Updated: 28 October 2025
Estepona has become one of the most dynamic real estate markets on the Costa del Sol, with multiple high-end developments launching in 2024–2025. According to data from Spain’s property registries, more than 20 new residential projects have entered the market in the past two years.
These projects include beachfront apartments, luxury golf-side villas, and sustainable urbanizations designed for long-term residency. Developers are targeting both international investors and Spanish buyers seeking modern amenities in a Mediterranean setting.
Why is Estepona attracting so many new developments compared to Marbella?
Estepona’s property market is benefiting from lower land costs and municipal incentives for sustainable construction. While Marbella remains the region’s luxury flagship, Estepona offers newer builds at 20–30% lower entry prices.
The town also invests heavily in infrastructure, such as the coastal boardwalk and modernized port facilities. These upgrades make Estepona an appealing alternative for those priced out of Marbella yet still seeking Costa del Sol prestige.
Pull-quote: “Estepona is positioning itself as the ‘new Marbella,’ but with fresher developments and more competitive pricing.”
How do property prices in Estepona compare with Marbella?
On average, property prices in Estepona are around €3,200 per m², while Marbella averages €4,500 per m². This difference is especially notable for new developments, where luxury apartments in Estepona often start at €450,000, versus €650,000 in Marbella.
| Location | Avg Price per m² | New Luxury Apartments (from) | New Villas (from) |
| Marbella | €4,500 | €650,000 | €1.6 million |
| Estepona | €3,200 | €450,000 | €1.1 million |
The comparative affordability makes Estepona attractive for both investors and lifestyle buyers.
What types of new developments are trending in Estepona?
The strongest trends in Estepona developments are beachfront residences, eco-certified communities, and golf-side projects. Many new complexes feature wellness centers, coworking spaces, and concierge services.
Developers are integrating green technologies such as solar energy, smart water systems, and A-rated insulation. This makes Estepona particularly appealing to eco-conscious buyers and digital nomads seeking year-round comfort.
Are new developments in Estepona focused more on investors or residents?
Developments in Estepona are balancing investor appeal with liveability. According to Quintessentia Property Advisors, over 60% of buyers in new Estepona projects plan to use the property as a second home or permanent residence.
This contrasts with purely speculative investment markets, ensuring demand remains stable. Features like proximity to international schools, hospitals, and year-round services support Estepona’s role as a livable town, not just a holiday hotspot.
What role does sustainability play in Estepona’s new developments?
Sustainability is a cornerstone of Estepona’s urban strategy. Many developments meet European Union energy efficiency standards and include features like solar panels, rainwater harvesting, and electric car charging stations.
The municipality encourages eco-friendly designs by offering quicker planning approvals for sustainable projects. This policy attracts forward-looking developers and creates long-term value for buyers concerned about environmental impact.
How do property taxes in Estepona compare to Marbella?
Property taxes in Estepona are generally lower than in Marbella, particularly regarding IBI (property ownership tax).
| Tax Type | Marbella Avg % | Estepona Avg % |
| Property Tax (IBI) | 0.88% | 0.75% |
| Garbage Collection Fee | €200–€250 | €150–€200 |
| Transaction Tax (ITP) | 7–10% | 7–10% |
For buyers, these differences can translate into thousands of euros saved annually, reinforcing Estepona’s value proposition.
Which areas of Estepona are seeing the highest growth in new builds?
The New Golden Mile, stretching between Marbella and Estepona town, is the focal point of luxury developments. This area offers direct beach access, golf resorts, and proximity to both Marbella and Estepona centers.
Estepona’s west side is also booming, with new marina-focused communities. Inland, areas around Estepona Golf and Valle Romano provide more affordable options with modern amenities.
How do Estepona’s rental yields compare with Marbella’s?
Estepona’s rental yields for new developments average between 4–5% annually, slightly higher than Marbella’s 3.5–4.5%. The gap is due to lower purchase prices while rental demand remains strong.
| Location | Avg Yield (long-term) | Avg Yield (holiday rental) |
| Marbella | 3.5–4.5% | 5–6% |
| Estepona | 4–5% | 6–7% |
Short-term holiday rentals near the beach or golf courses perform particularly well, attracting digital nomads and seasonal tourists.
What are the risks of buying off-plan in Estepona?
Buying off-plan offers lower prices but involves risks like construction delays or changes in project specifications. Spanish law, however, requires developers to secure bank guarantees for all buyer deposits, which protects purchasers financially.
It is recommended to work with established developers and legal advisors who verify licenses and building permits. This reduces risk while still allowing buyers to benefit from early-bird pricing and flexible payment schedules.
Do new developments in Estepona include financing and payment options?
Yes, most developers in Estepona provide staged payment plans during construction and partner with Spanish banks to offer mortgages. International buyers can often secure up to 70% financing, depending on residency and credit history.
This makes off-plan purchases more accessible while spreading financial commitments across the construction timeline, usually 18–36 months.
How do delivery times for new developments compare across Estepona?
Delivery times for new Estepona projects vary between 18 and 36 months, depending on size and complexity. Small apartment blocks may complete within 20 months, while large villa resorts can take closer to three years.
| Development Type | Avg Delivery Time |
| Apartment Blocks | 18–24 months |
| Townhouse Projects | 20–28 months |
| Villa Communities | 30–36 months |
Investors planning to rent should account for these timelines before expecting returns.
Are foreign buyers driving demand in Estepona?
Yes, international buyers account for more than 65% of new property purchases in Estepona. British, Scandinavian, Belgian, and Middle Eastern buyers dominate the market.
The town’s accessibility via Málaga and Gibraltar airports, combined with international schools and medical centers, makes Estepona particularly attractive for families relocating from abroad.
Is Estepona expected to continue its growth in 2025 and beyond?
Analysts forecast sustained growth in Estepona’s property market through at least 2027. The combination of competitive pricing, municipal investment, and international buyer interest supports long-term stability.
Unlike speculative booms in the past, Estepona’s growth is tied to real infrastructure and quality-of-life improvements, making it a more resilient market than many of its Mediterranean peers.
FAQ
Are new developments in Estepona mostly apartments or villas?
Most new projects are luxury apartments and townhouses, but several villa communities are emerging near golf resorts and coastal zones. Apartments dominate due to higher demand and limited beachfront land.
Do new developments in Estepona include financing options?
Yes, many developers partner with banks to offer mortgage financing up to 70% for international buyers. This makes purchasing accessible even for non-resident investors.
Are Estepona’s new properties suitable for year-round living?
Absolutely. Most developments include amenities like gyms, coworking spaces, and wellness areas designed for permanent residency, not just holidays.
Is rental demand strong for new Estepona properties?
Rental demand is high, particularly for short-term holiday lets and long-term rentals for digital nomads. Beachfront and golf-side properties are especially sought after.
What is the average delivery time for new projects in Estepona?
Most developments have a delivery time of 18–36 months, depending on project size. Off-plan buyers typically pay in stages during construction.
Do property values in Estepona show steady appreciation?
Yes, Estepona property values have risen around 6–8% annually since 2020, with expectations of continued growth supported by infrastructure and international demand.
