Is Property in Alicante Actually Worth the Money?

This is probably one of the most debated topics about living in Alicante right now — and one I have a clear view on, having watched the market from the inside for several years.
I'm not a real estate expert. But I live here, I see the prices, and I watch what's happening on the ground. That counts for something.
Prices Have Gone Up. Significantly.
Over the past few years, property prices in Alicante have risen by several tens of percent. Some of that growth is real — there are genuinely good developers offering well-located new builds with quality finishes, and there are properties on the market that are worth what they're asking.
But there's another side to this market that doesn't make it into the analytics reports.
The Alicante Real Estate Gold Rush
Getting a real estate licence in Spain is not particularly difficult. And recently, the number of people presenting themselves as property experts, consultants, and specialist agents has exploded. Many of them are cycling through the same listings, calling each one a unique opportunity at an unbeatable price.
In my personal experience, the situation sometimes reaches the point of absurdity — genuinely old properties in poor condition, in some of the less convenient and less safe parts of the city, being marketed at staggeringly high prices. The market is going up and everyone wants a piece of it.
Who Is Actually Buying?
Various analytical reports put the share of foreign buyers in Alicante province at somewhere between 45 and 50 percent of all transactions. That's easy to believe when you look at local salaries — the average wage here sits somewhere between €1,400 and €1,600 per month.
For most local residents, buying property in Alicante right now is simply not a realistic option. This is not a minor issue — it's a significant social problem, and one that's getting harder to ignore.
Is It a Bubble?
Probably not a classic speculative bubble in the 2007 sense. There is real demand and a genuine shortage of supply. But this is not Monaco and it's not California. The region has its own characteristics, its own economic realities, and there's no particular reason to assume this level of growth is sustainable indefinitely.
A market that depends on 45–50% foreign buyers is not a foundation — it's a dependency. What happens when they stop coming? Nobody knows. But it would be better not to find out through your own mortgage.
My View — May 2026
Not the best time to buy. That's my honest opinion.
If a purchase is necessary — take your time, negotiate hard, and do enough research to avoid paying a €300,000 mortgage on a property that's worth €240,000 at best. And be sceptical of anyone telling you prices will only go up from here.

• They said the same thing in 2006.