The sale price of new and used homes in Mallorca has fallen by 2.5% so far in 2020
The first statistical records of 2020, IMIE General and Large Markets prepared by Tinsa, indicated that the average price for the month of February of homes in Spain has had a slight growth of 1.6% compared to the previous year. From the lowest point of the cycle, said average price has grown by 16.5%, but the cumulative fall from maximums is 33.1% compared to the maximums reached in the previous decade. According to the General Index of January 2020, the annual percentage in capitals and large cities of Spain has increased by 4.8%, followed by a less important growth of 0.9% of the group formed by the rest of municipalities.
On the contrary, the index determined in both the Balearic and Canary Islands of the average price calculated on the basis of appraisals of homes, both new and used, has fallen 2.5% compared to the same period of the previous year. In the same way in the metropolitan areas and the Mediterranean coast, falls have been detected, of 2% and 0.3% respectively.
Comparative valuation between Spain and the Balearic Islands
Since the minimum registered has a decade, the capitals and the big cities, as well as the Mediterranean Coast, are those who have suffered major fluctuations in the prices of their homes, with a current increase of 27.9% and 19.2% respectively, from their highest rate low and a decrease of 31.2% and 34.6% from its maximum. The metropolitan areas and the localities that are part of the group of Restoration of municipalities, have recovered minimum percentages, below the Spanish general means, 11.6% and 6%, and declined 40.7% and 34.6% respectively generating a devaluation that remains in the last years. The areas that are in the greatest balance between maximums and minimums, Balearic and Canary Islands, with a revaluation of 19.3% in the minimums and a devaluation of 21.2% in relation to their maximums. A possible factor that influences this stability is the fact that many of the properties on the island are valued as a second residence, then urgent sales decrease, according to Immobilien Portocolom SBM Schaak
Comparison between Palma and the rest of the Balearic Islands
Within the island, the differences are less abrupt but keep the villages, with higher values in relation to the capital. In the Municipality of Felanitx, the sales values of the houses have increased slightly from € 2170 / m2 to approximately € 2340 / m2.