Build your dream house on the Costa del Sol now – reasons why the present time is favourable

The real estate market on the Spanish Mediterranean coast is booming – in 2017 in the province of Malaga alone over 30.000 properties were sold, an increase of 14.62% compared with the previous year.

Building boom on the Costa del Sol

Building boom on the Costa del Sol

 

Foreign buyers made up a third of the total, similar to the Balearics, although on the Costa del Sol the British dominated the market, followed by the Swedes and the French. The Germans, in Mallorca the largest buyer group, are found only in fifth position after the Belgiens.

Particularly interesting in the market analysis is the proportion of newly-built properties. Here the Costa del Sol is far above the national average with around every fifth object last year having been newly-built.

Building boom on the Costa del Sol

 Porta Mondial sales manager, Thorsten Kaiser, explains the reasons why so many real estate buyers are now building on the Costa del Sol:

“Due to the geological character of of the Costa del Sol there are always beautiful hillside properties available with fantastic sea views, from where the Moroccan coast and the rock of Gibraltar can be seen“.

High increase in the value of land

With land, as with all real estate, the location is crucial and dictates the later resale value. Other criteria play a more decisive role with holiday properties than with residential properties at home – the view is essential, optimally on a slope or hill with unobstructed views of the Mediterranean.

Added to this are the infrastructural connections, distance to the nearest town, airport etc. Building plots in the rural areas start in price at around 70 euros per sqm, prime locations cost up to 800 euros per sqm. In the Marbella area, the hotspot of the province of Malaga, an average of 300 euros per sqm can be expected and the trend is rising.

The Porta Mondial team observe that land prices have risen generally over the last three years by around 25%, although still have not reached the price levels existing before the Spanish real estate crisis. Those intending to realise their real estate dream on the Costa del Sol should not wait much longer, is the advice of the real estate experts.

The buyer of this wonderful building plot with sea views in Marbella can feel very pleased. With a sqm price of around 330 euros in this location he can reckon with a significant increase in value.

The buyer of this wonderful building plot with sea views in Marbella can feel very pleased. With a sqm price of around 330 euros in this location he can reckon with a significant increase in value.

 

High demand also from institutional investors

 Not only private persons, however, are investing in the Costa del Sol at present as big investors also have their eye on the last little gems along the coast. Building plots along the Costa del Sol are also being focussed on by institutional investors at present buying large areas in order to build large projects.

 

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