According to the report “On the Development and Trends of the luxury housing market in Spain for 2025–26,” prepared by the Tecnicasa group, the province of Alicante stands out as one of the most dynamic destinations. While the average price growth in Spain stands at 10.87%, in Alicante it reaches 13.27%, with strong potential in the premium segment.
In the national context, Alicante represents a market that is in a consolidation phase, with an average luxury property price of around €4.5 million and more affordable prices compared to other premium-class markets, which increases its appeal to foreign buyers.
Consolidation Phase and Supply Shortage
Looking ahead, the report points to a consolidation phase with projected nationwide growth ranging from 6% to 8%. This moderation is explained by the market’s maturity – especially in the most established destinations. Limited supply and strong demand will continue to support property values in conditions that are more likely to encourage the redistribution of investments than to restrain them.
The structural shortage of supply is one of the foundations of the market at the national level. New properties account for only 3.7% of visible stock, since most development takes place through self-build projects, individual initiatives, or small-scale developer projects.
The Role of Foreign Buyers and Demand Geography
In Alicante, foreign buyers play a particularly important role. Special attention is drawn to Polish citizens, who are becoming one of the key premium segments alongside the Benelux countries, while the United Kingdom and France continue to maintain a significant presence.
The market shows a more diversified distribution than in other regions and is concentrated in various areas of the northern Costa Blanca coast – Altea, Javea, Moraira, Benissa – where property prices depend on such factors as sea views, orientation, and the quality of the surrounding environment.
There is also a greater presence of domestic buyers here than in other luxury housing markets. This is especially noticeable in the southern Costa Blanca, where more affordable prices make it possible to use property as a primary residence or for long-term living.
A New Model for Premium Property Use
The luxury real estate market in Spain is evolving toward longer and more functional use, and in Alicante province this trend is reflected in the strengthening of a residential model associated with the Mediterranean lifestyle.
In this context, two main typologies coexist: villas in the northern part of the Costa Blanca, where privacy, land plots, and views are the priority, and high-rise properties within larger residential complexes, where value is based on architectural design and the integration of services. In addition, resort-style amenities (spa, gym, coworking, or leisure areas) are widely represented on the market, allowing homes to be used intensively throughout the year and reducing dependence on seasonality.
The luxury housing market in Spain is developing toward a “quiet luxury” model, in which value is built on the actual use of the property, well-being, and consistency between the product and lifestyle. In Alicante province, this concept is embodied in a type of luxury closely connected to the surroundings, orientation, and the living experience, where such factors as sea views, sun exposure, and the opportunity to enjoy outdoor living are of particular importance.
