Spain: Marbella offers discounted luxury real estate properties

 

Spain: Can the visit of a Very Important Person revitalize the real estate market of a place where the property sector has witnessed an uncontrolled building boom and has been negatively affected by the resulting real estate scandals? That was what happened in Marbella after the visit of the American First Lady, Michelle Obama.

The value of villas has decreased by 20% in five years, but Marbella – that was the paradise of international jet set in the 70s and in the 80s – is casting a glamour over property investors again. Local real estate agents and tour operators believe that the “Michelle effect” will help encouraging American tourists and investors to go to Marbella and make a real estate investment.

Marbella – that is set between the Straits of Gibraltar and Malaga, between the coasts of the Mediterranean Sea and the slopes of Sierra Blanca – was the favourite destination of Arab sheiks, stars and famous singers. In the latest years, home buyers and property investors have kept themselves at a distance from the real estate market of Marbella, due to the scandals related to the uncontrolled building development that has largely disturbed the natural heritage and the landscape.

The excessive urbanisation has not spared this beautiful region of the Costa del Sol that boasts a pleasant climate all year round. Despite the Ley de CostasCoastal Law – luxury properties, de luxe villas, condominiums with small flats and terraced houses have been built on the hills, on the borders of golf courses, within 100 metres of the high water mark – stealing beaches from the general public and making them private – and even on the edge of motorways. Small one-bedroom apartments here are sold for 87 thousand euros, the price of an apartment with two bedrooms rises to 135 thousand euros and an apartment with three bedrooms costs 157 thousand euros.

The regional government has approved a new plan to contrast corruption in the real estate market of Marbella and put the saga of the Marbella planning scandals to an end. Planning regulations have often been ignored and numerous building licences have been granted for projects on land that was not designated for development. Many of the illegally-built properties are destined to demolition.

Nonetheless, the real estate market cannot be limited to these new and ugly buildings that very often have remained unsold. The luxury market cannot experience such a drop in prices. The 20% fall in the price of villas is mainly due to the property speculation that has characterised the years before the housing bubble.

The construction of new apartments and villas has been stopped and there are only a few properties for sale in the best residential areas of Marbella – Nueva Andalucía, Milla de Oro and Puerto Banús – where prices are over 300 thousand euros and the value of the wonderful villas facing the Moroccan coast is comprised between 1.5 and 6 million euros, but can even reach 20 million euros! Indeed, the most expensive villa in Spain is located in Puerto Banús: this 4,600-sqm villa costs 25 million euros.

Low range homes only have experienced a dramatic fall – up to 50% – in prices. They are above all badly-built houses that are located in a low-interest area where there is not a property demand.

Luxury properties located close to golf courses are highly demanded by investors coming from Russia. Prices start from 287 thousand euros for an apartment with 2 or 3 bedrooms in Estepona – the original price was 400 thousand euros. Rentals go from 500 euros to 730 euros per week for a one-roomed flat and 896 euros for a sea-front suite. In Zagaleta, the value of nine-hole luxury is comprised between 4 and 9 million euros.

 

-          Real estate investment opportunities in Menorca

Related Insights

  •  
    Spain: Marbella offers discounted luxury real estate properties

      Spain: Can the visit of a Very Important Person revitalize the real estate market of a place where the property sector has witnessed an uncontrolled building boom and has been negatively affected by the resulting real estate scandals? That was what happened in Marbella after the visit of the Am ...

Real Estate Listings

Cod. 43233

For sale 2 Bedrooms, Spain, Málaga, Nueva Andalucia, Calle Jazmines, 366

409,926.40USD
For sale
2 Bedrooms

70 m²
In the heart of Nueva Andalucia, near the famous harbor of Puerto Banus and all the animations, in a small and beautiful urbanization of only 10 apart...
Cod. 43143

For sale House, Spain, Málaga, CHILCHES-COSTAS, NASAS 12

562,432.00USD
For sale
House

200 m²
On the beautiful Chilches Coast, in Malaga, sits this impressive villa that promises a life of comfort and elegance. With a construction of 210 square...
Cod. 42982

For sale 3 Bedrooms, Spain, Málaga, Etepona, .

248,768.00USD
For sale
3 Bedrooms

100 m²
ID.M2M-1000133P MARBELLA,Estepona ID:M2M-1000133P APARTMENT | APARTMENT • Alapterület | Size:85 m2 • Hálószobák | Bedrooms:3 • Fürdősz...
Cod. 42937

For sale 3 Bedrooms, Spain, Málaga, Estepona, valle romano

153,803.52USD
For sale
3 Bedrooms

120 m²
Spain Andalusia Estepona 5* Residence Resort, 7% annual income (of which 15% advanced payment upon request, to be deducted from the purchase price), ...
Cod. 42866

For sale 2 Bedrooms, Spain, Málaga, Calahonda, .

254,176.00USD
For sale
2 Bedrooms

93 m²
MARBELLA,Calahonda ID:R2749397 APARTMENT | APARTMENT • Alapterület | Size:93m2 • Hálószobák | Bedrooms:2 • Fürdőszobák | Bathrooms:2 • T...
Cod. 42859

For sale 2 Bedrooms, Spain, Málaga, Fuengirola, .

632,736.00USD
For sale
2 Bedrooms

97 m²
MARBELLA,Fuengirola ID:RKL APARTMENT | APARTMENT   • Alapterület | Size:97 m² • Hálószobák | Bedrooms:2 • Fürdőszobák | Bathrooms:2 ...
Cod. 42800

For sale Building, Spain, Málaga, Málaga, Calle San Cayetano

1,719,744.00USD
For sale
Building

248 m²
Including the licence for holidays rental! House from the 18th century, restored and renovated with Baroque-style wall paintings. Very luminous. In t...
Cod. 42498

For sale Villa, Spain, Málaga, Málaga, larios

10,275,200.00USD
For sale
Villa

120000 m²
EXCEPTIONAL COUNTRY ESTATE ABSOLUTE PRIVACY – Over 12 Beautifully Maintained Hectares. LOCATION , LOCATION, LOCATION : Malaga Airport – 20 mi...
Cod. 41548

For sale 4 Bedrooms, Spain, Málaga, Marbella, .

913,952.00USD
For sale
4 Bedrooms

80 m²
Sixty impressive contemporary apartments, also located on the north side of Palo Alto, will feature 2, 3, and 4 bedroom apartments and penthouses, all...
A beautiful home in the heart of Nueva Andalucía which has had just one owner since it was built in 2005. The apartment has been carefully improved ov...
2005-2024 REALIGRO REAL ESTATE LTD. All Rights Reserved - VAT Nr: 893969932
Neikos Digital Agency
  1. Preferences

    For a better use of Realigro website, set your preferences for language, currency, square meters or sq ft.

    Set now Don't show again
BB