Property Prices on the Costa Blanca: What Q3 Valuations Mean for the Luxury Market
Recent Q3 property price valuations have confirmed what many professionals in the Costa Blanca luxury market have been sensing for some time: Spain’s property market continues to show resilience, Property Prices on the Costa Blanca show little sign of dampening any time soon, and prime coastal areas are outperforming national averages.
According to the latest valuation data published by Spanish Property Insight, property prices across Spain have continued their upward trend, with coastal and lifestyle-driven regions showing particularly strong performance.
While national headlines often focus on average price growth, the reality for luxury real estate in the Costa Blanca is more nuanced. Here, pricing is driven less by short-term market cycles and more by international demand, lifestyle appeal, and limited availability of truly high-quality homes.
A Market That Continues to Strengthen
Q3 valuations indicate steady year-on-year price growth across Spain, with prices now at €2,153 per square meter, which is up by about 12% on 2024. If you look over a longer period of time, it’s a 46% increase in the last 10 years when prices were around €1,476 per square meter, and even over the last 5 years it’s an increase of 21%.
The Costa Blanca remains one of the most resilient coastal markets, and prices, especially in the luxury property sector are reaching €4,000-€5,000 per square meter. Key drivers include:
- Consistent international buyer demand
- Limited supply of new, luxury housing stock
- Strong appeal as a full-time living and relocation destination
Unlike previous boom-and-bust cycles, current price growth reflects genuine demand rather than speculative buying. This creates a healthier, more sustainable market, particularly in the upper tiers.
Why the Luxury Segment Performs Differently
Luxury property prices on the Costa Blanca do not move in line with the broader housing market. Prime villas and high-end apartments in areas such as Jávea, Moraira, Benissa Coast and Altea operate within a much smaller, more selective market.
Factors influencing luxury pricing include:
- Scarcity of sea-view and frontline properties
- Rising construction and land costs, making replacement increasingly expensive
- Lifestyle-led purchases, rather than purely investment-driven decisions
- Lower reliance on mortgage finance, reducing exposure to interest rate shifts
As a result, luxury homes tend to experience steadier price growth and stronger value retention over time.
What This Means for Luxury Sellers
For luxury homeowners considering selling, the latest valuations are encouraging.
Strong market data supports confident, well-justified asking prices, particularly for properties in prime locations that are well presented and professionally marketed. Buyers remain active, but they are selective, placing greater importance on quality, design, and lifestyle features.
Sellers who focus on presentation, realistic pricing, and strategic exposure are still achieving excellent results.
If you are looking to sell your property on the Costa Blanca, read our sellers guide here.
What This Means for Luxury Buyers
For buyers, rising property prices underline the importance of timing and local expertise.
Although prices have increased, the Costa Blanca continues to offer outstanding value compared to other Mediterranean luxury destinations such as the French Riviera or parts of Italy.
Rather than facing intense bidding wars, buyers are navigating a market where informed decisions and local knowledge create long-term value.
If you are looking to buy a property on the Costa Blanca, read our buyers guide here.
International Demand Remains a Key Driver
International buyers continue to play a crucial role in supporting luxury property prices on the Costa Blanca. Buyers from Northern Europe, the UK, and increasingly America are drawn by:
- Year-round climate and lifestyle
- Excellent healthcare and infrastructure
- International schools and remote-working flexibility
- Long-term capital preservation
This steady international demand helps insulate the luxury segment from short-term market volatility. If you want to know more about living on the Costa Blanca, you can download our lifestyle guide here.
Q&A: Property Prices on the Costa Blanca
Are Property Prices still Rising in the Costa Blanca?
Yes. Q3 valuations show that property prices on the Costa Blanca continue to rise steadily, particularly in prime coastal and luxury locations. Growth is measured and supported by real demand rather than speculation.
Is now a good time to buy luxury property in the Costa Blanca?
For buyers seeking long-term lifestyle value, now remains a strong time to buy. While prices have increased, supply remains limited, and high-quality properties in prime locations continue to perform well over time.
Do luxury properties hold their value better than standard homes?
Generally, yes. Luxury properties benefit from scarcity, superior locations, and international demand, which helps protect value even during slower market phases.
Will rising prices reduce buyer demand?
Demand may become more selective, but it is unlikely to disappear. Buyers are increasingly focused on quality, design, and location rather than price alone.
Which areas of the Costa Blanca are seeing the strongest luxury demand?
Jávea, Moraira, Benissa Coast, and Altea continue to attract the strongest interest due to their views, amenities, and long-term desirability.
Looking Ahead: Stability Over Speculation
The latest valuation data suggests that the Costa Blanca luxury market is heading towards continued stability rather than dramatic price spikes. This is positive for both buyers and sellers, creating confidence and long-term sustainability.
Luxury real estate in the Costa Blanca remains underpinned by strong fundamentals: global appeal, limited supply, and a lifestyle that continues to attract discerning international buyers.
