The real estate sector is one of the main economic engines of Mallorca. Recent data and future forecasts point to luxury real estate as the most relevant stimulus to this development.
Given this reality, and taking into account the current context, it is interesting to invest in a real estate franchise. Would you like to know more about it?
The last three years have been complicated and turbulent in all economic and geographical spheres, both in Spain and abroad. However, the Balearic Islands have traditionally been a highly sought-after real estate destination for the German, British and Scandinavian public. Together with Madrid and Barcelona, they constitute the main Spanish real estate market. Thanks to this, it has enjoyed a certain stability during these years of financial crisis.
In fact, in the financial and real estate crisis from 2008 to 2012, losses in value in Mallorca were lower than in the rest of the country. In the most recent crisis, caused by the coronavirus, the Mallorcan luxury real estate sector also held up better. Although sales slowed down in 2020, prices remained stable. And, in the last quarter of this year, this situation has begun to be left behind.
The analysis of the Balearic real estate sector in this period reflects revealing data:
As you can see, the results could not be clearer. It is a consolidated real estate sector, stable, reliable and resistant to the most complicated economic situations.
In terms of the origin of homebuyers in Mallorca, Germans have increased considerably since 2021. If the influence of Brexit is taken into account, it is easier to understand why Germans have overtaken the British in market share. Germans account for 10.4 %, compared to 9.9 % for the Anglo-Saxons.
70% of the holiday properties in the Balearic Islands are located on this island and 50% of them belong to the luxury real estate sector.
In terms of the number of transactions over the last three years, these are the figures:
And, in terms of transaction value, these are the annual differences for the islands as a whole:
Obviously, the analysis of the Mallorcan real estate sector during the crisis encourages us to be very optimistic. Any real estate franchise has a great opportunity in front of it. Would you like to take advantage of it?
Just think, for example, that 22.1% of the luxury properties in Spain are located in the Balearic Islands. Consider this fact: out of every three residential properties in Spain valued at over 3 million euros, one is on these islands.
Its public is, logically, of the highest standing, and it is the sector that, in times of crisis and post-crisis, performs best. The Mallorcan coastal areas, moreover, are where the main supply of these luxury homes is concentrated. You can find a price range between 1 and 20 million euros, although the average is between 7 and 10 million euros.
Even within this segment, any real estate franchise sees an even greater opportunity in the ultra-luxury segment: the tourist flow of this type has grown exponentially in Mallorca and Ibiza after the pandemic!
All in all, a quick analysis of the Balearic real estate sector shows the great business opportunities it offers. Entering it with a real estate franchise offers significant advantages:
With a real estate franchise like One Mallorca, the chances of success are absolute. Participate in the luxury real estate sector in Mallorca and get a great return on your money with a high interest rate. The analysis of the current real estate sector could not be more positive.
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