Holiday rental boom is leaving workers homeless

While it is said that this was mainly a problem in Ibiza last year, there was evidence that it was one in Majorca, too. This year, though, the problem seems to be more acute, the consequence of the "boom" that the island can anticipate.

The areas of Majorca most affected are obvious - the resorts and also the centre of Palma. It is these parts of the island to which workers are most attracted. But even if accommodation can be found, the rent may not be affordable. For this reason, workers are arriving by car and looking at living in the island's interior and driving to and from resorts. This is the case in Inca with people working in Alcudia. The vice-president of the Balearic Real Estate Agents College, Natalia Bueno, explains that two months ago she put an apartment in Puerto Alcudia up for rent and the response was almost overwhelming, especially from workers from Andalusia.

It's a problem being repeated in all the resort areas - and it affects people looking for work from wherever they are coming (including the UK). Mayors of resort municipalities are now taking the matter up with the tourism minister, Biel Barceló. In addition, there are those who are seeking somewhere for longer-term, residential rental who are facing difficulties. Marga Pericás of the Frontera agency gives the example of having out a flat up for rent at 530 euros per month in the centre of Palma and having compiled a list of twelve people after it within a couple of hours.

The cost to rent, in Palma at any rate, has gone up by 10% and is continuing to rise. What with the regulation in the pipeline for regulating apartments for holiday rental, the government now also needs to take into account the "serious problem" of accommodation for other reasons.

Barceló has revealed that his ministry is looking into introducing a new licence which property owners must have if they wish to rent out their properties on shorts lets as part of an attempt to tackle the problem of holiday lets.