Real estate market in the Balearic Islands: A comprehensive overview of price trends in 2024
MallorcaMagazin published a report in January on the statistics of the real estate portal Fotocasa. The Balearic Islands, especially real estate in Mallorca, have experienced a remarkable development in the real estate market in 2024. As experts in this field, we would like to give you a detailed insight into the current trends, price increases and the factors influencing this dynamic.
Record-breaking price increases in 2024
According to a study by the real estate portal Fotocasa, the Balearic Islands are the region of Spain with the strongest increase in the price of second-hand properties in 2024. The average price per square meter rose by an impressive 19.5 percent, reaching 4,597 euros. This represents the highest increase in the 19 years in which this analysis has been carried out.
Outstanding price trends in individual municipalities
Some municipalities in the Balearic Islands recorded particularly significant price increases:
- Real estate in FelanitxFelanitx tops the list with an increase of 45.6 percent.
- Santa Eulària des Riu (Ibiza): Here, prices rose by 40.2 percent.
- Pollença: An increase of 38.7 percent was recorded.
These developments underline the high attractiveness of these regions for real estate buyers.
Comparison with other Spanish regions
In a national comparison, the Balearic Islands lead the way with an average price per square meter of 4,597 euros, followed by Madrid with 4,278 euros and the Basque Country with 3,284 euros. It is worth noting that the Balearic Islands are the first region in Spain where the average price per square meter has exceeded the level of the 2008 property bubble.
Factors behind the price increase
Several factors are contributing to this dynamic price trend:
- Limited supply and high demand: The Balearic Islands are known for their limited availability of building land, which in combination with rising demand leads to higher prices.
- Tourist attraction: The islands are a popular tourist destination, which attracts both national and international investors.
- Population growth: Continuous population growth increases the demand for living space.
- Favorable financing options: Falling interest rates facilitate access to mortgages and thus promote real estate purchases.
María Martos, head of the study and spokesperson for Fotocasa, emphasizes: “The prices of apartments for sale mark a historic upward trend that reflects a strong tension between limited supply and growing demand.”
Forecast for the future
Experts predict that the real estate market in the Balearic Islands will remain robust. However, measures are needed to promote a balance between supply and demand and thus ensure the sustainability of the market in the medium and long term.
Continuous monitoring of market trends and sound advice are crucial for potential buyers and investors to make informed decisions.
In conclusion, the Balearic Islands have experienced an extraordinary development in the real estate market in 2024, bringing with it both opportunities and challenges.
