Marbella has always been a popular destination for second-home buyers as well as individuals and families wishing to start a new life in the sun and wonderful scenery on offer in this beautiful part of the world.
The end of the pandemic saw a rush into property that was unprecedented, and it is only now starting to settle back down to normal levels. Read on to find out what happened in 2023 and what we can expect for 2024.
Continued Price Appreciation
A standout statistic that underscores the market’s vitality is the significant rise in property prices. Asking prices in Marbella have surged by an average of 15% between June 2022 and June 2023, reaching a new all-time high of €4,233 per m2 — a figure that is approximately double the average asking price per square meter a decade ago. This remarkable increase is indicative of Marbella’s robust market, which continues to attract investment despite broader economic fluctuations.
Marbella’s Global Appeal
Spain, and Marbella in particular, has cemented its status as a premier destination for luxury real estate investments, ranking as the fourth most popular globally and leading in continental Europe in a recent Forbes ranking. Marbella’s appeal extends beyond its picturesque landscapes to include a comprehensive suite of world-class amenities and an extensive, mature infrastructure, making it a magnet for high-net-worth individuals seeking the utmost in luxury and exclusivity.
The Resilience of the Luxury Market
The high-end property market in Marbella has not only continued with robust activity but also achieved unprecedented levels of engagement. The luxury sector’s durability is evident as it consistently surpasses expectations, not just within real estate but across all luxury goods and services worldwide.
The premium segment of the market has shown remarkable resilience, overcoming the broader economic uncertainties that affect other sectors. This dynamic underscores Marbella’s distinctive appeal, where the appetite for upscale properties significantly outpaces the available supply, propelled by the increasing wealth and investment interests of the global elite.
Supply and Demand Dynamics
A critical factor driving the anticipated price increases is the widening gap between supply and demand, especially in the top segment. With a notable decrease in the number of properties for sale, particularly in prime locations, Marbella’s market is characterised by intense competition and premium valuations. The scarcity of new or refurbished properties for sale further accentuates this trend, making strategic investment more crucial than ever.
Investment Outlook
For investors and buyers eyeing the Marbella market in 2024, the landscape is promising. With property prices on an upward trajectory and the luxury market showing remarkable strength—evidenced by a 20% increase in sales in the highest market segment—the investment potential in Marbella remains high. The region’s enduring appeal, coupled with its status as a top destination for luxury real estate, positions Marbella as a lucrative market for discerning investors and buyers seeking premium properties in an exceptional locale.
Interested in finding out what property is waiting in Marbella for you? Don’t hesitate to get in touch – our knowledgeable team are waiting to help.