A Record‑Setting Year for Resale Property
Málaga ended 2025 with a 13.8% annual increase in the price of second‑hand homes, reaching a historic high of 4,364 €/m²—placing it among the most expensive provinces in Spain, on par with Gipuzkoa and behind only the Balearic Islands and Madrid.
Across Andalucía, the market experienced its largest price surge in 20 years, with an average rise of 22.2% to 2,733 €/m². Málaga once again led the regional ranking, far ahead of Granada, Cádiz, and Sevilla.
Why Prices Surged
According to Fotocasa’s analysis, several forces converged to push prices upward in 2025:
- Strong investor interest, both domestic and international
- Revival of national buyers after years of uncertainty
- High foreign demand, especially in coastal and lifestyle‑driven areas
- Limited supply of affordable homes, particularly in urban and coastal zones
- Improved economic conditions, including more stable interest rates and a dynamic labor market, which encouraged buying over renting
This combination created one of the most intense periods of pressure on the Andalusian resale market in recent history.
Málaga in the National Context
A comparison of average resale prices in 2025 shows Málaga’s elevated position:
| Province / Region | Avg. Price €/m² (2025) |
| Balearic Islands | 5,267 |
| Madrid | 5,206 |
| Málaga | 4,364 |
| Gipuzkoa | 4,364 |
| Santa Cruz de Tenerife | 3,668 |
Sources: Fotocasa data
Málaga’s alignment with high‑value markets reflects its transformation into a premium residential and investment destination.
Municipal Hotspots: Where Prices Exploded
Thirteen Andalusian municipalities surpassed 4,000 €/m² in 2025, with Málaga and the Costa del Sol dominating the list:
- Benahavís – 5,603 €/m²
- Marbella – 5,424 €/m²
- Tarifa – 4,860 €/m²
- Fuengirola – 4,807 €/m²
- Estepona – 4,758 €/m²
- Nerja – 4,741 €/m²
- Málaga Capital – 4,241 €/m²
- Mijas – 4,173 €/m²
- Torremolinos – 4,123 €/m²
Some municipalities saw extraordinary year‑on‑year increases, including Vera (+62.5%), La Alcaidesa (+59.4%), and Alhaurín el Grande (+45.8%)—a sign of how demand is spreading beyond traditional hotspots.
What This Means for 2026 and Beyond
The 2025 data suggest a market characterized by:
- Persistent demand, especially from international buyers
- Structural supply shortages, particularly in Málaga city and the western Costa del Sol
- Growing pressure on affordability, pushing local buyers toward inland areas
- Continued investor confidence, supported by economic stability and lifestyle appeal
Unless supply expands significantly, Málaga is likely to remain one of Spain’s most competitive—and expensive—property markets.
For more information on buying property in Marbella and Costa del Sol, visit Nookhomes for expert guidance and listings that meet your criteria.
Let us help you find your dream home: