Facts about Costa del Sol Property Investment in 2025

🏡 Why Mijas, Benalmádena & Torremolinos Are the New Hotspots ☀️

Smart investors are moving just a few kilometers — and gaining a lot more value.

As demand for Spanish coastal properties surges in 2025, Costa del Sol continues to shine as one of Europe’s most resilient real estate markets. But while traditional tourist hubs like Fuengirola are tightening regulations on short-term rentals, nearby towns like Mijas Costa, Benalmádena, and Torremolinos are stepping into the spotlight — offering better flexibility, high rental demand, and growing capital appreciation.

📍 Mijas Costa: Quiet Charm, Big Potential

From Riviera del Sol to La Cala, Mijas Costa blends coastal lifestyle with investment upside.
Rental demand is strong, especially for modern apartments with pools and sea views.
Average yields sit between 5–7%, with upward room in La Cala’s fast-developing zones.
Less saturated than Marbella, but with excellent access to Málaga airport and Marbella's amenities.

📍 Benalmádena: High Demand, Low Restrictions

Tourist-friendly and well connected, Benalmádena offers a great balance of beach, services, and rental freedom.
Still allows short-term holiday lets with proper registration.
High occupancy year-round thanks to family tourism, golf visitors, and digital nomads.
Attractive returns on 2-bed apartments and holiday villas, especially near the marina or Arroyo de la Miel.

📍 Torremolinos: Urban Beach Revival

Once a 70s favorite, Torremolinos is now undergoing a modern revival with infrastructure upgrades and a refreshed property market.
Strong transport links (10 mins from the airport, direct train to Málaga).
Rising interest in renovated older properties and new builds near the promenade.
Tourist density is high, and short-term rental rules remain manageable.

🚫 What’s Changed in Fuengirola?

While still a beautiful and desirable location, Fuengirola has recently tightened its rules on new tourist rental licenses, making it harder to operate short-term lets unless already approved. Investors are increasingly looking just a few kilometers east or west to maintain flexibility and ROI.

🔑 Bottom Line

The Costa del Sol is still prime territory for property investors in 2025 — but location matters more than ever. With Fuengirola imposing new limits, nearby towns like Mijas Costa, Benalmádena, and Torremolinos are becoming the smarter bets for anyone looking to balance lifestyle, income, and long-term growth.

Looking to invest wisely? Focus on areas where you can still rent, still earn, and still grow.