Why the Costa del Sol is Still a Top Investment Destination in 2025

The Costa del Sol region continues to interest investors in 2025, thanks to a diverse property market, excellent rental yields meeting a high rental demand and, of course, a beautiful Mediterranean charm.

At Bromley Estates, we’ve seen first-hand how keen foreign buyers are to get into the Costa del Sol property market. And we’re here to help you if you’re interested, too!

So, let’s look into the reasons why the Costa del Sol is such a popular investment opportunity in 2025.

Market trends and property appreciation

In 2025, the property market in the Costa del Sol is experiencing steady growth with property prices projected to rise by up to 8% in the more established areas like Marbella, Estepona, and Puerto Banús.

What’s behind the projected price increases? Huge demand and limited supply, particularly in premium locations and high-end properties.

For example, property values in Estepona have increased 7% over the past five years, mainly due to its combination of luxury living and lifestyle appeal, with many different activities available in the region.

Rental yields and investment potential

The rental market in the Costa del Sol also remains a lucrative opportunity. Revenue from tourism rentals has generated gross yields of 7% to 14%, with net returns ranging from 3% to 6% after taxes and other costs.

Estepona and Mijas, in particular, are seen as attractive investment rental opportunities because they have high rental demand and competitive yields – a match made in heaven for investors.

International buyer interest

There is huge international buyer interest in the Costa del Sol – and not just for its year-round sunshine! So far, buyers from 28 countries, including the UK, Germany, the Netherlands, and North America, have bought properties in the Costa del Sol in 2025.

What are the factors affecting the increase in popularity in the area for investors? It starts with the sunshine, of course. With around 300 days of sunshine every year, the Costa del Sol is a prime location for anybody looking for a holiday home in the sun, or somebody looking to make money on a property in a warm climate.

The Costa del Sol also tends to offer a higher quality of life, with a relaxed lifestyle, plenty of golf courses to play on, excellent natural trails, wonderful beaches and incredible restaurants, bars, cafes, and nightlife.

There’s also a modern infrastructure with excellent transport between different areas along the coast, including to Malaga airport.

There is also a favourable tax environment in the Costa del Sol, which continues to draw affluent investors.

Key investment areas in the Costa del Sol

So, where are the key investment areas for prospective buyers in the remainder of 2025?

• La Cala de Mijas
• Estepona Marina

La Cala de Mijas offers a wonderful blend of affordability and investment potential. It offers a beautiful coastal charm and closeness to amenities, making it an attractive option for both investors and holidaymakers.

Properties in the marina area of Estepona have experienced continuous increases in average price. This is driven by the premium positioning on the Costa del Sol and first-class amenities.

Speak to the experts at Bromley Estates

Are you interested in investing in property in the Costa del Sol? Are you searching for a property to rent out in the summer months in Marbella? You’ve come to the right place.

At Bromley Estates Marbella, we’ve helped people find their perfect investment properties for years on the south coast of Spain, and we can help you, too.

We have a diverse range of properties in our portfolio, ranging from apartments and townhouses to multi-million pound villas.
If you’re keen to speak to our agents, call +34 952 939 460 (+44 208 068 7606) or send an email to info@bromleyestatesmarbella.com.