Buying a short-term rental property on the Costa Blanca can be an excellent investment — but it’s not as simple as picking a sunny location and listing on Airbnb. From local laws to guest demand, there’s a lot to consider before you buy.
Here are 10 important things to know before you invest in a short-stay property in this popular Spanish region.
1. Not all areas perform equally
The Costa Blanca stretches from Denia in the north to Pilar de la Horadada in the south — and not every town performs the same for short-term rentals.
Cities like Alicante, Benidorm, Calpe, and Torrevieja tend to offer the best returns due to their tourism infrastructure, accessibility, and year-round demand. More remote inland villages may offer cheaper property, but often lack consistent booking potential.
Want to know which city is best for your strategy? Start here.
2. Know your ideal guest profile
Your short-term rental success depends on attracting the right kind of guest. Are you targeting:
- digital nomads staying for 2–4 weeks?
- families looking for a beach holiday?
- retirees escaping northern winters?
- couples on weekend getaways?
The guest type will shape everything from your furniture choices to your pricing strategy. For example, Calpe appeals to higher-end, mature guests, while Torrevieja attracts budget-conscious sunseekers and long-stay expats.
3. Learn the regional rental laws
The Costa Blanca falls under the Valencian Community, where short-term rental rules are clear but must be followed carefully.
To operate legally, you need to:
- register your property with the tourism authority
- obtain a VT (Vivienda Turística) license
- meet health, safety, and habitability standards
- declare your income for Spanish tax purposes
If you’re a non-resident investor, this can be overwhelming. Blanca Stay offers full support with legal setup and compliance.
4. Property type matters more than you think
A studio apartment in central Alicante and a 3-bedroom villa in the hills of Calpe will attract completely different guests — and have different booking patterns.
In tourist-heavy zones, small modern apartments can outperform large houses simply due to demand and convenience. In quieter areas, a villa with a pool and sea view can justify higher prices, even with fewer bookings.
Consider:
- distance to the beach
- availability of parking
- outdoor space
- nearby amenities
5. Understand local seasonality
Some Costa Blanca cities — like Alicante — have year-round demand from business travelers and city tourists. Others, like Benidorm or La Mata, are highly seasonal, with most income coming in summer months.
Your strategy should reflect the rhythm of the area. If you invest in a seasonal town, consider targeting mid-term digital nomads or retirees in the off-season to maintain steady income.
6. Calculate your real costs (not just the purchase price)
Don’t just budget for the sale price. You’ll need to factor in:
- Spanish property taxes
- renovation or furnishing costs
- community fees
- utilities and internet
- cleaning and laundry services
- platform commissions (Airbnb, Booking.com, etc.)
Also, leave room for management support, especially if you’re not living nearby. Blanca Stay offers full-service rental management — so you don’t have to worry about any of it.
7. Guest expectations are rising
Gone are the days when a basic holiday flat would earn five-star reviews. Today’s guests want:
- fast and reliable Wi-Fi
- smart TVs or streaming options
- air conditioning
- self-check-in
- comfortable bedding and clean design
- bonus: outdoor space or a sea view
Providing a great guest experience is now essential for maintaining high rankings and securing repeat bookings.
8. You’ll need a local team (or a great management company)
Unless you live nearby, you’ll need help with:
- cleaning between guests
- check-ins and key handling
- maintenance and emergencies
- guest communication
- license renewals and inspections
Trying to coordinate this from abroad? It’s possible — but stressful. That’s where a local rental management company like Blanca Stay becomes invaluable. We handle everything from A to Z.
9. Think long-term
What happens if tourism slows down? A great short-stay property should be flexible enough to switch to mid- or long-term rentals if needed.
Invest in locations with local life — not just tourist infrastructure. That way, your property remains attractive to students, professionals, or retirees even in off-peak months or market shifts.
10. There’s more competition than ever
The short-term rental market in Spain is maturing. Many areas already have a high volume of listings, and guests have more choice — and higher expectations.
This means your success will come from doing it better, not just cheaper. Clean design, fast communication, detailed local guides, and a strong reputation will set you apart.
If you want to compete — and win — on platforms like Airbnb and Booking.com, you need more than just a nice apartment. You need strategy, consistency, and local expertise.
Ready to invest in the costa blanca short-stay market?
Buying a short-term rental in the Costa Blanca is still a great opportunity — if you go in prepared. From choosing the right city to navigating legal requirements and managing guests, there’s a lot to consider.
At Blanca Stay, we help property owners turn their investments into reliable, hands-off income — with full-service support from day one.
Contact us today to learn how we can help you invest smarter and earn more from your Costa Blanca property.