Balearic Islands reaches an all-time record in the price of housing both in the purchase and sale market and in the rental market, according to data from the Fotocasa real estate index. In data, the islands, including Ibiza and Formentera, close this February reaching the maximum price of sale with 3,466 euros per square meter (€/m²) and rent with 15.03 euros.
In the sales market, the Balearic Islands is the only autonomous region that has reached maximums with an increase of 20.2% year-on-year, the second highest increase in history and only surpassed by the 20.4% of May 2006, in the period prior to the real estate bubble. Meanwhile, the rest of Spain continues to be 29% above the price at this time.
Currently, the price of second-hand housing on the islands (3.466 €/m²) is 25% above that recorded during the real estate bubble of 2007when it was €2,759/m². This is the highest acceleration in the last 17 years.
The price of rent
Likewise, in the rental market, the increase exceeds 20%the increase of 26% year-on-year, which is also a historic rise, according to Fotocasa.
In October 2021, the price of leasing changed its trend after 17 months of chained falls, they explain from the real estate company. Since then, the transformation has been “very accelerated”. Thus, the monthly rental price has gone from €11/m² to over €15 per square meter in a period of one year.
Monthly and year-on-year variation in the Balearic Islands over the last year fOTOCASA
In the case of rent, the price has increased by 47% compared to 16 years ago, when it stood at €9.83/m². Therefore, the current cost of housing in the Balearic region (15.03€/m²) is significantly higher than the price in 2007, when Spain in general reached the highest prices in history due to the real estate bubble.
graph between the rental price of housing in the Balearic Islands and the price in Spain Fotocasa
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