Foreign buyers hit a record in Spain – what it means for the Costa del Sol

Spain’s property market sent a mixed message this summer. Fewer homes changed hands, yet buyers from abroad bought more than ever. For anyone weighing up a home on the Costa del Sol, the latest official figures are worth a closer look. They show how much competition there is for good property here, and where prices are heading.

A record share for international buyers

According to the Colegio de Registradores (Spain’s Property Registrars), foreign buyers made up 15.98% of all home purchases in Spain between April and June 2026. That is the highest share since their records began, and up from 13.92% in the first quarter. In numbers, it means a little over 26,800 homes bought by foreigners in three months.

What makes this stand out is the backdrop. Total sales fell 5.7% on the previous quarter, to 167,934. Over the first half of the year, idealista’s reading of the same data puts foreign purchases at a record 51,630, while overall sales dipped 1.9% year on year. Local demand has eased a little. International demand has not.

Málaga: more than one in three buyers from abroad

Málaga province is one of the places where this shows most clearly. In the second quarter, 37.01% of home purchases there were made by foreign buyers. Only Alicante had a higher share, at 46.43%.

The province also bucked the national trend on volume. Registradores recorded 9,387 sales in Málaga in the quarter, 7.7% more than in the first three months of the year. Most of that growth came from resale homes. New-build sales fell 7.0% on the quarter, and in our experience that tends to reflect how few finished new homes are available at any one time.

For our clients, the practical point is simple. Across the province, more than one buyer in three comes from abroad, so you are rarely the only international buyer looking at the same kind of home.

Who is buying? The British still lead

British buyers remain the largest single nationality. They made 1,843 purchases in the second quarter, or 6.99% of all foreign purchases in Spain. Over the first half of the year they were narrowly ahead of Dutch, Moroccan and German buyers, idealista reports, followed by Romanian, Italian, French, Polish and Belgian buyers.

Swedish buyers also appear in the top fifteen, a reminder that Northern European demand is broad, not just British.

Prices: still rising, but more gently

Prices are firm. The National Statistics Institute (INE) reported that Spanish house prices rose 12.2% year on year in the second quarter, with Andalucía up 11.9%. Interestingly, new homes rose more slowly (7.4%) than resale homes (12.9%) nationally.

In Málaga province, Registradores put the average registered price at €3,254 per m² over the twelve months to June, up 10.8% on a year earlier. For new-build homes it was €3,495 per m², up 10.5%. Quarter on quarter, the provincial price barely moved (+0.2%).

More recent valuation data from Gesvalt, reported by The Olive Press, points the same way. It puts Málaga province at €3,149 per m² in the third quarter, up 8.9% on a year earlier, and describes the trend as “a certain normalisation”. In other words, prices are still climbing, but the pace of growth is easing.

Mortgages: what buyers can expect

Financing has been stable. The average rate on new mortgages in Spain was 3.03% in the second quarter, and 63.83% of new loans were on a fixed rate, at an average of 2.92%, according to Registradores.

These figures cover all borrowers. Non-resident buyers usually face lower loan-to-value limits and slightly different terms, so it pays to get an agreement in principle early. Our Buying in Spain guide explains the process step by step.

What about the proposed tax on non-EU buyers?

Many UK clients ask about the proposal for a 100% tax on non-EU, non-resident buyers. As of October 2026 it is not law. It was put forward in 2025 but, as Vicox Legal notes, it has not been debated or approved by Congress, and it was left out of the January 2026 housing reform package. We will keep watching it and report any real change, but for now the usual purchase taxes apply.

What this means if you are buying in 2026

• Expect competition for the best homes. With over a third of Málaga purchases made by foreign buyers, popular new developments can sell their best units at launch.
• Plan your budget, not just the price. Purchase taxes, notary, registry and legal fees typically add a significant amount on top, so budget for them from the start.
• Arrange finance early. Stable rates are helpful, but non-resident approvals take time.
• Be ready to move. Having your NIE, a lawyer and your deposit lined up lets you reserve with confidence.

If you would like to talk through what these figures mean for your plans, a Mosaic advisor will be happy to help. You can also browse current new developments on the Costa del Sol or download our free 2026 Buyers Guide from the Buying in Spain page.

Sources

• Estadística Registral Inmobiliaria, 2nd quarter 2026 – Colegio de Registradores
• Foreign buyers set home purchase record in Spain despite slowdown – idealista, 13 October 2026
• Housing Price Index, 2nd quarter 2026 – INE, 7 September 2026
• Málaga property prices and rents climb – The Olive Press, 19 October 2026
• Spain’s 100% tax on non-EU property buyers: is it law in 2026? – Vicox Legal, 2 October 2026

Featured image: a Mosaic Realty sea-view terrace on the Costa del Sol.