Spain's property investment landscape reveals stark regional disparities as tracked across 1,881 properties averaging EUR687,140 with 3.7% yields. Alicante province dominates yield generation, with markets like Cox delivering exceptional 10% returns at EUR255,000 price points, while traditional Málaga strongholds face yield compression below 2.5%. The data exposes a clear value-luxury divide: premium markets like Marbella (EUR1.8 million average) and Benahavís (EUR2.3 million) deliver sub-2% yields, while emerging Alicante and Murcia markets maintain 4-6% yield profiles. Orihuela Costa exemplifies this regional dynamic, balancing EUR829,348 average pricing with robust 5% yields.
THE BRIEF
- ●Market tracks 1,881 properties averaging EUR687,140 with 3.7% yields
- ●Cox bungalows deliver exceptional 10% yield at EUR255,000 entry point
- ●Alicante coastal markets outperform with 4-6% yields vs Málaga's 2%
TOWN IN FOCUS
Orihuela Costa
ANALYST NOTE
Today's data reveals a pronounced geographic yield gradient across Spain's investment markets, with Alicante province delivering superior risk-adjusted returns versus Málaga's premium coastal segments. The standout performer remains Cox, generating 10% yields at EUR255,000—a 635 basis point premium to market average yields while trading at a 63% discount to average pricing. This suggests significant value dislocation in secondary Alicante markets. Málaga's coastal markets continue exhibiting yield compression, with Marbella (1.8%), Estepona (2%), and Fuengirola (1.9%) all trading below 2.5% yields despite elevated pricing. The EUR1.8 million average in Marbella versus EUR255,000 in Cox illustrates extreme market segmentation. Murcia markets present mixed signals, with Pilar de La Horadada delivering 6% yields versus Los Alcázares at 3.3%, despite similar pricing profiles. Portfolio construction should prioritize Alicante's secondary markets for yield generation while maintaining selective Málaga exposure for capital appreciation potential. The 1,881 property sample provides statistically significant insights across Spain's key investment corridors.
THE NUMBER
10.0%
Cox bungalows deliver market-leading yields at 635 basis points above national average.
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DEAL OF THE DAY
New Bungalows and Townhouses in Cox, Alicante
Cox, Alicante · Townhouse · 3 bed