Luxury Real Estate Market: Emerging Trends and Forecasts
In 2025, the international real estate market is seeing a significant increase in investment in the luxury housing segment. Experts estimate that over the next ten years, total investment in this sector could exceed 700 billion euros. In 2023, this figure was 260 billion, indicating more than double the interest in high-end properties.
How Costa del Sol and Málaga Are Shaping Demand
Special attention is being paid to the Costa del Sol, where demand for premium housing has remained strong in recent years. Málaga hosted the 21st Simed Real Estate Exhibition, bringing together leading industry players. Key challenges were discussed here, including a shortage of affordable apartments and the growing popularity of so-called ‘branded residences.’ Buyers are increasingly opting for modern serviced apartments over traditional villas. The main motivation is the desire for a high level of comfort without the need to maintain large homes.
Growing Share of New Developments and Changing Buyer Profiles
Among the emerging trends is the rising share of deals involving new properties. In Málaga province, 30% of luxury sales last year were in new developments, and this year the figure has already reached 32%. A significant proportion of buyers are foreigners, who previously bought homes for holidays and are now increasingly moving in permanently. The most active buyers come from the UK, Czech Republic, Germany, USA, and Canada.
Infrastructure and transport: key drivers of future growth
Experts emphasize that further market growth is impossible without better transport accessibility. Málaga Airport already connects the region to over 130 cities worldwide, but specialists believe this is not enough to meet growing demand. The development of new routes and improved transport services could be decisive in attracting new investors and buyers.
Limited supply and shifting buyer geography
A major challenge remains the limited number of available properties in the most sought-after areas. In the famous ‘Golden Triangle’—between Marbella, Estepona, and Benahavís—supply is struggling to keep up with demand. As a result, buyers are looking at alternative locations such as Málaga city center, the Malagueta district, and Limonar. This is expanding the geography of deals and driving development of new projects in previously less popular areas.
