Marbella Real Estate Market Expectations for 2021
In order to decide where we are going, it is important to understand where we are coming from and that is why we would like to present below a summary of the actions taken and the goals achieved in 2020 that will pave the way for positive forecasts during 2021 in the exciting real estate world of Marbella.
The luxury real estate market is one of the sectors that has not been strongly affected by the pandemic and all the forecasts indicate that in this year 2021 the trend in interest for houses with much larger rooms, with more light, that have a space for teleworking, terraces, gardens and that in the end improve the quality of life because they have more meters and more open spaces, will be the differentiating point compared to previous years.
According to data provided by the communications department of the real estate portal Fotocasa, “The market for buying and selling homes has become more agile and dynamic following the confinement and end of the state of alarm in Spain. In a few months the demand for housing to buy has increased from 39% in February to 43% at the end of 2020”. They also state that in recent months there has been a significant increase in the purchase of replacement homes, as almost 40% of users put their current home on sale with the aim of finding another one that better suits their new needs that have arisen during the confinement.
Marta Rifà Llimós, Director of the Marketing Department at Engel & Völkers Iberia confirms that “2020 has broken all the patterns in terms of demand, reaching historic highs of interest in both buying and selling and renting”.
The sale of properties, according to statistics gathered by the General Council of Notaries from offices throughout Spain, is at a record high.
In accordance with the above statements, the data provided by the Engel & Völkers Marbella market report, which was replicated in the local and national press at the end of November 2020, confirms that seven out of every ten enquiries made in 2020 were about new properties and fully renovated and furnished properties with private gardens and swimming pools.
Not only has interest grown for larger properties, but also for properties located in areas of excellent weather, and of course Marbella, with its approximately 300 days of sunshine, has been one of the cities that has benefited most. “We have seen more families planning to move permanently to Marbella or people looking to spend more time in their properties”, says Smadar Kahana, Manager Director of Engel & Völkers Marbella and adds: “we believe that the COVID-19 has created a new type of clientele who have realised that much of their work can be done remotely and they prefer a greener place with a better weather”.
Engel & Völkers Marbella offices in 2020 saw a 68% increase in enquiries compared to the same period last year.
The new clients that choose Marbella as their new city of permanent residence or as a second home show interest mainly for villas between 2 and 3 million euros, where a 38% increase is detected among the enquiries made through the portals of Engel & Völkers and its 5 offices in Marbella. In the case of properties above that price, the enquiries have increased by 19% with respect to the same period last year.
The offices of Engel & Völkers Marbella in 2020 saw a 68% increase in enquiries compared to the same period last year. The 45% of those enquiries came from the Spanish market, followed by local and international clients, indicating that the percentage of national clients has doubled and represents 52% compared to 24% of the previous year of the total buyers interested in the real estate market of the 5 offices located in the Marbella area.
The outlook for 2021 is positive thanks to the figures we observed during 2020, such as the fact that 85% of the transactions initiated by Engel & Völkers Marbella clients just before the confinement continued their processing and completion at the notary’s office, and even new acquisition operations were carried out with virtual visits to the properties.
Another encouraging data for the year that is beginning, as shown by the market report of Engel & Völkers Marbella highlighted by Diario Sur, Málaga Hoy and La Opinión de Málaga, among others, has been the constant activity in the different offices that have registered a volume of enquiries that is 72% higher than those registered in the months of July and September last year; a trend that has continued until October with an increase of enquiries that has been higher by 30% than last year.
This year has come along with the long-awaited vaccine, and with it the outlook is even more positive for a property market like Marbella, which throughout the crisis has resisted positively thanks to its low rate of COVID-19 infections, and where restrictions have been implemented in time for shorter periods allowing life in this city on the Costa del Sol to be maintained almost normally.
Marketing campaigns in traditional and digital media stimulate the real estate market in Marbella.
In addition to the positive statistical data, the prospects for Engel & Völkers Marbella for 2021 are linked to a significant investment in marketing and communication campaigns with the aim of stimulating the local market, both for clients interested in buying a home and those who wish to sell.
Currently, the most active marketing campaigns are aimed at promoting the offer of new real estate developments in Marbella that aspire to become icons of the city. These campaigns stand out because they are multi-channel and thus take advantage of all the possible communication spaces, both offline (press, radio and television) and online (social networks, real estate portals and paid campaigns in google).
Among the offer of these real estate developments for 2021, the following stand out:
La Fuente: A private community of only 15 luxury villas located at the beginning of the Golden Mile, at a short distance from the centre of Marbella, designed with the architectural concept of Ernesto Palanco and under the seal of the Luxembourg developer Firce Capital, who together with Engel & Völkers presented the project to the press in the last quarter of 2020, with the licences granted since July and which by 2021 is shown to be a project that arouses great interest on the part of the demanding market.
Grand View: An iconic real estate development consisting of the 7 most luxurious flats in the heart of the Quinta Golf Resort This unique project is currently under rapid construction and promises stunning panoramic sea and mountain views, the latest advances in construction techniques, exquisite interior design and an extraordinary and intimate living experience, located just minutes from glamorous Puerto Banús and the beaches.
The digital transformation is our differentiating factor.
2020 allowed us to value our rapid adaptation capacity as a company, as a brand and as individuals and focused us on accelerating our digitalization processes in order to improve the work capacity of our colleagues and in turn, improve our clients’ experience in terms of the services we offer to sell their property or find their dream home.
By 2021 it will be more common to visit properties by telematic means such as video calls, the use of 360º image capture technologies to get to know a property from the comfort of your home anywhere in the world and quick access to technological applications to find out the status of the process of selling your property directly from a mobile device such as our Owners app.
This new year also arrives with the re-launch of our website marbella-ev.com where we have designed each section thinking about the user experience of all our possible audiences; that is, both our internal audience, integrated by the real estate consultants, selling clients and promoters who work with us exclusively, and the external audience, composed by all the possible clients who are looking for a property in Marbella to buy or rent.
All our digital services have been designed taking care of the access to the information of clients coming from any part of the world, prioritizing 4 fundamental languages (English, Spanish, German and French) so that they can get to know and fall in love with Marbella.
2021 will be a prolific year in real estate.
Another key point according to Engel & Völkers Marbella in order to maintain the positive trend during 2021 within the luxury property market is to obtain the best exclusive properties. The year 2020 closed with the successful sale of exceptional properties such as “Casa del Mar” which reached the highest sales price of any property in the Marbesa area.
This is achieved thanks to the great work and deep knowledge of the Marbella areas of the real estate consultants, who during 2020 captured high standing properties with design and functionality characteristics adapted to the needs of the market demand.
Within the portfolio of exclusive property listings for Engel & Volkers Marbella we can find:
Villa Wagner 4: There is no other word to describe this masterpiece that is not absolutely impressive! A recent achievement by the best team of architects, landscapers and interior designers in Marbella. Designed by the renowned architect Miguel Tobal, who perfectly combined timeless elegance with stunning modern interiors creating a home of luxury, comfort and superior design. This spectacular villa is located in Sierra Blanca, Marbella’s most exclusive gated community, minutes from Marbella town centre, the beach and Puerto Banús.
Casa Amadeus: This newly completed villa offers an impressive modern style with state-of-the-art features, striking in every corner. This impressive masterpiece, built to perfection in a modern and innovative design, is offered at an exceptional price, with wonderful interiors and exteriors built to the highest standards and the best materials. Without a doubt one of the most elegant villas in Sierra Blanca.
The focus on corporate social responsibility.
And to close our perspectives for the year 2021 we cannot leave aside the corporate social responsibility that unites us to the community of Marbella. We are closing the year 2020 with one of the most important solidarity actions carried out in the city, in which 9 tons of food were donated for the families most affected by the coronavirus crisis with the collaboration of the NGO Cáritas and the logistical support of the Marbella Town Hall.
Activities like this one we are sure will be replicated in this year that has just begun and that aims to be challenging in terms of Spain’s economic recovery, but with the arrival of the vaccine, it opens a gap that ensures a hopeful future.
In Engel & Völkers Marbella we are convinced that 2021 will be a year of great challenges and goals that we are prepared to assume and achieve by far; we trust in the stability of the real estate sector of this wonderful city that we call home and we are sure that the work of all our team of consultants will be optimal to maintain us as a leading brand in the luxury real estate sector in Marbella.
Kalinka Hermann | 13/Jan/2021