Since the last quarter of 2007 properties in Málaga have experienced a substantial price decrease.
New build properties in Málaga (properties <2 years) are especially hard hit by the economic downturn and have suffered much more than properties in the rest of the Andalucian community and Spain.
It looks like average property prices in Málaga in Q1-2011 are getting close to Spain's average property prices.
Re-sale properties in Málaga have also dropped dramatically from 2250 euros/m2 in the first quarter of 2008 to 1734 euros/m2, which represents a drop of nearly 23%.

Looking at the chart above we see the coastal municipalities of Málaga like Marbella, are the ones that have experience the biggest drop in prices. In the third quarter of 2008 property prices in Marbella was at its highest point (2801 euros/m2) and have decreased by almost 28% to 2026 euros/m2.

Inland municipalities of Málaga like Antequera and Ronda, although also having dropped considerably, have been less impacted.