Homes for sale in Spain drop 9%: Málaga city barely loses stock while the province falls 8%

There are 9% fewer homes advertised for sale in Spain than a year ago, according to idealista's study for the third quarter of 2026, and the decline is gathering pace: in the second quarter it stood at 7%. Malaga city is one of the clearest exceptions, with stock that is practically flat (-1%), while the province as a whole has lost 8% of its supply.

For anyone looking to buy on the Costa del Sol, this figure matters as much as price: with less supply there is less to choose from, good homes spend less time on the market and negotiating depends more on each individual case than on the general trend.

How much has the supply of homes for sale fallen in Spain?

The decline is widespread but uneven. Only seven provincial capitals have more homes for sale today than a year ago: Valencia (+15%), Madrid (+14%), San Sebastián (+8%), Ávila (+7%), Santa Cruz de Tenerife (+3%), Seville (+2%) and Barcelona (+1%). Among the provinces, only Madrid is growing (+8%).

At the opposite end are medium-sized and small cities, with drops of up to 43% in Palencia, 39% in Ceuta and 37% in Melilla. The map shows a two-speed market: the big cities are regaining some supply while the rest is emptying out fast.

A note on method: idealista counts active listings on its portal, not empty homes or the total housing stock. It has also updated its method to clean the database more thoroughly and has recalculated the entire historical series on the new basis, so the year-on-year comparison is like for like.

What is happening to supply in Andalusia and Málaga province?

No Andalusian province escapes the decline, although Málaga and Seville are holding up best. This is the year-on-year change in homes for sale in each province and its capital:

The key takeaway for the Costa del Sol lies in the gap between the two columns. If the province is down 8% and the capital only 1%, the decline is concentrated outside the city: in the coastal and inland municipalities, where stock is running out faster.

Why are there fewer and fewer homes for sale?

Francisco Iñareta, idealista's spokesperson, points to an underlying explanation: in big cities prices have risen so much that some buyers can no longer afford them. With less demand competing for each flat, supply stops draining so quickly, and this could even lead to some price moderation in the medium term. Medium-sized and small markets show the opposite: they keep attracting buyers and supply is absorbed.

Málaga city belongs to the first group. As we reported on this blog, its resale home prices are rising 4.1% a year according to idealista, one of the smallest increases in the country, although at record highs. Prices that are cooling and stock that is not falling are two signs of the same thing: the city's market has hit the ceiling of what many buyers can afford.

On top of that come structural factors we know well in the province: fewer new homes are being built than are needed, many owners prefer to wait or rent rather than sell, and international demand keeps absorbing a large share of what comes onto the market on the coast.

Where is the supply of homes concentrated on the Costa del Sol?

To bring the figure down to earth, we looked at our own catalogue, which brings together listings from a broad network of agencies on the coast and which we summarise every month in our Costa del Sol market report. These are the homes for sale by municipality as of 23 October 2026:

Three municipalities, Marbella, Estepona and Mijas, account for 55% of all the homes in the catalogue. This is the western coast, where new developments and international demand are concentrated. At the other end, Manilva and Casares have the lowest prices per square metre on the list, between 24% and 28% below the coastal median.

Another figure qualifies the idea of a market with no room for manoeuvre: since 11 October, when we started recording price changes, around 400 properties for sale in our catalogue, just over 4% of the total, have cut their price, by an average of 5.8%. Less supply does not mean everything sells at the asking price.

A word of caution when comparing: our figures are median asking prices from our own catalogue and include both new-build and resale homes, while idealista tracks how the listings on its portal evolve. The sources complement each other but are not interchangeable.

What does the fall in supply mean for buyers and sellers?

• Buyers: with less to choose from, it pays to arrive with pre-approved financing and clear criteria so you can decide quickly when the right home comes up.
• Buyers: widening the search to municipalities with more stock or lower prices multiplies the options without leaving the coast.
• Buyers: scarcity does not rule out negotiation; listings that have been online for a while or have already been reduced usually leave room to bargain.
• Sellers: there is less competition, but buyers are very price-sensitive. Setting a realistic price from the start, based on local data, shortens the time it takes to sell.

In short: less supply, more selection

The supply of homes for sale keeps shrinking across almost all of Spain, and the pace is quickening. Málaga city remains stable, but in the rest of the province stock is falling sharply, and on the Costa del Sol most of the supply is concentrated in a handful of western municipalities. If you are thinking of buying or selling, at EVS Property we help you read these figures for your specific area and find the home that suits you.

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