By Beth Benner, March 13, 2025
I recently traveled to Spain to visit friends and completely fell in love with the coastal city of Estepona. Nestled along the Costa del Sol, it has everything you could want—charming streets, incredible beaches, and a laid-back Mediterranean lifestyle. As I wandered through the old town, savored slices of perfectly cured jamón ibérico (which, in English, translates to “delicious, expensive ham that ruins all other ham for you forever”), and took in the stunning sea views, I couldn’t help but think: What would it be like to own a home here? Of course, my real estate brain kicked in and I had to do a bit of research. As it turns out, Estepona is an incredible place to invest.
Why Estepona Stands Out
Estepona offers a unique combination of traditional Spanish charm and modern amenities, making it an ideal place for real estate investment. Here are some compelling reasons why the city is gaining popularity among investors:
- A Perfect Location – Estepona is ideally situated on the Costa del Sol, just a short drive from Marbella and Málaga’s international airport. It offers easy access to both the Mediterranean coastline and the gorgeous Andalusian countryside.
- Growing Tourism and Rental Demand – The city is quickly becoming a top destination, with its pristine beaches, boutique hotels, and luxury resorts drawing more visitors every year. This makes it a prime market for short-term rental properties.
- A More Affordable Alternative to Marbella – While Marbella has long been known for high-end real estate, Estepona offers stunning properties at more accessible prices, making it appealing for investors, retirees, and families looking for a Mediterranean lifestyle.
- Exciting Growth and Development – New marinas, residential communities, and shopping centers are popping up, adding even more appeal to the city and boosting property values.
What Kind of Properties Are Available?
Estepona’s real estate market offers a variety of property types, catering to different investor profiles. Here are the most common types of properties investors can explore:
- Luxury Villas and Penthouses – Perfect for a personal retreat or a high-end rental investment.
- Apartments and Condos – Ideal for both long-term residents and tourists seeking short-term stays.
- Charming Townhouses – Many of these homes blend traditional Spanish architecture with modern updates, making them great for restoration or rental opportunities.
- Commercial Spaces – The city’s growing hospitality and retail scene presents strong opportunities for business investments.
The Investment Potential
The local real estate market has seen steady growth over the past few years, and several factors suggest that this upward trajectory will continue.
- Property Values Are Rising – Estepona’s real estate market has been steadily appreciating, and that trend looks set to continue.
- Rental Demand Is Strong – Beachfront and centrally located properties see high demand, offering great returns for short-term rentals.
- Renovation Opportunities – There are plenty of older homes in the historic center that could be updated for resale or rental income.
- Foreign Interest Is Growing – Buyers from the UK, Northern Europe, and beyond are recognizing Estepona’s appeal, adding to the market’s stability.
My trip to Estepona started as a chance to catch up with friends, but I left feeling inspired by the city’s potential. The climate not only makes Estepona a beautiful place to live but also plays a crucial role in making it a sound investment. Properties in places with good weather tend to hold their value better and even appreciate over time. And the consistent demand from tourists and people seeking a high quality of life makes Estepona’s real estate market attractive. Whether you’re looking for a vacation home, a rental property, or a long-term investment, Estepona is a place worth considering. Who knows? Maybe one day I’ll make the leap myself!
Beth Benner
Broker | OR & WA
She/Her
Beth has collaborated on over 500 transactions in her career as a Licensed Broker in Oregon and Washington. In 2023, she earned a spot among the REAL Producers Top 100 producing agents in Portland out of more than 8,000 licensed brokers and she has also maintained her status in the top 5% of all Oregon brokers for eight consecutive years...
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- T: 503-819-2885
- bethbenner@livingroomre.com
