Real estate market 2026: Spain will be Europe's top destination for investors – A tailwind also for Mallorca
The recovery phase of the European real estate markets is clearly picking up speed. This is shown by the latest „European Investor Intentions Survey 2026“ by the international consultancy CBRE Group. Almost 700 investors were asked about their strategies and expectations for the coming year - with a clear message: 2026 will be more active.
89 percent of respondents expect purchasing activity to increase or at least remain stable. More stable prices, lower financing costs and a more transparent valuation environment provide greater planning security. Capital that has waited in the past two years is starting to move back in.
Spain returns to the top
Particularly relevant for Mallorca: Spain ranks first among the most attractive countries for cross-border investments for the first time. Investors point to robust macroeconomic fundamentals, stable demand in key sectors and comparatively attractive entry prices.
At city level, London remains the leader. It is followed by Madrid and Barcelona – both are benefiting from solid user demand and improved market conditions, according to the survey. Southern Europe as a whole is gaining in importance, while selected markets in Central and Eastern Europe are maintaining their position.
For investors, this means that capital flows will focus more strongly on clearly defined locations with economic substance and growth momentum in 2026.
Capital remains in the market – allocations increase
Not only is confidence growing, but the willingness to invest capital is also increasing. Many investors are planning to maintain or increase their real estate quota. Fund managers (GPs) in particular are signaling increased investment intentions – supported by higher capital commitments in 2025.
Strategically, core-plus and value-add models remain interesting. At the same time, the classic core segment is experiencing a cautious renaissance, driven by expected rental growth in several sectors.
Residential and logistics dominate
For the second time in a row, the residential real estate sector is at the top of the list. Logistics also remains in demand. This is due to structural supply shortages and stable user demand.
The mood towards office and retail properties is brightening – selectively and depending on location. For markets with a high quality of stay, international demand and limited supply - such as Mallorca - this creates a differentiated picture of opportunities.
A market on the move
The survey does not paint a picture of a boom year, but of a structured new start. More clarity in valuations, stronger capital rotation and targeted market prioritization characterize the strategies.
For owners, project developers and investors on Mallorca, the message is clear: 2026 will be less speculative, but significantly more active. The decisive factors are location quality, utilization concept and realistic price approaches - not volume at any price.
Source: CBRE Group – European Investor Intentions Survey 2026.
The study is based on the responses of nearly 700 investors and analyzes market attractiveness, capital allocation and sector preferences in Europe for 2026.
