Property prices are continuing to spike in the Balearics according to an analysis of data published by the Ministry of Housing and Urban Agenda. Although many economic agents offer information on the residential market, what is interesting about the government’s statistics is that they use the value of appraisal reports from certified companies as their source of information, and not merely asking prices, such as the data handled by real estate portals.
The appraised value of housing in the second quarter of the year in the Balearics stood at €3,518.2 per square metre, 13.2% higher than a year ago and a 22% increase in just two years. Compared to the same quarter in 2015, this value has risen by more than 80% in just a decade. Furthermore, the historical data shows how the appraised value of housing in the islands has increased significantly in recent years.
The Ministry’s statistics also show that in the Balearics, the gap between newly built housing and housing more than five years old is narrowing at a very rapid pace: the difference between the two is much less significant than in other regions of Spain. The value per square metre for homes less than five years old was €4,078.8 (up 16% in one year), while for those over five years old it was €3,498.4, which is practically the same value as a new square metre just one year earlier. In other words, today you pay for a home that is more than five years old what a new home cost just a year ago.
By municipality, in Palma the average is €3,337/m² (more than €4,000/m² in the case of newer properties). Outside Mallorca, Santa Eulària is the most expensive municipality, exceeding €6,000/m², and Ibiza €5,300/m². In terms of social housing, the value has also risen in the last year (+3.1%), but historically it has been much more contained: currently, the appraised value does not exceed €1,100 per square metre, a figure that is in fact even lower than the 2009 figure.
According to the Ministry, in the first half of 2025, 7,913 homes were purchased in the Balearics (a slightly higher number than in the same period last year). Of this total, the vast majority (7,844) were private and only 69 were social housing. Of the latter, only one was newly built. Palma accounts for 2,682 transactions in the regional sales figures. Calvia (593), Ibiza (326) and Santa Eulària (289) are the next municipalities with the most transactions.
Government statistics also break down the occupancy rate of these homes. In 2024, of those more than 660,000 homes in the Balearics, 212,309 were not primary residences, 32% of the total. The proportion of dwellings not considered to be primary residences has increased over the last decade, representing 28.6% in 2014, but this is down compared to 2004, when they accounted for 35.7% of the total housing stock.
The statistics also reveal a striking trend: the number of non-primary residences fell sharply between 2022 and 2023 (by more than 10,000 homes) and rose again in 2024. And, according to idealista, British buyers lead foreign property purchases in Spain in 2025. British interest in Spanish property remains strong, with 5,731 homes purchased by UK buyers in the first half of 2025. This makes the UK the leading nationality in the foreign property market, accounting for 8.1% of all transactions by non-Spaniards.