More and more properties are being bought by foreigners. But do these give rise to illegal marketing of tourist accommodation? | MDB

TW
6

The number of tourists in the Balearics who do not stay in hotels or licensed holiday rental properties is growing at a faster rate than the rest. Visitors who stay in a second home, whether owned by themselves or by family or friends, have increased by 25% over the past few years. This is four per cent higher than those in regular tourist accommodation.

In 2016, the Balearics Institute of Statistics started to give figures for this 'non-market' accommodation. Since 2016, the number of visitors has risen from 2.5 million to 3.2 million - 24.7%. The increase in 'market' accommodation has meanwhile been 21.7% from 12.7 million to 15.5 million. This market accommodation includes the likes of agrotourism establishments as well as standard hotels and licensed holiday rentals.

Visitors staying in this type of accommodation are particularly apparent in the quietest months of the year - November to January, when relatively few hotels are open. The total number of tourists between November 2024 and January 2025 was just over 943,000, of whom 554,890 were in non-market accommodation, around 60%.

The tourism authorities and the holiday rentals sector are of the view that, for the most part, the figures disguise the illegal marketing of second homes as tourist accommodation. And this poses a particular problem in terms of detection.

Related news

The number of foreign property owners in the Balearics continues to grow. Quarterly figures consistently indicate that sales to foreigners are around a third of all sales. At the same time, what is felt to be illegal marketing has also been growing. This marketing is often in the country of origin. There are under-the-table payments and websites such as Airbnb aren't used to advertise the properties. Tourism inspectors therefore have very limited or no information to go on.

"This is a problem we have been telling the authorities about for years," says Maria Gibert of the Habtur holiday rentals association. "And I can understand the frustration of the authorities and the inspectors, because these properties are very difficult to control."

José Marcial Rodríguez, the Council of Mallorca's tourism councillor, says tourists purchase stays in their own countries and that when they arrive, they say a property is theirs, that of some cousins or of some friends. Rodríguez is referring to questions asked by the Frontur survey of tourist movements, which forms the basis for tourist statistics.

The issue of non-market accommodation is especially relevant in light of the Balearic Government's desire to implement tourism containment measures. The government has announced there will be an increase in fines for illegal accommodation - these will rise to 5,000 euros for minor offences, 50,000 for serious offences and 500,000 euros for the most serious.