Category Archives: Mallorca Property Blog

A general blog about Mallorca and its property

Palma Mayor to authorize the building of 1.200 social housing units

Palma City Council will build 1,200 social housing units on eight residential plots that will be social or at a 90 percent of market value. Mayor Martínez has assured that eight plots will be developed as soon as possible, also taking advantage of the housing emergency decree, which allows for increasing the density of construction or the change of use of plots to build homes. 

Martínez has warned that, “in no case, the sale of these homes to private entities is contemplated. These properties will become part of the municipal heritage”. Currently, the Municipal Housing Board has 398 homes. The idea is that they can be ready before the end of the legislature.

The Balearic Government considers limiting foreign home ownership

Iago Negueruela, Minister for tourism and industry, called for a deep debate on how to limit the purchase of homes to non-residents on the Balearic islands of Mallorca, Ibiza, Menorca and Formentera.  The islands have traditionally been a second home haven for wealthy Northern Europeans.    

This motion, along with others to reduce the population and over-construction is now being hotly debated.  Sustainability, quality of life and an accessible housing market for locals appear to be the objective, along with the prevention of the islands becoming “second home ghettos “. 

Approximately 35% of properties sold in the 3Q of 2022 were to foreigners.  This is generally in the most expensive sector, which leads to a knock-on effect on prices further down the housing ladder.  

Limitations on second homeowners in places such as Andorra, Denmark and Malta are being studied carefully. 




Military Permit Mallorca

Since 1st January 2021, when the UK left the European Union, it is now necessary to have a permit from the Ministry of Defence when buying property on rustic land. It should be clear that this rule does not affect properties in Urban areas.

At the same time, they will check for a criminal record and require a plan of the property and land.

This is, in fact, an old law drafted in the last year of the Franco regime (Royal decree 689 published in 1978) in order to protect national security. It has been used for non-EU purchasers for over four decades.    

At the moment, this affects all non-EU purchasers, except the Swiss and Norwegians, who already have an exemption agreement in place. 

The Balearic Property Registrars College recognizes this is not going to help investment in the islands as the process at present takes about  6 months. 

It should be noted that the permit is property and person-specific so you cannot get the permit in advance when for example, you start searching for a rural property.

At Property Works, sadly, we are seeing vendors turn down good offers from Brits as they do not wish to wait for the purchaser to obtain this permission, much preferring an EU citizen who can complete with less fuss or delay.   

We have also heard that in some property registers (Ibiza), they are allowing properties to be registered with the clause “pending military certificate”. This appears to be an exception and potentially risky for the registrar and notary if the permit is denied.

Hopefully, this rule will be changed soon. There is significant pressure from all sides, especially agents and lawyers to remove this unnecessary layer of bureaucracy. 



Price variations in the Balearics

Article by the Secret Surveyor.

Knowing whether the price of the average property is going to increase or decrease is key for investors looking at the property market. We are going to lay out some predictions and show a general overview of the trend of property market prices in the Balearics.


  • 3rd most expensive region in Spain with an average price of m2 of 2272 only behind Madrid and Basque Country.
  • 3rd region which has grown the most since 2015
  • At one of the highest points it has ever been

Only real case of growth since 2004

When analysing the price of property in the Balearics it is interesting to note that official valuations are much higher than they were at the pre-recession phase. As opposed to the rest of Spain, the Balearics average price of $/m2 is 23% higher than what it was in 2004. This is the only real case of significant price growth in a large region in Spain. The only other regions which shows a similar trend are Galicia, Extremadura and Cataluña all with growth under 10%.    

It is in fact in one of the highest points it has ever been. Current price of property is only behind years 2007 and 2008.

There is growth but it is slowing down.

The Balearics show strong growth in the last 3 years. Price’s have gone up significantly: since 2015 they have risen by 13% making it the 3rd region with biggest growth in that space of time.

However, in 2018 there is a significant change: in comparison to 2017 there is only a 3% increase. Opposite to the 2015-2018 period, during this year growth is below the average in Spain. In the last quarter of 2018 change was of only 0,4%, significantly below the average in Spain and one of the lowest quarterly growths in recent years.

Why Balearics has been so strong

Inland Spain was significantly more affected by the property crash than the Balearics:

  • Foreign Investment. Balearics wasn’t as dependent on local market and hence demand for property didn’t fall as much as in other regions.
  • Luxury market: known to be much more stable in recessions, the Balearics has one of the biggest luxury markets in Spain.

Will prices keep going up?

Balearics have historically been a very strong growing market yet growth seems to be slowing down. In fact, what makes the Balearics a strong market is islowing down the growth.
The Balearics are a strong stable market as mentioned due to the size of the luxury market and due to foreign investment.
Two key exogenous factors have caused these pillars to cause stagnation:

a) Macroeconomic tensions: Brexit, yellow vests, Trump, Putin… 2018 has been a year full of uncertainty and political tension. 2019’s prediction is uncertain for everyone. Brexit exemplifies how this affects the property market. British citizens (historically one of the strongest buyers in the market) do not know whether there will be any changes in tax payments, regulation or even their rights as EU citizens if they buy a property in Spain. This undoubtedly has caused, and will cause, property markets to stagnate.

b) Local legislation uncertainty. The Balearic government, and especially the Palma Town hall, has created and changed laws regarding property during their whole legislation. The mayor of Palma is in fact being taken to court regarding a controversial law regarding property rentals. As with foreign buyers, uncertainty is causing many buyers to not buy in Palma and the Balearics.

Will prices keep going up? The market is stagnated. There are however positive signs: Brexit deal looms and there are going to be regional elections at the beginning of 2019 in the Balearics. It would be impossible to give a realistic prediction yet the mere fact that part of the uncertainty will be taken out of the equation will most definitely help the property market.

All data is taken from the official Ministerio de Fomento 2019 document. Find the methodology in:

Balearic government aims to phase out Green house emissions by 2050

A bold move by the Balearic islands’ government to phase out greenhouse gas emissions by 2050 is being considered in a new green manifesto, which includes banning diesel cars and changing all street lighting to LEDs.

Other plans include

  • buildings with roof spans of more than 1,000 square metres – car parks, hospitals, supermarkets and sports stadiums will host electricity-generating solar panels.
  • Coal plants will be phased out by 2035,
  • All car hire fleets on the islands will be electrified.

Francina Armengol, the president of the Balearics’ socialist-green government, said  “It has to be this way if the law is to be more than a mere statement of intent.”

Joan Groizard, the islands’ director-general for climate change said the move put them on a path to confrontation with Madrid, and his government was studying the legal implications very carefully. There is a live debate about what regions can and can’t do, and this requires careful consideration.

He states “We can’t ratify the Paris agreement on our own but we can take a decision to adhere to it. Climate change is already having a big impact on our islands and hopefully, our actions can have a knock-on effect elsewhere.”

The Balearics government says that if its climate plan is blocked, it will refuse to upgrade its Alcúdia coal plant in Majorca in time to meet a 2020 deadline for new EU emissions limits.

“If we sit on our hands and do nothing then on 1 January 2020, the plant will not be able to work, because it will be in breach of the EU legislation,” he said. “We are hoping it won’t go that far. But we do have pockets of sovereignty – or power – that we’re planning to use if we need to.”

Your own flatpack house for 30,000€ built in 6-7 hours?

New homeowners are looking for inexpensive, unique, greener, and smarter homes that are durable and energy-efficient at the same time. Prefabricated homes are one solution.

Architect Renato Vidal from Italy has designed a miniature home that he claims can be built in 6-7 hours. It is built in a factory, doesn’t need concrete foundations, and can also be upgraded to run off-grid.  It is claimed to earthquake resistant

The foldable design was created by Italian architect, Renato Vidal
All basic models include a fitted bathroom, kitchen connections and technical installations

The best bit is that the homes can be folded up and transported when you get bored with the location.

Too good to be true? Perhaps, as the 30,000€ quoted is for just 27m2, below the minimum permitted size of a habitable property in Spain.  The larger 2/3 bed models are much more practical and appear to be priced at about 60,000€.  Land costs, site purchase and fees would have to be added to the equation.

Prefab homes are the homes of the future. The exceptional convenience, cutting-edge architecture and eco-efficiency are everything that a homeowner would love to invest in, especially in these changing times.

Palma town council to ban holiday rentals in apartment blocks

We understand Palma town council is close to banning holiday rentals in apartment blocks.

Long-term rentals will not be affected, nor detached or semi-detached dwellings and always when a specific tourist rental licence is granted.

The Gobern Balear will also empower other local authorities across the islands to prohibit apartment rentals if considered necessary.

The legislation has come about via an unlikely alliance between the left and right-wing parties as a result of skyrocketing long-term rents, overcrowding, and a strain on local infrastructure.

There has also been opposition from hoteliers, who see holiday rentals as unregulated and unfair competition.     Similarly, block residents have been complaining about the general poor behaviour of holidaymakers.

We understand the exact details of the new law that have yet to be approved, including the prosecution process.

Other measures being studied include a limitation on the number of holiday rental properties an individual may exploit.

long term property rental prices have soared in the last 12 months with an average increase of 6% pa.


A country life – 10 reasons why Sóller is probably the best place to live in Mallorca

by Alastair Kinloch MRICS

As Mallorca-based Chartered Surveyors for over 30 years, Property Works has a unique insight into what purchasers should be looking for when buying a home in Mallorca. We also get to understand their needs, even if they do not recognize each and every one themselves.

Our approach is holistic (not just an economic one) considering lifestyle, leisure, work, family and health.

So why do we consider this unique town as the best place to set up home/invest in a country location in Mallorca?

Here’s a guide to why…

1. Variety really is the spice of life

Sóller’s (pronounced soy-yer) maze of medieval streets and alleys hides an impressive array of properties from modern port apartments and villas to old townhouses, factory conversions and traditional country estates.

The majority of construction is traditional and natural, especially outside the urban centres with the use of stone facades, curved terracotta tiled roofs and timber doors and shutters. This gives the place a certain aesthetic harmony which has been complimented with relatively strict planning controls.


Unusually for the island, many of the townhouses have three storeys, unlike any other town centres on the island where two are more common.

Our experience of working in the construction industry monitoring quality, materials, methods, timings and prices gives Sóller’s constructors a big “thumbs up”.  The work carried out is often not cheap so be sure to get various quotes and be clear on the time schedule for delivery.

Fortunately, it is still possible to find projects in Sóller, especially in the old town where many large family homes can be purchased for renovation at a relatively reasonable price per meter square. Many retain original features such as beautiful curved open staircases with intricate ironwork and marble panelled walls, carved woodwork and stone, crystal skylights, and ancient fired floor tiles.

Art Nouveau and Modernist influences in architecture are everywhere.  The port offers both traditional and contemporary properties. Mountain retreats are also an option.


Sóller really does have it all.

2. Eat, drink & be merry!

Extra-virgin olive oil, ripe tomatoes and sweet peppers, salad greens, heart-healthy avocados, garlic and onions, immaculately fresh seafood, mountain lamb, plenty of legumes (especially chickpeas), and rice, bread, and big, flavourful red wines. What more could you want?

Sóller can give you the Mediterranean diet with excellent locally sourced, market produce and restaurants.  Its specialist products  include:

 Prawns, fish and other shellfish.  Gambas de Soller are famous for their colour, texture and flavour.

Citrus fruits – More than 600 years ago Arab sailors brought citrus trees to Mallorca and converted Soller into an orange valley, often known as the “golden valley”. Thanks to the abundance and quality of the mountain water as well as the abundant sunshine, Soller now produces over 120,000 oranges a year.

Olives – The Mallorquin olive (now recognized as a protected product) is known for is intense green colour, saltiness and aromas.   Oli de Mallorca has multiple culinary uses, its exquisite taste and its health benefits let enjoy a high quality and tasty food. As a basic part of the Mediterranean diet, the Majorcan Olive Oil has vitamins and unsaturated fatty acids. It is a pure olive juice, produced without chemical processes, becoming a high quality aliment.

Almonds – The Mediterranean climate and the dry farming crop system gives the Mallorcan almond its unique characteristics. Its sweet taste, a greater content of proteins, fatty acids and carbohydrates, make this a universally desired product, used in a great variety of foods.

 Wine –  The Mallorcan wine industry currently boasts 70 different wineries, some of which are highly recognised nationally and internationally.

3. The Environment

“Nature is not a place to visit. It is home.” ― Gary Snyder

Sóller is situated right in the middle of the Tramuntana mountain range, a region awarded World heritage status by UNESCO as an area of great physical and cultural significance.

It is a range running the entire length of the island with the highest peak, Puig Major,  at 1445m. To put that in perspective, Ben Nevis, Britain’s highest mountain is “only” 1219m from sea level.


What makes this mountains so special are their size and shape, being 90km in length and 15km at its widest point taking up about a 1/4 of the whole Mallorcan territory. Its narrowness and height means the mountains fall dramatically into the sea and on the plains.

The area is an absolute dream location for walkers, cyclists, beach and nature lovers.

 4. Airports don’t have to be terrible

Mallorca’s airport, Sant Joan, is the third largest in Spain and carried over 23 million people in 2014. Over 100 airline companies use the airport and flights to most cities in Europe are covered. The island enjoys good winter flights schedule, unlike many other smaller Spanish airports which often require connecting flights. In fact, Mallorca is increasingly becoming a “commuter destination” and gives many people the opportunity to work in Mallorca allowing for extended stays. Ibiza, Menorca & Barcelona are all about a 45 minutes flight away from Palma. One can reach the airport in about 35 minutes from Sóller.

5. Palma or Ciudad/Ciutat


A panel of judges for the Sunday Times supplement recently  chose Palma de Mallorca as their overall favourite out of fifty top worldwide places to live. It was described as a destination that “has it all”.

Palma is reached in just 25 minutes, most of the journey through attractive rural countryside. There is also a train and a regular bus service.

Nuff said.

6. Sóller – not one town, but two (or even three)

Evidence of early settlers has been found in Soller dating back to talayotic times. (2,700-5,200 BC) in the “La Muleta” area.  Soller’s development is likely to have evolved over the years due to its great natural resources and the enterprise of its people, trading (oranges/olives/fabric) with Barcelona, Valencia, and France. It is still possible to see wonderful turn-of-the-century  factories (in various states of repair!) through the town.

Soller has two distinctive, but complementary centres. The port and the town are some 5km apart connected by tram or road. They offer completely different ambiences.

The port is an almost perfect circled bay with a relatively small opening to the open seas. It enjoys a pedestrian walkway, sandy beaches and a small marina. Although some development has occurred (there are a few medium sized hotels), the area is relatively low density and unspoilt and retains its fishing village feel.  A lot of investment, both private and public, has occurred in the area with the new port-town tunnel and the complete renovation of the port front. Private investment includes the creation of the Jumeirah resort, a five star hotel perched on hill often described as the best hotel in Europe. The port has many excellent shops, bars and restaurants, great walks and usually a place to keep your boat.


Buying or renting a small boat and exploring the coastline by sea is a must. True Mediterranean seas still, crystal clear seas and miles of unspoilt coastline are there for the taking.

Beyond the port, Soller is an expanse of land known as the “valley” due to its position between the surrounding mountains. It is an exceptionally green and fertile place with mainly almond, orange and olive groves filling the valley.


The town centre has a mainly medieval feel but marked by its extraordinary modernist architecture. Examples of this are the Gran Hotel, Can Prunera, the church and the banco Santander buildings. It has a thriving artisan market and a wonderful square.


The third area is Biniaraix, possibly the most picturesque and unspoilt hamlet on the island.  It sits on the outskirts of Soller at the foothills of the Barranc, an ancient mountain footpath leading to the mountain reservoirs in Escorca. For administrative purposes, it is actually run by both Soller and Fornalutx.  The houses in the village are entirely stone build and most streets are cobbled and pedestrian.


7. Work & lifestyle balance

Suffice it to say it pretty likely to be a lot better than back in the UK.

8. Education and health

The world health organization ranked the Spanish health system as being the 7th best in the world, with France coming first and the UK in 18th position. Two new public hospitals have been built in Palma in the last 10 years, Son Llatzer and Son Espases, offering some of the most modern facilities in Europe to the Mallorquin residents and guests.

Complementing the new public centres, Mallorca´s private healthcare has also been reinforced with improvements at hospitals such as at Clínicas Palmaplanas, Policlinica  and Juaneda, all located in Palma and usually accepting international cover by groups such as Bupa and Axa.

On our last count Soller has at least 8 schools, educating kids from 3-18 (not counting nurseries). For international schools there are at least 8 more in Palma and beyond offering baccalaureate, primary, and O/A level study.

9. The People

The Sollerics are a warm and friendly bunch, just learn some Catalan and Some Spanish and you will always be welcomed.

Sóller and its surroundings have been attracting artists, musicians, sports & nature lovers, young families, actors, entrepreneurs and retirees in its droves for years. When hunting for a home, it pays in every way to follow the cool crowd, either to the city, the suburbs or the countryside.

It now has a very multicultural society, attracting amongst others, British, French, German and Scandinavian Europeans. There are also large South American and African communities.  One must also add the “forasters”, the non-Sóller born residents from other parts of Mallorca or the mainland.  This foreign contingent offers a richness to the society which has, overall, integrated well within the Sólleric community and contributed to make this such as special place.

10. The Economy, stupid

Enough with the doom and gloom about homeownership in Spain.

Things are looking bright again for Spain…..

  • The exchange rate between the UK pound and the Euro is now at its best level since 2008 offering an extremely attractive €1.38 to the pound. So at today’s rate, a €1m property would cost about £725,000.
  • With around 2.8 million legal foreign residents in Spain, not to speak of ever-increasing tourism figures, Spain has become a top destination for foreign property investment. The Spanish Ministry of Tourism predicts that more than one million foreigners will set up home in Spain in the next six years, and this figure is expected to treble by 2025.
  • Interest rates also remain extremely low at under 0.2% meaning borrowing has never been cheaper.  Quantitive easing by the European central bank means over 100 billion Euros is coming to Spain. A big chunk of this will be made available for banks to lend.
  • Soller has relatively low unemployment in the national context.
  • A large flourishing rental market is offered in Spain and investment in a property with good rental potential can achieve excellent returns. Spain is a top choice for tourists who enjoy a variety of self-catering accommodations, apartments and private villas. Get it right, and you could rent your property out for six months of the year to cover costs and have it for your own use, free of charge, for the rest of the year.
  • From an economic point of view, It is always good to follow infrastructure investment in and that is what has happened in Sóller A prime example of the town´s transformation is the centre, with its main square and main shopping street or Carrer de la Lluna, which has changed spectacularly over the past ten years. This area is now almost fully pedestrianized and has filled up with welcoming terraces, boutique shops, and a lovely food market. It is now a must-visit for the thousands of tourists who are lengthening the island’s season from the beginning of March to November.
  • According to Kyero, the average price for property in Soller is at 468,000€, almost double the national average. Prices have remained resilient during the crisis, mainly due to limited stock and an increase in demand.  It is not cheap by Spanish standards, but it appears that historically, capital growth has occurred and will continue to do so.
  • Nationally, market conditions are improving with prices up 1.8% and 2.4% increase in sales. Construction spending is also up 34% in Mallorca alone in 2014.

Palma – the best city in the world to live 2015…

According to the Sunday Times, Palma is the best city to live in the world 2015. Below is an extract from the article.


“Our winner is Palma. We believe it has everything” said the newspaper. Although not explaining the exact criteria when making its choice, it does highlight some of the elements that make Ciutat de Mallorca attractive to the British, including the climate, the beauty of the old town , gastronomy and beaches.

“It ‘s a pocket-sized city that has it all on a beautiful island “

Another argument is that the city is easily accessible for a Brit who wants to live abroad. The short distances across the island are a plus to living in Mallorca emphasizing that Palma is a ten-minute drive from the airport and throughout the year there are cheap flights.

Apart from Palma , Sunday includes three other Spanish cities in their top 50: Barcelona, Ojén north of Marbella, and Zahara on the coast of Cadiz.

In the list of the 50 best cities to live in, the Mallorquin capital has also been located ahead of destinations such as Berlin, Honolulu, Miami, Rome, Florence, Paris, Vienna, Stockholm, Copenhagen, Rio de Janeiro and Sydney.