More than 80% of properties purchased in Marbella are bought by foreigners.

The stark figure is one of many insights into Spain’s smartest city’s property market, revealed by the Marbella Property Market Report 2016, from Panorama Properties Marbella, the area’s longest established real estate agency.

The figure is vastly higher than the country’s average, with data from the Spanish Regsitradores showing that 13.18% of all properties purchased in Spain were by foreigners in Q4 2015. Of those, more than 60% were buyers from within the EU.

Christopher Clover, Managing Director of Panorama Properties Marbella, and a Fellow of the Royal Institution of Chartered Surveyors, as well as an international associate of Savills, comments,

“Buyers from the EU have been delighted by Marbella for many years and the area’s popularity continues unabated. While global events have made certain other resort destinations less attractive in recent years, Spain – and in particular Marbella – remains a safe, low-rise and high quality destination for those looking to enjoy its unique lifestyle and cosmopolitan nature.”

Iranian buyers emerging as new market for Marbella’s top properties

Clover continues,

“From 2016 onwards we also expect to see an influx of Iranian buyers thanks to the newly opened Iranian market. Marbella has been a popular tourist destination with Iranians for decades and the property market looks set to benefit strongly from that affection over the coming years.”

Brexit debate causing British buyers to put their love of Marbella on hold

While Iranian buyers are stepping up, British buyers in the lower price ranges, who for years have accounted for the largest market share of foreign buyers in Spain, are sometimes pausing when it comes to purchasing their dream home in Marbella. The distraction of Britain’s potential exit from the EU, which will be decided by referendum on 23 June 2016, has caused a few to hold fire on purchasing property in other EU countries. Assuming the UK remains within the EU, a surge of property purchases by British buyers in and around Marbella can reasonably be expected during the late summer months. From a medium to long term viewpoint, Clover believes that the trend of British purchasers for property in the Marbella area will not be greatly affected whether Britain stays in the EU or exits.

While British buyers stop and think, Spanish buyers are using the pause to gradually return to the Marbella property market. The number of Spanish residents visiting Marbella plummeted from well over 350,000 in 2006 to just over 100,000 in 2013, but numbers have since been rising, returning almost to 250,000 visitors in 2015. As Spanish visitor numbers pick up and the national economy continues to improve, so too will Spanish interest in the Marbella property market.

Those buying in Marbella right now are after a wide range of property types, which is precisely what the area provides. Within walking distance of the upscale Puerto Banús, properties can vary in price from €250,000 to well over €10 million, depending on the neighbourhood they are in. Panorama Properties Marbella has seen sales increasing across the board when it comes to property type, from the least expensive to the most, such as this chateaux style mansion in the heart of the Golden Mile, featuring indoor and outdoor pools, massage room, gym, cinema, park-like garden and plenty more (even the separate housekeeper’s house has four en-suite bedrooms and a two car garage).

Many buyers are looking for new build properties in Marbella, but with the cranes almost at a standstill for the last eight years, supply has dwindled. However, investment groups have been quietly buying up the best building sites over the past two years, so the coming five to ten years should see an influx of prime new build properties onto the market. This will include along Marbella’s Golden Mile to the west of Marina Puente Romano (called “El Ancón”), where planning is already underway for an ultra-modern beachfront residential estate, including five villas and 65 apartments.

With the cranes moving again and foreign interest in Marbella remaining strong, the future is looking bright for the jewel of Spain’s southern coastline.

For more information, visit www.panorama.es, email info@panorama.es or call (+34) 952 863 750.

A new report has provided honest and detailed insights into the Marbella property market, giving an overview of everything from price trends to stock levels and the most sought after areas in the chic Spanish city.

The Marbella Property Market Report 2016, from Panorama Properties Marbella, the area’s longest established real estate agency, resists the usual inclination to view the market through rose-tinted glasses and instead delivers a well documented and experiencedassessment of the state of the sector. Christopher Clover, Panorama’s Managing Director, has been writing about the Marbella property market for more than 46 years. He is a Fellow of the Royal Institution of Chartered Surveyors, and Panorama is now the international associate agency for Savills in the Marbella area.

Christopher comments,

“With the 2016 Marbella Property Market Report, we wanted to produce in depth insights into how the market has fared since the 2007/08 bubble burst. There are some excellent headlines and much to celebrate, but there are also some cautionary notes within the report. The purpose was not to gloss over these factors but provide a thorough picture of where the property market in Marbella really stands.”

Marbella property sales up 9.83% in 2015

The headline figures are certainly positive. Marbella has enjoyed five years of recovery, with the volume of residential sales rising by 9.83% in 2015. The city has raced ahead of national performance thanks to its multi-country source market, which has positioned Marbella at the forefront of the Spanish property market recovery.

4,390 properties were sold in Marbella in 2015. The figure is less than 1% behind the 2006 pre-crisis boom year figure of 4,432. The rate at which sales volumes increased calmed somewhat during 2015, following the heady increases of 24% in 2013 and 28% in 2014, as pent-up demand (while buyers waited for prices to bottom out and then seized on the chance to buy bargains) for properties in Marbella has been satisfied.

Marbella property prices still 10-20% below peak levels

Interestingly, despite all those bargain hunters rushing to pick up their dream Marbella property in 2013 and 2014, there are still plenty of affordable homes on the market. Prices in Marbella remain broadly at around 20% below their peak, rising to just 10% to 15% below peak in the most desirable areas. Nationally, prices remain at 28.4% below peak levels, according to the Spanish Registradores.

The strong upturn in the Marbella property market is also highlighted by figures from the Colegio de Arquitectos of Malaga, which show a sharp increase in the number of completed residential construction projects in 2015, following years of steady decline.

High-end sales increased by 30%

The market’s return to life has been particularly noticeable for high-end properties, which are defined in the Panorama Properties Marbella report as those worth €4 million or more. Over 100 sales of such properties were completed in the greater Marbella area during 2015, up 30% above the 2014 figure.

Marbella’s market has grown for several reasons. The city enjoys a true twelve month season, with few other Mediterranean destinations able to rival it. The weak Euro, competitive pricing and low mortgage rates have all contributed, as have the potential for high yields and the perception of Marbella as offering a safe haven of quality within the EU.

The coast west of Marbella looks to be the most promising investment prospect for high-end properties in the next few years. The bellwether Sotogrande development was purchased by top US and European funds, Cerberus Capital Management and Orion Capital in late 2014, with a range of stunning projects planned to appeal to the wealthiest buyers.

Further evidence of investment in the high-end of the market was seen in January 2016, when La Zagaleta UK Ltd purchased the Valderrama golf club and nearby development land. Their initial investment of €40 million is set to be backed by a further €200 million of planned development over the coming decade.

From land plots to properties, price increase trends in Marbella look set to continue, making the city and surrounding area an excellent investment prospect for the years ahead. Mr. Clover highlights that although sales volume has picked up, prices still have a long way to go, and current price levels are around those of 2004.  In his opinion, any property bought at today’s market price should provide excellent capital appreciation in the years to come.

Part II of the Spanish Special from Panorama Properties Marbella will focus on the people trends impacting Marbella’s property market, including Brexit, Iranian buyers and future forecasts. The release will be available from 07/06/16.

For more information, visit www.panorama.es, email info@panorama.es or call (+34) 952 863 750.

• Property transactions in Marbella up by 28% (National Statistics Institute)
• City’s longest established real estate agency, Panorama, celebrates 45^th anniversary
• Marbella sales increasing faster than any other area (Ministry of Development)

Newly released figures from the Spanish National Statistics Institute have shown that the exclusive Costa del Sol resort of Marbella is leading the country’s property market recovery, with sales increasing by 28% in 2014. The increase means that property sales in Marbella are now 12% higher than their 2007 peak. In fact, figures from the Ministry of Development show that sales in Marbella have increased faster than in any other city over the last year.

The new figures mark the third year of growth for Marbella, delighting the city’s property sector professionals, workers and business owners in this quality resort area, and leaving the crisis firmly behind. Christopher Clover, Managing Director of Panorama Properties Marbella, the area’s longest established real estate agency, comments,

“We’ve had a busy three years and it has been gratifying to see the property market pick up so swiftly, just as we projected it would. Marbella’s charms are plentiful. The coastline in the region is simply stunning and the cosmopolitan atmosphere of the town offers something for everyone. The streets of the old town provide a real flavour of the true Spanish style of architecture, intermingled with tiny shops and restaurants whose exteriors are covered with blossoming Bougainvillea throughout the summer months.”

Despite its reputation as a playground for the rich and famous (George Clooney is rumoured to have purchased a home there last year), Marbella has retained a sense of family values that make it a popular holiday spot for those with young children, as well as older age groups. It is these family values that have helped Panorama to weather the Spanish recession so well and to this year enjoy celebrating its 45^th year of selling fabulous properties in the Costa del Sol’s most attractive city.

The agency specialises in providing exceptional properties in this exclusive location. From a brand new mansion with sea views and pool on Marbella’s sought-after golden mile to an ultra luxe contemporary townhouse that is perfect for access to the city’s plethora of shops and restaurants, the theme of Panorama’s properties is one of unique elegance. Christopher Clover adds,

“Marbella is one of the Mediterranean coastline’s most desirable cities when it comes to owning a second home or a retirement property, as it’s great year-round weather provide it with a 12 month season. Demand is strong, especially from buyers living outside of Spain. British buyers adore the resort and we see a lot of buyers from Scandinavia, Germany, France and all of the European countries. Marbella really does have everything that the perfect vacation resort needs, making it the ideal place for buyers to own their dream second home.”

As well as its stunning scenery, fantastic weather and gourmet restaurants, the city enjoys easy access to a range of the Costa del Sol’s attractions. High end golf resorts, the ‘white village’ of Mijas and the beautiful Benahavis Mountains are all readily available, while those who prefer to simply soak up the sun can enjoy the area’s golden sands and warm sea.

With such attractions to offer, it is clear to see why Marbella’s resounding popularity has lead to property transactions there increasing faster than in any other region.

“It gives us double cause for celebration,” Clover concludes. “Not only is Panorama able to celebrate its 45^th anniversary this year, but Marbella has once again shown that it is the most sought-after location in the whole of Spain. With so much going for it, I am sure that Panorama will still be going strong here in another 45 years’ time.”

For more information, visit www.panorama.es, email info@panorama.es or call (+34) 952 863 750.