Real Estate Mallorca - Villas, Houses, Fincas, Apartments and Land (2024)

FAQs

Is buying property in Mallorca a good investment? ›

For investors asking “is buying property in Mallorca a good investment?” - After expenses, total annual returns for this sample asset could feasibly reach or top 8-10% when including both substantial rental cash flow and appreciating property values over the long term.

Mallorca property prices remain among the highest in Spain and continue to grow yearly, even with increased inflation and the European energy crisis.

A typical house in Mallorca is 100 m2 – 300 m2, with 2-4 bedrooms, 1-3 bathrooms, a terrace, pool, and parking area. Average buying price — 650 000 – 750 000 €.

Yes, foreigners can buy property in Mallorca. The Spanish government encourages foreign investment, making the process straightforward.

Estimating Your Cost of Living Expenses in Mallorca

Monthly expenses generally fall between €2,000-€2,500 per retiree couple in Mallorca.

The 2% rule is a rule of thumb that determines how much rental income a property should theoretically be able to generate. Following the 2% rule, an investor can expect to realize a positive cash flow from a rental property if the monthly rent is at least 2% of the purchase price.

The cost of living in Mallorca can be higher than in other regions of Spain, influenced by its island status and the high tourist interest that increases demand and, therefore, prices in various sectors.

You may be fortunate enough to snap up a cheap house along Mallorca's east coast. Resorts such as Cala Rajada, Cala Bona, Cala Millor, Cala d'Or, Cala Figuera and Cala Santanyi spring to mind. And then on Mallorca's southern coast look out for a cheap house in places like Cala Pi, Colonia de Sant Jordi, and Sa Rapita.

Where do Americans live in Mallorca? ›

Santa Ponsa is the most desirable area to buy property in Mallorca. Most foreigners move to this area, looking for the best places to live in Mallorca. Port d'Andratx: Located on the southwestern coast, Port d'Andratx is a picturesque fishing village turned exclusive residential area.

How much spending money for a week in Majorca can totally vary on your type of holiday, length and board basis! To include an excursion and two meals a day in your spending money you'll need around £50 per person per day, so around £350 a week.

Investing in Mallorca Real Estate

The international real estate investor favors Mallorca for several reasons. “The island, with a great variety of landscape and coasts—including over 200 beaches and bays—with impressive cliffs and 330 annual sunny days is safe,” says Misar.

Rent an apartment or villa on Majorca!

All you need to do is visit www.wimdu.com, enter your travel dates and then you have access to the best apartments and villas on Majorca. To narrow your search down, try entering the specific location, price, room type and room amenities you require.

I.B.I . (Impuesto Bienes Inmuebles)

This is a real estate tax levied by the local townhall and is usually 0.85% of the cadastral value (valor catastral). Every owner of a property in mallorca is obliged to make his annual income tax declaration.

Long-term rental yields of between 4% and 6% are realistic across Mallorca (in particular in Palma and Mallorca Southwest) and thus provide a very attractive return on investment. Short-term rentals can achieve even higher rental yields.

Living in Mallorca is probably the dream of many. Mallorca is probably ideal for you alone, as a couple or for your family. Real estate is always a good investment and a very good capital investment. Invest in a life of luxury, exclusivity and privacy.