Marbella has long been considered one of Europe’s premier luxury real estate destinations. With its endless summer sunshine and mild winters, low-rise and low-density construction, mature infrastructure, and stable economy, it is no wonder a diverse global population continue to flock here either as a holiday destination or for permanent residence.
Following the boom of the post-Covid period, the pent-up demand for property after the pandemic drove an increase in sales throughout 2021, which continued into 2022 solidifying the Andalucian beach resort’s highly sought-after status. The Covid lockdowns brought about a reassessment as to where and how people want to live on a global basis. And Marbella, with its outstanding quality of life, has become more attractive than ever.
Across Spain, real estate transactions experienced a surge last year, with prices rising by 7,2% as sales rose by 6.1%. According to reports, Marbella and the municipalities of Estepona and Benahavís that form the so-called ‘Golden Triangle’ real estate area, reached historic sales peaks in the high-end market in 2021 and this trend has continued into 2022, with a peak at the first half of the year. There were even whispers of bidding wars for some properties, something seldom seen before in this region, and unusual in any luxury, second home real estate market. With the huge growth in the luxury property market, this is one of many signs that Marbella has finally achieved worldwide recognition as the highest-quality destination of its type in Europe.
It has matured to become a popular year-round residential destination, with few bars, restaurants and hotels now closing down over the winter season due to continued demand even after the hectic summer season is over. In fact, Marbella won the coveted award of European Best Destination 2022 for being the most prestigious destination in Europe, along with the second prize for the Best Overall Destination, beating the likes of Monte Carlo, Gstaad and Capri.
The level of activity in Marbella has also resulted in an increase in the number of companies created in the area, with the highest figure of any non-capital city in Spain, and the sixth city in new company formations in the whole country, signs of a strong economy that are reflected in the real estate market of the area.
In terms of property sales, in 2021, Marbella, Estepona, and Benahavís saw a sales volume of over 7,000, representing an increase of 30.15% over the pre-pandemic year of 2019, while market demand in the first half of 2022 saw an astonishing increase of 73% of sales over the same period of 2021.
Being an exclusive residential destination, Marbella isn’t as strongly affected by the current global economic situation, with the growth in multi-million-euro luxury markets evidence of that fact that a large proportion of buyers are not reliant on finance and therefore largely unaffected by changes in interest rates.
In times of uncertainty, bricks and mortar are always a refuge for those wishing to invest and a location such as Marbella is ideal. The factors upon which its popularity are built – climate, amenities, rich cultural and natural factors – are always going to be in demand.
If you’re looking to buy a property in Marbella, now is the time to act. The level of activity in the area means that properties are being snapped up quickly, and bidding wars are becoming more common. But for those in the know, Marbella is not only a premier luxury real estate destination but also an attractive place to live thinks to its outstanding quality of life, excellent infrastructure, and numerous attractions make it one of the best places to live in Europe.