In January, the average square meter price was around 5700 euros, 10.9 percent above the previous year’s value. This is the result of a market study by the Steinbeis Transfer Institute in cooperation with the real estate company Porta Mallorquina Real Estate.
Compared to the study in the previous year, the price trend has accelerated again: At that time the increase was 4.5 percent. The offer has fallen by around 13 percent compared to the previous year. In total, more than 5500 residential properties were evaluated for the study.
Price drivers on the Balearic Island are properties in the upscale and luxurious segments. At the beginning of the year, an average of 9,650 euros per square meter had to be paid for a luxury property, 16 percent more than in the previous year. In the particularly coveted southwest, the 10,000 euro mark was broken for the first time. Square meter prices of up to 30,000 euros are also possible.
Foreigners willing to buy
For these prices, in addition to unobstructed sea views, facilities such as underground parking, elevator, infinity pool and underfloor heating are offered. Last year, 6133 houses and apartments were bought by foreigners throughout the Balearic Islands. They accounted for a third of all sales registered on the islands.