For Investors
Torrox Costa has the most loyal German clientele on the Costa del Sol and Cómpeta the fastest growth in holiday homes in the province. With one of the lowest long-term yields in Andalusia, holiday letting here is not an option: it is the only sum that adds up.
Torrox is two markets in one municipality. Torrox Costa is a strip of apartments by the lighthouse and the promenade, with decades-old German demand that books by the week and by the month and does not leave in winter. Torrox village and, above all, Cómpeta are the rural Axarquía: village houses and cortijos with sea and mountain views, for northern European guests who come to walk, eat and do nothing in spring and autumn.
We manage a villa with a pool in the Torrox and Arenas area and know that what works here is not what works in Torre del Mar. Purchase prices have risen sharply (almost 17% year on year in Torrox according to Fotocasa), long-term yield is among the lowest in Andalusia and Cómpeta's holiday-home stock is growing 35% a year. This guide explains what to buy and what to check.
Public Data
| Item | Value | Source |
|---|---|---|
| Average sale price in Torrox | €3,123/m² (+3.0% month on month) | idealista May 2026 |
| Average sale price in Torrox (alternative series) | €3,296/m² (+16.9% year on year) | Fotocasa September 2026 |
| Average sale price in Cómpeta | €1,719/m² (+12.9% year on year) | Fotocasa September 2026 |
| Active holiday homes in Torrox | 1,260 homes · 5,505 beds · 6.3% of housing stock (1,265 in May 2025) | INE, experimental holiday-home statistics May 2026 |
| Active holiday homes in Cómpeta | 272 homes · 1,204 beds · 7.9% of housing stock (202 in May 2025, +34.6%: the province's fastest growth) | INE, experimental holiday-home statistics May 2026 |
| Long-term gross rental yield in Torrox | 3.8% (among the lowest in Andalusia; Málaga province 4.2%) | Fotocasa via Vida Económica Q2 2026 |
| Local rules | No moratorium or municipal limits approved in Torrox or Cómpeta. Decree 31/2024 and LO 1/2025 apply | BOJA September 2026 |
All figures come from public sources and are dated. We do not include figures from our own houses: every property is different and its number goes in the personalised analysis.
The Market
Torrox's average price sits between €3,100 and €3,300/m² (idealista, May 2026; Fotocasa, September 2026), with one of the area's steepest annual rises, close to 17%. Cómpeta sells at little more than half that, €1,719/m², also rising fast. The gap between Torrox Costa (1980s and 1990s apartments, many renovated) and the village or Cómpeta (village houses, cortijos, scattered new builds) is total, and the municipal average is of little use: look at comparables by village.
The holiday-home stock is proportionally large: 1,260 active homes in Torrox (6.3% of housing) and 272 in Cómpeta (7.9%), which has grown 34.6% in a year, the biggest increase in the whole province of Málaga according to INE. That says two things: in Cómpeta rural demand is growing faster than supply, and anyone arriving late with a house without views or a pool will already find plenty of competition.
The decisive figure is long-term yield: 3.8% gross in Torrox according to Fotocasa, among the lowest in Andalusia. At current purchase prices, letting by the month here barely covers costs; holiday letting, with Torrox Costa's German demand and Cómpeta's Nordic and British demand, is the only sum that can justify the purchase. Which is why it pays to get it right before signing.
One- and two-bedroom apartments in Torrox Costa, between the lighthouse and the promenade, with a sea-facing terrace: the product of the German guest who returns every year, books ahead and stays two, three or four weeks, in winter too. Renovation matters a lot: the stock is old and the rate gap between an updated apartment and an original one is wide.
Houses with a pool and sea views on the slopes of Torrox, Arenas, Sayalonga or Cómpeta: the product that earns most per night, for families and groups from the UK, the Netherlands and Scandinavia in spring, summer and autumn. We manage one and what we see is that views and pool count for more than square metres.
Renovated village houses in the old quarters of Cómpeta or Frigiliana: small, charming and with demand from couples and hikers that fills spring and autumn. What does not work: cortijos with no paved access or signal, and inland homes with no views. The guest comes for the landscape; if they cannot see it from the house, they do not book.
Neither Torrox nor Cómpeta has approved a moratorium or zoning limits as of September 2026, although Decree 31/2024 allows them to. Torrox, with 6.3% of housing in tourist use and an economy heavily dependent on German tourism, has shown no intention to limit. Cómpeta, with the province's fastest growth, is the town to watch.
In Torrox Costa almost everything is apartment blocks with a community, and here Organic Law 1/2025 weighs: since April 2025 a three-fifths community vote is needed to put a home to tourist use. Many Torrox Costa buildings have a majority of owners who already let and communities used to it; others, with year-round German residents, do not. Read the minutes. Detached country houses do not have this problem.
On rural land (cortijos and country houses in Cómpeta, Arenas or Sayalonga) the key check is planning: that the building is legalised or can be legalised (DAFO or equivalent status) and has an occupancy licence or equivalent, because without that there is no registration in the Andalusian Tourism Registry. It is the number one reason a country purchase falls through.
On the coast: renovation, terrace and orientation, community minutes, parking. In the country: planning and legal status of the building, access, water and utilities, internet coverage, real distance to the village and the beach. In both: a registered licence or a real prospect of getting one, and comparables for German and Nordic demand, which do not show up on Spanish portals.
With that we tell you, for that specific property, what rate and occupancy we consider reasonable by season, what it would cost to set up (in the country usually more than it looks) and what net yield is left. That is the 48-hour yield analysis, free and without obligation.
Yield analysis · free · 48 h
We send you an analysis with the rate and occupancy we see in that area, set-up costs, the licence situation and an estimated net yield. No obligation.
We Operate Here
We manage a villa with a pool and views in the Torrox and Arenas area and know its calendar and its guest. It is proof that we operate here; its figures are not published.
Who We Are
Holidays Malaga is Francisco and Isabel Tolosa, siblings and founders. We're not a franchise or a call centre: we live in the Axarquía, do the check-ins ourselves and answer the phone personally. When you hand us your house, you know exactly who is looking after it.
Francisco Tolosa
Co-founder. Pricing, sales channels and owner relations. Previously at Tesla and Red Bull.
Isabel Tolosa
Co-founder. Operations, guests and getting houses guest-ready. Previously at Airbnb.
Avda. de la Torre 63, Rincón de la Victoria (Málaga)
Licence, moratorium and management: related guides
Frequently Asked Questions
It usually is for renovated apartments with a sea-facing terrace between the lighthouse and the promenade, thanks to German clientele that books by the week and in winter too. Long-term letting, at 3.8% gross according to Fotocasa, does not pay at current prices; holiday letting is the sum you need to get right.
Torrox: €3,123/m² according to idealista (May 2026) and €3,296/m² according to Fotocasa (September 2026, +16.9% year on year). Cómpeta: €1,719/m² according to Fotocasa (September 2026, +12.9%). The average hides big differences between coast, village and countryside.
No. As of September 2026 neither council has approved limits. Cómpeta, with the province's fastest growth in holiday homes (+34.6% in a year), is the town to watch.
Yes, if the building is legalised or can be legalised and has an occupancy licence or equivalent; without that it cannot be registered in the Andalusian Tourism Registry. It is the number one check before buying on rural land, and the most frequent reason a purchase falls through.
In Torrox Costa, mostly German, loyal and long-staying, in winter too. In Cómpeta and on the slopes, British, Dutch and Scandinavian, in spring, summer and autumn, looking for views, a pool and hiking. Neither shows up well on Spanish portals: you need to know the channels.
Yes: send us the link or the address and within 48 hours we return an analysis with rate and occupancy by season, planning and licence status, set-up costs and estimated net yield. Free and without obligation.
General guidance as of September 2026, prepared from the cited public data. It is not financial, tax or legal advice. A property's yield depends on its specific characteristics and on rules that change frequently.
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