What to Expect from Summer 2022 in Marbella

Property news

 

Having looked back at 2021 and analysed the beginning of this year and its first-quarter indicators, it’s natural to turn our attention to the summer – a season that is an annual highlight of great importance to the economy of Marbella and the Costa del Sol.

Traditionally in Marbella, the summer season that runs from June to September marks a period of transition from a real estate-dominated economy to the high point of the tourist season. This is when tourism takes over from property development and sales, just as it’s the time when golf gives way to the summer beach way of life. It means that estate agents used to be quiet during August while the streets were full of tourists; you might say this was when many visitors sowed the seed of wanting to own a property here, but now the pattern has changed somewhat.

The way in which people search for the things they want, like holidays and properties, has changed because it has mostly moved online. This, in turn, has meant that the once clear division between work time and holidays has to an extent eroded, with lines also blurring when it comes to seasonal highs and lows. In fact, the high season for holidays has extended from May to well into October now, while summer no longer marks a low point in real estate enquiries and transactions. Many tourists even combine their presence here with property viewings.

Changing patterns

So, if the patterns are changing and making seasonal changes less clearly defined, then in effect the selling season has become longer, almost the entire year. With added remote viewing tools such as virtual tours and zoom meetings making it possible to select properties from afar before coming to view them in person. This has changed the market, making it more flexible and open to buyers with busy schedules, facilitating in the process a growth of transactions in Marbella that have not been seen since the property boom of the 2000s.

Given this scenario, what we can expect from Summer 2022 in Marbella is a record number of tourists, evidenced by high occupation levels in hotels and private accommodation throughout the area in the months leading up to the summer season – a continuation of the pattern seen last year. High visitor numbers often correlate with high property sales levels, if not at the same time but as measured throughout the year, and this too is our expectation, as there is no reason to believe the current trend of high demand in the mid to top category will change.

Summer prospects

Global instability, inflation, talk of recession and interest rate hikes could all be worrying signs to consider, but as of yet they are not having an impact as interest and transactions remain at a high level. What’s more, most buyers of property for sale in Marbella do not depend upon financing, so rising interest rates need not affect them too much, while real estate is a good hedge against inflation, as long as there is no property bubble, no evidence of which is visible in Marbella right now. 

If anything, the instability elsewhere highlights Marbella’s position as a safe haven with a high level of security and quality of life, and it is this that is attracting so many people right now, particularly successful professionals with the ability to work remotely and travel. They are finding the kind of properties and lifestyle they seek, and while prices are higher than before (and rising), this implies good investment value in an unsaturated market where the cost of buying and cost of living are still below the European norm. 

In other words, we see a continuation of the current market conditions for the summer of 2022, along with a booming tourism and hospitality sector.

Summer in Marbella