I had heard the same rumours about San Jose, however - another one that I have heard is that they are okay now!!!
I too am based in Torrevieja, once the "Real Estate Agency" centre of the Costa Blanca south, now it is a Real Estate ghost town! You used to be able to see an office on every corner but they have slowly been weeded out.
Sunzone Properties has closed, Playa Flamenca Homes office is gone, Resale Spain (on Calle Apolo) hasn't been open for sometime, Millennium's office near the square is no longer there (not that it was open much) and dozens of other small agencies have closed their offices, I don't know if it is for good or they have relocated (working from home?).
There are dozens more that I haven't mentioned, and I bet that some members know a few. | 
