With its crystal clear sea, picturesque landscapes and rich history, Mallorca has long been a favorite holiday destination for tourists from all over the world. However, the island offers not only a wonderful life, but also profitable investment opportunities. Let’s figure out why buying a property in Mallorca is a promising decision and what steps you need to take to make a successful investment.
Why Mallorca?
- Steady price growth: The Mallorca real estate market shows a steady increase in prices, which makes investing in this segment especially attractive.
- High demand for rentals: Thanks to the developed tourism, the demand for rental housing on the island is consistently high, which provides investors with a stable income.
- Excellent climate and infrastructure: Mallorca offers comfortable living conditions all year round, and its developed infrastructure will satisfy the needs of even the most demanding buyers.
- Possibility of obtaining a residence permit: Purchasing real estate for a certain amount gives the right to obtain a residence permit in Spain.
Comparison with other countries
Compared to other popular real estate investment destinations such as the Spanish Riviera or Portugal, Mallorca offers higher returns and market stability. However, it is worth considering that property prices on the island are somewhat higher.
Promising areas for investment
- Palma de Mallorca: The capital of the island offers a wide range of properties, from historical buildings to modern apartments. Investing in property in the city center or in new residential complexes can bring high returns.
- South coast: Resorts such as Palia d’Or, Cala d’Or and Arenal are the most popular with tourists. Properties in these areas are always in demand for both holidays and permanent residence.
- Northwest coast: Quieter and calmer areas such as Soller and Deia attract those who value privacy and natural beauty. Properties in these areas tend to have higher prices, but the potential for price growth is also higher.
Tax incentives
Spain offers a number of tax incentives for non-residents who purchase real estate in the country. For example, when purchasing real estate for a certain amount, you can receive a significant discount on the property transfer tax. However, tax laws are constantly changing, so it is recommended to consult a tax adviser.
How to start investing
- Set a budget: Decide how much you are willing to invest.
- Choose the type of property: Villa, apartment, land – the choice depends on your goals and preferences.
- Find a reliable realtor: Contact professionals who will help you choose a suitable property and carry out all the necessary legal procedures.
- Complete the transaction: Prepare all the necessary documents and complete the transaction.
Conclusion
Investing in real estate in Mallorca is an excellent opportunity to receive a stable income and improve your quality of life. However, before making a decision, you should carefully weigh the pros and cons and seek advice from specialists.
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