Mallorca Property Prices - Update October 2008
The latest report from IESE Business School on the value of second hand property in Mallorca and mainland Spain highlights the trend of falling prices throughout Spain. The average price per m2 of property in Spain fell to 2,646€, a fall of 8.3% when compared with the same month of 2007, while in Mallorca the figures were 2,541€ per m2, a fall of 3.3%
The nationwide figures are:
Av. Price Month +/- Quarter +/- Annual +/-
| Guipúzcoa | 4.407 | -2,4 % | -0,7 % | -1,8 % |
| Vizcaya | 3.906 | -0,8 % | -1,5 % | -7,9 % |
| Barcelona | 3.831 | -0,9 % | -2,3 % | -11,4 % |
| Álava | 3.530 | -0,3 % | -0,4 % | -4,1 % |
| Madrid | 3.434 | -0,9 % | -1,7 % | -9,2 % |
| Zaragoza | 3.050 | -1,2 % | -1,7 % | -8,7 % |
| Navarra | 2.881 | -0,3 % | -1,4 % | -11,3 % |
| Girona | 2.857 | -0,6 % | -2,0 % | -8,5 % |
| Cantabria | 2.712 | -0,6 % | -0,4 % | -5,3 % |
| Tarragona | 2.567 | -0,7 % | -2,1 % | -8,9 % |
| Balears (Illes) | 2.541 | 0,1 % | -0,1 % | -3,3 % |
| Sevilla | 2.495 | -0,1 % | -0,5 % | -1,3 % |
| Guadalajara | 2.447 | -0,8 % | -2,3 % | -7,9 % |
| Málaga | 2.420 | -0,6 % | -1,7 % | -7,5 % |
| Huesca | 2.409 | 0,5 % | 0,3 % | 1,8 % |
| Asturias | 2.370 | -0,9 % | -1,5 % | -9,7 % |
| Salamanca | 2.366 | -0,3 % | 0,2 % | -9,4 % |
| Pontevedra | 2.340 | -0,2 % | -1,8 % | -9,9 % |
| Córdoba | 2.298 | -1,6 % | -2,7 % | -6,4 % |
| Rioja (La) | 2.288 | -1,9 % | -2,7 % | -12,8 % |
| Burgos | 2.282 | 0,4 % | 1,1 % | -5,1 % |
| Cádiz | 2.266 | -1,1 % | -2,2 % | -6,3 % |
| Valladolid | 2.259 | -1,4 % | -2,7 % | -5,9 % |
| Valencia | 2.212 | -1,1 % | -0,9 % | -10,4 % |
| Soria | 2.202 | -1,9 % | -3,1 % | - |
| Albacete | 2.192 | -0,9 % | -2,8 % | -9,4 % |
| Segovia | 2.183 | -0,3 % | -0,1 % | -3,8 % |
| Coruña (A) | 2.164 | -1,5 % | -0,9 % | -11,7 % |
| Granada | 2.092 | -0,4 % | -1,3 % | -7,6 % |
| Almería | 2.068 | -0,6 % | -1,9 % | -9,5 % |
| Huelva | 2.057 | -0,2 % | -0,7 % | -6,1 % |
| Palmas (Las) | 2.054 | -0,8 % | -1,2 % | -3,2 % |
| Lleida | 2.041 | -0,2 % | 0,0 % | -6,8 % |
| Castellón | 2.022 | -0,8 % | -1,5 % | -6,6 % |
| Alicante | 1.962 | 0,2 % | -1,0 % | -7,2 % |
| Tenerife | 1.944 | -0,4 % | -3,0 % | -8,0 % |
| Toledo | 1.924 | -0,7 % | -1,6 % | -8,6 % |
| Murcia | 1.923 | -0,5 % | -0,7 % | -7,8 % |
| Palencia | 1.912 | -0,1 % | -1,1 % | -8,4 % |
| Cuenca | 1.880 | -1,6 % | -2,7 % | -6,6 % |
| Ourense | 1.857 | 3,9 % | 4,6 % | -2,6 % |
| Zamora | 1.842 | -0,1 % | 0,7 % | -1,7 % |
| Jaén | 1.839 | -0,5 % | -2,0 % | -2,2 % |
| Teruel | 1.835 | 1,9 % | -3,0 % | - |
| Ávila | 1.796 | 0,1 % | -0,2 % | 3,2 % |
| León | 1.776 | 0,0 % | -1,5 % | -8,6 % |
| Ciudad Real | 1.752 | -0,3 % | -2,2 % | -8,8 % |
| Cáceres | 1.720 | -1,0 % | 1,4 % | -0,8 % |
| Lugo | 1.704 | 0,5 % | -0,1 % | -11,4 % |
| Badajoz | 1.692 | -1,4 % | -4,8 % | -7,6 % |
(Full report see http://www.fotocasa.es/indice-inmobiliario__fotocasa.aspx)
For Mallorca and the wider Balearic Islands some of the key figures are:
Av. Price Annual +/-
Ibiza 3,354 -3.7%
Calvia 3,134 -4.2%
Maratxi 2,585 -2.4%
Llucmajor 2,578 -10.9%
Palma 2,519 -4.8%
Inca 2,058 -3.6%
Manacor 1,867 -4.8%
Commenting on the report, Novi Property Mallorca's David Novi explained "while the figures in many respects confirm the underlying strengths of the fundamentals underpinning the Mallorca property market, I also believe that Mallorca prices have not fully adjusted to the realities of the current economic climate". Expanding further, David added "at Novi Property Mallorca we have long mantained that the fundamentals of the Mallorca property market (relating to supply and demand) are sound and will ensure that some of the downside pressures are checked when compared with the situation on mainland Spain. Prices are and will continue to fall but not as much as many parts of mainland Spain".
Furthermore he explained "we have also observed that owners in Mallorca have probably held out longer than in other areas of the country before readjusting their expections relating to the values of their homes and this also explains why the fall in prices in Mallorca is lower than the national average. The short term outlook is, we believe, for further price falls, although with this we are also seeing the type of buying opportunities that come in a falling market"
Contact David on info@novipropertymallorca.com for a detailed discussion regarding the Mallorca property market and emerging buying opportunities.
Resources:
Mallorca Chartered Surveyors - http://www.mallorcacharteredsurveyors.com
Novi Property Mallorca - http://www.novipropertymallorca.com
The Mallorca Mortgage Business - http://www.mortgagesinmallorca.com
Mallorca Real Estate Search - http://www.propertyfindersinmallorca.com
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