Anti-Tourism Protests And The Affect On The Mallorca Property Market

The beautiful beach at Cala Fornells in Mallorca

Greetings from Mallorca.

As we head into peak holiday season, the island is gearing up for a huge influx of tourists.

Numbers are estimated to be slightly up on last year, despite the highly publicised protests against tourism, and the considerable price increases in flights and accommodation.

Several clients have asked about these anti tourism protests that have been widely publicised in the press and the affect they have had on the Mallorca property market.

My view is that mass tourism unarguably places a huge burden on the island’s infrastructure.

The general population here is around one million. Over the peak summer months, Mallorca receives about 10 million tourists.

Inevitably, roads become congested and there is vastly increased demand for electricity and water supplies… especially as tourists are rarely as careful with using water as the locals. I guess, if you come from Manchester, you may not appreciate water is not always an abundant resource 😊 There are still a large number of illegal holiday lets taking place, and the lack of affordable housing for local people is clearly causing issues.

Additionally, many tourists, due to budgetary constraints, are choosing to go full board or ‘all-inclusive’ in the resort locations, and not spending money at local bars and restaurants, so there is a greater separation of tourists and locals.

These combined facts have (understandably) given rise to feelings of resentment and animosity.

But as always the press exaggerates and sensationalizes events. Well, how else are they going to sell newspapers? Yes, there have been several demonstrations, and a significant number of people are reacting against mass tourism. Everyone recognises numbers need to be curtailed and an emphasis needs to be placed on sustainable, responsible tourism that benefits the residents here.

But claims that Mallorca doesn’t welcome tourists are frankly nonsense. Most people recognise how important tourists are to the welfare of locals.

I have always found people here to be exceptionally friendly and helpful. And if you have a friendly respectful attitude to them it will be reflected in the way they treat you.

Anyway, has all this affected house prices?

In short, not at all.

The property market in Mallorca is currently experiencing steady growth in 2024, with high demand and limited supply leading to an increase in property prices. Prices are expected to have risen from mid-April to August 2024 and from September to the end of November 2024, with the remaining periods of 2024 seeing housing values either stabilizing or showing moderate growth.

In 2024, the average price of property in Mallorca is predicted to rise to 5,982 euros per square meter, an increase of 32.22%, or 1,458 euros, compared to the previous year. Demand for properties in Mallorca remains high, particularly from financially secure investors and foreign buyers.

The most sought-after properties include apartments with private outdoor spaces, affordable houses with large private land, and new builds.

Despite the high prices, the Mallorca property market continues to show resilience and positive price growth dynamics.

One thing you should be aware of though:

If you are buying a property here and intend to rent it out to tourists, you will not be able to do so, unless the property already has the appropriate licence (ETV) in place. No new licences will be granted for the foreseeable future… And don’t believe an estate agent who tells you otherwise.

If you would like to discuss how we can help you make your dream of living in Mallorca a reality, just click here to arrange a consultation.