Despite Brexit and against all predictions, the Brits remain the greatest nationality buying properties on the Costa del Sol in 2021, closely followed by the Swedes, the Germans, and the French. With remote working becoming the new norm, a lot of our international clients have shifted to running their businesses from home with no need to commute to cities or offices, giving them the flexibility to relocate and base themselves somewhere warmer with a better quality of life. Marbella has therefore quickly become a first-choice destination for those Northern European buyers drawn by the outdoor lifestyle, high quality international schools and improved accessibility. Having endured long lockdowns, lifestyle and wellbeing has become the number one priority for most, and many have since decided to make the move from their small city apartments or terraced houses with no outside space, to larger properties with bigger gardens. So why not move to Marbella – a destination that houses some of the most luxurious homes in the world with lush gardens, swimming pools and some impressive home offices with stunning sea and mountain views?
We’ve experienced record high levels of enquiries post-pandemic, resulting in a volume of property sales never seen before this year in the high-end luxury market. Marbella, Estepona and Benahavis combined have seen an increase of 9.2% in property sales during the first quarter, and Marbella alone has seen a 22% increase in property transactions compared to the same period last year.
The Andalusian Government’s reduction of transfer tax to a flat rate of 7% until the end of 2021, as well as the historic low interest rates on mortgages, has no doubt been a large contributing factor to this surge in activity levels. We’ve also seen a real shift in the demographic of buyers looking to invest in a luxury home in Marbella; the city is now attracting a younger generation of successful professionals with increased budgets - many of whom are so keen to make the move that they’re using video technology such as Facetime to view and secure their dream home.
Quality villas and apartments in Marbella’s famous ‘Golden Mile’ and Nueva Andalucía have grown increasingly desirable post-pandemic as they offer the luxury lifestyle within easy reach of all Marbella’s 5* restaurants and beaches including the iconic Puente Romano and Marbella Club Hotels. Our listings in these areas are also particularly popular with development and investment buyers as they have the potential for huge returns, with buy to rent clients charging anywhere between €2,000 and €20,000 per week during the high season.
Brand new residential projects in areas such as the newly developed Real de La Quinta resort are also significantly benefitting from the post-pandemic market due to their luxurious interiors and a design-focus around indoor outdoor living. The Vista Lago Residences are a collection of off plan villas we’ve had listed since just the start of this year, and they are already 75% sold with only a few units left remaining. With prices starting at €3,195,000, these stunning design-led homes have been popular with international buyers as they offer the perfect balance for those looking for a high quality home in a natural setting with incredible views, and just a short drive to Marbella and its amenities.
The luxury market has proved to be the most resistant and buoyant of all this year, with current activity levels as high as ever post-pandemic. A shift in focus to a better quality of life combined with increasing budgets and flexible working explain why the luxury market is booming in Marbella and why it continues to be a first choice destination for international buyers.