The Marbella Effect: Why Investors Seeking Luxury Should Consider Costa del Sol

 

It’s no secret that Spain is one of the most popular destinations for Britons, not just for holidays but also for relocating for a new life in the sun. But now, the popular Costa del Sol is marketing itself as a luxury destination for investors, providing a balance of vibrant nightlife, spectacular natural vistas and incredible weather virtually year-round. This means discerning investors should consider choosing this destination for their real estate purchases.

Various property styles

One of the biggest draws to investing here is the wide variety of property styles this area has to offer. Regardless of whether you’re seeking a second home, a primary residence or a buy-to-let property, there are houses, villas and apartments to suit. It’s one of the most coveted and glamorous residential-tourism resorts in Europe, and offers an incredibly diverse range of luxury villas and high-end properties to fit different lifestyle needs and investment goals.

Marbella, for example, is a haven for luxury properties. From the epicentre of glamour and glitz, Puerto Banús, to the prestigious areas of Sierra Blanca and Cascada de Camojan, which is famed for its luxury villas set on expansive plots of land, investors seeking luxury have their pick of numerous desirable areas in Marbella and beyond. Many areas in this region carry homes with cutting-edge designs and high-quality furnishings and features, resulting in high-net-worth individuals being spoiled for choice when it comes to choosing a property.

A growing market

When it comes to investing in property, location is critical to whether or not a property will rise in value over the years. You need to look at property markets that have shown growth over a long period of time, and real estate prices here have been on the rise consistently for the past decade.

In fact, even with Brexit and the pandemic making investors more cautious than before, Costa del Sol still experienced impressive growth last year. It’s a market that provides stability and excellent profit potential for investors. Benahavis brings in the highest rental prices in Spain, with three more Costa del Sol locations earning third, fourth and seventh spots in the rankings - Sotogrande, Marbella and Estepona. With the luxury homes market buzzing with activity, now is the time to invest in property in this area of Spain.

Thriving economy

The Costa del Sol region is one of the most international areas of Spain and it’s enjoyed incredible economic success, even in spite of the global challenges of the last couple of years. In fact, recently, it’s even seen multi-million euro commercial investments. If businesses are willing to put their money into an area, it highlights to other investors that this is a worthwhile destination for their own funds.

From billion-euro investments into hotel developments to retail complexes, this region, in particular Marbella, has seen a huge amount of economic investment in recent years and this is great news for investors looking to buy property in thriving areas where levels of commercial activity are high. Costa del Sol’s economic status provides a solid foundation for investors coming into the area, making it easier to turn a profit and earn an income from investment properties.

An international destination

Around 18% of Costa del Sol’s population hails from elsewhere in the world, making this a truly international area. And in areas such as Marbella and Mijas, that figure is closer to half of all residents. There’s a thriving, diverse community here, resulting in an area that’s adapted to international tastes. For investors, this means that carrying out business here is easier, as there are fewer language barriers and culture shocks to contend with. It’s an expat-friendly destination that offers genuine long-term investment opportunities.

Costa del Sol is known for its amazing climate, incredible restaurants and beautiful beaches, and it’s a wonderful place to not only holiday but also live and work. These factors all contribute towards the Costa del Sol’s amazing tourism industry, bringing in visitors year-round. Typically, one week’s high-season holiday rental can equate to as much as a month’s rental on a long-term let, so finding the right opportunity could be a great earner for a discerning investor.

Year-round luxury

The Costa del Sol is a popular tourist hub and thanks to its perfect microclimate, enticing culture and flourishing property market, it’s likely to remain a solid investment for the long-term. The fluctuating travel restrictions of the past two years have led to a pent-up demand for holiday-makers and an expected boom to the market in terms of people travelling more and making the most of remote working through relocation.

With this area primed for luxury real estate investments, owing to the beautiful scenery, laid-back lifestyle and striking properties, investors looking to buy property should consider Costa del Sol.