August 2024

If you’re planning a trip to the beautiful region of Andalucia this year, you’re certainly not alone. Recent statistics have revealed that tourism in this part of Spain is booming, with the Costa del Sol and Málaga province experiencing a record-breaking 14 million overnight stays in the first half of 2024. This remarkable figure is a significant leap from the 1.1 million stays recorded during the same period in 2023, signaling an unprecedented surge in the area’s appeal as a tourist destination. These numbers are especially impressive considering that 2023 was already a landmark year for the Costa del Sol, setting a new high for annual tourism. The data from 2024 suggests that the trend is not only continuing but accelerating, making the Costa del Sol an even more attractive destination for visitors from around the world. Southern Spain Continues to Attract Tourists in Droves The impressive growth in tourism on the Costa del Sol has been highlighted by Spain’s national statistics institute, INE. This data, regularly compiled into a tourism report by Turismo Costa del Sol, sheds light on the incredible performance of the region’s tourism sector. The most recent report reveals a key milestone: for the first time, all types of tourist accommodations—excluding holiday rental properties, which are not yet part of these monthly analyses—have collectively surpassed 14 million overnight stays in the first half of the year. This represents a 9% increase compared to the same period in 2023, translating to an additional 1.1 million stays. Such robust growth is particularly noteworthy given that January and February are traditionally the quieter months for tourism on the Costa del Sol. International Visitors Power the Surge in Tourism One of the most striking aspects of the recent tourism boom in Andalucia is the crucial role played by international visitors. The statistics show a significant 13.4% increase in the number of nights booked by tourists from outside Spain, highlighting the global appeal of southern Spain as a travel destination. This surge in international visitors underscores the region’s growing reputation as an attractive year-round destination, not just during the peak summer months. As noted by SUR in English, a local newspaper, improved flight connections during the off-season have started to make a noticeable impact, contributing to this upward trend in tourism. Out of the 14 million overnight stays recorded in the first six months of 2024, hotels were the accommodation of choice for the majority, accounting for 10 million of those stays. This indicates that while holiday rentals are popular, traditional hotels remain the preferred option for many tourists visiting the Costa del Sol. A Diverse Array of Visitors Flocking to the Costa del Sol The data also provides fascinating insights into the origins of the tourists flocking to southern Spain. In June alone, over 60% of visitors to the Costa del Sol were from international markets, with the United Kingdom, Germany, France, and the Netherlands leading the way. These countries have historically been strong contributors to the region’s tourism, and their continued interest bodes well for the area’s future. Moreover, there has been noticeable growth in visitors from other European markets, including Italy, Belgium, and Poland. This diversification of tourist origins not only strengthens the region’s tourism sector but also highlights the widespread appeal of Andalucia’s unique blend of sun, culture, and natural beauty. What This Means for the Real Estate Market in Nueva Andalucia The surge in tourism is more than just good news for local businesses; it also has significant implications for the real estate market, particularly in sought-after areas like Nueva Andalucia. With more people discovering and falling in love with the region, demand for property is on the rise. Whether it’s a holiday home, a rental investment, or a permanent residence, the growing popularity of the Costa del Sol is fueling a robust property market. For those looking to invest in real estate, there has never been a better time. The increase in international visitors, many of whom may consider buying property after experiencing the region’s charm, suggests that property values are likely to continue rising. This makes now an ideal time to explore real estate opportunities in Nueva Andalucia. At Nueva Andalucia Villas, we are perfectly positioned to help you navigate this thriving market. Whether you are looking to buy or sell, our experienced team can provide expert guidance and support throughout the process. With our deep knowledge of the local market and commitment to personalized services, we can help you find the perfect property to meet your needs. As tourism continues to grow, so too does the potential for real estate investment in this beautiful part of Spain. Let us help you make the most of it.

Nueva Andalucia Villas has long provided real estate services across the Costa Del Sol, and with ample data has seen much change in the region. Spain has experienced constant increases in the cost of renting housing during the first half of 2024. With a 2.3% increase at the end of the second quarter, there was a 9% increase year over year. As a result, the average monthly cost per square metre is now 12.65 euros. The mismatch between supply and demand is the primary cause of the sharp and rapid increase in rental costs. With growth forecasts, the demand is currently high and the supply is progressively running out. The issue is become more and more significant. More rental housing is required to halt this tightening, and this can be achieved by promoting housing rehabilitation and transfer, bolstering legal security and regulatory clarity, and establishing a geographical policy of decentralisation of opportunities so that demand is not just concentrated but also distributed in the big cities, as stated by Fotocasa representative María Mator. Independent Communities In 15 localities, the cost of renting a home in Spain increased in the second quarter of 2024, while prices in 17 communities increased annually. Cantabria (13.8%), Madrid (7.6%), Asturias (6.6%), Galicia (6.3%), Extremadura (6.0%), Basque Country (4.9%), Catalonia (4.7%), Valencian Community (4.2%), Aragon (3.2%), Balearic Islands (3.1%), Canary Islands (3.1%), Castilla y León (2.8%), Castilla-La Mancha (1.7%), and Andalusia (0.8%) are the regions that have experienced increases. In terms of price ranking by community, Madrid and the Balearic Islands are at the top and surpass the €18.00 p/m² threshold. In particular, prices in Madrid reached up to €19.71 p/m² per month, while in the Balearic Islands, they increased to €18.09 p/m² per month. Both communities surpass the values of the historical records, setting new highs. Following them were the Basque Country (€16.10 p/m² per month), the Canary Islands (€13.87 p/m² per month), Cantabria (€13.74 p/m² per month), the Valencian Community (€12.43 p/m² per month), Navarra (€11.21 p/m² per month), Andalusia (€10.56 p/m² per month), and Asturias (€10.35 p/m² per month). Provinces: 42 quarterly hikes and 48 interannual increases were reported in the provinces during the second quarter of 2024. The provinces of Guadalajara (15.7%), Cantabria (13.8%), Jaén (11.8%), and Murcia (10.2%) experienced the biggest quarterly gains. Conversely, the following provinces had quarterly declines: Huesca (-4.4%), Teruel (-7.1%), Gipuzkoa (-0.7%), Burgos (-0.6%), Navarra (-3.3%), Valladolid (-3.9%), and La Rioja (-3.7%). Madrid and Barcelona are the top two provinces in the pricing ranking, surpassing the monthly barrier of €19.00 p/m². In particular, Madrid’s monthly fee climbed to €19.71 p/m², while Barcelona’s increased to €19.49 p/m². Both provinces exceeded the prior historical highs to reach new maximums. Ciudad Real, at €6.09 p/m² per month, Teruel, at €6.13 p/m² per month, Jaén, at €6.17 p/m² per month, Palencia, at €6.86 p/m² per month, Cáceres, at €6.88 p/m² per month, and Badajoz, at €6.95 p/m² per month, are the most economical provinces. Marbella Reigns Supreme as the Premier Luxury Real Estate Destination in 2024  With its immaculate beaches, world-renowned golf courses, and dynamic lifestyle, Marbella continues to be the preferred destination for luxury property buyers around the globe in 2024. The demand for upscale real estate is skyrocketing, driven by the region’s breathtaking scenery and superb climate. The property market in Malaga province is witnessing extraordinary growth. Both rental and sale prices are consistently reaching new heights month after month.  Contact Nueva Andalucia Villas  For those looking to rent a property, rent out their own property, or even sell their property, Nueva Andalucia Villas is the ideal agency to contact. We are experts in the local real estate market and are committed to providing high-quality services to meet all your real estate needs. Don’t hesitate to contact us for more information and to find out how we can assist you.