If we go back in time and we stand at the last quarter of 2014 we found that most of the professionals involved in the Trends in Real Estate Europe report anticipated for 2015 an increase of the value of both prime and secondary assets and derivatives of an increase liquidity and investment needs.
Just about to end 2015 we can say that the provisions have been met both state and insular level. Predictably the year will close with an increase of 26.6% stake in home sales but clarifying that evolution has not been the same throughout Spain and emphasizing that the holiday housing market is particularly active in the Balearic Islands.
In the Balearic Islands have recorded an estimated number of 9,500 shares in sales so far this year of which 78% were for used housing and 22% to new housing. The data used confirm the upward trend of the purchases at the state level and also in the Balearic Islands, which purchases and 8.54 per thousand inhabitants, continued in second place with one of the largest increases in the annual rate of change of around 12%. In addition, it is noteworthy that during the second quarter of 2015 12.8% of the total purchases of property has been made by foreigners. A data which shows a steady upward trend on foreign demand that has driven the price increase by 15% for luxury properties in the most desirable locations of Mallorca.
According highlights the company’s valuation and property consultancy Tinsa in the Housing report in Bay 2015 the coast of the island is in the lead as far as transactions are concerned with three of the five most expensive locations and interest generated in the market real estate, Calvia, Andratx and Alcudia. Buyers 9 of 10 operations coast are foreigners: German, English and residents of the Nordic countries. Other data must take into account, also the particular foreign buyer, other big buyer are the investment funds.
In Palma, the Old Town and the trendy neighbours of Portixol, Santa Catalina, Molinar and Dalt Murada are positioned as premium areas and prices have increased by 10% over the same period last year.
In addition, other areas of central and southern Mallorca sales have increased considerably over the same period of 2014, with increases of up to 10% on luxury locations.
Yet, the north of the island remains the most popular area with an increase of 5% over the same period last year and prices ranging from € 4,000 / sqm to € 11,000 / sqm.
If you are considering buying a property in Mallorca please do not hesitate to contact Ripoll Mateu Solicitors for a further and more detailed understanding of the process. We guarantee a thorough and professional advice service.