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
Costa Blanca is not one market but several, with foreign buyers, tourism economics, and short-term rental regulations shaping outcomes differently from Jávea in the north to Torrevieja in the south.
Property prices on the Costa Blanca rose about 13% in 2025, outpacing Spain's national average, yet yields, risks, and buyer profiles vary sharply by neighborhood.
We constantly update this blog post to reflect the latest data and regulatory changes so you always have current information.
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.
What's the Current Real Estate Market Situation by Area in Costa Blanca?
Which areas in Costa Blanca have the highest property prices per square meter in 2026?
As of early 2026, the three most expensive areas in Costa Blanca are Playa de San Juan in Alicante city (around €4,100 per square meter), Jávea/Xàbia (around €3,900 per square meter), and the Les Marines district in Dénia (around €3,700 per square meter).
In these premium Costa Blanca neighborhoods, prices typically range from €3,300 to €4,500 per square meter, though exceptional beachfront properties with sea views can exceed €5,000 per square meter in specific micro-locations like Calpe's Playa Arenal-Bol.
Each of these expensive areas commands high prices for distinct reasons:
- Playa de San Juan (Alicante): limited beachfront supply within a major city with full urban services year-round
- Jávea/Xàbia: strong demand from Belgian, Dutch, and German lifestyle buyers seeking quiet international villages
- Les Marines/Las Marinas (Dénia): direct beach access with low-density villa stock and protected coastal views
Which areas in Costa Blanca have the most affordable property prices in 2026?
As of early 2026, the most affordable areas in Costa Blanca include the inland town of Elda (around €900 per square meter), Torrevieja Centro (around €2,000 per square meter), and Dénia's Saladar neighborhood (around €2,050 per square meter).
In these budget-friendly Costa Blanca locations, prices typically range from €900 to €2,300 per square meter, offering entry points roughly 40% to 75% below the premium coastal neighborhoods.
The main trade-off in these affordable areas is that Elda sits 30 kilometers inland with local employment-based demand only, Torrevieja Centro has older building stock and higher density than beachfront zones, and Saladar in Dénia lacks the direct beach access that drives Les Marines prices higher.
You can also read our latest analysis regarding housing prices in Costa Blanca.
We created this infographic to give you a simple idea of how much it costs to buy property in different parts of Spain. As you can see, it breaks down price ranges and property types for popular cities in the country. We hope this makes it easier to explore your options and understand the market.
Which Areas in Costa Blanca Offer the Best Rental Yields?
Which neighborhoods in Costa Blanca have the highest gross rental yields in 2026?
As of early 2026, the Costa Blanca neighborhoods with the highest gross rental yields include Punta Prima in Torrevieja (around 6.4%), Torrevieja overall (around 6.2%), Alicante city-wide (around 6.2%), and Cabo de las Huertas in Alicante (around 5.3%).
Across Costa Blanca as a whole, typical gross rental yields for investment properties range from 4% to 6.5%, with the "value coast" areas around Torrevieja and Orihuela Costa consistently outperforming the premium lifestyle markets in the north.
These top-yielding neighborhoods deliver higher returns than other Costa Blanca areas for specific reasons:
- Punta Prima (Torrevieja): moderate purchase prices around €2,400 per square meter combined with strong year-round rental demand
- Torrevieja overall: large international resident community creates stable long-term tenant pool at lower price points
- Alicante city: diversified demand from students, professionals, and expats across multiple rental segments
- Cabo de las Huertas: coastal appeal with prices below nearby Playa de San Juan keeps yields above 5%
Finally, please note that we cover the rental yields in Costa Blanca here.
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Which Areas in Costa Blanca Are Best for Short-Term Vacation Rentals?
Which neighborhoods in Costa Blanca perform best on Airbnb in 2026?
As of early 2026, the Costa Blanca neighborhoods with the strongest Airbnb performance include Benidorm's Levante and Poniente beach zones (around 58% occupancy with €160 average nightly rates), Alicante's Centro and port areas, and Calpe's beachfront Arenal-Bol strip.
In these top-performing short-term rental areas of Costa Blanca, monthly revenues typically range from €1,200 to €2,500 depending on property size and seasonality, with well-managed two-bedroom apartments in Benidorm potentially generating €18,000 to €24,000 annually before expenses.
Each of these Costa Blanca neighborhoods outperforms others for short-term rentals for distinct reasons:
- Benidorm Levante/Poniente: year-round tourism infrastructure with nightlife, restaurants, and beach access within walking distance
- Alicante Centro: urban tourism demand plus cruise ship visitors and business travelers create diverse booking sources
- Calpe Arenal-Bol: iconic Peñón de Ifach rock landmark attracts international tourists seeking day-trip bases
By the way, we also have a blog article detailing whether owning an Airbnb rental is profitable in Costa Blanca.
Which tourist areas in Costa Blanca are becoming oversaturated with short-term rentals?
The Costa Blanca areas showing signs of short-term rental oversaturation include central Alicante city (where the municipality has capped new licenses in "saturated zones"), Benidorm's high-rise districts with nearly 4,000 active listings, and parts of Torrevieja Centro where unlicensed properties face increasing enforcement.
In these oversaturated Costa Blanca zones, the density of active short-term rental listings has reached levels where Alicante city has applied a saturation index cap of 0.187 tourist places per inhabitant, and Benidorm alone accounts for approximately 3,900 to 4,400 vacation rental properties competing for bookings.
The clearest indicator that these Costa Blanca areas have reached oversaturation is regulatory action: Alicante city now refuses new tourist accommodation licenses in zones exceeding the saturation threshold, the Generalitat Valenciana is actively cleaning its VUT registry and removing unlicensed properties, and Spain's new 2025 national rental registry (NRUA/VUD) requires all short-term rentals to display a verified ID or be delisted from Airbnb and Booking.com.
We have made this infographic to give you a quick and clear snapshot of the property market in Spain. It highlights key facts like rental prices, yields, and property costs both in city centers and outside, so you can easily compare opportunities. We’ve done some research and also included useful insights about the country’s economy, like GDP, population, and interest rates, to help you understand the bigger picture.
Which Areas in Costa Blanca Are Best for Long-Term Rentals?
Which neighborhoods in Costa Blanca have the strongest demand for long-term tenants?
The Costa Blanca neighborhoods with the strongest long-term rental demand include Alicante city (diversified tenant base), Torrevieja (large resident expat community), Playa de San Juan in Alicante (family-oriented), and Orihuela Costa's Playa Flamenca and Villamartin areas (retiree and golf community focused).
In these high-demand Costa Blanca rental markets, vacancy rates are typically low and properties rent within 2 to 4 weeks, particularly for well-maintained apartments priced competitively in areas with year-round services.
The dominant tenant profiles driving demand in each of these Costa Blanca neighborhoods include:
- Alicante city: young Spanish professionals, university students, and dual-income families seeking urban amenities
- Torrevieja: Northern European retirees and long-stay expats seeking affordable coastal living with English-speaking services
- Playa de San Juan: Spanish and international families with higher budgets prioritizing beach access and schools
- Orihuela Costa: golf enthusiasts and retired couples seeking gated communities with shared pools and low maintenance
The key characteristic making these neighborhoods attractive to long-term tenants is year-round services: Alicante and Torrevieja offer full healthcare, shopping, and transport infrastructure, while Playa de San Juan and Orihuela Costa provide lifestyle amenities like beaches, golf courses, and international schools that justify higher rents.
Finally, please note that we provide a very granular rental analysis in our property pack about Costa Blanca.
What are the average long-term monthly rents by neighborhood in Costa Blanca in 2026?
As of early 2026, average long-term monthly rents in Costa Blanca range from around €12 per square meter in Torrevieja and Dénia's Les Marines to €15 per square meter in premium areas like Playa de San Juan and Cabo de las Huertas in Alicante.
For entry-level apartments in affordable Costa Blanca neighborhoods like Torrevieja Centro or inland Elda, typical monthly rents for a 70-square-meter two-bedroom apartment range from €600 to €850.
In average-priced Costa Blanca neighborhoods such as Alicante Centro or Dénia town, mid-range two-bedroom apartments typically rent for €900 to €1,100 per month.
In the most expensive Costa Blanca neighborhoods like Playa de San Juan, Cabo de las Huertas, or Jávea's coastal areas, high-end apartments rent for €1,200 to €1,600 per month, with larger properties or sea-view units commanding €2,000 or more.
You may want to check our latest analysis about the rents in Costa Blanca here.
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Which Are the Up-and-Coming Areas to Invest in Costa Blanca?
Which neighborhoods in Costa Blanca are gentrifying and attracting new investors in 2026?
As of early 2026, the Costa Blanca neighborhoods experiencing gentrification and attracting new investors include Elda (strong price momentum from a low base), Alicante's Benalúa and Babel districts (urban renewal projects), Villajoyosa (growing foreign buyer interest), and Guardamar del Segura (new construction attracting retirees and second-home buyers).
These gentrifying Costa Blanca neighborhoods have experienced recent annual price appreciation rates of 10% to 20%, with Elda recording approximately 19% year-on-year growth in late 2025, significantly outpacing the regional average of 5% to 8%.
Which areas in Costa Blanca have major infrastructure projects planned that will boost prices?
The Costa Blanca areas with major infrastructure projects expected to boost property prices include the Alicante-Elche airport corridor (€1.15 billion expansion through 2031), the Marina Alta region served by the planned Dénia-Gandia tram extension, and municipalities along the Alicante TRAM network receiving upgrades under the €840 million FGV Action Plan 2026-2030.
Specific infrastructure projects in these Costa Blanca areas include the Alicante-Elche Airport terminal expansion (30% capacity increase with improved taxiways), the FGV TRAM network modernization with a new Jesús Pobre-Pedreguer stop serving the Marina Alta, and potential Dénia-Gandia rail connection studies now funded by the Generalitat.
Historically in Costa Blanca, areas near completed transport infrastructure have seen price increases of 8% to 15% above regional averages within three to five years of project completion, particularly when rail or tram access reduces commute times to Alicante city or the airport.
You'll find our latest property market analysis about Costa Blanca here.
We did some research and made this infographic to help you quickly compare rental yields of the major cities in Spain versus those in neighboring countries. It provides a clear view of how this country positions itself as a real estate investment destination, which might interest you if you’re planning to invest there.
Which Areas in Costa Blanca Should I Avoid as a Property Investor?
Which neighborhoods in Costa Blanca with lots of problems I should avoid and why?
The Costa Blanca neighborhoods that present the most challenges for property investors include central zones of Alicante city where new tourist licenses are blocked (if your plan depends on Airbnb), ultra-cheap inland pockets with thin resale demand, and high-density older stock areas in parts of Torrevieja Centro and Benidorm's high-rise districts with community fee issues.
Each of these problematic Costa Blanca areas has specific issues:
- Alicante city saturated zones: new short-term rental licenses are prohibited, killing Airbnb strategies even if demand exists
- Inland value towns (like parts of Elda/Petrer): local employment-dependent demand means limited foreign buyer interest and slow resale
- Torrevieja Centro older blocks: aging building stock with high community fees and deferred maintenance creates unexpected costs
- Benidorm high-rise towers: regulatory scrutiny on unlicensed rentals and HOA restrictions can block investment returns
For these neighborhoods to become viable investment options in Costa Blanca, Alicante would need to lift saturation caps (unlikely), inland towns would need new industry or tourism infrastructure, and older coastal blocks would require community-wide renovation investments that raise all values.
Buying a property in the wrong neighborhood is one of the mistakes we cover in our list of risks and pitfalls people face when buying property in Costa Blanca.
Which areas in Costa Blanca have stagnant or declining property prices as of 2026?
As of early 2026, true price stagnation is rare across Costa Blanca given the 13% regional growth, but relative underperformers include some older urbanization complexes in Orihuela Costa with dated infrastructure, specific blocks in Torrevieja Centro with deferred maintenance, and inland municipalities distant from both coast and transport links.
These underperforming Costa Blanca areas have experienced growth rates of 0% to 5% annually over the past few years, significantly trailing the regional average of 10% to 15%, which in real terms represents stagnation or slight decline after inflation.
The underlying causes of price weakness in these Costa Blanca areas differ:
- Older Orihuela Costa urbanizations: competition from newer developments with modern amenities and energy efficiency draws buyers away
- Torrevieja Centro older blocks: lack of community investment in common areas reduces buyer appeal despite low entry prices
- Remote inland municipalities: limited transport connectivity and no beach access mean demand depends entirely on local Spanish buyers
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Which Areas in Costa Blanca Have the Best Long-Term Appreciation Potential?
Which areas in Costa Blanca have historically appreciated the most recently?
The Costa Blanca areas that have appreciated the most over the past five to ten years include Jávea/Xàbia, Moraira, Altea, and Playa de San Juan in Alicante, all of which have seen cumulative price increases of 50% to 85% in nominal terms since 2016.
The approximate appreciation percentages for these top-performing Costa Blanca areas include:
- Jávea/Xàbia: approximately 70% to 85% total appreciation over ten years, driven by sustained Northern European demand
- Moraira: approximately 60% to 75% appreciation with premium villa segment outperforming apartments
- Altea: approximately 55% to 70% appreciation supported by artistic community appeal and limited coastal supply
- Playa de San Juan (Alicante): approximately 65% to 80% appreciation as beachfront city living became increasingly scarce
The main driver behind above-average appreciation in these Costa Blanca areas is structural supply constraint: limited buildable coastal land, planning restrictions protecting village character, and sustained demand from solvent international buyers who purchase with cash or large down payments.
By the way, you will find much more detailed trends and forecasts in our pack covering there is to know about buying a property in Costa Blanca.
Which neighborhoods in Costa Blanca are expected to see price growth in coming years?
The Costa Blanca neighborhoods expected to see the strongest price growth in coming years include Villajoyosa (catching up to neighboring Benidorm and Altea), Guardamar del Segura (new developments attracting retirees), Alicante's Benalúa district (urban renewal), and the Jesús Pobre-Pedreguer corridor (future TRAM station).
Projected annual price growth for these high-potential Costa Blanca neighborhoods includes:
- Villajoyosa: estimated 7% to 10% annual growth as it benefits from spillover demand from pricier neighbors
- Guardamar del Segura: estimated 6% to 9% growth supported by new beach-adjacent construction projects
- Alicante Benalúa: estimated 8% to 12% growth as urban regeneration attracts young professionals and families
- Jesús Pobre-Pedreguer: estimated 10% to 15% growth if the planned TRAM station is confirmed and built by 2030
The single most important catalyst expected to drive future price growth in these Costa Blanca neighborhoods is improved transport connectivity, whether through the airport expansion bringing more international buyers, TRAM network extensions reducing commute times, or new development infrastructure that makes previously overlooked areas accessible and attractive.
We made this infographic to show you how property prices in Spain compare to other big cities across the region. It breaks down the average price per square meter in city centers, so you can see how cities stack up. It’s an easy way to spot where you might get the best value for your money. We hope you like it.
What Do Locals and Expats Really Think About Different Areas in Costa Blanca?
Which areas in Costa Blanca do local residents consider the most desirable to live?
The Costa Blanca areas that local Spanish residents consider most desirable to live include Alicante's Playa de San Juan (family beach neighborhood), Altea's old town (cultural appeal), Jávea's port and Arenal areas (village lifestyle), and Dénia town center (historic charm with full services).
The main qualities making these areas desirable to Costa Blanca locals include:
- Playa de San Juan: excellent public schools, tram connection to Alicante center, and safe family-oriented beach environment
- Altea old town: artistic community, traditional architecture, and quieter pace away from mass tourism
- Jávea port and Arenal: authentic village feel with year-round restaurants, marina, and Spanish-speaking neighbors
- Dénia town center: historic castle district, local markets, and train connection to Valencia and Alicante
The typical resident demographic in these locally-preferred Costa Blanca areas includes established Spanish families with school-age children, professionals commuting to Alicante or Valencia, and retired Spanish couples seeking quality coastal living without the tourist crowds.
Local preferences in Costa Blanca largely align with what foreign investors target for long-term rental strategies (stable demand, quality tenants), but differ from short-term rental investors who often prefer high-tourism zones like Benidorm that locals generally avoid for permanent residence.
Which neighborhoods in Costa Blanca have the best reputation among expat communities?
The Costa Blanca neighborhoods with the best reputation among expat communities include Jávea/Xàbia (large British, Dutch, and German community), Moraira (Belgian and Dutch focus), Torrevieja and Orihuela Costa (British and Scandinavian retirees), and Altea (artistic international community).
The main reasons expats prefer these Costa Blanca neighborhoods over others include:
- Jávea/Xàbia: established English-speaking services, international schools, and active social clubs for Northern Europeans
- Moraira: quieter upscale village atmosphere with strong Belgian and Dutch networks and premium dining scene
- Torrevieja/Orihuela Costa: affordable living costs, large existing expat support infrastructure, and golf course access
- Altea: cultural events, art galleries, and an international creative community in a picturesque whitewashed setting
The typical expat profile in these popular Costa Blanca neighborhoods includes Northern European retirees aged 55 to 75 seeking year-round mild climate, semi-retired professionals working remotely, and families relocating for lifestyle reasons who prioritize international school access and English-speaking healthcare.
Which areas in Costa Blanca do locals say are overhyped by foreign buyers?
The Costa Blanca areas that locals commonly describe as overhyped by foreign buyers include Benidorm's high-rise beach districts (seen as tourist-only), parts of Torrevieja with older apartment blocks marketed as "investment opportunities," and certain Jávea hillside developments with limited walkability.
The main reasons locals believe these Costa Blanca areas are overvalued include:
- Benidorm high-rises: prices reflect tourist demand not residential quality, with noise and density unsuitable for families
- Torrevieja older blocks: marketed as "cheap beachfront" but community fees and renovation needs erode actual value
- Jávea hillside urbanizations: stunning views but car-dependent with limited services, unappealing for year-round living
Foreign buyers typically value these areas for their perceived "beach lifestyle" imagery and lower entry prices compared to their home countries, while locals recognize that walkability, year-round services, and community maintenance matter more for actual quality of life than view photos suggest.
By the way, we've written a blog article detailing the experience of buying a property as a foreigner in Costa Blanca.
Which areas in Costa Blanca are considered boring or undesirable by residents?
The Costa Blanca areas that residents commonly consider boring or undesirable include purely residential urbanizations in inland Orihuela (limited nightlife or culture), car-dependent sprawl developments far from town centers, and seasonal-only resort areas that close down outside summer months.
The main reasons residents find these Costa Blanca areas boring or undesirable include:
- Inland residential urbanizations: designed for car access only with no walkable restaurants, cafes, or social spaces
- Remote sprawl developments: low density means no neighbors to socialize with and long drives for basic shopping
- Seasonal resort areas: 80% of businesses close from October to April leaving residents isolated for half the year
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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 |
|---|---|---|
| Colegio de Registradores (ERI) | Official nationwide property registry covering almost all recorded transactions in Spain. | We used this to establish market direction, foreign buyer concentration, and transaction volumes across Costa Blanca municipalities. We treat it as our primary source for cycle and demand data. |
| Idealista | Spain's largest property portal with consistent neighborhood-level pricing and rent data. | We extracted price per square meter and rent figures for specific Costa Blanca neighborhoods to calculate yields and compare micro-locations. We cross-referenced with registry data to avoid listing-only bias. |
| Consejo General del Notariado | Official notary-backed dataset based on actual signed deed transactions. | We used this to validate "real prices paid" versus listing prices. We also checked transaction momentum and foreign buyer nationality breakdowns. |
| Colegio Notarial de Valencia | Republishes official notary statistics with provincial and municipal breakdowns for Alicante. | We used this to pinpoint where foreign buyers concentrate in Alicante province and to validate demand patterns by nationality in tourist municipalities. |
| Banco de España | Spain's central bank with research publications on housing market fundamentals. | We used their housing market papers to frame macro risks like credit conditions, affordability, and supply constraints that affect Costa Blanca investors. |
| AirDNA | Professional short-term rental data provider tracking Airbnb and Vrbo listings. | We used their Benidorm and Alicante data to benchmark occupancy rates, average daily rates, and seasonal patterns for short-term rental analysis. |
| Ayuntamiento de Alicante | Official city government communications about planning and regulatory actions. | We tracked tourist accommodation regulations and saturation zone policies that affect short-term rental viability in Alicante city neighborhoods. |
| Generalitat Valenciana Tourism Authority | Regional government's operational guidance on tourist rental registration and compliance. | We monitored VUT registry updates, enforcement directions, and licensing requirements that determine legal short-term rental operations across Costa Blanca. |
| datos.gob.es | Spanish government's official open-data portal for public datasets. | We used this to validate that our registry and statistical sources are formal public datasets with transparent methodology. |
| Spanish Property Insight | Independent property market analysis with detailed regional breakdowns. | We referenced their Costa Blanca market reports for trend validation and foreign buyer activity context. |
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