Costa del Sol Property Investment Guide 2025 | Olala Properties

Start with confidence.

Whether you’re a first-time investor or expanding your portfolio into Spain, this guide gives you a clear, structured overview of how property investment works on the Costa del Sol — what to expect, what to avoid, where to buy, and how to make informed decisions in 2025.


1. Why invest in the Costa del Sol?

The Costa del Sol remains one of Europe’s strongest, most resilient real estate markets thanks to its exceptional lifestyle, solid rental demand, and international appeal.

Strong rental and resale demand

Prime towns such as Marbella, Estepona, Casares, and Benahavís see continuous demand for both holiday lets and long-term rentals.

Reliable international buyer base

Belgian, Dutch, French, Scandinavian, and British investors continue to drive a stable, diversified market.

Attractive pricing vs. other Mediterranean hubs

Compared with comparable areas in France, Italy, and Portugal, the Costa del Sol offers competitive entry prices with modern infrastructure and year-round services.

Lifestyle appeal all year

Golf, marinas, international schools, wellness centres, gastronomy, and 320+ days of sunshine support strong rental occupancy and long-term property value.

Note: The Golden Visa via real estate purchase ended on 3 April 2025, but several residency routes remain available (see below).


2. Which areas work best for investors?

Each area attracts a different profile of tenant or buyer. Here is a simple overview:

Marbella & Puerto Banús

Prime luxury zones with global demand, excellent liquidity, and strong yields.

  • Ideal for: holiday rentals, lifestyle buyers, long-term capital appreciation.

Estepona

One of the fastest-growing municipalities on the coast. Combines Andalusian charm with modern new developments.

  • Ideal for: off-plan investment, modern apartments, and mixed rental strategies.

Casares & Casares Costa

Rising popularity thanks to value pricing, proximity to golf, and beachfront access.

  • Ideal for: budget-friendly investments with solid yield potential.

San Pedro & Benahavís

Family-orientated areas with excellent services and steady long-term rental demand.

  • Ideal for: family rentals, retirees, stable year-round occupancy.


3. What type of property should you buy?

For rental income

Properties that perform best on the Costa del Sol typically include:

  • Modern apartments in gated communities

  • Villas or townhouses near beaches, marinas, or golf courses

  • Homes already equipped with — or eligible for — a tourist licence

For long-term capital appreciation

  • Off-plan or newly launched projects

  • Homes in developing growth areas

  • Renovation opportunities in strategic locations


4. How much do you need to invest? (2025 budgets)

Here are realistic entry ranges based on mid-2025 market conditions:

2-bed apartment (Casares Costa / Casares Golf, resale)

€260,000–€310,000
Gross rental yield: approx. 4.5–6%

New developments (Estepona outskirts / Casares Playa)

€280,000–€340,000
Projected yield: approx. 5–7%

Modern apartments near beach/golf

€350,000–€450,000
Short-let potential: approx. 5–6%

Luxury villas or renovation projects

€750,000+
Return: capital growth + seasonal rental income

Off-plan opportunities

From €295,000
Advantages: staged payments, appreciation potential

Note: Prices vary by community rules, condition, micro-location, and licensing.


5. Legal & financial basics (simple overview)

Spain’s buying process is structured and secure. Investors should work with a qualified independent bilingual lawyer.

You will typically need:

  • NIE number (foreigner ID)

  • Spanish bank account

  • Independent lawyer

  • Reservation contract → Private Purchase Contract → Final Notary Deed

Mortgages for non-residents

Up to ~70% LTV is commonly available, depending on income, country, and lender criteria.


6. Residency options for non-EU investors (2025)

Although the Golden Visa has ended, several alternatives remain:

Digital Nomad Visa

For remote workers earning approx. €2,334/month+.
Validity: up to 3 years.

Non-Lucrative Visa (NLV)

For retirees or individuals with passive income.
Requirement: approx. €2,400/month; employment not allowed in Spain.

Highly Qualified Professional Visa

For skilled professionals with a confirmed job offer.
Approximate salary threshold: €40,100+.

Entrepreneur Visa

For launching a business in Spain with an approved project and financial means.

All thresholds are indicative and may be updated by Spanish authorities.


7. How Olala Properties helps you invest with confidence

At Olala Properties, we don’t simply schedule viewings—we guide you throughout the entire journey.

Our services include:

  • Tailored property sourcing based on your budget, goals, and strategy

  • Viewing support and full on-the-ground guidance

  • Trusted legal and financial partners

  • Rental and tourist-licensing advice

  • Multilingual support: English, French, Dutch, Spanish


8. Ready to explore investment opportunities?

View properties:

www.olalaproperties.es

Speak with an agent:

📧 info@olalaproperties.es
📞 +34 622 45 40 76