Foreign interest soars: Luxury property market booms in Alicante province

The Alicante province’s real estate market is experiencing a surge in foreign interest, particularly from luxury property buyers.

Data from the Institute of Economic Studies of Alicante (INECA) and real estate agency Engel & Völkers reveal a significant increase in purchases of properties priced over €1m by foreign buyers.

Foreign buyers, predominantly from Belgium, the Netherlands, Switzerland, and Germany, dominate the luxury property market accounting for up to 80 per cent of transactions.

Notably, a substantial portion of these buyers prefer cash transactions, comprising 80-90 per cent of transactions in areas like Moraira and Altea.

This trend extends to coastal tourist areas like Orihuela and Torrevieja, where high demand from foreign buyers, especially from Belgium and the Netherlands, is observed.

In Alicante city and adjacent areas, Belgians and Dutch buyers lead the market, representing three out of every ten luxury homes priced over €2M.

The influx of foreign buyers has significantly impacted the Alicante real estate market, resulting in rising prices across the board.

In 2023, more than 60 per cent of properties sold exceeded €1M, with 31 per cent surpassing the €2M mark.

Belgians and Dutch buyers, followed by Swiss, Germans, Scandinavians, and Ukrainians, constitute the majority of international clients