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About Mallorca

ABOUT MALLORCA – The real estate market

In recent years, Mallorca has strengthen its reputation as an international hotspot. People from all over Europe are looking for a holiday home in Mallorca. The island is well connected to all national and international destinations and can be reached from almost every major city in Europe within 2 hours. This great infrastructure, combined with over 300 days of sun per year, makes Mallorca the number one destination for second homes in Europe.

There are days in the summer season when more than 1,000 planes take off and land on the island, and there is also confirmed growth in the private jet sector.

The new convention center, just a few minutes drive from the airport and close to the beautiful Area of Portixol, is bringing more and more business clients to Mallorca and is making the island more and more interesting as a year-round business destination.

For many buyers, the mild climate in the winter months is a deciding factor. It is not uncommon for temperatures to be around 21 degrees Celsius during the days in January.

Another recognizable major growth is the luxury hotel sector, which is bringing more and more investors to Mallorca to turn 2- or 3-star hotels into 4 and 5-star hotels.

Especially locations like the Platja de Palma are in the focus of investors, but also locations such as Paguera, Magaluf and Santa Ponsa in the southwest of Mallorca are more and more affected by this positive development. Luxury hotels, exclusive beach clubs, shopping centers and a wide selection of high quality restaurants, this is and will be the ongoing trend in Mallorca for the future.

Another good indicator of the stability of the island is the growing demand for superyacht moorings from year to year. With Port Adriano and Puerto Portals, Mallorca has 2 of the most exclusive marinas in the mediteranien. It is not uncommon to see megayachts of Russian oligarchs, Arab sheikhs or European industrialists in one of the ports of Mallorca.

This overall growth is also visible in the real estate market, where the demand for properties in good locations like first sea line, open sea views or in sought after locations in Palma continues to be very high. In recent years, the market has evolved from a buyer’s market to a seller’s market with new sales records from year to year.

Palma as the capital is very interesting for investors, who buy old properties in the center, renovate the houses, divide them up and then sell the apartments individually to gain a good profit.

If you look at the rest of the island, the southwest is the most interesting real estate market and offers great locations. With an excellent infrastructure and easy and fast to reach from the airport, the southwest of Majorca with the hot spots like Bendinat, Puerto Portals, Costa d’en Blanes, Nova Santa Ponsa, Camp de Mar and Port Andratx is the home of many wealthy and famous international personalities.

With over 50%, the Germans, Swiss and Austrians are still the strongest buyers in Mallorca, followed by English and Scandinavians. It is also evident that more and more Spanish families from the mainland are investing in Mallorca. In recent years, more and more buyers from Madrid and Barcelona came to Mallorca and invest their money in a holiday home, very much like with sea views and close to beaches.

Mallorca southwest

The proximity to Palma and a good connection to all the exclusive ports and the airport contribute significantly to the decision to invest in the southwest. Many buyers choose the Southwest to come

to the island all year round and appreciate that most of the shops, bars and restaurants are not closed due to the good infrastructure and the high demand even in the low season.

With its luxurious harbors such as Puerto Portals, Port Adriano and, of course, Puerto de Andratx, the Southwest offers a high level of lifestyle and quality of life.

In the period from 2014 to 2017, sales volumes increased by 90% and there seems to be no end as the demand for real estate in the southwest continues to rise and the stock of real estate offered for sale continues to decline.

The total transaction volume increased in 2017 by 22% to 2,500 completed sales. Another interesting factor is the marketing time, as most properties are on the market for a period of 6-12 months. This is explained by the position of Mallorca as a second homes market or holiday real estate market.

With “Green Elements” in Santa Ponsa, “New Folies” and “Blue Elements” in Port Andratx and also “Cap Adriano” in Port Adriano, more and more new luxury construction projects are coming on the market, characterized by a modern design and a high quality stand out from other, older objects to serve an exclusive clientele. Throughout, you will find on the entire island new construction projects, from partments, individual villas or in the center of the island more and more to find exclusive fincas with modern design and big, private land.

Villa prices in Port Andratx

Puerto de Andratx and Bendinat are the most expensive areas in the southwest – and in Mallorca – with a high demand for sea view real estate. For a sea view villa with around 400 m² of living space and a 1,000 m² plot, prices of over 4.5 million euros are currently being easily achieved.

Due to the different sun orientations of each location in Port Andratx, any urbanization can be interesting for a particular buyer. A large number of modern new villas with sea views can currently be found in the urbanization Cala Llamp, followed by the Cala Marmacen, while on Mon Port and La Mola in the past few years, only a few plots of land were available and thus the construction activity there in kept borders. Still, there are many old properties which currently get reformed and turned into new luxury villas.

Apartment prices in Port Andratx

There is a huge demand for sea view apartments of high quality and equipment and, of course, in good locations such as the Club de Vela, Puig d’es Part, but also on La Mola in Port Andratx and as well in Camp de Mar, Portals, Bendinat and Santa Ponsa.

For a sea view apartment with 2 bedrooms and 2 bathrooms you can currently calculate with a price of about 600,000 €. Newly built or high-quality renovated apartments with 2 bedrooms and 2 bathrooms start at about 800,000 € and more.

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