Buying a property in Mallorca
Buying a property in Mallorca means owning a home in one of the most desirable places on the planet.
The largest of the Balearic Islands, sitting in the Mediterranean Sea off the coast of Valencia, Mallorca (aka Majorca) is Europe’s premier holiday isle. Some two million Brits, four million Germans and millions more from Scandinavia, France, Italy and the USA come here every year.
But the Spanish come on holiday to Mallorca too, including Spain’s royal family, to their own holiday home, the Marivent Palace.
The island is roughly the size of Cornwall, or Rhode Island, and has one long mountainous northern coast, a flat inland and then roughly 260 beaches dotted around its east, west and southern coasts.
In Palma de Mallorca it has one of Spain’s smartest, coolest and most liveable cities.
Mallorca has a large year-round international population, especially northern Europeans swapping grey skies for sun-kissed ones. But many more have holiday homes here.
Why buy a property in Mallorca
Whether buying a holiday home, a forever home for your retirement or an investment property, Mallorca is always going to be highly-desirable, property hotspot.
There are four main reasons for that.
Firstly, there’s so much to do. Mallorca is the perfect fit for anyone looking to lead an outdoorsy lifestyle. One side of the island is mountainous, making it ideal for hiking and cycling with the promise of brilliant panoramic views. Mallorca has over 20 golf courses and as the birthplace of sporting legend Rafael Nadal, there are plenty of top tennis clubs too. It has wineries, horse-riding trails and caves. There are marinas galore and swimming all year round (even if you might want a wet suit in winter), and plenty of sporting activities too.
Secondly, it’s easy to settle into. English is widely spoken and whether you are buying a holiday home or moving there full time, you’ll find others with shared experience. Plus, it’s easy to find English-speaking lawyers and medical professionals.
Thirdly, for those buying a property in Mallorca there is plenty of choice. Will it be a medieval apartment in Palma’s old town, a country house in the centre, a modern, designer seaside villa?
Fourthly, Mallorca is so accessible. There are flights all year and nowhere on the island is much more than an hour from the airport.
Is property in Mallorca a good investment?
In the Balearics, purchase tax for a resale property is levied at 8% of the purchase price, making it neither the most nor least tax efficient of Spain’s autonomous regions.
Mallorca may be a victim of its own success as an AirBnb hotspot, and after a public outcry, strict controls are highly likely on short-term rentals. Then again, there is clearly a huge market for short-term rentals. However, long-term rental may be an easier option. Check with your lawyer what the rules are before you buy so that you do not get caught out.
According to the valuation company TINSA, as of 2024 the Balearics are the only region of Spain where houses are higher in value than before the financial crisis. Does that suggest that they are overpriced? It is more likely to suggest that they’re popular.
What can you get for your budget in Mallorca?
Property prices in Mallorca are varied. For the most affordable options, look inland or to lesser-known spots on the south and eastern coastlines. Generally speaking, you will need around €200,000 for a small apartment. While €300,000 is just about enough for a townhouse.
Mallorca has an incredible luxury property market, with hillside villas boasting panoramic views, swimming pools and private gyms.
What’s the weather like in Mallorca
Mallorca experiences all four seasons. While winter can be chilly, with average highs of just 12°C, it rarely gets frosty unless you’re up in the mountains. Even so, this is not a winter sun destination like the Canary Islands. During the summer, bright, sunny days of 29°C are the norm.
The north of the island is home to the Tramontana mountain range and experiences more rain, while the south is flatter and drier.
How to get to Mallorca
Mallorca is the only Balearic Island to get year-round flights from just about every corner of Europe. The flight between Palma and London is just two hours long, making it ideal for long weekends to escape the cold. From further afield you can change in virtually any European hub from Madrid, Barcelona or even London and beyond.
The fastest ferry to Ibiza takes three hours, while Menorca is just an hour.
Once you get to Mallorca there is a good bus service around the island and a limited train network.
Where to buy in Mallorca
Palma
Mallorca is blessed with an effortlessly cool capital. With a population of around 400,000, it is home to half the island’s permanent population. More than 60,000 are non-Spanish. In its old town, look for honey-coloured courtyards that date back to Moorish-Medieval times, a 12th century cathedral, high-end boutiques, and crucially, a wonderful café culture. Santa Catalina is a particularly desirable neighbourhood.
Portal Nous
Portal Nous is the place to be for marinas, high-end restaurants and shopping. Property is pricey, with one-bedroom apartments starting at €300,000.
Sólle
Sóller is an extremely pretty, old-fashioned town backed by the mountains in the northwest of the island. It is in the heart of the valley of oranges, from which Sóller gained its wealth in the 19th century. If you love the aesthetic of older homes, Sóller has some beautifully refurbished ones to buy.
Port de Pollensa
This is a popular town with British people. It is home to great beaches, restaurants, hotels and the beautiful Boquer Valley. It is close to MySchool, an international school teaching the British curriculum.
Petra
Located inland, with a population of just 3,000, Petra would suit those seeking the quiet of village life.
Steps to buying a Mallorca property
- Search online: Determine what you can buy for your budget, as well as a list of features you would like in a home (penthouse, number of bedrooms, sea view).
- Form a team of experts. Once you have chosen a handful of properties that tick your boxes, reach out to an estate agent. They will be able to talk through the area and what you are looking for in a home in greater detail. You will also need an English-speaking lawyer to ensure that the purchase is legally secure. Plus, a currency specialist like Smart Currency Exchange can help you to transfer your funds over to Mallorca. You may also want to connect with a financial advisor and a mortgage specialist.
- Book a viewing trip. Once you have your team in place, head out to Mallorca to see your pick of properties. When you find a home that ticks your boxes, reconnect with your professional team and make an offer.
- Once you have made an offer: If the seller accepts your offer, you will sign a reservation contract and pay a fee to take it off the market. While surveys are not the norm in Spain, many international buyers prefer to have one. Then, you will sign a preliminary sales contract and pay the deposit, around 10% of the purchase price. As you’ve now committed to buying your dream Mallorca home, lock in your exchange rate to ensure that you do not lose out on thousands. Meanwhile, your lawyer will contact the notary to ensure the legality of the sale.
- Hold the keys in your hand: You will need to sign the sale contract, escritura pública at the notary’s office. Finally, pay the balance of the purchase price, minus the deposit you have paid. You must also pay the relevant taxes (ITP), stamp duty, notary fees and legal fees.