Malaga accounts for 30% of the luxury housing supply in Spain

The province of Málaga has reinforced its position as the Spanish epicentre of the luxury real estate market in 2025, accounting for 28.5% of the national supply of residences valued at more than €2.5 million, followed by Mallorca (25.3%), Madrid (11%), and Barcelona (7.5%). These numbers are part of the most recent research on the Spanish real estate market, which focuses on the elite residential sector. According to the study, as of mid-2025 and based on an analysis of houses posted on the Idealista portal, there were around 14,000 properties for sale in these price categories in Spain, with more than 4,000 in the province of Málaga.

According to the survey, luxury properties valued above two million euros now account for 12% of the province’s total real estate supply. According to Rodolfo Núñez, head of Dils Lucas Fox in Málaga, focusing on houses worth one million euros increases the premium segment’s share to 25% in Málaga and 50% in Marbella.

Reasons for purchasing a home in Malaga

In terms of motivations for purchasing a luxury home on the Costa del Sol, 50% of purchasers select Malaga for a second home, 38% for their primary residence, and the remaining 12% for an investment.

75% are from the EU, with the remaining 25% from the United States and Latin America. Furthermore, the number of buyers from the United States, the Middle East, and Southeast Asia is likely to grow.

Núñez observes a shift in buyer profiles, emphasising the importance of the resident profile in the new digital economy. “From the typical buyer who retired on the Costa del Sol (for example, British), we’ve moved on to professionals who come to live here, as well as families with children from Scandinavia, Central Europe, Latin America, or the United States. COVID made it plain that we are no longer required to reside near our workplace. We can work remotely, and there are many managers or IT professionals that live in Málaga but have a company elsewhere. “They work here and travel here as needed,” he explains.

Rise of Malaga

On the other hand, the reasons for Malaga’s rise as a premium real estate destination are well known: “An airport that connects to more than 150 destinations and will close in 2025 with 27 million passengers, a mild climate with plenty of sunshine all year, fantastic temperatures, good services, and international schools.” It’s a very appealing lifestyle for foreign buyers,” says the head of Lucas Fox, a consultancy inside the Dils group.

Last year, this company’s average house sale was €775,000 in Málaga and €590,000 across the Costa del Sol. Dils Lucas Fox’s greatest transaction in the city was for a house sold for €3.7 million, which was “unthinkable” a few years ago, confirming the area’s progress in attracting high-net-worth purchasers, according to Rodolfo Núñez.

Price Evolution

The highest property values in Málaga are concentrated in the triangle of Marbella, Benahavís, and Estepona, with average prices of €7,000 per square metre in Marbella and €5,130 for the entire sought-after area (70% higher than five years ago). According to the consultant, premium houses can sell for up to €50,000 per square metre. It is a unique case, the most expensive example, and corresponds to a development in Puente Romano. Villas in the Marbella-Benahavís-Estepona triangle area typically cost over five million euros. And it is not uncommon to find them for between 10 and 25 million euros in these places,” he adds.

In Malaga, real estate market values are already averaging more than 3,300 euros, a 60% rise from five years ago, while there are properties worth considerably more.

“There’s been a massive growth. And if we look at the luxury class, the highest price right now is for a penthouse in Málaga Towers, which is close to €10 million, with a price per square metre of roughly €20,000,” he says. In addition to these values, other significant properties in the city include the new developments La Térmica Beach and Octavia (both on the Poniente seashore) and Pinares Hills in Pinares de San Antón.