Engel & Völkers in the News

Exceeded all expectations in the competitive luxury market in 2023

• Marbella franchise sets new sales records so far in 2024, with an additional growth of 4.7% and a total of 12.77% since 2021.
• Recently four villas priced between 12-15 million have been sold by Engel & Völkers in the areas of Cascada de Camojan, Sierra Blanca and La Zagaleta. Three of those were sold before completion.
• In February the real estate company will open its seventh office in Marbella, dedicated to new developments, after-sales services and rentals. 2024 will also see the opening of a
  new division of the Private Office in Marbella catering exclusively for the top market, as an addition to the Engel & Völkers international Private Office.
• The agency distinguishes itself by possessing the largest database of international buyers, granting it a competitive edge. Furthermore, its agents undergo continuous training at the Engel & Völkers Academy, boasting over 25 years of experience and a curriculum featuring 180 courses.

Marbella February 5th 2024 – Marbella’s luxury housing boom persists, despite the slight worldwide decline in the premium sector. Amidst a dazzling backdrop, Marbella stands as an unrivalled location, establishing its leading position with a booming market in the high-end sector. Engel & Völkers, the undisputed benchmark in the luxury properties sector, reveals encouraging figures and trends that highlight the exceptional times the town is experiencing. So far this year, the leading agency in prime real estate sales in the town has reached record figures, with two sales closed in December and January for a price above 12 million euros, located in Cascada de Camoján, and Sierra Blanca. Additionally, a new villa in La Zagaleta and another in Cascada de Camoján have been sold, and their finalization before the notary are scheduled for February.

A noteworthy point, in 2023 and early this year, is the increase in sales, with properties sold before completion. The shortage of land remains a significant challenge, with 23% of sales going to new builds and 77% to resale properties. New villa construction, demolition for redevelopment and complete renovations are common practices in the most exclusive areas.

Marbella’s appeal as a destination for luxury real estate is unprecedented. According to the website Idealista, five of the ten most expensive streets to buy a property in Spain are in and around Marbella, with prices 38 times higher than the most exclusive roads in other major cities. Moreover, six of the ten most expensive homes in the country, with a value of close to 30 million euros, are located in this region. The sector predicts that these luxury properties will not remain on the market for long, as demand exceeds supply, especially in the luxury segment, which is experiencing its best season yet. Marbella is preferred over destinations such as Mallorca, Ibiza, Barcelona or Madrid.

Engel & Völkers has recorded an annual turnover of more than 1 billion euros worldwide in 2023. Although fee and commission income has declined to €1.1 billion from €1.2 billion in 2022, the results remain significantly above the market average. In the Marbella branch, sales last year saw an increase of 4.77%, totalling an impressive 12.77% since 2021. Engel & Völkers Marbella closed 2023 with 370 transactions, at an average price of more than 1.6 million euro.

The company will open a new office at Tembo Center in Marbella in February with 10 to 12 employees to continue providing excellent service and covering all sectors, reflecting the dynamism and constant expansion of Engel & Völkers. The new office will be dedicated to developer services, new developments, after-sales services and the rental sector. In addition, a private office will be opened on the Golden Mile, designed to cater to elite clients who value privacy and discretion. This specialised approach reinforces Engel & Völkers commitment to the full satisfaction and exclusivity of its most select clients.

“Our remarkable sales growth at Engel & Völkers Marbella reflects our competence in bringing exquisite properties to elite clients worldwide. With the exclusive and mandatory training of our Engel & Völkers Academy agents and an in-depth knowledge of the Marbella luxury market, we present each property to our select global network of potential buyers. This networks, sets us apart from other agencies and distinguishes us as the go-to agency in Marbella, offering access to dedicated service and innovative marketing strategies, with a yearly budget of 1.5 million Euro in marketing alone, that consistently deliver proven results” says Smadar Kahana, owner of Engel & Völkers Marbella.

The American market is emerging as a new force. Throughout 2023, the Marbella agency experienced a significant increase in transactions with buyers from the United States, achieving more sales to U.S. citizens in the past year than in the last two decades.

We have also seen an increase in the nationalities in Russia’s neighbouring countries. The Swiss, Polish and Czech markets also stand out, along with “non-European” nationalities purchasing luxury housing with the intention of qualifying for the Golden Visa. The most interesting change is that the average age of families moving permanently is between 35 and 50 years, in contrast to over 55 years before the pandemic.

“Marbella is more popular than ever, this year we’ve seen how celebrities, influencers, and a younger clientele have all visited. We anticipate a continued strong demand, especially for modern properties. Our strategy is to stay ahead of market trends, ensuring we offer properties that meet the evolving needs and tastes of our international clientele,” concludes Kahana.

These results demonstrate the resilience of the Engel & Völkers business model, even in uncertain and complex contexts, putting it in an excellent position globally to make the most of its potential. Continuous training is a cornerstone of the company, for over 25 years they have been offering more than 180 courses in 7 languages, assuring the consistent professionalism of their agents.

The company plans to accelerate its growth through a solid business model and a robust service platform. Engel & Völkers anticipates a stabilisation of the real estate market, driven in part by  favourable interest rate environment. Expertise and professional excellence are seen as key factors to increase customer loyalty and gain new market share. Offering the biggest international network with a comprehensive portfolio in the premium segment, an innovative digital platform and attractive income opportunities, the company continues to attract the best real estate experts. Among some celebrities who have relied on Engel & Völkers’ global network for their international home purchases are Russel Weiner, founder of Rockstar Energy Drink, Elle Macpherson, Timbaland and Britney Spears.

Engel & Völkers is represented in Marbella with six offices in strategic locations and more than 70 employees. Market leader in the real estate sector in Marbella for over 20 years, it specialises in the marketing and sale of medium to high-end properties. Engel & Völkers is one of the world’s leading service companies specialising in the brokerage of luxury residential properties, commercial real estate, yachts and aircraft. Present in more than a thousand locations in 30 countries on 4 continents, Engel & Völkers offers both private and institutional clients a variety of tailor-made professional services, access to a broad range of potential international buyers and a proven track record of success over the years. Advisory, sales and rental services are the core competencies of the more than 16,500 people at Engel & Völkers.