The rising cost of housing in Valencia is encouraging more buyers to look for alternatives in municipalities surrounding the city. However, increasing demand is also pushing up prices in the metropolitan area, with some towns recording annual increases of more than 40%. Today, from Quinta Avenida, we take a closer look at this trend and how it is reshaping the real estate market around Valencia.
Housing prices in Valencia’s metropolitan area continue to rise
The pressure on Valencia’s real estate market is increasingly encouraging buyers to consider nearby municipalities, where it was traditionally possible to find more affordable homes. However, growing demand is gradually transferring the pressure on prices to these surrounding areas.
One of the most notable examples is Paiporta, where the price of second-hand homes has increased by 42.3% over the past year, reaching €2,692 per square metre.
Another significant case is Puçol, where prices have risen by 38.5%, bringing the average price to €2,390 per square metre.
These increases reflect a change in buyer behaviour. As property prices in the capital continue to rise, more people are looking for homes and apartments in nearby municipalities. However, this additional demand is also causing prices in those areas to increase.
Property prices are increasing across several municipalities
The trend is not limited to Paiporta and Puçol. Several municipalities in the Valencian Community have also recorded significant annual increases in the price of second-hand properties.
Among the strongest increases is Bigastro, in Alicante province, where prices have risen by 85.3%, reaching €1,805 per square metre. In Valencia province, Alginet recorded an increase of 33.3%, reaching €1,559 per square metre, while Xàtiva saw prices rise by 31.1%, reaching €1,854 per square metre.
However, the evolution is not the same everywhere. Oliva recorded an annual decrease of 8.4%, while Bellreguard saw prices fall by 6.9%. These are among the largest declines in the price of second-hand housing in the Valencian Community.
At the opposite end of the scale are some of the most expensive locations. Calp leads the ranking at €4,930 per square metre, followed by Alboraia, where prices reach €4,633 per square metre.
Valencia and its surroundings face increasing real estate pressure
The evolution of prices shows that pressure on the real estate market is extending beyond major cities. Across the Valencian Community, the average asking price for second-hand homes reached €2,866 per square metre in August, representing an annual increase of 17.1%.
This marks the 60th consecutive annual increase since September 2021. For an 80-square-metre home, the average price has risen from €195,725 to €229,290 in just one year.
Although the figures indicate some moderation compared with the increases of more than 20% recorded during much of the previous year, pressure on property prices remains high.
The movement of buyers towards traditionally more affordable municipalities is particularly significant. The search for more accessible homes and apartments is creating new pressure on towns located in the first and second metropolitan rings.
Buyers are looking for alternatives outside the capital
This situation highlights one of the main challenges facing Valencia’s real estate market: providing enough housing to meet continued demand.
When prices rise in the capital, buyers tend to expand their search towards nearby municipalities. However, when this happens on a large scale, the increase in demand eventually affects prices in those areas as well.
For people looking to buy a home, understanding how each municipality is performing is becoming increasingly important. Not all property markets are evolving at the same pace, and there can be significant differences in both prices and annual growth.
The metropolitan area gains importance for homebuyers
The latest figures underline the growing importance of Valencia’s metropolitan area within the regional housing market. Good connections with the capital, access to services and comparatively more affordable properties have made surrounding municipalities increasingly attractive to buyers.
At the same time, the continued lack of sufficient housing supply means that demand is being distributed across a wider geographical area. This is creating new opportunities for both homebuyers and property owners, while also contributing to higher prices in municipalities that were previously considered more affordable alternatives.
For buyers, this makes professional advice increasingly valuable when comparing properties for sale, analysing prices and deciding which areas best suit their needs.
Conclusion
The rise in housing prices in Valencia’s metropolitan area shows how the pressure affecting the capital is spreading to surrounding municipalities. Places such as Paiporta and Puçol are experiencing particularly strong increases, while other towns are also seeing significant changes in their property markets.
At Quinta Avenida, we will continue to follow the evolution of the real estate market, property prices and the new opportunities emerging across Valencia and its metropolitan area.
If you are looking to sell, buy or rent a property, or if you have any questions about the real estate market, feel free to contact us or visit Quinta Avenida’s website.
