Market Insights: How Real Estate Agents Assess the Year 2025 – and What Will Be Important in 2026
The real estate market in Mallorca proved to be stable but clearly segmented in 2025. Demand and price trends depended more than ever on the location, quality, amenities, and legal status of the properties. While well-positioned properties found buyers quickly, overpriced
or legally ambiguous listings struggled significantly. Also notable was a buyer profile characterized by buyers who were more informed, more price-sensitive, and at the same time more decisive—with a clear focus on quality, energy efficiency, and long-term prospects.
We asked real estate agents in Mallorca to assess the past year based on their daily market observations
and to outline their expectations for 2026. Their assessments reveal which factors are currently driving the market
, where buyers are looking more closely—and which criteria will be decisive for property owners in the coming year.
2025 in Review:
In your view, what most strongly shaped the real estate market in Mallorca in 2025—in terms of demand, prices
and buyer profiles?
Outlook for 2026:
What market trends do you anticipate in 2026, and which factors will have a
in particular?
- Jürgen Dreckmann - Perfect Mallorca
In your view, what had the greatest impact on the real estate market in Mallorca in 2025—in terms of demand, prices, and buyer profiles?
2025 was a year that once again demonstrated just how stable and attractive the real estate market in Mallorca is. Demand remained consistently high, especially in the upscale segment—driven by a very international clientele. In particular, clients from Germany, Switzerland, and the United Kingdom were very active with us. Many were looking not just for a vacation home, but for a second home that combines security,
quality of life, and the Mediterranean lifestyle.
In terms of pricing, the market proved to be exceptionally robust. In good and very good locations, we even observed slight increases in value. This is due to the limited supply of high-quality properties and the growing focus on modern, energy-efficient amenities.
An important factor in 2025 was the psychological state of many buyers, particularly those from Germany. Due to the generally subdued economic sentiment, many are planning more deliberately. Decisions are prepared more carefully— but as soon as the conditions are right, buyers act with surprising determination.
The desire for security, quality of life, and stable value plays a major role here. Many of our clients view real estate in Mallorca as a combination of personal enrichment and a long-term investment.
Overall, the buyer profile has become even more sophisticated: well-informed, with clear expectations, and
with a desire for transparent, trustworthy guidance throughout the entire process.
What market trends do you anticipate in 2026, and what factors will particularly influence buyers
and owners?
For 2026, I expect a stable but more differentiated market trend. High-quality properties
with modern technology, good locations, and clear unique selling points will continue to be in high demand.
However, both buyers and owners will take an even closer look—at both the quality
and the long-term usage concept.
In my view, the following factors will have the greatest influence:
▶ Regulatory frameworks, particularly building code requirements and energy efficiency standards.
▶ Tax and legal clarity, which is becoming increasingly important for international buyers—whether from Germany, Switzerland, or the UK.
▶ The limited availability of high-quality real estate, which keeps values stable and further strengthens premium locations.
▶ The personal motivation of many buyers, who—in times of economic uncertainty—place even greater
emphasis on quality of life and security.
Psychologically, 2026 will be similar to 2025: purchasing decisions will be more deliberate, but by no means hesitant. Those who choose Mallorca do so out of conviction—and usually with a long-term perspective. Many of our clients openly say that they want to shape their lives consciously. A property in Mallorca combines exactly that: a reliable investment and a sense of quality of life that you can feel every day.
I am therefore convinced that 2026 will be a solid and promising year for both buyers and owners.
Those who prioritize quality and seek professional guidance will have clear advantages—
and that is precisely where we see our role.
- Lutz Minker - Minkner & Bonitz
In your opinion, what had the greatest impact on the real estate market in Mallorca in 2025—in terms of demand, prices, and buyer profiles?
By 2025, the market had evolved even more strongly into a seller’s market, meaning demand exceeded supply
with the result that prices continued to rise. Nevertheless, more properties were sold in 2025 than in 2024. Between October 2024 and September 2025, 14,750 real estate sales were recorded in the Balearic Islands.
10.5% more than in the same period the previous year. In the third quarter of 2025 alone, 3,615 properties
were sold in the Balearic Islands. Sales revenue in the third quarter totaled 1.747 billion euros, which (due to higher prices)
was 4.2% higher than in the third quarter of 2024. Of the registered sales, 79.8% were existing homes and 20.2% were new construction. 30.2% of buyers were from abroad, specifically 41% from Germany,
9.6% from the United Kingdom, 5.4% from Italy, and 3.9% from Sweden. The data is reliable.
It was compiled by Prof. Luis Alberto, director of the department at the University of the Balearic Islands.
What market trends do you expect in 2026, and which factors will have a particular influence
on buyers and owners?
I’m always very cautious when it comes to forecasts. Given the strong demand we’re already seeing from customers,
who plan to visit Mallorca to view properties early next year, I’m confident that the market will at least remain stable with a slight increase: Demand is very strong,
while supply isn’t increasing noticeably. Unfortunately, this will also lead to further price increases. Since we primarily
broker Mallorca real estate to foreign clients, my remarks essentially address only one side of the coin. The other side is the purely Spanish market, which is unable to provide locals with sufficient
housing. The reasons lie in a failed housing policy over the past decades, including
under conservative governments. During the eight years of left-wing rule in the Balearic Islands, “social
housing” was a foreign concept. The current conservative government has put together a major package of measures.
Projects for 5,000 housing units have been launched, and the government has approved building land for an additional 20,000 housing units. Of these new buildings, half are earmarked for social housing and the other half for
price-capped housing. However, this will take some time; it cannot be accomplished in a single year,
given what has been neglected over decades.
- Antonio Rey - Falc, Real Estate
“2025” has shown just how remarkably stable Mallorca’s real estate market is.
Prices have remained steady overall, and have even risen slightly in highly sought-after locations.
Demand was strong—but more discerning. Many buyers came looking for a home, not just an investment. Ready-to-move-in, energy-efficient properties that immediately offer a high quality of life were particularly in demand. “For me, 2025 was the year in which Mallorca proved once again that the island remains a place where people seek and find value and a sense of well-being.”
“2026” will be a year clearly defined by quality.
We expect prices to remain stable or rise slightly, especially in locations with good infrastructure
and long-term potential. Properties in need of renovation will have to be priced more realistically,
because buyers are scrutinizing them more closely than ever before: energy efficiency, maintenance costs, and future security are crucial. I am convinced that 2026 will be a market year in which good properties sell quickly—because Mallorca continues to offer exactly what many are looking for: security, tranquility, and a zest for life.
- Frank Steinhoff - de Haas & Partner
2025
All properties listed at a realistic price—that is, those priced close to market value—were sold promptly; all others struggled to find buyers. Prospective buyers have become very price-sensitive and are unwilling to pay a purchase price that is significantly above market value
. Overall, we are very satisfied with the year 2025.
2026
As early as 2025, we observed that the legal status of properties is becoming increasingly important, a trend that will certainly continue in 2026. We have already been able to provide targeted assistance to our clients on several occasions when legal issues arose. We have no doubt that 2026 will also be a good year for us.
