Alicante City Guide

Alicante, the gateway city of the Costa Blanca, is the most international property market in Spain. Foreign buyers account for close to half of all transactions in the province, drawn by 300-plus days of sunshine a year, a busy international airport and direct beach access. Prices have climbed sharply: the city average reached roughly 2,435-2,508 euros per square metre by early 2026, a year-on-year rise of around 16%, yet values remain affordable next to Spain's capitals and prime coastal hotspots. Rental yields are competitive at about 5.5% gross for long lets, while short-term holiday rentals in premium seafront areas can return 6-10% per annum given the year-round tourism season. Demand is broad-based (UK, German, Dutch, Scandinavian and Belgian buyers dominate the international segment), and emerging neighbourhoods such as San Blas-PAU and Villafranqueza posted growth above 22% in 2025. Nearby Costa Blanca markets like Torrevieja, La Mata and Punta Prima offer higher-yield, lower-priced alternatives. As a Eurozone destination Alicante provides currency and legal stability, but investors must weigh genuine risks: rapid price appreciation raises overheating concerns, Spain ended its Golden Visa in 2025 (removing the residency-by-purchase route), and several municipalities are tightening short-term-rental licensing.