Palma15/04/2018 00:00
Mileurista is a familiar term in Spanish. Basically, it means that you earn 1,000 euros a month, almost the average Spanish wage. It’s not a lot of money and Spanish wages have fallen since the start of the recession and millions of other people are earning even less than 1,000 euros. But this is the average wage overall. Taking this into account, look at the price of a rental family property in Palma. In many cases it is around 1,000 euros. So how are Spanish families meant to survive when one salary basically equals the rent? This is the downside of the holiday rental saga.
5 comments
To be able to write a comment, you have to be registered and logged in
I am not an economist, but just a simple fellow who, after reading between the newspaper lines and sniffing the air, believe that those of you who thinks Europe and U.K. are booming are confounding quantity for quality and should look more deeply at the foundations on which the whole structure has, so far, been built.
Fiona is right about Europe boomin. The UK unemployment at all time low, inflation negligible, steady government and an optimistic economic forecast. Been a lot worse.
Nothing built for the last ten years. Europe is booming, people are wealthier, more Europeans are choosing to move permanently to Mallorca, population increasing. Natural growth. Anti tourist rental is pushing holiday makers to rent their own long term properties. Long term rents will continue to rise, they have only reverted back to the 2006 pre-recession rentals. Tenants had it great during the recession as rents fell by 50%.
Correct James and they keep putting their heads into the sand at a certain time they will not found workers as they cannot get a home and it will collapse .We know flats can be rented for 400 to 500 ebetween November and march and then they raise the price upto 1500 € monthly in the pek season when you need the most of the workers.
This is another of the half dozen or so topics that you continually run throughout the year,both for and against but the main problem is not apartments that are rented out to tourists,it's the fact that not enough affordable homes have been built on Majorca.