Housing costs soar in Alicante, Benidorm and Orihuela as prices top €2,700 per square metre
Alicante province is outpacing the national average with one of Spain’s fastest-growing housing markets
The housing market in Alicante province has started 2026 on a high note, with prices continuing to climb across the main cities. According to Tinsa’s IMIE Local Markets report for the first quarter, the average price in the province now stands at €1,877 per square metre, up 18.3% year-on-year and 4.2% since last quarter.
Always popular Benidorm leads the way, with homes reaching an average €2,786 per square metre. Prices there have jumped 20.5% over the past year and 2.7% in the last three months, reflecting its strong appeal to both long-term expats and tourists.
Other coastal municipalities are following a similar trend. In Orihuela, the average price is €1,986 per square metre, rising 15.4% over the year and 4.8% in the last quarter. Alicante city itself has seen prices increase by 16.1% year-on-year, now averaging €1,980 per square metre, with a 2.6% quarterly gain. Torrevieja is close behind at €1,859 per square metre, up 15% annually.
Prices are also rising in inland towns, although a bit more moderately. Elche averages €1,552 per square metre after a 16.2% yearly increase and a quarterly jump of 6.4%. Elda sits at €866 per square metre (+13% year-on-year) and Alcoy remains the most affordable at €802 per square metre, with a slight quarterly drop of 0.9%.
The province’s overall growth of 18.3% puts it well above the national average of 14.3%, making Alicante one of the most dynamic housing markets in Spain right now. Only areas like Toledo, Albacete and Madrid have recorded larger annual increases.
The demand for new homes is also pushing up construction activity. In January, 213 new buildings were approved across Alicante province, up 18.3% on the same month last year. Most of these are residential, with 209 new projects compared to 172 in January 2025.
Alicante’s property market is showing no sign of cooling yet, with strong demand along the coast keeping prices high and construction busy as the year really gets underway.
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