The Costa del Sol property market in 2026: what do the figures show?

The property market on the Costa del Sol has shown steady, sustained price growth through 2024, 2025 and into 2026. Unlike some other European coastal markets, the growth is not driven by speculation or bubble behaviour. It comes from a combination of limited supply of good building land and beachside locations, and international demand that shows no sign of easing.

The figures vary a great deal from area to area. In the premium segment in Marbella, in our experience prices typically run from 5,500 to 10,000 euros per square metre, while more affordable areas such as Estepona and Benalmádena are often in the 3,000-5,000 euro range. Across Málaga province, the Spanish land registries (Registradores) put the average registered price at 3,254 euros per square metre in the twelve months to June 2026, up 10.8 per cent. Spain’s housing ministry reports that the average appraised value in the province rose 13.8 per cent from the second quarter of 2025 to the second quarter of 2026.

Málaga province recorded 36,117 registered home sales in 2025, and 32.8 per cent of the buyers were foreign, the second-highest share of any province in Spain after Alicante. In the second quarter of 2026 the foreign share in Málaga rose to 37 per cent. British buyers remain the largest foreign group in Spain, at almost 8 per cent of all purchases by foreigners in 2025, and buy more homes in Andalucía than any other foreign nationality. That says a lot about how international this market really is, and why prices here are shaped largely by global demand rather than local conditions alone.

For many of our international clients, buying here is rarely just about a holiday home. Many also see it as an investment: a property that can be let for part of the year and, over time, help pay for itself, while being a place to spend the winter months. That double motivation, lifestyle combined with finance, is an important reason why demand from abroad has held up. Our investment page explains what to look for.

The market is not uniform, though. Some areas have grown faster than others in 2026, and prices can move from one quarter to the next. We always recommend basing a purchase on a proper assessment of the specific property and area, not just general market figures. Our article on why prices keep rising looks at the forces behind the numbers, and you can browse homes for sale by area. Or get in touch for a no-obligation chat about what is realistic where you want to buy.