There is concern within the local real estate sector as home sales in the Balearics fell by 8.3 percent in March (compared to March 2025). The fall was much higher than the 2.2 percent nationwide. Local real estate agents underlined the fact that buying a property in Mallorca was still a very good investment despite the fall in demand.
Of the home sales recorded in March in the Balearic Islands, 1,186 involved private homes and 46 involved subsidized housing. Based on the age of the properties, 270 transactions involved new homes, and 962 involved used properties.
By region, Castilla-La Mancha was the region with the strongest year-over-year performance in home sales in March, with an 11.5% increase, followed by Navarra, up 8.21%, and La Rioja (+5.23%).
International buyers—predominantly from Germany, the UK, and Northern Europe—drive a significant portion of luxury house sales, accounting for about a third of all transactions.
Palma remains the hottest market. Prices continue to climb rapidly in highly connected or lifestyle-centric neighborhoods like Portixol-Molinar and Santa Catalina. Areas like Port Andratx and Santa Ponsa consistently command the highest per-square-meter rates on the island.