Prices in Malaga province continue to rise

Prices rise but demand falls

Prices rise but demand falls Photo: Flickr CC

The cost of the average house in the province rose to €290,400, the third highest in the country.

In this seemingly endless rise in house prices, almost all experts point to the relationship between supply and demand as the main cause: with too many people interested in too few properties, the cost ends up rising. Demand, especially international demand, has been tightening. However, the latest report by Solvia points to an important change: in Malaga province the price continues to rise, but demand is falling.

Over 30% bought by foreigners

Solvia’s report, which focuses on the last quarter of 2023, shows that property sales fell by over 8 per cent compared to the previous three months, a drop of 16 per cent compared to the same period the previous year. In total, 7,537 transactions were registered in the province and 38 out of every 100 houses sold went to foreign buyers.

Meanwhile, the sale price in the province continued to rise to 2,595 €/sqm, reflecting an increase of 1.2 per cent compared to the previous quarter and 7 per cent year-on-year. Rents are also up by over 16 per cent year-on-year to €14.2/m2 per month at the end of the year.

Looking at the whole of 2023, according to the latest data from the Malaga Association of Architects, the number of homes approved in 2023 reached almost 7,000 units, a slightly lower figure than in 2022 and for 2024 they expect similar data.

Thank you for taking the time to read this article. Do remember to come back and check The Euro Weekly News website for all your up-to-date local and international news stories and remember, you can also follow us on Facebook and Instagram.

Written by

Kevin Fraser Park

Kevin was born in Scotland and worked in marketing, running his own businesses in UK, Italy and, for the last 8 years, here in Spain. He moved to the Costa del Sol in 2016 working initially in real estate. He has a passion for literature and particularly the English language which is how he got into writing.