Inland and Country property in Mallorca

2008 report

This report was prepared by Engel & Völkers, a real estate agency with offices in many of Spain’s most popular destinations. It is reproduced here with permission. More information on Englel & Völkers

Mallorca West Coast Properties

Buyers continue to discover the beauty of inland Mallorca with its mountain views, changing landscape of almond, olive, carob trees and vine-yards. This is the “alternative” Mallorca and it retains its traditions, its local cuisine and culture in the villages. Peace, tranquillity and privacy are very important features to buyers in this area and these factors are also why some existing property owners from the coast and Palma are moving inland where generally they get more for their money.

The most requested properties here are traditional country fincas, villas, town houses and properties that need to be renovated. There is also demand for large plots (a minimum of 15.000 sq metres is required to build on in this region, sometimes upto 50.000 sq metres). Last year the market was extremely buoyant in this area with prices up to 20% for large fincas.

There is a huge range of price in this region where you can expect to pay approximately €450,000 for an apartment with views up to €1 million plus for a finca and more for a luxury villa. Townhouses average around €600,000, properties need renovation can be picked up for approximately €500,000 and plots for about the same. Most property sells 3-12 months reflecting the increased demand and most property is achieving its market price (if valued correctly) because of good market performance here.

With these types of properties there are different priorities. Ideally, the property should be connected to the mains water system, or have its own independent water sup-ply, have mains electric, it must have good views and for the larger properties, separate guest/staff accommodation. The infrastructure of the area is also very important and in the past year a new motorway has created a faster link between Palma and the centre of the island with an efficient rail link. In addition, a new hospital has been opened at Inca.

Over 50% of the market is British followed by Spanish and German followed by an international and European scattering of buyers. The average spend of the buyers is between €600,000 – €900,000. The majority of buyers are aged 40 – 50 and many of them (around 80%) are using their property as a first home. In the past 12 months the offices here as seen that clients are moving away from the coast inland mainly because they want more privacy and tranquillity.

The most requested villages are Santa Maria, which is only 10 minutes drive from Palma and Alaró a charming, traditional village located close to the Traumuntana Mountains. There are still many possibilities for the buyer in this region and the local offices highlights villages such as Moscari, Selva, Montuiri and Llubi which are all still relatively “undiscovered” and well priced.