The picturesque Balearic island fascinates with its variety of landscapes, Mediterranean climate and high quality of life, which makes it attractive for holidaymakers and long-term residents alike. In addition to kilometres of sandy beaches and quiet bays, Mallorca boasts a vibrant capital city, charming villages, a well-developed infrastructure and a rich cultural offering. The Mallorcan property market has shown steady development in recent years, which also makes the island a promising choice for investors.
Whether you prefer the liveliness of the city, the tranquillity of rural areas or a retreat on the coast, Mallorca has the right living environment for everyone. The versatility of the island is also reflected in the different types of flats, ranging from modern new-builds to luxurious penthouses and charming historic old town flats. Combined with stable demand and the island's popularity with international buyers, the chances of your condominium on Mallorca increasing in value and generating attractive rental income are high.
Why buy a flat in Mallorca?
Mallorca is particularly attractive as a property location because the island combines a number of unique features that offer long-term security and value appreciation. In addition to the high quality of life, the region benefits from exceptionally high demand, which is further supported by the island's limited land area. Living space is limited and new builds are regulated by strict building regulations, which stabilises and often even increases property prices.
Another plus point for investors is Mallorca's good infrastructure, which ranges from international airports, modern healthcare facilities and high-quality schools to exclusive leisure facilities such as golf courses and marinas. These factors ensure that property on Mallorca is in high demand not only among holidaymakers, but also among people looking for longer-term living prospects on the island. The island is also frequented all year round by a well-connected international community, which ensures stable demand on the rental market. For buyers looking to rent out part of the property, rental income is therefore also guaranteed in the low season.
Mallorca is also attractive for international investors from a tax perspective. Spain offers clear taxation and legal stability, which provides security for buyers from the EU in particular. Mallorca also benefits from the general economic conditions in Spain, which has established itself as a reliable property market in Europe over the years. Buyers who invest in a flat in Mallorca can therefore expect a secure and stable investment that will continue to offer lucrative yield opportunities in the future due to the high demand and exclusivity of the location.
Flat market and price trends
The housing market in Mallorca has developed dynamically in recent years and continues to show strong demand, particularly in popular regions. The price trend on the island remains stable and continues to show slight growth even in prime locations. The stable value and attractiveness of the Mallorcan market for international buyers contribute to the fact that flats on Mallorca remain interesting for investors and owner-occupiers alike.
The price per square metre in Mallorca varies considerably depending on the location, features and type of flat. In central city locationssuch as Palma de Mallorca, prices for basic flats often start at around 4,000 to 6,000 euros per square metre, while in prime locations such as the historic old town area or in exclusive districts such as Santa Catalina and Portixol, prices per square metre of between 7,000 and 10,000 euros are not uncommon. High-quality new builds and luxurious penthouse flats in Palma reach prices of up to 15,000 euros per square metre.
On the south-west coast, in popular locations such as Puerto Andratx, Santa Ponsa or Bendinat, prices per square metre for exclusive flats are often between 8,000 and 12,000 euros. In the sought-after coastal regions with direct sea views or in exclusive apartment complexes, prices can even exceed the 15,000 euro mark per square metre.
The north-east coast and more rural regions often offer lower prices in comparison and start at around 3,000 to 5,000 euros per square metre. These areas particularly attract buyers who value peace and nature and expect a long-term increase in value.
Experts assume that the price stability on Mallorca will continue in the coming years. The limited living space on the island, combined with consistently high demand, especially from international buyers, ensures a robust market development. Mallorca therefore remains an attractive option for buyers looking for a combination of quality of life and investment.
Popular regions for buying a home
Mallorca offers a wide variety of residential locations to suit different lifestyles and budgets. The island is divided into several distinctive regions, each offering unique advantages and amenities. Whether you prefer urban living, luxurious coastal flats or quiet retreats in the countryside, there is a neighbourhood for everyone on Mallorca. Here is a detailed overview of the most attractive locations for buying a home:
- Palma de Mallorca: Palma, the island's vibrant capital, is a hotspot for city lovers and people who appreciate a lively environment. The city offers a perfect blend of modern lifestyle and historic charm. In Palma, homebuyers will find exclusive old town flats, modern new builds and luxurious penthouses. The infrastructure is excellent, with numerous restaurants, boutiques, cultural sights and an international airport. Palma is particularly popular with buyers looking to use their property all year round or looking for a flat as an investment in one of Mallorca's most sought-after locations.
- South-west coast: The south-west coast of Mallorca is considered one of the most exclusive areas of the island. Places such as Puerto Andratx, Santa Ponsa and Bendinat attract prominent residents and wealthy investors. The region is known for its luxury developments, private apartment complexes and spectacular sea view flats. In addition to upmarket housing, the south-west coast also offers first-class golf courses, marinas and exclusive gastronomy. The proximity to Palma and the high value retention make this area particularly attractive for buyers looking for an investment with high prestige and luxury.
- North-east coast: The north-east coast is ideal for nature lovers and buyers who prefer a quieter, scenic environment. The region includes charming coastal towns such as Artà, Cala Ratjada and Canyamel and is characterised by unspoilt nature, picturesque bays and sandy beaches. The north-east coast offers properties that are generally more attractively priced than those in Palma or on the south-west coast, making it an excellent choice for buyers on a medium budget. Here you will find modern new-build flats as well as traditional Mallorcan-style apartaments. The region is also interesting for buyers looking for a home as a retreat and as an investment with potential for appreciation in a quiet location.
- Northwest coast and the Tramuntana mountains: The region along the northwest coast, which stretches from Sóller via Deià to Valldemossa, is characterised by the picturesque Tramuntana mountains and offers unique scenic beauty. This area is particularly popular with artists, creatives and people looking for a quiet, authentic Mallorcan lifestyle. The flats here are often historic stone houses and apartaments with spectacular views of the mountains and the sea. If you are looking for a special connection to nature and tradition and prefer exclusive, secluded residential locations, you will find the perfect flat in this region.
- East and south-east: The east and south-east of Mallorca is less developed than the south-west coast, but offers beautiful coastlines and charming villages. Towns such as Cala d'Or, Porto Cristo and Santanyí are known for their white sandy beaches and crystal-clear waters. This area is particularly popular with buyers looking for a more authentic and tranquil living environment whilst still being close to the beaches. Flats in the east and south-east are usually cheaper than in the more popular areas and therefore offer good value for money. For buyers looking for a property as a holiday home or as an investment with potential for tourist rentals, the southeast is an excellent choice.
- Interior of the island - ‘Mallorcan country life: The interior of Mallorca, with its charming towns such as Inca, Sineu and Alaró, is ideal for people who want to enjoy traditional Mallorcan life. Here you can often find affordable flats and apartaments in historic buildings. The quiet, rural surroundings, which nevertheless offer good connections to Palma and the coast, attract people who are looking for a permanent residence or a quiet holiday property close to nature. Prices in the interior of the island are often more moderate and the market offers properties with potential for renovation and customisation.
Flat types and construction methods
Depending on taste and requirements, there are various types of flats available in Mallorca that fulfil different demands both stylistically and functionally. Modern new-builds often offer exclusive amenities such as communal pools, fitness rooms and underground car parks and are characterised by high-quality materials, energy-efficient construction methods and generous window fronts. These flats are ideal for buyers who appreciate comfort and modern facilities and are looking for a property that is easy to maintain.
For lovers of history and tradition, there are charming, historic apartaments, especially in the old town districts of Palma or in traditional villages such as Sóller and Valldemossa. These flats are characterised by their unique architecture, high ceilings, antique tiles and often lovingly restored details such as wooden beams or stone walls. They are particularly suitable for people who want to experience the authentic Mallorcan lifestyle and value a flat with character.
Luxury flats are also in high demand and are often located in exclusive areas such as Port Andratx or Bendinat. These properties offer amenities such as panoramic windows with sea views, high-quality designer furnishings and often spacious roof terraces or private pools. They are ideal for buyers who are looking for an exclusive living environment and are also considering an investment.
In addition, there are flats with large outdoor areas such as balconies or private gardens, which are particularly attractive for families or long-term residents. Buyers can therefore choose between different styles and features, depending on whether the flat is to be used as a holiday home, long-term residence or investment.
Tips for finding a flat in Mallorca
Finding a property in Mallorca that meets your expectations and represents a good investment requires thorough planning and good market knowledge. Here are some valuable tips to make the search and purchase process efficient:
- Regional research and sightseeing: Each region on Mallorca has its own charm and offers different advantages, whether it's the proximity to the city, the tranquillity of rural areas or the sea views. Favourite residential areas such as the old town of Palma, the exclusive south-west coast or the natural north-east coast should be visited carefully to find out which environment suits you best. Several viewings are advisable to get a realistic impression of the flats and the lifestyle in the different neighbourhoods.
- Consider budget planning and additional costs: When buying a flat in Mallorca, you should not only consider the purchase price, but also the additional costs, which can amount to around 8-12% of the purchase price. These include notary fees, land transfer tax, entry in the land register and any estate agent fees. Ongoing costs such as community costs, taxes and maintenance fees should also be included in the budget planning. A careful calculation prevents surprises and provides a clear financial basi
- Monitor the property market and price trends: The property market in Mallorca can vary greatly depending on the region. It is therefore important to monitor price trends and compare prices per square metre in the desired region in order to develop a realistic price feeling. Prices can fluctuate considerably, particularly in popular areas such as Palma or on the south-west coast, while quieter locations usually offer more stable price structures. A look at long-term developments helps to better assess the value of the property.
- Legal check and documents: Legal checks are essential for properties in Mallorca, as building permits, usage rights and any encumbrances in the land register must be clearly clarified. In addition to the extract from the land register, buyers should also have the energy certificates and building licence for the property checked. It is advisable to seek local legal advice that is familiar with Spanish property laws to ensure legal clarity and security.
- Professional support from an estate agent: An experienced estate agent offers access to a wide range of properties and takes on many organisational and legal tasks. Estate agents know the market prices and can find suitable properties that are often not available on public platforms. With professional advice, buyers avoid making expensive mistakes and can be sure that they are making a sound investment.
KENSINGTON Artá - your partner for buying a property in Mallorca
KENSINGTON Artá is the ideal partner for buyers looking for trustworthy and competent support. As local property experts, we not only know the special features of Mallorcan properties, but also the individual characteristics of the Artá region and its surroundings. We are at your side from the initial consultation to the selection of exclusive properties and the legal process.
Our team is well connected and works closely with local legal advisors and banks to make the purchase process as secure and transparent as possible. At KENSINGTON Artá, you benefit from our experience, our extensive network and our commitment to fulfilling your individual wishes. Whether you are looking for a holiday flat, a capital investment or a long-term home - we make sure that buying a property in Mallorca is an all-round positive experience.
FAQs: Buying a flat in Mallorca
Is the buying process complex for foreigners?
No, the process is relatively simple as long as the steps are followed. Notaries and lawyers can provide support.
How high are the additional costs?
The additional costs are usually around 8-12% of the purchase price and include taxes, notary fees and estate agent commissions.
Can I also rent out my flat?
Yes, many buyers use their flat as a holiday home. However, certain conditions and licences apply.
Which regions are particularly suitable for investment?
Palma, the south-west coast and Port Andratx are considered particularly high-yield areas.
What are the advantages of owning a property compared to renting?
In the long term, owning your own property offers financial advantages and the chance of an increase in value.