Mallorca remains a favourite destination for overseas buyers where they can not only reap the long-term returns from their investment but also enjoy it at the same time with family and friends. Here you can learn more about the current situation on the property market and what reasons speak for a real estate investment in Mallorca.
The island has a superb climate with around 300 days of sunshine per year, dreamlike beaches & hidden bays, top leisure and sports activities, great shopping and restaurants, a modern public and private healthcare service and a good selection of international schools, that make Mallorca’s sophisticated infrastructure an ideal destination for all the family. Mallorca’s 554 kilometres of diverse coastline extends from the flat, Caribbean-style beaches in the south to dramatic rocky landscapes in the north. The island is dominated by the Tramuntana Mountains that extend from the southwest to the far northern tip. These mountains, declared a UNESCO World Heritage Site in 2011, not only provide spectacular natural landscape, but also the famous microclimate of the island. It’s incredible that Mallorca provides so much variety and yet there are still so many hidden gems to be discovered.
In terms of facts and figures: in 2017 the real estate market reached a record high. In 2018 and 2019 there was a consolidation of sales and yet still retaining a buoyant level. All the market statistics and official figures in relation to buyer demand indicate that the market will remain at a stable level. For detailed information, please to the Engel & Völkers Market Report for the year 2019/2020.
The Engel & Völkers’ Mallorcan experts have summarised below why an investment on this multi-facet island is currently so attractive, especially for Swiss investors:
1. Mallorca's unsurpassed attraction has drawn people to its shores for years which is why it has become a haven for many famous personalities who call the island their home.
2. Continued market performance and positive price development, particularly for premium properties: Even in times of crisis, Mallorca's real estate market has proven to be a sustainable one by international standards. Suggest: In comparison to other international destinations, even in times of crisis, Mallorca’s real estate market have proven to be resistant and sustainable for investors.
3. Political and economic stability in a safe environment: Compared to other secondary residence locations, Mallorca’s combination of accessibility, political and economic stability and security is unique in Europe.
4. Profitable double taxation agreement for Swiss residents.
5. High demand of housing: The need for rental apartments exceeds the offer. An estimation proves that there are 2000 apartments a year necessary. Is this relevant to a Swiss investor – surely this is a local issue? Suggest: Strong balance of supply and demand in the market where demand often exceeds supply, especially for premium property in top locations.
6. Preserving the beauty of the island: approximately 40% of the island is protected territory where nothing can be built nor changed. This factor preserves the natural environment of the island and helps create a sustainable real estate market.
7. Excellent infrastructure and easily accessible: the island is within 1.5 flying time from Switzerland and all the main European cities are easily reached within 3.5 hours flying time. Furthermore, there are 15 international schools with modern healthcare facilities in 8 public and 9 private hospitals in Mallorca.
8. Varied shopping and gastronomy plus excellent relaxation & leisure facilities including: 23 golf courses, 44 marinas, 340 beaches to name but a few of the island’s main leisure attractions.
9. Cosmopolitan environment: around 23% of residents in the Balearic Islands are of international origin.
10. Competent and professional advice: your Engel & Völkers Mallorca advisors can offer local know how and excellent contacts to support you throughout the entire buying /selling process.
Are you dreaming of a second home on the sunny island of Mallorca? We would be happy to support you in this and to put you in contact with our colleagues.