Living in Alicante is getting pricier as housing hits record highs

Whether you’re looking in the city or along the coast, finding an affordable home in Alicante is becoming tougher

Living in Alicante is costing more than ever, and housing is the main reason. According to the latest IMIE Local Markets report from Tinsa by Accumin, house prices in the province rose by 17% in 2025. This makes Alicante one of the most pressured housing markets in Spain. Only Madrid recorded a higher annual increase.

What stands out is that the price rise isn’t limited to just Alicante city or the coast. From Benidorm and Torrevieja to Elche, Orihuela, Elda and Alcoy, prices are climbing almost everywhere, well above both the national average of 13.1% and the wider Valencian Community, which is 15.9%.

But homes are still flying off the market. Alicante recorded 41.7 property sales per 1,000 homes, far higher than the national average. Homes are changing hands quickly, and with limited supply, competition between buyers is pushing prices even higher.

In Alicante city, prices rose by 14.7% last year, placing it among Spain’s fastest-growing capitals. For the first time, listed prices have exceeded the highs of the 2007 property bubble, although they remain lower in real terms once inflation is taken into account.

Tourist areas are seeing even sharper increases. Benidorm leads the way with a 19.1% annual rise, reaching an average of €2,398 per square metre, driven by strong national and international demand. Torrevieja follows closely, with prices up 16% year-on-year, fuelled largely by second homes and foreign buyers.

Even further inland, Elche also saw a significant increase of 15.6%, linked more to permanent residents and employment growth than tourism. Meanwhile, inland cities like Elda and Alcoy remain more affordable, although prices there are rising too.

Households are already feeling the impact. In Alicante, the average family now needs to spend 41% of its available income on their first mortgage payment, well above what is considered sustainable. As the availability of homes remains limited, pressure on prices is likely to continue into 2026.

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