Inca, where there is a shortage of rental accommodation. | Maria Nadal

The changed nature of the rentals' market in coastal areas of the north of Majorca has had a knock-on effect on rental accommodation in Inca. With so many apartments having been made available for holiday rental in the resorts, demand has shifted to the town. The result has been a shortage of rental properties and an increase in price from an average of 450 euros to 600 euros a month.

The town hall is therefore wanting the regional government's housing agency, Ibavi, to take up a project to build 87 flats which would come under the protected social housing scheme. Mayor Virgilio Moreno has met with Ibavi to discuss this project, and the agency itself is in talks with the regional finance ministry: the cost would be between three and four million euros.

The situation in Inca is being mirrored in smaller places, such as Sineu, Lloseta and Sa Pobla, the latter of which has long been an attractive alternative both for rent and purchase, given its lower prices but proximity to the resorts.

The recent legislation may of course bring about a further change to the rentals' market and the greater availability of long-term renting in the resort areas. In fact, it is already evident that there is some change.