The real Costa Del Sol Property Market Update
Over the last 18 months the property market on the Costa del Sol has gone from strength to strength. I am not speaking as an armchair observer looking at ads on the property portals, I am speaking from the stand point of being an Agent here on the ground here in Marbella on the Costa del sol.
I have lived her for the last 16 years, the areas that we cover are from the Malaga to La Duquesa. Each week I am out and about with clients looking out for good property deals, leaflet dropping urbanization’s looking at new developments & bank repossessions, checking out what other agents are selling. In Spain real estate Agents use a multi listing system or (MLS) “simply explained “ all agents’ share properties for sale therefore we have a massive selection of property available approximately 25,000 , in the event of a sale, agents share sales fees, therefore being a member & using the MLS we can see what properties are available from 700 or so agencies.
Looking back to about 18 months ago we always had several good property opportunities available on the market for approximately the € 120,000 euro price bracket. These types of property where normally a decent 2 bedroom property anywhere along the coast, in a reasonable location not too far away from amenities. Now we notice that for a similar property we are looking at the 150k To 160k Euros, so in real terms the level of stock for good properties under 150.000 has been heavily reduced & prices in this price bracket have risen by about 20%. This is not a scarcity tactic but a very real fact, If a client contacts us today with a 130k Budget it’s not easy to find a good deal, If we do have such a property! They sell very quickly; this is helped by the Agent (MLS) system meaning that if we put a hot listing on the system,100s of Agents see it and will bring their clients.
We are encountering issues now with clients being out of touch with current property prices, as many agents’ are running ads for properties that are either sold or out of date, this gives buyers the wrong conclusion about real property prices here. Property Portals can’t help this, Agents do this for marketing purposes to receive the most possible amount of Inquiries, Potential buyers are very frustrated after arriving in Spain with the Impression that 100.000€ is a good enough budget for the Costa del Sol, Maybe it was 3 years ago but the market has moved on now & this is simply not the case