Authored by the expert who managed and guided the team behind the Spain Property Pack
Everything you need to know before buying real estate is included in our Spain Property Pack
If you're thinking about buying property in Costa Blanca in 2026, understanding what's really happening in the market is essential to making a smart decision.
This blog post covers the current housing prices in Costa Blanca, how fast properties are selling, what foreigners face when buying, and where the market is headed in the short and long term.
We constantly update this blog post to reflect the latest data and trends, so you always have fresh information at your fingertips.
And if you're planning to buy a property in this place, you may want to download our pack covering the real estate market in Costa Blanca.
How's the real estate market going in Costa Blanca in 2026?
What's the average days-on-market in Costa Blanca in 2026?
As of early 2026, the average days-on-market for a typical residential property in Costa Blanca sits around 75 to 120 days from listing to accepted offer, though this varies significantly depending on the property type and location.
Most listings in Costa Blanca fall within a realistic range of 45 to 150 days on the market, with well-priced apartments near the beach in high-demand areas like Playa de San Juan or Orihuela Costa selling in as little as 45 to 75 days, while overpriced villas or niche luxury properties can sit for 150 to 240 days or longer.
Compared to one or two years ago, days-on-market in Costa Blanca has shortened slightly in prime coastal zones because foreign demand remains intense and inventory in beachfront locations is limited, while less desirable inland or oversupplied areas have seen selling times stay roughly the same or even lengthen due to buyer selectivity.
Are properties selling above or below asking in Costa Blanca in 2026?
As of early 2026, most residential properties in Costa Blanca sell around 4% to 8% below the asking price, with buyers typically negotiating meaningful discounts on resale homes while new builds from reputable developers tend to close at 0% to 3% below asking.
In Costa Blanca, roughly 80% to 85% of properties sell at or below the asking price, and we are fairly confident in this estimate because it aligns with both national negotiation patterns and local agent feedback; only a small percentage of highly sought-after beachfront apartments or turnkey homes in premium areas like Jávea or Moraira occasionally attract multiple offers that push the final price closer to asking.
The property types most likely to see bidding competition and above-asking sales in Costa Blanca are turnkey apartments with sea views in places like Playa de San Juan, modern villas in Altea Hills or Benissa Costa, and new-build developments in Orihuela Costa where limited stock meets strong international demand.
By the way, you will find much more detailed data in our property pack covering the real estate market in Costa Blanca.
What kinds of residential properties can I realistically buy in Costa Blanca?
What property types dominate in Costa Blanca right now?
In Costa Blanca in 2026, the market breaks down roughly as follows: apartments make up about 55% of available listings, followed by townhouses and semi-detached homes at around 15%, detached villas at about 15%, penthouses at roughly 6%, and rural fincas or country homes at around 3%, with the remaining share split among duplexes and other property types.
Apartments represent the largest share of the Costa Blanca real estate market by a wide margin, accounting for more than half of all residential listings in the region.
Apartments became the dominant property type in Costa Blanca because the region's appeal to international buyers, retirees, and holiday home seekers favors low-maintenance, lock-and-leave living near the beach, and because coastal land constraints and high-rise tourism hubs like Benidorm and Torrevieja naturally produced large volumes of apartment stock over the decades.
If you want to know more, you should read our dedicated analyses:
- How much should you pay for a house in Costa Blanca?
- How much should you pay for an apartment in Costa Blanca?
- How much should you pay for a villa in Costa Blanca?
- How much should you pay for lands in Costa Blanca?
Are new builds widely available in Costa Blanca right now?
New-build properties make up an estimated 15% to 20% of residential listings in Costa Blanca in 2026, which is higher than many Spanish regions but still limited in prime beachfront locations where land for development is increasingly scarce.
As of early 2026, the neighborhoods and districts with the highest concentration of new-build developments in Costa Blanca include Orihuela Costa (especially La Zenia, Cabo Roig, and Campoamor), parts of Torrevieja and Guardamar del Segura in the south, and select areas around Alicante city, El Campello, and Villajoyosa in the central zone, while the north coast towns like Jávea, Moraira, and Altea have fewer new builds due to stricter building regulations and limited land availability.
Which neighborhoods are improving fastest in Costa Blanca in 2026?
Which areas in Costa Blanca are gentrifying in 2026?
As of early 2026, the neighborhoods in Costa Blanca showing the clearest signs of gentrification include Benalúa and San Blas in Alicante city, Villajoyosa's old town and seafront, parts of El Campello, and emerging pockets in Torrevieja's La Mata area where renovation activity and new resident profiles are shifting the market upward.
In these gentrifying areas of Costa Blanca, visible changes include the conversion of older fishermen's houses into boutique rentals, the opening of specialty coffee shops and international restaurants where only basic bars existed before, and a noticeable increase in Northern European retirees and remote workers renovating properties that local families had abandoned or underused for years.
Over the past two to three years, these gentrifying neighborhoods in Costa Blanca have seen estimated price appreciation of 15% to 25%, with some micro-locations like Villajoyosa's seafront and Alicante's Benalúa district outperforming the broader regional average due to their combination of charm, walkability, and proximity to the beach.
By the way, we've written a blog article detailing what are the current best areas to invest in property in Costa Blanca.
Where are infrastructure projects boosting demand in Costa Blanca in 2026?
As of early 2026, the areas in Costa Blanca where major infrastructure projects are boosting housing demand include the TRAM corridor between Benidorm and Dénia, neighborhoods near Alicante-Elche airport, and municipalities benefiting from improved road connections along the AP-7 motorway that now runs toll-free.
The specific infrastructure projects driving demand in Costa Blanca include the continued investment in the TRAM d'Alacant light rail line (with recent maintenance and signaling upgrades on the Benidorm to Dénia stretch), airport expansion capacity at Alicante-Elche Miguel Hernández Airport handling over 17 million passengers annually, and the toll-free AP-7 motorway that has improved accessibility to previously harder-to-reach coastal towns.
The TRAM improvements are ongoing with incremental upgrades, while the airport's increased capacity is already operational and contributing to sustained demand; major new infrastructure announcements for the region would likely have multi-year timelines if approved.
In Costa Blanca, the typical price impact from infrastructure improvements tends to show a 5% to 10% bump when projects are announced and an additional 5% to 15% once they are completed and operational, though the effect varies significantly by proximity and whether the area was previously underserved.
What do locals and insiders say the market feels like in Costa Blanca?
Do people think homes are overpriced in Costa Blanca in 2026?
As of early 2026, the general sentiment among locals and market insiders in Costa Blanca is mixed: many Spanish residents feel homes are overpriced relative to local wages, while international buyers and agents often consider prices reasonable compared to other European coastal destinations like the French Riviera or Portugal's Algarve.
When arguing that homes are overpriced in Costa Blanca, locals typically point to the disconnect between average Spanish salaries (around 25,000 to 30,000 euros per year) and median home prices exceeding 280,000 euros, noting that it now takes more than 10 years of gross income for a typical local family to afford a home in popular coastal areas.
Those who believe Costa Blanca prices are fair argue that international demand justifies current levels, that the region offers better value per square meter than comparable Mediterranean coastlines, and that limited coastal land plus strong rental yields make prices sustainable for investors.
The price-to-income ratio in Costa Blanca is estimated at 9 to 11 times average local income, which is higher than Spain's national average of around 7 to 8 times and reflects the premium placed on coastal living and international buyer competition in Alicante province.
What are common buyer mistakes people regret in Costa Blanca right now?
The most frequently cited buyer mistake in Costa Blanca is underestimating community fees (comunidad) and special assessments, as many foreign buyers focus only on the purchase price and later discover that pools, lifts, facade repairs, and new tourist rental compliance requirements can add 2,000 to 5,000 euros or more per year in unexpected costs.
The second most common regret is buying a property with the assumption that short-term rental income will cover costs, only to find that the building's community has voted against tourist rentals or that the municipality has restricted new licenses, which is particularly relevant in Costa Blanca where the Valencia region has been actively enforcing tourist rental regulations since 2024.
If you want to go deeper, you can check our list of risks and pitfalls people face when buying property in Costa Blanca.
It's because of these mistakes that we have decided to build our pack covering the property buying process in Costa Blanca.
How easy is it for foreigners to buy in Costa Blanca in 2026?
Do foreigners face extra challenges in Costa Blanca right now?
Foreigners buying property in Costa Blanca face a moderately higher difficulty level than local buyers, primarily due to administrative hurdles like obtaining an NIE number, setting up a Spanish bank account, and navigating unfamiliar legal processes, but there are no legal restrictions preventing foreign ownership of residential property in Spain.
The specific requirements for foreign buyers in Costa Blanca include obtaining an NIE (Foreigner Identification Number) before any transaction can proceed, opening a Spanish bank account for the purchase funds, and providing extensive anti-money laundering documentation including proof of funds origin, which can add several weeks to the buying timeline.
Practical challenges foreigners commonly encounter in Costa Blanca include the fact that many local notaries and property registries operate primarily in Spanish with limited English support, that reservation contracts (contrato de arras) are binding with no financing contingency so buyers risk losing deposits if mortgages fall through, and that the end of Spain's Golden Visa program in April 2025 removed one motivation for high-end purchases while leaving the buying process otherwise unchanged.
We will tell you more in our blog article about foreigner property ownership in Costa Blanca.
Do banks lend to foreigners in Costa Blanca in 2026?
As of early 2026, mortgage financing is widely available for foreign buyers in Costa Blanca, with major Spanish banks like Santander, BBVA, CaixaBank, and Sabadell actively lending to non-residents who meet their documentation and income requirements.
Foreign buyers in Costa Blanca can typically expect loan-to-value ratios of 60% to 70% (meaning a 30% to 40% down payment is required), with fixed interest rates ranging from approximately 2.8% to 4% depending on the loan term, borrower profile, and whether they purchase additional bank products like insurance.
Banks in Costa Blanca typically require foreign applicants to provide a valid passport and NIE, proof of income (employment contracts, payslips, and 1-2 years of tax returns), 6 to 12 months of bank statements, a foreign credit report or bank reference, and proof of funds for the down payment and associated costs, with all documents often needing official translation into Spanish.
You can also read our latest update about mortgage and interest rates in Spain.
How risky is buying in Costa Blanca compared to other nearby markets?
Is Costa Blanca more volatile than nearby places in 2026?
As of early 2026, Costa Blanca shows moderate price volatility compared to nearby markets: it is generally more volatile than inland Spanish regions due to its dependence on international demand and tourism, but roughly similar to the Costa del Sol and less volatile than the Balearic Islands, which see sharper swings in the luxury segment.
Over the past decade, Costa Blanca experienced a significant downturn during the 2008-2014 crisis with prices dropping 30% to 50% in some areas, followed by steady recovery from 2015 onward; by comparison, the Costa del Sol saw similar patterns while inland regions like Murcia dropped further and recovered more slowly, and the Balearics showed stronger peaks but also sharper corrections in the luxury market.
If you want to go into more details, we also have a blog article detailing the updated housing prices in Costa Blanca.
Is Costa Blanca resilient during downturns historically?
Costa Blanca has shown moderate historical resilience during economic downturns, with prime beachfront locations and established expat communities recovering faster than peripheral urbanizations that were overbuilt during the pre-2008 boom.
During the 2008-2014 financial crisis, property prices in Costa Blanca dropped by an average of 35% to 45%, with some oversupplied areas like parts of Torrevieja and Orihuela Costa falling even further; recovery to pre-crisis levels took roughly 10 to 12 years, with most areas reaching or exceeding 2008 prices only by 2022-2024.
The property types and neighborhoods in Costa Blanca that have historically held value best during downturns include beachfront apartments in Alicante city's Playa de San Juan, established villas in Jávea's El Arenal and Moraira's El Portet, and quality townhouses in mature urbanizations with year-round resident communities, while large-scale developments far from the beach or in areas with high rental competition have shown the weakest resilience.
How strong is rental demand behind the scenes in Costa Blanca in 2026?
Is long-term rental demand growing in Costa Blanca in 2026?
As of early 2026, long-term rental demand in Costa Blanca is growing steadily, driven by housing affordability pressures that keep more households renting longer and by a consistent inflow of workers supporting the tourism and services economy.
The tenant demographics driving long-term rental demand in Costa Blanca include young Spanish professionals priced out of buying, Northern European retirees who prefer renting before committing to purchase, digital nomads and remote workers seeking extended stays, and seasonal hospitality workers who need housing during peak tourism months.
The neighborhoods in Costa Blanca with the strongest long-term rental demand right now include Alicante city center and Playa de San Juan for urban professionals, Benidorm for hospitality workers and retirees, and Torrevieja and Orihuela Costa for budget-conscious expats seeking year-round communities with established services.
You might want to check our latest analysis about rental yields in Costa Blanca.
Is short-term rental demand growing in Costa Blanca in 2026?
The Valencia region, which includes Costa Blanca, has significantly tightened short-term rental regulations since August 2024, requiring all rentals under 11 days to be licensed as tourist accommodations, mandating community approval (three-fifths majority) for apartments in shared buildings as of April 2025, and actively deregistering over 6,000 non-compliant tourist apartments in Alicante province.
As of early 2026, short-term rental demand in Costa Blanca remains strong due to robust tourism (Alicante-Elche airport handled over 17 million passengers in 2025), but the supply of legal short-term rentals is constrained by tighter enforcement, making compliant properties more valuable while pushing some operators toward medium-term rentals of 11 days to 11 months.
The estimated average occupancy rate for properly licensed short-term rentals in Costa Blanca sits around 65% to 80% annually, with summer months (June through September) reaching near-full occupancy and shoulder seasons maintaining solid demand from Northern European visitors escaping colder weather.
The guest demographics driving short-term rental demand in Costa Blanca include British, Dutch, German, and Belgian holidaymakers seeking beach vacations, golf tourists visiting the region's numerous courses, and an increasing number of remote workers booking month-long stays to combine work with Mediterranean lifestyle.
By the way, we also have a blog article detailing whether owning an Airbnb rental is profitable in Costa Blanca.
What are the realistic short-term and long-term projections for Costa Blanca in 2026?
What's the 12-month outlook for demand in Costa Blanca in 2026?
As of early 2026, the 12-month demand outlook for residential property in Costa Blanca is positive, with strong international buyer interest expected to continue, particularly in prime coastal areas where inventory remains limited and foreign purchases account for over 40% of transactions in Alicante province.
The key factors most likely to influence demand in Costa Blanca over the next 12 months include European Central Bank interest rate decisions (with potential cuts supporting buyer affordability), the stability of Northern European economies (especially the Netherlands, Germany, and Belgium, which are major buyer sources), and the ongoing enforcement of short-term rental regulations that may shift some investor interest toward long-term rentals or owner-occupied purchases.
Most market analysts forecast price growth of 4% to 7% for Costa Blanca over the next 12 months, with premium coastal locations like Jávea, Moraira, Altea Hills, and beachfront Alicante potentially exceeding this range, while inland or oversupplied areas may see more modest appreciation or stabilization.
By the way, we also have an update regarding price forecasts in Spain.
What's the 3-5 year outlook for housing in Costa Blanca in 2026?
As of early 2026, the 3 to 5 year outlook for housing in Costa Blanca points toward continued moderate price growth in the range of 3% to 6% annually, supported by persistent supply constraints, sustained international demand, and the region's enduring appeal as an affordable Mediterranean lifestyle destination.
Major development projects and urban plans expected to shape Costa Blanca over the next 3 to 5 years include continued TRAM network improvements connecting coastal towns, potential new residential developments in the Orihuela Costa corridor and around Alicante's expanding metro area, and ongoing efforts to upgrade tourism infrastructure that indirectly support housing demand.
The single biggest uncertainty that could alter the 3 to 5 year outlook for Costa Blanca is a significant economic downturn in Northern Europe, particularly in the Netherlands, Germany, or Belgium, which would reduce the flow of international buyers that currently account for over 40% of property transactions in the region.
Are demographics or other trends pushing prices up in Costa Blanca in 2026?
As of early 2026, demographic trends are having a significant upward impact on housing prices in Costa Blanca, with the region experiencing net positive migration from both Northern Europe (retirees and remote workers) and other parts of Spain (job seekers in tourism and services).
The specific demographic shifts most affecting prices in Costa Blanca include the continued influx of Dutch, Belgian, and German buyers who now collectively outpace British purchases, an aging Northern European population seeking warmer retirement destinations, and the growth of digital nomad and remote work lifestyles that have turned seasonal visitors into longer-term residents.
Non-demographic trends also pushing prices in Costa Blanca include the structural undersupply of new coastal housing due to limited buildable land and planning restrictions, the shift of some investor capital from short-term rentals to owner-occupied or long-term rental properties following regulatory tightening, and the continued strength of Alicante-Elche airport connectivity which keeps the region accessible to a broad European buyer base.
These demographic and trend-driven price pressures are expected to continue in Costa Blanca for at least the next 5 to 10 years, barring a major shock, because the underlying drivers (Northern European retirement migration, limited coastal supply, strong airport connectivity) are structural rather than cyclical.
What scenario would cause a downturn in Costa Blanca in 2026?
As of early 2026, the most likely scenario that could trigger a housing downturn in Costa Blanca is a significant negative shock to European travel demand and Northern European household finances, such as a recession in Germany or the Netherlands combined with higher energy costs that reduce disposable income for second-home purchases.
Early warning signs that would indicate such a downturn is beginning in Costa Blanca include a sustained drop in Alicante airport passenger numbers, a noticeable increase in properties listed for sale without corresponding buyer activity, rising days-on-market across multiple price segments, and a shift in foreign buyer mix away from purchase-ready buyers toward more speculative or wait-and-see behavior.
Based on historical patterns, a potential downturn in Costa Blanca could realistically see prices decline by 15% to 25% in vulnerable segments (inland properties, oversupplied urbanizations) while prime beachfront locations might experience more modest corrections of 5% to 15%, similar to the differential seen during the 2008-2014 crisis when quality coastal properties held up better than peripheral developments.
What sources have we used to write this blog article?
Whether it's in our blog articles or the market analyses included in our property pack about Costa Blanca, we always rely on the strongest methodology we can ... and we don't throw out numbers at random.
We also aim to be fully transparent, so below we've listed the authoritative sources we used, and explained how we used them and the methods behind our estimates.
| Source | Why it's authoritative | How we used it |
|---|---|---|
| INE Housing Price Index | It's Spain's official house price index produced by the national statistics office, making it the most reliable benchmark for price trends. | We used it to anchor Spain-wide price momentum heading into early 2026. We then cross-checked whether Costa Blanca's on-the-ground price signals are running hotter or cooler than the national trend. |
| INE Property Transfer Statistics | It's the official monthly count of housing transactions broken down by province, providing the best measure of market activity. | We used it to size transaction volume in Alicante province. We then combined this with portal inventory to estimate realistic days-on-market and absorption rates. |
| Banco de España Housing Dashboard | It's the national central bank's aggregation of key housing indicators including credit, affordability, and price cycles. | We used it to understand the macro backdrop for Costa Blanca buyers. We then translated those credit and affordability signals into practical guidance for foreign purchasers. |
| Colegio de Registradores | It's the national property registrars' official reporting on transactions, prices, and foreign buyer share, based on actual completed sales. | We used it to triangulate foreign buyer presence and market temperature. We cross-checked their data against INE and notary figures to ensure consistency. |
| Colegio Notarial de Valencia | It's an official notarial publication with downloadable breakdowns of foreign purchases by province and municipality. | We used it to ground the "foreign demand is real" narrative specifically for Alicante and Costa Blanca municipalities. We also used it to understand which nationalities are most active. |
| Idealista Price Reports | It's Spain's largest property portal with a published methodology, providing granular city and neighborhood-level pricing data. | We used it for local market pulse in Costa Blanca hubs like Alicante city, Torrevieja, and Jávea. We treated it as a private-sector cross-check against official indices. |
| Tinsa Provincial Price Tracker | It's a long-running, recognized Spanish housing valuation firm that provides independent price assessments. | We used it to triangulate price levels and direction for Alicante province. We compared Tinsa's valuations with portal asking prices to understand the gap between listing and reality. |
| Aena Airport Statistics | It's the official airport operator's traffic data, serving as a hard proxy for tourism demand and international buyer connectivity. | We used it to understand the demand pressure behind short-term rentals and second-home purchases. We treated strong passenger growth as a leading indicator of sustained housing demand. |
| ECB Data Portal | It's the European Central Bank's official data distribution channel for mortgage rates and credit standards across the Eurozone. | We used it to contextualize where Spanish mortgage rates sit versus recent years. We also used it to frame financing sensitivity for international buyers considering Costa Blanca purchases. |
| Eurostat House Prices | It's the EU's official statistical office, useful for comparing Spain's price and rent momentum to other European markets. | We used it to benchmark Costa Blanca's performance against nearby Mediterranean markets. We also used it to assess whether the region's growth is exceptional or in line with broader European trends. |