The Average Cost of New Developments in the Balearic Islands Increased by 8.2%

According to the report on real estate market trends, published by the Society of Appraisers, the average cost of new developments in the Balearic Islands increased by 8.2%. This is one of the best figures in the country. On average, the cost of new developments in Spain increased by 6.4%.

The purchasing power of Spanish residents increased by 0.3% compared to the previous quarter, up to 31%. In the Balearic Islands, this figure reaches 53%. This region outrun such large cities as Barcelona (46.6%), Madrid (42.9%), and Malaga (40.6%).

Spanish property prices are getting higher across the country. However, the prices are still lower than those recorded in 2007-2008. Before the economic bubble burst, the cost per square meter was almost €3,000.

Almost all of the country's autonomous communities recorded annual growth, ranging from 3.6% in La Rioja up to 8.2% in the Balearic Islands. This trend did not affect Vanity and Melilla only. The Balearic Islands are followed by the Community of Madrid with its annual growth of 7.8%.

As for the half-year data, the growth in prices for residential real estate was also shown by almost all autonomous communities. In the Balearic Islands, this figure reached 4.6%, in Madrid - 4.4%. La Rioja showed an increase of 1.7%.

As for capital cities, the highest average cost per square meter is still recorded in Barcelona (€4,765), Madrid (€3,968), and San Sebastian (€3,903). On the opposite side of the scale you can see Badajoz (€1,264), Cáceres (€1,247), and Ciudad Real (€1,246).

The average cost per square meter in a new development reached €1,111 in June 2022. This figure is 7.7% higher than a year earlier, and 0.5% higher than at the end of the previous quarter.