Where to invest for long-term rental in the province of Alicante? (2025 Guide)

Long-term rental has become a solid option for real estate investors looking for stability, ongoing income, and less exposure to tourist rental regulatory changes. In this guide we analyse the best areas to buy a property for residential rental in the province of Alicante, according to profitability, demand, services and potential for revaluation.

Why bet on long-term rental in 2025?

• Greater legal certainty and predictability

• Lower operating and management costs

• No need for a tourist license (which in many areas is no longer granted)

• Stable demand from workers, families and national and foreign retirees

• Contracts regulated by the LAU (Urban Leases Law)

Top 5 areas with high potential for stable rental

1. Elche – university and industrial city with high permanent demand

• Large fixed population (more than 230,000 inhabitants)

• Homes from €90,000–€130,000

• Ideal for renting to students, teachers, shoe workers, doctors

• Very close to the airport and Alicante capital

• Average return: 5–6% per year

2. Torrevieja – coastal area with high residential occupancy

• Strong foreign community resident all year round

• Prices still accessible in areas such as La Mata or Acequión

• Ideal for adult tenants, expats, retirees

• High turnover, but contracts of 11 months or more

• Gross return: 6–7% per annum

3. San Vicente del Raspeig – continuous rental by university

• Just 10 km from Alicante

• Cheap homes from 80.000 €

• Stable demand for students and academic staff (University of Alicante)

• Very well connected with tram and utilities

• Profitability: 6–7.5% per annum

4. Alcoy – investment in the national affordable income market

• Inland city with high demand for cheap rentals

• Properties from €50,000

• Ideal for young workers and small local families

• Little affected by tourist saturation

• Net return: 7–8% in well-located areas

5. Alicante (northern and eastern areas) – capital with a diversity of profiles

• High demand in neighborhoods such as Carolinas, San Blas or Altozano

• Ideal for 1–5 year contracts

• Attractive for nationals, civil servants, remote workers

• Prices from 100.000 €

• Variable yield: 5–6.5% depending on the street and type of property

Areas with limitations or low profitability for long-term rental

• Historic centre of Altea, Dénia or Jávea (high investment, low annual occupancy)

• Gated communities oriented 100% to tourism

• Properties with very high community fees or no essential services

Tips for investing in property for stable rental

1. Location close to services: transport, supermarkets, hospitals

2. Apartment ready to move into: save renovations and attract a better tenant profile

3. Avoid areas with neighborhood conflicts or oversupply

4. Consider hiring a rental manager if you don't reside in Spain

5. Check with a local agent to verify legal and technical status

At Estrellas Properties we select for you the best properties for long-term rental, adapted to your budget and profitability objective. We advise both Spaniards and foreigners, residents and non-residents.

WhatsApp / Phone: +34 677 878 548 / +34 601 52 48 06

Email: info@estrellasproperties.com