The residential market along the coast of Alicante province exhibits divided dynamics between neighboring municipalities. According to a study by Tinsa by Accumin, the Costa Blanca has shown a notable contrast between Elche and Santa Pola during the first quarter of 2026. Both cities have a significant coastal real estate market, often intended for second homes or vacation dwellings, and the pressure from this segment unequally impacts accessibility for local residents.
Santa Pola is affected throughout the municipality by this dynamic, while Elche maintains growth with lower levels and less economic effort to access housing. During the first quarter of the year, both municipalities experienced double-digit price increases. In Elche, the average housing value stood at €1,553/m², a year-on-year increase of 16.3%. This growth aligns with previous reports already indicating a 17.5% year-on-year increase in the city of Elche.
The rise has been even more aggressive in Santa Pola, where the square meter price soared by 24.9% year-on-year, reaching an average price of €2,245/m². Properties exclusively for second residences on the Costa Blanca, between Campello and Santa Pola, are valued on average at €3,500/m², attracting buyers with higher purchasing power that pressures overall land values. Although both municipalities are below these tiers, their prices are already high.
Comparing with the real estate bubble period, the average housing price in Santa Pola already exceeds its nominal maximum of 2007/2008 by 4.8%. However, adjusted for inflation, it remains 27.2% below its historical peak. Elche, on the other hand, maintains a wider gap, standing 11.1% below its nominal highs and 36.6% in real terms.
Regarding the volume of sales during 2025, figures confirm a trend towards market stabilization. Elche recorded 3,611 sales, with a minimal variation of -0.1% compared to 2024. Santa Pola experienced a greater cooling, with 1,927 transactions, a moderate contraction of -3.7%.
The most concerning indicator is the financial effort required for housing acquisition. In Elche, 32% of the average disposable income is required, below the provincial average (39%), but within recommended limits. In Santa Pola, the effort rate reaches 46% of family disposable income, a critical tension scenario due to the competition of vacation property prices with local wages.
Neither Elche nor Santa Pola are immune to the upward trend in coastal property prices, despite being far from provincial highs. The situation, considering average family incomes below the provincial average, is a cause for concern.
