Costa Blanca: overview of cities for buying property in 2021


At the end of the first six months of 2021, the Costa Blanca was among the coastal regions of Spain with the most noticeable drop in residential property prices compared to the same period last year. However, this trend did not affect all settlements in the province of Alicante and, most likely, it was temporary, since already in July the situation began to change in the opposite direction.

Thus, housing prices rose the most in cities such as Rojales (44.2% per year and 2.7% per month), Benissa (24.1% and 1.4%), Altea (by 9.2% and 1. 1%) and Calpe (7% and 1.7%). Last July, prices reached their historical maximum in Altea, Alfaz del Pi, Benissa, Calpe, Orihuela and Javea, where, by the way, the street with the most expensive properties in the entire Valencian Community is located (average price – 3.08 million euros).


Costa Blanca: overview of cities for buying property in 2021

Price increases took place in almost all other places that are extremely popular both among foreign investors and among Spanish residents who decided to buy property on the Costa Blanca with the aim of using it as a “second home.” The only exceptions from the number of coastal cities were Alicante (-3.5% for the year and -0.4% for the month) and its suburb of San Juan de Alicante (-0.1% and -0.6%).


Average cost of 1 sq.m. housing on the Costa Blanca in July 2021 (in euros)

  • Moraira – 3067

  • Benissa – 2643

  • Javea – 2496

  • Altea – 2233

  • Calpe – 2215

  • Alfaz del Pi – 2164

  • Benidorm – 2136

  • Denia – 2008

  • Pilar de la Horadada – 1877

  • Orihuela – 1816

  • Villajoyosa – 1570

  • Guardamar del Segura – 1544

  • Rojales – 1524

  • Santa Pola – 1474

  • Alicante – 1463

  • Torrevieja – 1443

  • Elche – 1060

  • The average for the province of Alicante is 1689

  • The average for the Valencian Community is 1493

  • The average for Spain is 1826

Currently, the majority of holiday home buyers on the Costa Blanca are Spanish citizens and residents from other autonomous communities of the country, since many countries, including Russia and the UK, do not yet have bilateral agreements on the recognition of so-called “Covid passports”. However, there is a gradual return to the pre-crisis level – mainly due to the French, Germans and representatives of the Scandinavian countries.

On the other hand, after many companies switched to remote work due to the Covid-19 pandemic, and the Spanish government announced the provision of residence permits in Spain to “digital nomads”, apartments on the Costa Blanca began to be considered as the main place of residence . This is facilitated by the presence of a large number of residential complexes, urbanizations and detached houses with land plots, which are located adjacent to “green areas” and away from large crowds of people, but at the same time have all the necessary infrastructure within walking distance.


Costa Blanca: overview of cities for buying property in 2021

The construction of new housing is most active in Denia (238 new buildings), followed by Santa Pola (196), Elche (158), San Juan de Alicante (146) and Guardamar del Segura (95). Overall, the number of residential properties whose construction began in the second quarter of 2021 increased by 62% compared to the same period last year and by 28% compared to the previous quarter.

As for sales volumes, the first quarter can be indicative, during which 8,900 sales transactions were concluded for a total amount of 1.2 billion euros. This is respectively 2.7% and 7.5% more than the same period in 2020, when all operations in the real estate market were stopped only during the last two weeks of March. The top ten cities on the Costa Blanca, where increased activity in the real estate market was noted, included Alicante, Torrevieja, Elche, Benidorm, Orihuela, Denia, Santa Pola, Pilar de la Horadada, Javea and Alcoy.


 



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