Foreign property sales in Mallorca. | Toni Planells


The number of foreigners buying and property in the Balearic Islands since the Covid pandemic has soared to 81.5%, the highest increase in Spain, according to data from Spanish notaries.

Sales have also gone up by 57.1% in the Canary Islands and by 55% in Andalusia.

In Spain, property purchases and sales by foreigners grew by 41.9% in the second half of 2021 compared to the same period the previous year, an increase conditioned by the falls recorded in the final stretch of 2020, due to the Covid pandemic.

According the General Council of Notaries, in the last six months of last year it broke with the trend of the previous semester, and transactions carried out by foreigners accounted for 18.6% of all national sales, which is in line with the 2012-2019 average of 18.7%.

In total, there were 63,924 property transactions by foreigners, after a sharp decline of 37.3% in the first half of 2020 and 10.8% in the second half.

Resident foreigners made 54.8% of sales, which is 27.4% more year-on-year and the other 45.2% corresponded to non-residents, which also rose by 64.5%.

Property transactions rose by 81.5% in the Balearic Islands; 57.1% in the Canary Islands; 55% in Andalusia; 50.5% in Cantabria and 44.9% in the Valencian Community.

Sales in Catalonia, Asturias, Navarra, Murcia, Madrid, Castilla-La Mancha, Aragon, the Basque Country, La Rioja and Extremadura rose between 13.1% and 34.6% with an average price of 2,016 euros per m2, up 14.3% year-on-year.

Non-resident foreigners paid 2,481 euros per m2 for their homes, whereas residents paid 1,567 euros and nationals paid 1,503 euros per m2. The average price paid by non-resident foreigners increased by 11.8% and residents by 9.9%.

By zone, the evolution was almost unanimous as it rose in all the autonomous communities except Extremadura, where it fell by 0.1%.

The largest increase of 24.1% was in Cantabria, compared to 16.6% in Andalusia; 13.7% in Madrid; 11% in the Canary Islands; 101% in Castilla y León and 10% in the Valencian Community.

Prices rose 5%-10% in the Balearic Islands, the Basque Country, Navarra, Galicia, Castilla-La Mancha, Murcia and La Rioja, and they’re still rising in Aragon and Asturias.

11% of all foreign buyers were British, 10.4% were German and 3% were French.
Buyers from outside the European Union accounted for 11.4% of sales and 104.1% were Dutch; 99.3% were Irish and 84.9% were German.

Swedish investors paid the highest price at 2,752 euros per m2; followed by Danish at 2,750 euros per m2; German at 2,741 euros per m2; American at 2,601 euros per m2, then Swiss at 2,479 euros per m2.

Moroccans paid the least at 688 euros per m2, followed by Romanians at 990 euros per m2, then Ecuadorians at 1,087 euros per m2.