Spanish Costa del Sol property market draws growing foreign interest

Interest in the Costa del Sol real‑estate market is expanding beyond the traditional Marbella hotspot. Buyers are increasingly targeting nearby resorts such as Estepona, Mijas and Benahavís, with the strongest momentum in Estepona and its surrounding villages.

Typical prices for used, non‑luxury apartments range from about €6,000 per square metre in premium Marbella districts, €5,000 in Estepona and roughly €4,500 in Mijas. New‑build premium projects command higher rates. Rental yields for well‑located new properties remain around 5‑7% gross.

Foreign buyers now account for 40‑43% of all transactions in the Málaga province, and in premium projects the proportion of international purchasers can reach 80‑90%. The buyer pool includes Northern Europeans, Americans, Middle‑Eastern investors, digital nomads and Hungarians, whose demand has risen thanks to a favourable euro exchange rate. Development is shifting toward the Gibraltar area while available buildable land between Marbella and Málaga continues to shrink.