Discover why Marbella, located in the AndalucÃa area on the southern coast of Spain, has long been an ideal destination for property investors. Marbella is an attractive market for property investment due to its luxurious lifestyle, beautiful beaches, and diverse investment options.You may have seen our recent big news that we have opened a new branch in Marbella Spain, enabling us to bring a wealth of new overseas investment opportunities to our UK investors.
Read on to find out why we chose Marbella for our expansion and why it will not only benefit our company but our clientele.
1. Strong Rental Demand In Marbella
There is a huge demand in Marbella for various types of rentals, including long-term rentals, and short-term rentals. The average day temperature in summer is 28 ℃ and the sun shines for 320 days a year, Marbella is a popular destination all year round for those seeking a European escape. Due to the climate, nightlife and location, holiday rentals are the most popular type of rental in Marbella.
As the country has now fully recovered from the Covid epidemic, property demand in Spain is once again forecast to soar in 2023, investing is all about timing, and 2023 is the year to invest in Spain to reap the benefits of this growing rental demand and assure a high occupancy rate in your property.
Investing in a Marbella property would provide investors with the potential for a stable rental income, as well as being a great addition to one’s property portfolio.
2. Thriving Economy and Luxury Lifestyle
The economy of Marbella is impacted by its growing tourism industry, which provides significant employment opportunities and drives demand for local goods and services. The area is home to a thriving hospitality sector, with a variety of restaurants, shops, and hotels catering to approximately 30 million tourists annually. Additionally, Marbella is known for its luxury lifestyle, especially in the area of The Golden Mile, which attracts wealthy and high-net-worth individuals looking for second homes or investment properties. This, in turn, supports the local construction and real estate industries, providing further economic benefits . With a stable political and economic environment, Marbella is a destination that is well-positioned for sustained economic growth in the years to come.
3. Potential for Capital Growth
The Spanish coastal city has seen huge capital appreciation, and the property prices in Marbella are still relatively low compared to other European countries, showing that 2023 is the perfect year to take advantage of an investment in Marbella to benefit from both capital appreciation and a low entry point.
The 2008 property market crash saw the real estate prices in Marbella dramatically fall however, post-crash, the property appreciation rate in Marbella has been consistently above average, making Marbella a great opportunity for investors looking for long-term capital growth. Over the past 10 years, the capital growth throughout the whole of Spain has been significant; however, Marbella is one area of Spain which has seen the highest rises in price, around 63% to be exact according to Spanish property insight.
4. Diverse Investment Options In Marbella
Marbella offers a wide range of investment opportunities, including apartments, townhouses, villas, and commercial properties. This allows investors to diversify their portfolios and minimise risk.
Advantage can offer investors investment opportunities in Marbella centre and various areas of AndalucÃa such as; Nueva AndalucÃa, The Golden Mile, San Pedro de Alcantara, Benhavis, and Estepona. We can also source properties across the whole of Spain to meet clients’ specific requirements. Many of our investors have a completely hands-off investment, with the help of our partnered company First Choice, we are able to offer investors in Spain property management, enabling investors to have minimal involvement.
5. Low-Interest Rates In Spain
The low borrowing costs throughout Spain are derived from the country’s low-interest rates, making it simpler and less expensive for investors to secure finance for property purchases. Non spanish residents are required to put down at least a 30% down payment, however, spanish residents can access a 90% mortgage offer.
Low-interest rates also make it more attractive for investors to hold onto their properties in the long term, as they can enjoy the benefits of rental income without having to worry about high financing costs. As a result, low-interest rates can play a significant role in increasing demand for properties and supporting the growth of the property market.
Overall, the low-interest rates can increase an investor’s purchasing power and allow them to invest in more expensive properties or multiple properties, diversifying their portfolio and spreading the risk.
6. Conclusion: Invest in Marbella for a Diverse Portfolio
We are able to source properties throughout Spain to meet any investor’s budget, we have properties ranging from £125000 in traditional Spanish towns, to luxurious mansions across the coast.
Whether you are looking for a personal holiday investment, a short-term rental property, or a long-term investment, Marbella has a market that offers a wealth of opportunities. Investing in Marbella is a smart choice for those looking to diversify their portfolio.
For further information on short-term rental investments- explore our free in-depth-guide, designed to assist you in making informed investments.
If you are interested in benefitting from an investment in the AndalucÃa area of Spain, please get in touch to speak to one of our team who have all the tools and expertise to help you find the perfect piece of Marbella real estate and advise on how to best take advantage of your Spanish investment.
