How limited supply and sustainability standards are reshaping the Spanish property market
The Spanish property market is entering a new phase in 2026. On the Costa Blanca South, buying decisions are no longer driven solely by price or location. Two factors increasingly define buyer behaviour: limited housing supply and the growing importance of energy efficiency.
These are not short term trends. They reflect structural changes in how property is built, renovated and valued. Buyers who understand this shift are better positioned to make informed and future proof decisions.
Housing supply on the Costa Blanca South remains tight, especially in established areas close to the coast and key amenities. New construction is restricted by planning rules, land availability and rising development costs. As a result, demand continues to exceed supply in the most desirable micro locations.
This is one of the main reasons why prices are expected to remain resilient. Several market forecasts point to continued growth on the Costa Blanca in 2026, commonly estimated in the range of approximately 4% to 7%, with premium coastal areas often outperforming the average.
If you want the wider market context first, read our overview on buying property on the Costa Blanca South in 2026.
Energy efficiency is now part of how buyers evaluate long term value. Rising running costs and higher buyer expectations mean that inefficient properties are increasingly viewed as liabilities unless the price reflects realistic upgrade potential.
Homes with modern insulation, efficient climate systems and renewable energy solutions generally attract stronger demand and better price resilience. In the Costa Blanca South climate, this also translates into day to day comfort, especially during peak summer months.
For a deeper explanation of how energy performance affects pricing across Spain, read: why energy labels will affect property prices in Spain.
Buyers who focus only on a city name often miss the real driver of value: micro location and property quality. In 2026, the strongest opportunities tend to be homes that combine practical location with modern standards.
For example, demand patterns can differ significantly between areas such as Torrevieja, Orihuela Costa and Guardamar del Segura depending on accessibility, amenities and property type. Two similar properties can perform very differently purely based on surroundings, building quality and energy performance.
Renovation remains relevant, but the market is more selective. Cosmetic improvements alone are no longer enough. Buyers and investors increasingly focus on upgrades that improve energy performance and long term usability.
Before you assume a renovation project is simple, make sure you understand the legal and financial checks involved. Our legal and financial checklist explains what should be verified before committing.
Scarcity and energy efficiency together influence how properties perform over time. Efficient homes in strong locations typically outperform less efficient alternatives, both in resale value and in rental demand.
If you are buying with an investment strategy in mind, our article on investing in property on the Costa Blanca South adds useful context.
At YesCosta.com we guide buyers through the Costa Blanca South market with a focus on transparency, due diligence and realistic expectations. We help clients understand how scarcity, sustainability and regulation affect individual properties before decisions are made.
If you are actively searching, the most effective first step is to complete our intake form.
If you prefer to discuss your plans first, you can contact us directly.
To learn more about our approach and how we work with buyers, visit our about page.