The Costa del Sol continues to cement its reputation as one of Europe’s most desirable property markets. In August 2025, the average price of second-hand housing in Málaga province climbed to an all-time high of €3,842 per square metre, representing an impressive 13.8% annual increase. This steady growth highlights the region’s strength as a magnet for both international investors and lifestyle buyers.
Marbella, Benahavís and Fuengirola lead the market
Among the 27 Málaga municipalities with record prices, Marbella remains the most expensive, reaching €5,258/m². Close behind is Benahavís at €5,205/m², both firmly established as luxury real estate hotspots. Fuengirola also stands out, crossing the €4,300/m² threshold after an 18.8% rise, according to the most recent idealista price report.
Other towns hitting record levels include:
- Benalmádena: €3,903/m² (+18.6%)
- Ojén: €3,863/m² (+25.6%)
- Torremolinos: €3,740/m² (+17.3%)
- Nerja: €3,734/m² (+8.7%)
- Algarrobo-Costa: €3,614/m² (+27.6%)
Interestingly, Málaga city itself, despite its increasing international profile, remains below these figures at €3,549/m², though it posted a robust 15.6% annual rise.
Where prices are rising fastest
While luxury enclaves such as Marbella still command the highest prices, some smaller towns recorded the strongest year-on-year growth:
- Almayate Bajo: +31.1% (now €3,184/m²)
- Algarrobo-Costa: +27.6% (€3,614/m²)
- Ojén: +25.6% (€3,863/m²)
- Caleta de Vélez: +25.1% (€2,943/m²)
- Frigiliana: +20.1% (€3,253/m²)
These double-digit increases underline how demand is spreading beyond the traditional luxury markets, pushing up prices in smaller coastal and hillside towns known for their charm and quality of life.
A market driven by international appeal
The Costa del Sol’s enduring appeal lies in its combination of climate, lifestyle, and global connectivity. For foreign buyers, the area offers a mix of high-end property in Marbella and Benahavís, vibrant city living in Málaga, and increasingly sought-after “hidden gems” such as Ojén or Algarrobo-Costa.
With record prices now spread across much of the province, it is clear that the Costa del Sol is not only consolidating its luxury credentials but also broadening its market potential for investors and homebuyers alike.