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Decline In Property Sales In Torrevieja

Posted: 22 Mar 2026 06:50
by Carl
https://www.informacion.es/economia/202 ... 28594.html

Google translate, excluding video and images:

The real estate market is turning around: more homes are sold in Elda, Villena or Castalla and business is falling in Alicante, Torrevieja or Benidorm.

High prices on the coast and in large cities are shifting demand towards inland towns, which are still affordable.

High prices are beginning to take their toll on the major traditional drivers of the province's real estate sector and are changing market dynamics. While large cities like Alicante and Elche, or major coastal towns like Torrevieja, Orihuela, and Benidorm, saw stagnation or a decline in home sales last year, inland municipalities experienced a considerable increase in demand.

This is a trend that real estate agencies in these towns had already been announcing - some local councils have even expressed concern about the issue - and which is now confirmed by statistics from the Ministry of Transport and Sustainable Mobility.

In total, according to these statistics, which are based on deeds signed before a notary, 56,687 properties were sold in the province last year, representing a slight decrease of 0.7%. This trend is clearly influenced by what happened in the main real estate markets of the region, led by the city of Alicante, where 7,014 transactions were recorded, 108 fewer than the previous year.

Activity also fell in Torrevieja, which recorded 6,913 transactions, a decrease of 347; and in Orihuela, which registered 4,992 transactions, 406 fewer. Similarly, buyers were less active in Benidorm, with 2,174 properties sold, 143 fewer than a year earlier.

Coast

The situation is repeated in practically all the coastal municipalities of the province, with some exceptions such as Dénia, where 199 more houses were sold than in 2024, totaling 1,967.

To a large extent, all these towns correspond to those with higher prices, such as Benidorm, where more than 3,500 euros per square meter are already being asked, or Alicante, where it is almost 2,500 euros, on average.

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Faced with this situation, many young people and immigrants see inland towns as the only alternative for buying a decent home, even if it means daily commutes to work. Thus, little by little, demand is shifting from the large coastal centers to the municipalities located along the major highways that cross the province.

This is the case in Elda, where 1,225 homes were sold last year, 21% more than the previous year. In Monforte , sales increased by 17.3%, with a total of 250 transactions, and in Villena, sales rose by 53%, with 716 formalized before a notary.

A similar trend occurred in the area surrounding the highway towards Alcoy. In Ibi, 397 houses were sold, a 26% increase; in Castalla, 359, a 23% increase; and in Onil, 215, a 40% increase. Muro, Alcoy itself, and Cocentaina were among the other towns that benefited from this particular exodus inland.

To explain it better, a simple price comparison is enough: compared to 2,500 euros in the city of Alicante, in Villena the average cost per square meter barely reaches 691 euros; in Elda, 919; or in Ibi, 1,031; amounts that for many justify getting up a little earlier to go to work.

Re: Decline In Property Sales In Torrevieja

Posted: 23 Mar 2026 09:44
by Bee
I read another report which said there were less buyers from Northern Europe from countries like GB and Germany etc. Which has led to the fall off in sales in the traditional coastal towns like Torrevieja along the Costa Blanca.

Bee

Re: Decline In Property Sales In Torrevieja

Posted: 23 Mar 2026 21:31
by Carl
Bee wrote: 23 Mar 2026 09:44 I read another report which said there were less buyers from Northern Europe from countries like GB and Germany etc. Which has led to the fall off in sales in the traditional coastal towns like Torrevieja along the Costa Blanca.

Bee
Certainly the buyers from the Nordic countries were reportedly being put off by the poor exchange rates, but had not seen anything mentioned about less buyers from other countries in Northern Europe.

Interesting that the property sales declined whilst the resident population increased significantly in the year, perhaps suggesting people opting for renting over purchasing.

Looking at figures elsewhere, the percentage of income needed to buy in Torrevieja is currently 63%, whereas 35% is generally considered to be the sustainable percentage of income benchmark.

Re: Decline In Property Sales In Torrevieja

Posted: 24 Mar 2026 10:38
by Bee
There seems to be no let up in property price rises. According to BBVA they see a further increase this year due to housing shortages.

BBVA Research does not foresee an immediate end to the surge in housing prices in Spain. According to the latest report published by the financial institution's research department, prices will continue to rise both this year and next, further straining access to the residential market.

Their data suggests that housing prices could rise by 10.2% this year , after having experienced the largest increase in the INE's historical series in 2025 -12.7%-, and that they will rebound by an additional 6.8% in 2027.

Behind the rising cost of real estate lies Spain's growing housing deficit, with insufficient supply to meet current demand. However, this situation will also bring some positive news. For example, BBVA Research estimates that the weight of housing investment in the Spanish economy will continue to rise , supported by favorable fundamentals for demand growth. Specifically, it believes that investment in residential construction could increase from 5.5% of GDP in 2025 to 6% in 2027, registering average annual variations of 6.2% and 6.9%, respectively.

https://tinyurl.com/2p8yh7ru

This article from Spanish Property Insight is interesting on the decline in non-resident property buyers

https://www.spanishpropertyinsight.com/ ... y-in-2025/

Bee