Marbella is not just a location, it’s a way of life. A phrase possibly overused but one that really does sum up the magic. Whether it’s thanks to the 27 kilometers of sandy beaches, a microclimate that allows one to have an outdoor lifestyle all year round, a dozen or so world-class golf courses, or the top-notch shopping and gastronomic experiences, Marbella is a phenomenon. Whether you are a looking for a party destination as a young professional, for a second home as a family, or for a comfortable place to settle in for the rest of your life, Marbella can be the answer. Being part of a region as culturally rich as Andalucía, and of a country as vibrant as Spain puts Marbella in a wider context of excellence and investment opportunities.
Spain – the expats’ favourite
With global markets in constant turmoil, imminent political change and environmental issues, one might wonder how Spain as a country is doing overall. Being the world’s 14th largest economy and the 5th economy of the EU, Spain has a modern, knowledge-based economy, in which services represent 75% of the business activity. Moreover, according to the FDI Regulatory Restrictiveness Index of the OECD, Spain is the ninth country worldwide with more open regulations regarding international investment.
According to HSBC, Spain ranks 4th in the world (!) as the expats’ favourite global destination to live and work. It also ranks 2nd in its indicators measuring the perception of expatriates regarding “Living”, standing out in Quality of life (1st place) and Work/life balance (3rd place). Spain’s public and private schools offer special programs that include subjects in English and bilingual schooling, and the country has 234 registered international schools.
Inheritance and gift tax reduced by 99%
Making Andalucía your place of residence has become even more attractive this year as in April 2019 Andalucía officially become a tax-friendly region for inheritance and gift tax (with respect to spouses, children, grandchildren and parents (Groups I and II)), when the local government, the Junta de Andalucía, virtually eliminated it. Estates equal to or below €1,000,000 will go untaxed, while estates over €1,000,000 will benefit from a 99% exemption, meaning that you only pay 1% over what exceeds the one million threshold.
Marbella: everything you could ask for
Those who come to Marbella in the summer enjoy guaranteed marvelous weather, but that is only part of its geographical singularity. Marbella benefits from a special microclimate: the Sierra Blanca mountains shelter it from the worst of the summer heat and winter cold, while the warm Mediterranean Sea provides a temperate climate with mild winters and warm shoulder seasons. The distance between the Strait of Gibraltar and the Atlantic protects Marbella from the winds that Portugal suffers. With such an exceptional climate you can lead an outdoor lifestyle all year round.
Big City benefits
Puerto Banús is a go-to spot for people watching, yacht spotting and luxury shopping experiences, with small boutiques and famous brands creating a perfectly balanced offering. With three restaurants awarded a Michelin star in 2019, a dozen more on its recommended list and a plethora of local tapas bars, Marbella is every foodie’s dream destination. Golfers are also well catered for, being around some of the best courses in Europe which regularly host international tournaments.
Despite its idyllic geographical setting, Marbella is remarkably well-connected to the rest of the world. Just over a 40-minute drive away is Málaga international airport, which in 2018 had a turnaround of over 20 million passengers and operates direct daily flights from New York, Moscow, Doha and most other transport hubs. With modern high-speed AVE trains leaving from the Málaga train station you can reach Madrid in 2.5 hours, Barcelona in 5.5 hours and find direct connections with 25 more major cities around Spain. Whether you need Marbella to be your work base for extensive international travel or simply want to change the scenery for a few days, the location offers such smooth transport logistics that you can always opt for spontaneous decisions, stress-free.
Confidence in the property market
According to the latest figures from Spain’s National Statistics Institute (INE), property sales in Andalucía shot up by 19,7% in the year to June 2019, which means constant growth and worldwide interest to the region. The greater Marbella area’s real estate market is actually about two years ahead of the national market. For example, on a national level, residential sales volume has only recently reached the crisis levels of 2008, whereas the sales volume in the greater Marbella area is now higher than the peak boom years of 2006 and 2007. The signs of confidence in the market are numerous.
According to Panorama, Marbella’s longest established real estate agency, ultra-prime areas of Marbella are continuing to lead the market and the prices for some developments are reaching all-time highs. The 2019 municipal budget for Marbella was increased by 15%, with investments in infrastructure increasing by 50% to €30 million. Moreover, a recent report of the national property valuation company TecniTasa shows that Marbella occupies the third position of the “Top 5” of the Spanish cities with the highest residential rental prices.
Whatever drives your investment choices, there is a lot of information to draw from here. Yet at the end of the day, the reason people invest in Marbella will always remain the same: the sunshine and the lifestyle. Autumn brings to Marbella warm sunny days, great golfing and plenty of fiesta! Viva Marbella!
For information on Bright’s Marbella property investments, follow these links or talk directly with our Sales Manager Andrew Lee on +34 682 105 002
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