Just 48 hours after the outbreak of conflict in the Middle East, Mallorca's real estate market began seeing a significant shift. Marcel Remus, a prominent estate agent on the island, has fielded numerous enquiries from tourists primarily from Germany, Austria, Switzerland and the United States, opting to abandon Dubai and Abu Dhabi in favour of Mallorca’s tranquil surroundings.
"Since the situation developed in Dubai, we have tripled the number of villa rental requests," explains Remus. "Clients who initially intended to spend their Easter holidays or May breaks in Dubai’s luxury hotels are now inquiring about premium villas in Mallorca to spend their vacations here."
The surge in demand has outpaced supply, with Remus stating, "We receive many more requests than the properties currently available. Some clients have budgets as high as €100,000 per week for villa rentals."
Changing investment and travel patterns
Adapting swiftly to these geopolitical developments, the German agent based in Mallorca is promoting villas in Son Vida priced at €2,500 per night through his social media channels. He observes, "There are clients who had been looking into purchasing luxury apartments in Dubai but have cancelled their deals. They have told us they prefer to come to Mallorca because it is a safer destination."
Internationally, the perception of Spain and its leadership has strengthened, according to Remus. "President Pedro Sánchez is seen as a reliable and calm figure, reflecting the country itself." This geopolitical positioning has contributed to an improved image of Spain.
Impact on upcoming holiday seasons and sales
While Easter plans are undergoing significant changes due to the Middle East conflict, the summer outlook remains optimistic. "It’s still early, but we are confident that more people will come to Mallorca," comments the estate agent, who recorded €118 million in property sales last year and has already closed €28 million in sales this year.
José Miguel Artieda, president of the College of Real Estate Agents of the Balearics, shares a similar view: "The conflict has caused a degree of panic. People who previously lived in Dubai have decided to return, and buyers from Dubai are now considering purchasing villas worth between €2 million and €5 million here. There is definite activity and interest in Mallorca."
Meanwhile, the association ABINI reports that "there are isolated cases but nothing beyond what would be considered normal or different from what we have seen a month or a year ago."