Property Market in Málaga 2025: Year in Review and Trends for 2026

The year 2025 has been a key one for the property market in Málaga and the Costa del Sol. The combination of high international demand, economic growth, attractive climate and quality of life has boosted interest in buying and selling homes in the province, placing areas such as Fuengirola, Benalmádena, Mijas Costa and Marbella among the most dynamic in Spain. In this article we present a clear, direct and useful analysis of what happened in 2025 and where the market is heading in 2026, to help you if you are thinking of buying, selling or investing. Let’s begin!

1. How the Málaga property market evolved during 2025

The property sector in Málaga has experienced a year of strong activity. The following points stand out:

• Price increases above the national average. The province has recorded one of the highest rises in the country. Málaga continues to lead demand thanks to its appeal for foreign buyers and the interest of investors seeking areas with high profitability.
• High demand on the Costa del Sol. Municipalities such as Fuengirola, Mijas, Benalmádena and Marbella have seen a notable increase in international buyers, especially from Northern Europe.
• Less supply, more competition. The supply of available housing has decreased compared to previous years, which has helped push prices upwards, especially in well-located areas close to the sea.
• A particularly strong rental market. Rental demand continues to far exceed supply, keeping prices high and profitability for owners strong.

2. Specific situation in Fuengirola in 2025

Fuengirola has been one of the most active municipalities of the year. Here are the main highlights:

• A highly sought-after area for foreign buyers: Swedes, Finns, Britons and Germans remain the main buyers, attracted by the quality of life, the climate and the excellent connections.
• Strong interest in properties near the sea and in developments with services: Modern flats, penthouses with views, homes with pools and complexes with communal areas are the most requested in 2025.
• Prices on the rise, but with good opportunities: Although the average price has increased, December is often a time when some sellers are more open to negotiation, especially those wishing to close before the end of the tax year.

3. Most sought-after property types in 2025

If you are thinking of selling, this information will be especially useful:

• Refurbished or modern apartments
• Penthouses with sea views
• Homes with terraces or outdoor spaces
• Energy-efficient properties
• Developments with pools and green areas
• Move-in-ready homes

Today’s buyers are looking for comfort, good design, natural light and proximity to services.

4. What to expect from the market in 2026

Although forecasts may vary depending on the global economy, the outlook for Málaga and the Costa del Sol is positive:

• Prices will remain stable or show slight increases. No significant drop is expected: international demand remains strong and supply is limited.
• More European buyers seeking second homes. Especially Scandinavians, Britons, Germans and Belgians.
• Interest in energy-efficient homes and outdoor spaces will continue. Buyers prioritise comfort, energy savings and quality of life.
• Growth in investment for rental purposes. Both traditional rentals and medium-to-long-term rentals for remote workers.

5. Is it a good time to buy or sell? Our expert opinion for the Costa del Sol

If you want to sell your property

December and January can be very good months to put your property on the market — there is less competition, active buyers tend to be more serious and negotiations are often quicker. If your home is in good condition or refurbished, its value remains highly attractive.

If you want to buy

It may be a good opportunity to negotiate a better price, find properties that did not sell before the summer or take advantage of sellers wishing to close before the tax year ends.

The year 2025 has been solid and dynamic for the property market in Málaga and the Costa del Sol. Fuengirola remains one of the most attractive areas for living, investing or purchasing a second home. Forecasts for 2026 indicate a stable market with strong demand and opportunities for both buyers and sellers. If you are considering buying or selling, at GR Estates we will be delighted to advise you and help you make the best decision.

The GR Estates team – Experts in finding your home since 1996

Estate agency in Fuengirola and the Costa del Sol.
www.gr-estates.com