Alicante rents push higher as housing rules spark debate
The rental market in Alicante has remained under pressure as prices hit fresh highs, even with recent housing policy changes. In the latest quarter, the average rent demanded by landlords rose by 2.8 percent, while September showed a slowing decline of 0.4 percent. Compared with a year ago, rents are up 17.3 percent, a shift reported by Idealista.
Alicante stands out as one of the provinces with steep rent increases over the past year, second only to the Balearic Islands. Last year the Balearics posted a 22.7 percent rise, Tenerife saw 20.9 percent more per square meter, and Malaga recorded a 17.5 percent increase. The year over year rise in Alicante is nearly double the national average of 9.3 percent.
In practical terms, the going rate now sits at around 9.6 euros per square meter. That translates to an average monthly rent of about 768 euros for an 80 square meter apartment. Municipalities show strong variance: Orihuela averages 9.1 euros per square meter, San Vicente del Raspeig 8.5 euros, and Alicante city itself reaches 10.5 euros per square meter, or about 840 euros monthly for a standard unit.
The window of a real estate office in Alicante captures the current mood in the market, a reminder of the shifting landscape for tenants and landlords alike. In Torrevieja, annual growth reaches 17.2 percent with a rate of 9.3 euros per meter; Calp records 14.9 percent at 11.2 euros; Guardamar and El Campello show gains of 14.3 percent and 10.5 percent, respectively, with rents around 8.7 and 10.9 euros per month per meter. Dénia posts a 9.7 percent rise at 9.5 euros per meter.
Balance
A spokesperson for Idealista, Francisco Inareta, notes that the increases seen across Spain after four months of housing law implementation suggest the policy has not achieved its primary aim of controlling rental prices. Rents continue to rise in major markets, and more than 20 capital cities have reported cap limits amid market pressure. The overall trend points to strong price growth despite policy efforts.
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The market narrative also highlights reduced supply, making it harder for potential tenants to find rental housing. The situation tends to hit low-income families hardest, as there are fewer flats and more buyers favoring properties that offer reliable legal safeguards and payment protection, according to industry experts.
National data
At the national level Spain, house rental prices rose 0.3 percent in the last quarter, with all major markets posting notable gains. By the end of September 2023, renting a home in the country costs about 11.8 euros per square meter, according to Idealista.
In Barcelona, prices rose 6.6 percent in the past three months with square meters around 20 euros, marking a new historical high for the city. On an annual basis, prices there are about 18.1 percent higher than a year ago.
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Madrid closed the third quarter with a 5.1 percent quarterly increase in residential rental prices, pushing the price per square meter in the capital to 17.7 euros. Interannual growth stood at 10.7 percent, reflecting a tight rental market across major urban areas.