, and driven by newly-built and newly-renovated villas and apartments that are ready to occupy.
Prospects
So far, we can look back on an excellent year for Marbella and Costa del Sol property, as the lifestyle, space, climate and freedom on offer here are valued now more than ever – and this looks unlikely to change in the near future, so enjoy the holidays and let’s look forward to a healthy 2022!