Five Municipalities in Alicante Among Spain's Top Ten for Rising Housing Prices in May

Housing is experiencing a particularly complex moment. With prices at their peak, demand remains high, and the province records monthly transaction records, with over a hundred daily. transactions. The pressure on prices, limited supply, and high demand are causing a market imbalance, pushing lower-income earners out.

Thus, May has once again set record figures for housing prices. The cost per square metre is soaring in Alicante, making it the leading province in Spain for year-on-year price increases, at 27%, according to data from the real estate portal Fotocasa published this Friday. In the capital, prices have risen by 16.5%.

However, the worst hit are five municipalities in Alicante that have ranked among the top ten localities in Spain for the highest housing price increases over the past year. Some of these have seen over a 60% increase between this May and the same month last year.

Mutxamel is the hardest hit. The town in l'Alacantí ranks fourth in Spain for the highest housing price increase, at 68.1%. Only San Pedro del Pinatar and Los Alcázares in Murcia, and Marín in Pontevedra, surpass it.

In this list of the ten municipalities with the highest housing price increases, Dolores, Pego, and El Verger follow from the sixth position, with increases of 54.8%, 54.3%, and 52.7%, respectively. Bigastro closes the list with a 48% increase.

Among them, El Verger has the highest price per square metre, at 2,261 euros, according to the latest data from Idealista. It is followed by Dolores and Mutxamel, with prices above 1,900 euros per square metre. In Pego, the price is close to 1,000 euros.

Fotocasa warns that housing is at a "historic" moment. The director of studies, María Matos, explains that the "increase in housing prices is the highest recorded since we have data, revealing unprecedented demand pressure, fuelled by more favourable mortgage conditions and a significant increase in migratory flows".

The lack of supply has driven prices up, which continue to rise month by month. "In just one year, the average price per square metre has increased by 341 euros, meaning that today, more than 27,000 euros extra are paid for an 80 m² home compared to 2024," highlights Matos regarding the national outlook.