Sales of Costa del Sol real estate return to pre-pandemic levels

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    In light of the busy year we’re having at Realista, it’s no surprise to discover that Costa del Sol real estate sales are back at 2019 levels. Or that the transactions for new builds are way ahead. Statistics for August and for the first eight months of 2021 point to a frenzied property market.

    Busy two-thirds of the year

    According to the latest report from the Spanish Statistical Institute (INE), the local property market registered solid sales figures in the eight months between January and July. In that period, 20,601 homes changed hands on the Costa del Sol.

    Unsurprisingly, the figure is way ahead of last year’s (up 40%) when travel restrictions stopped most people from coming to Spain. In fact, you’d expect this sort of big jump now that mobility has returned.

    However, not many of us would have forecast that sales would be ahead of pre-pandemic rates so soon. What is more, 2021’s figures are slightly higher than those for January to July 2019 when there were 20,526.

    Hectic August for Costa del Sol real estate

    The statistics also included another surprise: sales in August. The hottest month of the year tends to be a quieter one for the real estate market but not in 2021. Some 3,246 properties were sold in the holiday month, which is similar to those last seen in 2007/8.

    New builds lead the market

    The new-build market was particularly busy and it continued to set records in the current stage of the Costa del Sol property cycle. For example, there were 5,441 sales of new properties between January and July, a hike of 70% on the same period last year. But, transactions are also way ahead of pre-pandemic times – there were 41% more new-build sales this year than in 2019.

    The same applied to August when there were 1,072 sales of new properties This marks the highest monthly figure since 2013.

    Resale properties still lag behind

    As has been the case throughout the last 12 months, resale properties were outperformed by new ones. Although resales still account for most sales (around three-quarters in the first eight months of this year), they have yet to recover the ground they lost during the pandemic.

    14,620 properties changed hands between January and July, a marked increase of 40% on the same period last year. However, sales of resale real estate on the Costa del Sol still lie 13% below those in 2019.

    Busy market for property in Spain and Andalusia

    The Costa del Sol reflects the picture nationally and regionally with Spain and Andalusia posting solid sales figures for the first eight months. A total of 49,884 properties were sold in August in Spain, an increase of 57.9% on last year and the highest figure for August since 2007.

    Andalusia ranked as the most popular region in Spain to buy real estate in August when there were 10,401 sales, up 67% on 2019. Andalusian real estate posted the best result in Spain, considerably ahead of its nearest competition, Catalonia, with 7,606 sales.

    In terms of population, Andalusia had the third highest sales per 100,000. In first place was the Comunidad Valenciana and in second, La Rioja in northern Spain.

    Buy your Costa del Sol property

    A busy market means properties are flying off the shelves and some buyers are disappointed. So, if you’re looking for real estate on the Costa del Sol, get in touch with your requirements and our friendly team will come up with a shortlist that matches them. Our extensive market knowledge and established track record mean we can find you just the home you’re looking for. Contact us now.