
Housing Prices in Andalusia Still Soaring
Teba Siles | · 5 min. read
Andalusia’s property market is again grabbing headlines as it continues outperforming expectations. Known for its stunning landscapes and vibrant cities, the region has solidified its reputation as a hotspot for real estate growth. From urban centers to coastal retreats, the rise in housing prices tells a story of sustained demand, driven by both local buyers and international interest.
With each quarter bringing new records, Andalusia offers a fascinating mix of opportunities and challenges for those navigating its dynamic housing market. From Málaga’s cosmopolitan appeal to Marbella’s luxury lifestyle, the region’s real estate scene reflects a combination of resilience and regional disparities that shape its allure.
Steady Growth and Regional Variations in Andalusia’s Housing Market
The housing market in Andalusia continues to show remarkable growth, with property prices rising for the 13th consecutive quarter. Since the first quarter of 2021, when the last price drop was recorded, property values have consistently increased, reaching €1,589 per square meter in the second quarter of 2024—representing a 7.5% rise compared to the previous year, according to data published by the Ministry of Housing.
This sustained price increase reflects the resilience of the Andalusian housing market, with an average 80-square-meter apartment now valued at around €127,000. In 2021, that same property was priced at approximately €103,680, reflecting a significant 22% increase in just over three years. Andalusia's housing market ranks third in Spain for growth, following the Balearic Islands and Aragón.
However, as is typical in real estate, local disparities are striking. For example, Málaga stands out with an average price of €2,400 per square meter and a 9.8% year-on-year increase. An 80-square-meter apartment in Málaga now averages €192,000, compared to just €65,000 in Jaén. Within the province, Marbella tops the charts, with property prices soaring to €3,394 per square meter, making it the most expensive location in Andalusia. Here, an average apartment costs €271,000, making the city a hub for luxury real estate.

A Dynamic and Competitive Market
Despite the overall increase in property prices, differences between regions and cities illustrate the complexity of the market. Cities like Benalmádena, Estepona, and Fuengirola have seen sharp rises, with year-on-year increases of 18%, 13.5%, and 16.8%, respectively. The most pronounced growth is still centered in Málaga and its surrounding coastal towns, which dominate the top ten most expensive locations for real estate in Andalusia.
According to Benjamin Beza, Sales Director of The Agency Marbella - Belleside Real Estate, the rise in housing prices reflects both local and international interest. “Marbella and the Costa del Sol continue to attract buyers from all over the world, particularly high-net-worth individuals looking for exclusive properties. The combination of a desirable lifestyle and solid investment potential is driving the demand for prime real estate in this region. Buyers understand the long-term value of investing here,” he commented.

Key Insights from the Market Report
The Market Report 2024 further highlights the continued appeal of Andalusia's real estate market for both domestic and international buyers. High demand, especially in sought-after areas like Marbella, has driven up prices, with luxury developments continuing to proliferate despite the broader economic challenges. For investors, the Costa del Sol remains one of the most attractive areas, not only for its cultural and lifestyle benefits but also for the solid returns on investment due to rising property values.
While rising prices create challenges for some, the region remains a top destination for those seeking high-end properties, particularly in Málaga, where the luxury real estate sector shows no signs of slowing down. The sustained growth reflects a market that is adapting to global economic trends while maintaining its allure for buyers worldwide.
Final Thoughts: Andalusia's Housing Prices and Real Estate Future
The continued surge in housing prices within Andalusia's real estate market reflects a thriving sector, marked by resilience and abundant opportunities. With its blend of urban vitality, coastal charm, and luxury hotspots like Marbella and Málaga, the region has become a magnet for buyers seeking both lifestyle and investment potential.
However, the stark regional variations highlight the importance of understanding local market dynamics before making a move. Whether you’re a first-time buyer, a seasoned investor, or someone looking for a dream home in the Costa del Sol, careful research and expert guidance are essential in navigating this competitive landscape.
Andalusia’s housing prices are more than just numbers—they represent a vibrant region with an undeniable appeal, where cultural richness meets economic growth. As the market continues to evolve, one thing is certain: Andalusia remains a prime destination for real estate ventures, offering something unique for every buyer.
Looking to Navigate Andalusia’s Real Estate Market?
Whether you're searching for your dream home or planning your next investment, expert guidance can make all the difference. Learn more about The Agency Marbella and how we specialize in finding the perfect property for our clients or if you're ready to take the next step, contact us today to start your journey in Andalusia's thriving housing market!