Access to housing at an affordable price in the Balearics will continue to be one of the major issues pending this year as, for now, no one in the real estate sector has predicted a decline or stabilisation of prices.
The price of housing continues to rise and this is revealed by different websites and studies although the percentages of increase may differ.
In Palma, according to the website Precioviviendas.com, in the first half of last year the price of housing in the city increased by 10% compared to the same period of 2017, pushing the average price in the city up to 2,543 euros per square metre.
However, the evolution in prices varies depending on the neighbourhood.
Specifically, the Palma street which experienced the greatest increase in the price of housing was the calle Francesc Martí i Mora, in the neighbourhood of Son Cotoner, with an average increase of 17.5%.
The average cost of a square metre in this street, where new homes have been built, stood at 2,451 euros.
In addition, this area is in the top 100 of streets in municipalities with more than 25,000. On the other hand, the old town of Palma remains one of the most expensive areas to purchase a property.
In calle de la Portella, the average price reached 5,464 euros per square metre in the first half of last year, making it the most expensive street in the city.
The second street with the highest cost is also located in the old town.
It is calle Miramar, where average prices stood at 5,239 euros per square metre. However, the streets in Palma where the price of housing has increased the most are not part of the most expensive areas to live.
In calle Manacor the increase in property prices is 17% and the Avinguda Argentina, 16%. This data shows that the upward trend which started a few years ago has begun to be consolidated.
It will be necessary to see if the new developments underway, increasing the offer of housing for sale in Palma, lead to a stabilisation of prices.