The average price of a Mallorcan home has risen by 60 percent since the credit crisis hit in 2007, according to a new survey by specialists Tinsa IMIE Mercados Locales. The increase in property prices in Mallorca is one of the highest in the country.
The survey states the following:
The average value of new and used housing in Spain increased by 3.1% year-on-year and 1.3% quarter-on-quarter, a pace in line with inflation.
The dynamism of prices spread among a greater number of capitals in the north and centre of the mainland, with intense price increases beyond the coastal resorts
At the provincial level, the rise of Asturias (+3.4% quarter-on-quarter), the Balearic Islands (+2.8%), Cantabria (2.1%) and the Canary Islands (+2%) stands out.
The province of Santa Cruz de Tenerife and the city of Malaga exceeded their highs recorded during the real estate boom in 2007.
- The level of theoretical effort to buy a home reaches 34.9. In six capitals the effort rate exceeds 50% (Barcelona, Palma de Mallorca, Cadiz, San Sebastian, Malaga and Madrid).
The region where the average value of new and used housing has increased the most with respect to its post-crisis low in 2007 is the Community of Madrid (+68.3%), followed by the Balearic Islands (+60.5%) and Catalonia (+51.9%). For its part, the Balearic Islands is the only region in Spain that exceeds the highs reached during the bubble years, standing 12.6% higher. Another 8 regions are below 20% and 10 regions are above 20%.