Natalia Bueno was president of the API association of estate agents in the Balearics for several years. After 35 years in the profession, she says she "can't take it anymore". "I'm suffering from real estate pressure, and buying a rural property is beyond my purchasing power. I'm also overwhelmed by overcrowding. So I'm leaving. I'm going to open an agrotourism hotel in Viveiro, Galicia."
She currently lives in a rented house in Lloseta owned by the so-called bad bank SAREB, which has put it up for sale. The property was once valued at €400,000. Prices have now skyrocketed. She could move to an apartment, but that's not for her. "I'm from the countryside."
"I love the Balearic Islands very much. I've lived here for almost 30 years." But she now wouldn't be surprised if there were a "real-estate alliance" between Mallorca and northern Spain. Mallorca is overcrowded, so she is escaping to 'empty Spain' and is convinced there will be an exodus of Mallorcans to the mainland.
On overcrowding she says: "You have to think carefully about where you go if it's a cloudy day. In summer, I know that if I don't make a reservation at a restaurant, I won't eat. Not being able to move affects your work and personal life."
The ferocity of the island's market affects her both as a professional and as a citizen. "We can't limit the population, and as long as it continues to increase, housing prices will continue to rise. There are Germans who now buy apartments in Son Gotleu (Palma) as investment. Their income is three times ours.
"The real estate sector is a refuge; it's the goose that lays the golden eggs. If my neighbour rents out for 1,000, I want more. And with all these rising prices, there are people who end up on the street. In the end, tenants are paying the owners' mortgages."
It's the same with holiday rentals. "Many people pay their mortgages by renting to tourists, although they are now scared of inspections. But it doesn't matter, as they don't list it on Airbnb and instead advertise it on websites in Germany, Sweden, or don't publicise it at all. They have clients who call them every year. Taxi drivers in Soller and Bunyola, who take tourists to these summer homes, can confirm this. And all this is black money, paid in cash."
Meanwhile, owning a home in Mallorca remains the dream of Germans and other northern Europeans, which translates into a nightmare for residents, who don't have the same purchasing power. "Then there are the immigrants who come to work. If they have papers, they rent an apartment. If not, they share rooms and make do. Renting by room is a very lucrative business. Each room can be rented out for 600 euros. Four rooms, that's 2,400 euros a month, 30,000 euros a year. Those who can't pay this are forced into shanty towns and camper vans. And this problem will only get worse."
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NilocWhy does it matter where she is from in Spain? Galicia is now the area of choice for Mallorcans relocating. Not just because of price.
Bye bye then! I'll have your restaurant reservation.
At an eye-watering 8% commission rate she couldn’t have been much good as an estate agent if she’s only renting and didn’t spot a bargain herself to snap up.
Briefly, it is the same anywhere people want to be. Try, for example, just finding an apartment in Copenhagen to rent. We have an apartment there, and pay about 700-800/ per month for it because we have had it for 20 years. In the same building, newer residents are paying three times that for the exact same m2 and floorplan.
Is she from Galicia ?
Yes, you need to make restaurant reservations. Yes, the streets are busy on cloudy days. Yes, property prices to buy and rent are higher than many places on the mainland. But. The beauty of Mallorca repays these hardships many times over. If there's an ugly place on the island I haven't yet seen it. Inland towns are delightful, Palma is an international city and the island's coast is one long oil painting. It's a privilege and a joy to live here and inevitably that comes at a price.