The millions of euros which have been invested in Calvia over the past decade not only appear to have changed the face of its tourist industry but also given the property market a boost, well prices at least.
According to property portal idealista, the Balearics remain Spain’s most expensive province for buying property with the average price of second-hand properties surpassing €5,000 per square metre. In August 2025, the islands saw an annual increase of 12.3%, slightly below the national average, yet still reflecting strong demand from both local and international buyers.
For foreigners looking to buy property in Mallorca, Ibiza real estate, or homes for sale in Menorca, the Balearics present a dynamic real estate market where prices are steadily climbing. In total, 25 municipalities across the archipelago reached record prices for resale properties. Among them, Ibiza’s Sant Joan de Labritja topped the list, with an average of €8,959/m², followed by Sant Josep de Sa Talaia (€7,367/m²) and Sant Antoni de Portmany (€6,927/m²). Calvia (€6,925/m²) and Ibiza town (€6,879/m²) complete the top five municipalities in terms of property values.
Property purchases and sales have increased by 15% in Spain in the last year and mortgages by 18%, driven by the European Central Bank’s (ECB) rate cuts and foreign demand, which now accounts for 15% of transactions, with peaks of over 30% in Malaga, Valencia and the Balearics.
This is according to the latest report by the Sociedad de Tasación (Appraisal Society) entitled ‘Ten trends and challenges for the housing market for the second half of 2025’, which indicates that the average price of new housing in Spain has reached an all-time high of 3,151 euros per square metre and forecasts suggest that it will continue to rise, with an estimated year-on-year growth of 8.7% for this year.
Idealista says that the property market in the Balearics remains highly attractive for international buyers, offering a mix of luxury living, Mediterranean lifestyle, and solid investment potential. With rising prices across Mallorca, Ibiza, and Menorca, now is a crucial time for buyers to explore opportunities, whether for a holiday home in Mallorca, rental investment in Ibiza, or a permanent residence in Menorca in Spain’s most desirable islands.