Nerja home to highest number of holiday homes in Malaga province

The latest INE figures on holiday accommodation once again shed light on one of the major ongoing debates in the most visited towns on the Costa del Sol

Eugenio Cabezas

The latest figures on holiday accommodation once again shed light on one of the major ongoing debates in the most visited municipalities of the province of Malaga: the difficult balance between economic activity linked to tourism and access to residential housing.

According to the latest report on tourist accommodation density published by Spain's national statistics institute (INE) with data as of the end of 2025, which records the percentage of tourist accommodation out of the total number of registered properties in each municipality across Spain, eight towns in Malaga province feature among the top 100 in Spain with the highest proportion of this type of accommodation.

The top-ranked municipality in Malaga is Nerja, which appears in ninth place nationally, with 16.3 per cent of tourist accommodation out of the total number of registered properties. The figure is particularly significant when considered in relation to its registered population: the eastern Costa del Sol town had 22,062 inhabitants in 2025, according to the latest municipal data sheet from the Andalusian multiterritorial information system (SIMA), published by the Andalusian institute of statistics and cartography.

The second municipality in Malaga province on this list is Frigiliana, also in the Axarquía and just above Nerja, which ranks 32nd with 11.59 per cent of its housing stock comprising holiday homes. In third place is Júzcar, with 10.41 per cent and a population of just 200, making it the third municipality in Málaga in terms of the proportion of holiday homes. Nerja, Frigiliana and Júzcar are the only three towns in Malaga to exceed the 10 per cent threshold of holiday homes out of the total number of registered properties.

Comparing percentages, population figures and absolute numbers provides a better understanding of the phenomenon. In small towns, a percentage close to or exceeding 10 per cent can visibly transform the housing market, local businesses and community life; in large cities, even lower percentages can mean thousands of properties being used for short-term rentals.

Provincial picture

The Axarquía features prominently in the provincial ranking. In addition to Nerja and Frigiliana, Torrox stands out with 6.52%, Cómpeta with 5.53%; Sayalonga, with 3.95%; Arenas with 3.89%; Algarrobo with 3.67%; Salares, with 3.14% and Canillas de Albaida with 3.04% of tourist properties out of the total housing stock.

The picture across the province is very uneven. Of the 103 municipalities in Malaga province only three exceed 10%, but around 15 are above five per cent nearly thirty exceedthree per cent and more than 60 exceed one per cent. The simple municipal average is around 2.5%, although this is influenced by the major tourist centres.

At the lower end of the scale are inland municipalities where holiday homes account for a negligible proportion of the housing stock, such as Cuevas de San Marcos with 0.05%; Almargen with 0.07%; Mollina with 0.11%; Alameda with 0.16%; Benamocarra, with 0.21% and Campillos, with 0.22%.

The debate over holiday rentals has intensified due to their link to rising rents, the reduction in housing available for residents and the transformation of town centres. The Nerja business association (AEN) has also conveyed its concerns to Nerja town hall regarding the lack of affordable housing and the impact this situation is having on the local economy.

At a meeting of the urban planning sector group with the mayor, José Alberto Armijo and the association’s president, Raúl Rivas, the organisation emphasised the need to press ahead with the approval of the new General Municipal Development Plan (PGOM), which is currently being drafted by Malaga's provincial authority, the Diputación de Málaga and put forward technical proposals to create new urban land for affordable housing.

The Nerja employers’ association has warned that it is becoming increasingly difficult for businesses to find staff, particularly in sectors such as hospitality and construction, due to the difficulty of accessing housing at reasonable prices. The AEN also warned that many young people are being forced to leave the town and called for a debate on the growth of tourist accommodation in the town centre, with measures to prioritise permanent residence and long-term rentals over holiday rentals.