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Sales of Costa del Sol property in May totalled almost 3,738, the most for this month since 2007. Furthermore, the figure so far this year was over 50% more than 2021 and the fifth highest in the country.
Despite high inflation and rising mortgage rates, the Costa del Sol real estate market continues to its on surging upward trend.
Highest sales for May in 15 years
The latest data from the Spanish Statistics Institute (INE) show that 3,738 properties exchanged hands on the Costa del Sol in May. The figure is the highest for this month since May 2007, the height of the last property boom.
Sales up over 50% in the year
INE data also recorded the total transactions in the first five months of this year. Between January and May, there were 17,929 sales of Costa del Sol property. The figure represents a 50.8% uptick on the same period in 2021. It’s also the fifth highest in Spain.
Resale homes accounted for the majority of sales (some 13,700) and saw a 56.4% increase in transactions. Since 2014, purchases of resale properties have exceeded those of new builds, often by a considerable margin. From June 2020 onwards, sales of Costa del Sol resale property have exceeded 2,000 units every month. This year has already seen three months with almost 3,000.
In the first five months of this year, transactions involving new-build properties reached 4,187, around 23% of all sales. This type of real estate also registered a strong surge with a rise of 34.9% compared to January to May 2021. The Costa del Sol registered the third highest number of new-build sales in Spain.
Building license applications rise
In tandem with the continued rise in sales of new builds, the Costa del Sol also experienced a major increase in building license applications. According to the latest official figures, 2,704 applications were filed and approved between January and April, a 29.1% on the same period in 2021.
The latest license figures will be music to buyers’ ears, particularly as many of the new developments on the Costa del Sol involve cutting-edge design and architecture. Thee is, however, a deficit of supply in the market generally.
Mortgages rise in tandem with sales
Given the surge in sales figures, it’s hardly surprising to discover that mortgage approvals have also increased on the Costa del Sol. Between January and April this year, 7,914 buyers took out a loan to buy their property. The figure is 32% higher than the first four months of 2021.
Find your Costa del Sol property
Despite the highest sales figures for 15 years, there’s still plenty of choice on the market, particularly if you’re looking for stunning homes in idyllic locations. At Realista, we have a large selection, ready to view.
If you’re thinking of buying this year, get in touch with our expert team to find the property for you. We’ve been helping buyers in the greater Marbella area since 1992 so we know the market inside out. We look forward to hearing from you.