Why buy property in Mijas?

Mijas remains a favoured destination for property investment in Spain, with tourism steadily increasing year after year. Recent data from the Hotel Entrepreneurs Association of the Costa del Sol (Aehcos) indicates a significant rise in Mijas’ occupancy rate, reaching 72.51% in 2023—an increase of 7.38% from the previous year. Additionally, the number of visitors to tourist offices surged to 169,004 people, marking a notable uptick of 75,780 compared to 2022, indicating a high profitability in buy to rent investments.

Despite fluctuations in interest rates impacting the real estate market, the region has shown resilience due to its high demand. It offers an appealing lifestyle for digital nomads and Golden Visa applicants, with affordable property prices compared to other European countries, a pleasant year-round climate, diverse recreational activities, excellent modern connections and quality healthcare.

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The charm of Mijas pueblo

The town of Mijas has a long history dating back to ancient times, with evidence of Roman, Arab and Christian influences. It was known as Tarnisa or Tarmina during Roman times and was conquered by the Arabs in 714. Despite being reconquered by Christians in 1487, Mijas retained its cultural heritage. Today, it’s a popular tourist destination known for its historical sites, natural beauty and unique experiences like the famous “donkey-taxis.” Mijas also has a diverse population, attracting residents from over 78 nationalities. The town’s economy relies not only on tourism but also on activities like fishing and sports. With its rich history, stunning landscapes and vibrant culture, Mijas continues to thrive as a dynamic municipality in the province of Malaga.

Mijas Costa: A blend of tradition and modernity

The area has been influenced by its British and Irish residents, resulting in a blend of Spanish and international architectural styles. Many homes and apartment complexes maintain their Andalusian roots, as seen in both their design and cuisine. Mijas Costa has numerous Spanish restaurants offering tapas and paellas. With its nightlife, beaches and access to neighboring towns, Mijas Costa is a haven for expatriates.

Golf is a central aspect of life in Mijas Costa, as it hosts several golf courses within a short distance. The climate and landscapes make golfing enjoyable for players of all levels. Additionally, residents enjoy the sense of community in Mijas Costa, with its streets and avenues, international schools, shopping centers, supermarkets and sports facilities are easily accessible, ensuring a comfortable lifestyle. Moreover, Marbella’s Costa del Sol Hospital is conveniently located nearby, providing healthcare services.

Investment opportunities in Mijas

According to the latest census data from the town hall, out of 90.000 registered residents, more than 35,000 are foreign, representing 125 nationalities in the municipality. This accounts for approximately 40% of the total population, with around 8,000 British nationals being the largest single foreign community in the area.

This influx of foreign residents has spurred new construction projects, particularly in areas like Mijas Pueblo, La Cala and Las Lagunas. In Las Lagunas, the historic town center, there are plans underway for a new municipal building, along with leisure and entertainment spaces for residents.

Since November 2023, Mijas has already authorized 29 large-scale building licenses and 50 permits for minor works, demonstrating a proactive approach to development. 

According to the City Council, Mijas has seen a steady decline in its unemployment rate since 2010, thanks to initiatives promoting gender equality, workforce integration and active employment policies. Collaborations with private enterprises and programs such as the Mijas Impulse Operational Program have played a significant role in improving employment opportunities. Additionally, the External Employment Exchange has helped in placing unemployed individuals into jobs.

Mijas’ commitment to economic growth is highlighted by the recent investment of 53 million euros into infrastructure, water management, leisure buildings and parking spaces.

Do you need a professional help for buy a property in Mijas?

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Mijas real estate market

Mijas real estate market is at the top end of the average national, for both property prices and property rentals, seeing steady increases year after year. The average price per square metre in March 2024, reached €2,787, marking a substantial increase of 12.2% compared to March 2023, as published by Idealista. According to this data, there has been an increase of more than 10% annually since 2022.

Moreover, the average rental price in Mijas stands at €12.2 per square meter, reflecting a significant rise of 12.4% compared to March 2023.

Mijas real estate market is seeing a rise in branded residences, a trend gaining momentum despite its long history. It started back in 1927 with The Sherry-Netherland hotel in Manhattan. Branded residences are top-tier luxury homes, often priced 15-20% higher than standard due to meticulous design and management by renowned international hotel operators. These residences “Mijas Seaviews” in Mijas Pueblo, prioritise luxury with premium facilities, prime location and personalised services similar to high-end hotels.

Types of properties available in Mijas

Mijas offers a wide variety of property types, including luxury villas, townhouses and apartments. The complexes in this area typically feature the typical Mediterranean village style, with low-rise apartment buildings comprising ground floors, first floors and penthouses.

Las Lagunas and La Cala de Mijas have the most recently built properties. Las Lagunas is popular due to its nearness to the beach and amenities, attracting over half of the residents. mostly geared towards seasonal living. La Cala de Mijas stretches from inland to the coast, with properties there typically appealing to a wealthier demographic.

La Cala de Mijas and Calahonda stand out as areas with abundant commercial premises available for sale and rent.

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Mijas real estate market

The buying process in Mijas

When it comes to property transactions, Tejada Solicitors goes above and beyond to ensure a seamless process for our clients. Our dedicated team conducts thorough due diligence, meticulously examining every legal aspect of the property buying process. Upon completion of our research, we provide clients with a comprehensive legal report covering essential areas such as:

Validating the property’s registration in the Property Registry under the seller’s name with the accurate property description.

Verifying the property’s clean title, free from any encumbrances like liens and mortgages, and ensuring full compliance with tax obligations.

Confirming the absence of residing tenants in the house, facilitating a hassle-free transfer of ownership.

Conducting a detailed examination of urban planning files and planning licenses, overseen by our skilled architect (Property condition survey).

Reviewing the accurate registration and up-to-date payments of all taxes and utilities in the previous year.

Ensuring there are no outstanding debts linked to the property or the community of owners.

In Spain, property debts transfer to the new owner during the sale. It’s vital to verify that the property is devoid of any debts, particularly mortgages. Any outstanding debts should be addressed in the contract terms and promptly settled upon the completion of the transaction. Tejada Solicitors ensures the property is legally sound, free from encumbrances, and ready for sale.

Do you need a professional help for buy a property in Mijas?

Rosana Tejada
Author: Rosana Tejada

Considering a property purchase in Mijas? You’ll need to fulfill certain prerequisites, including having a valid passport, obtaining the NIE number (Foreigner Identification Number), and possessing a Spanish bank account.

Having an NIE is crucial for property acquisition in Spain, regardless of your tax residency status.

Once the property purchase is finalized, having a Spanish bank account becomes essential for managing utility and tax payments via direct debits. We recommend opening the account at least a month before signing the purchase deed to ensure smooth processing of contract changes and bill payments.

Tejada Solicitors offers assistance in obtaining the NIE and setting up a Spanish bank account. A general Power of Attorney simplifies the process, allowing us to act on your behalf

Understanding the comprehensive costs associated with property transactions is key. Ensure your property lawyer provides detailed information on current and future expenses and taxes. Here’s a breakdown of typical costs and taxes:

VAT (IVA) or Stamp Duty in Spain: 7% for existing properties; 10% for new properties, plus an additional 1.2% for documented legal acts.
Notary fees.
Land Registry fees.
Legal fees for property acquisition. Our rates are available upon request with no obligation.

Following completion, our services extend to facilitating utility contract transfers and managing property-related tax payments, all managed seamlessly through your Spanish bank account.

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Finding the right property in Mijas

To select the ideal property, begin by identifying your essential requirements and unique preferences. Utilise online platforms such as Idealista or Fotocasa to refine your list of potential properties. Engage professional real estate agents in Mijas to further narrow down your options. During property visits, leverage the expertise of these agents to gain valuable insights into local neighbourhoods, amenities, schools and lifestyle factors. Additionally, consider enlisting the services of a property lawyer to handle legal aspects, including contract management and property verification.

Tejada Solicitors, property consultants in Mijas

Tejada Solicitors acknowledges the challenges of urban development in Spain, which is why we consistently advise engaging specialized lawyers and architects in real estate law.

Thorough pre-purchase assessments of the urban situation of the property you intend to acquire are pivotal in the sales process and should be conducted before signing the reservation contract. Rushing into it is ill-advised; it should clearly define the terms and conditions of the sale and be refundable.

Our team of real estate law specialists at Tejada Solicitors meticulously scrutinizes all property documentation to ensure its complete legality, enabling you to acquire it without any encumbrances.

When purchasing a property in Spain, you might also require an architect to evaluate the physical condition of the property and identify any potential issues. In certain cases, these issues could be significant enough to warrant a reconsideration of the purchase. Hence, we recommend all our clients obtain a property report before finalizing the reservation contract.

Furthermore, we recommend seeking guidance from a local real estate agent to assist you in finding a property that aligns with your needs and financial objectives.

The taxation aspect of the sales process is equally critical. If you plan to establish residency in Spain, carefully study and plan for the tax implications of relocating to Spain and how the sale or utilization of your assets abroad could impact your financial situation, bearing in mind that double taxation treaties apply in such scenarios.

For a secure and hassle-free investment, it’s imperative to enlist the expertise of professionals, including real estate agencies, lawyers, tax advisors, and architects, who will shepherd you through the entire purchase process.

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Mijas property options include villas, apartments, penthouses, ground floor apartments, houses, commercials, country properties, plots and lands, luxury villas, townhouses, both old and newly constructed. These properties accommodate a variety of tastes and financial considerations.

Foreigners can easily purchase a property in Mijas by following a few straightforward yet essential steps. Regardless of their nationality, language, origin, or country, people from all backgrounds can buy property. Moreover, Spain actively encourages foreign property investment, whether the investor is a resident or non-resident.

Mijas is a good place for buy to let investments, as published by Euroval, the average ROI for renting properties in Mijas stands at 7.4%, this is 0.4 points more than the national average. To work out the ROI (Return on Investment) accurately of valued assets, typically represented as a percentage,one must determine the annual income after expenses, divide it by the initial investment amount in the property and then multiply the result by 100.

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