Informative property guides for anyone looking to buy property in Majorca. Plus, find property listings for the Balearics and Spain.

Majorca - also known in Spanish and Catalan as Mallorca - is the largest island of Spain. It is located in the Mediterranean Sea and is part of the Balearic Islands archipelago.

Like the other Balearic Islands, Mallorca has long been a popular holiday destination for people from the UK and many have already opted to purchase homes on the island.

Its capital, Palma, is also the capital of the autonomous community of the Balearic Islands. It has a population of around 500,000 and is well served by Son Sant Joan Airport.

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British Airways, bmi, Ryanair and easyJet all operate regular services to the island from the UK.

It is not hard to see why Mallorca has long attracted UK citizens looking to retire to the sun or purchase a second home. The island boasts around 300 days of sunshine a year and has superb standards of schools, housing and infrastructure.

What's more, around nine million tourists visit the island ever year, making it likely that those who own property could see significant rental incomes if they so desired.

Palma is a particularly popular spot for those looking to invest in property. It's rich history and ancient old town has led it to become known as the 'new Barcelona' and the city has spent millions of euros restoring old buildings.

Pros of Buying Property in Majorca

According to spanishpropertyinsight.com, prices in the city range from between 250,000 to 600,000 euros for a one or two-bed flat to 1.75 million euros for a townhouse. Between 2001 and 2005, prices in the city jumped by between 75 and 100 per cent.

Moving out, it is possible to pick up an apartment on the outskirts of Palma for around 390,000 euros.

Other areas where property prices have increased strongly include the resort of Puerto Andratx (650,000 euros for an apartment) and west of the island (where an apartment typically costs about 450,000 euros).

Some other areas, such as Pollensa and Alcudia are slightly cheaper and have tended to attract families looking to take advantage of the Mediterranean lifestyle.

Rental incomes for most properties on the island are especially strong. The spanishpropertyinsight.com report suggests that rents range from 10,000 euros per month for a villa in Portals in high season to 500 euros per month for an apartment on the west of the island in low season.

With good weather, a sizable ex-pat community, strong rental returns and easy access to the rest of Europe, it is not hard to see why Mallorca has become a popular spot for investment. However, there are some drawbacks to buying on the island.

Cons of Purchasing Property in Mallorca

The Spanish property market is not expected to perform particularly well over the coming few years. Prices have risen at a faster rate in Spain than in any other European country, doubling in many parts of the state.

As a result, the nation has become very over-developed in parts - and this surplus in supply is expected to result in an overall market slowdown. Indeed, Kyero.com reported that prices in Spain dropped by 1.2 per cent in the three month period ending September 2007.

What's more, property in Mallorca has become expensive in the past years. Development has also not always been welcomed by locals. Last year, a report in the Observer newspaper noted that 50,000 Mallorcans took to the streets to protest against plans for 14 golf courses, seven roads, a theme park and a series of marinas and recreational port.

What You Need to Buy Property in Mallorca

Anyone buying a property in Spain requires a NIE number - a unique taxation identification number needed before you can buy a property or open a bank account.

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