The capital of the Balearics, Palma de Mallorca has much the same allure as Barcelona — a picturesque old town, beaches within walking distance and a great climate — and it’s an easy place to assimilate as a Briton abroad. It’s also a short drive (10 minutes) from the airport, with plenty of cheap flights taking you back to the UK in about two hours. This is making it an increasingly popular “commuter” destination.
Palma is also the gateway to sophisticated, charming Mallorca: you can reach the Caribbean-like Es Trenc beach, wealthy Puerto Andratx or mountainous Deia in 30-45 minutes. Most foreigners buy flats in one of Palma’s converted historic palacios, where prices start at around €250,000….
The Spanish press report that Mallorca high-end house prices are 2.5 x higher than they were at the top of the boom. The average luxury villa now costs €5m say Engel & Völkers, an estate agency.
In Mallorca a new luxury segment of the market is taking shape with prices in the range of €5 million, compared to €2 million a few years ago. The improvement started in the South West and is now spreading all over the island.
So says Hans Lenz Engel & Völkers Mallorca South West
I don’t know how much truth there is to this, but it’s what the Spanish press are reporting (based on E&V press releases I would imagine, so nobody is checking the facts, that’s for sure).