Mallorcas most popular property type in the holiday rental market

Not surprisingly, the most attractive property type of holiday guests is the typical mallorquin finca on a big landpot. This is the result of a study by CRES (Steinbeis Institute Center for Real Estate Studies) on behalf of the holiday rental company Porta Holiday. Among other things it stated that the typical holiday finca is designed for the accommodation of four to ten people. The average price on the island (peak season from July to September) was around EUR 51 per person and night. Approximately 2.300 online offers of the biggest holiday rental agencies, such as Porta Holiday, Fincallorca and other agencies including Airbnb have been evaluated in terms of location, amenities, occupancy and price. Depending on region and facilities prices differ significantly, from EUR 35 for basic equipped properties in the Palma region up to EUR 68 for luxury properties in the southwest.

Properties with sea view generate a considerably higher income. The average add-on for sea views in the luxury segment was around 30 % and across all categories 13 % on average. Properties without pool are suffering discounts of around 21 %. Microlocation is key for simple equipped holiday homes. Location in the proximity of busy roads or in a lively district stand for price reductions in the region of 26 %, across all categories 10 %. An investment in new furniture can be worthwhile. The premium is around 14 %, whereas WLAN is considered as a contemporary standard feature that doesn’t justify any additional cost.

Mallorcas north and the northeast provide the widest range (52 %) of holiday rental homes, followed by the southeast (22 %) and 15,5 % in the inner part of the island. The manageable residual part of around 10 % is represented by the south, the northwest and the high priced southwest.