While the Balearic government tries to tackle the problem of high rental rates in the region and provide more affordable housing, especially for seasonal workers in the hostelry and agricultural sectors, there are areas of Mallorca which are more expensive than Barcelona and Madrid.
Bendinat, Portals and Illetes is the most expensive area of Mallorca and rentals can cost as much as 12.2 euros per square metre for a flat. This is much higher than the average rent in the two main cities of Spain, where the average rent is 12 euros. This data has been updated by the Ministry of Transport, Mobility and Urban Agenda in its annual State System of Reference for Housing Rental Prices report.
The report once again highlights the complicated situation in which the islands find themselves, with areas where the rental prices of flats, not single-family homes, are sky high. Along with Bendinat and Portals, other areas in the Balearics where rental prices are well above those of the two large capitals are the whole island of Formentera and most of Ibiza.
The average cost of renting a small 68 square metre flat in Formentera is close to 800 euros per month, while the average in Barcelona is 743 euros.
The Balearics is now the third most expensive region in Spain to rent a property behind Madrid and Catalonia.
The average rental price of a 84 square metre flat in the Balearics is 605 euros, according to the Ministry.
And, as the Bulletin reported earlier this week, rental rates for many tenants are about to rise.
Tenants who were due for the annual review of their rental leases last month will see their monthly rent increase by an average of 51 euros from now on, according to a study carried out by idealista.
This is due to the record 7.4% year-on-year rise in the CPI, consumer price index, in February, according to the National Statistics Institute.
The Balearic government is trying to introduce new legislation which will enable it to cap rental rates in certain areas, especially those which are considered over-congested or over-developed and where there is a large demand for affordable seasonal housing for workers.
The average price in Spain for renting a two-bedroom flat will rise to 746 euros per month, which is 617 euros more per year.
3 comments
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Not for much longer if the prices rises keep on up.
Your assessment doesn't compute. It would if "reducing available places to rent" meant "eliminating long term rentals". But there is no such programme. The reason rents are high is because Mallorca is a highly desirable place to live.
Interesting to see the surprise with regard to the rental price increase which anyone could see that this was going to happen as a direct result of the New Tourism Law designed by the government to keep tourist out by reducing available places to rent , Good Luck !