Palma is the largest submarket of Mallorca, accounting for around 23% of all residential properties listed for sale on the island and a market roughly 64% larger than Ibiza’s. It also has the most diverse housing stock in Mallorca - in terms of property types, design, and price - with nearly a threefold variation in square-meter values across the municipality. For these reasons, it merits detailed examination. Here, we take a closer look at its key areas for property investment, price distribution and variation, historical trends, architecture/design, and the factors that define the Palma property market.
Note: Much of our analysis is segmented into the property groups of villas/houses versus apartments. For brevity, whenever we refer to “villas” in this article, we are referring to all house-type properties, including villas, detached houses, semi-detached houses, and townhouses.
This report covers:
- Palma & Mallorca - Property Prices and Rental Yields
- Palma vs. Mallorca: Share of Listings Above Price Levels
- Variation of Palma Property Prices
- Palma’s Micro-Markets
- Palma and Mallorca: Property Price Trends Since 2007
Palma vs. Mallorca – Property Prices and Rental Yields
| Palma vs. Mallorca | ||
|---|---|---|
| Metric | Palma | Mallorca |
| Average Price All Property €/m² | €5,046 | €5,019 |
| Average Price Villas €/m² | €5,215 | €4,911 |
| Average Price Apartments €/m² | €5,039 | €5,325 |
| Median Price – Villas | €2,250,000 | €1,750,000 |
| Mean Price – Villas | €3,082,474 | €2,756,780 |
| Median Price – Apartments | €950,000 | €750,000 |
| Mean Price – Apartments | €1,237,704 | €1,057,410 |
| Property Type Split | 32% villas / 68% apartments | 66% villas / 34% apartments |
| Rental Price All Property €/m² | €17.65 | €18.83 |
| Rental Yield All Property (%) | 4.20% | 4.50% |
| Rental Price Villas €/m² | €16.75 | €16.29 |
| Rental Yield Villas (%) | 3.86% | 3.98% |
| Rental Price Apartments €/m² | €18.51 | €18.79 |
| Rental Yield Apartments (%) | 4.41% | 4.23% |
Looking at property for sale in Palma compared to Mallorca from a macro perspective, and referencing the metrics in the table above, the key points to note are:
- Palma shows a much higher apartment to villa share, at about 2:1 compared with Mallorca’s reversed 1:2 ratio.
- Comparing the Palma municipality to the wider Mallorca property market, Palma shows higher average sales prices for both villas and apartments. Median values for each property group sit just over a quarter above the island-wide figures, and the mean values also stand higher, reflecting the same upward shift. The distribution table below shows that Palma’s entire sales-price curve is positioned at a higher level than the Mallorca average, which is why it has larger proportions of properties above every major price threshold.
- Palma and Mallorca show almost identical €/m² sales price averages when looking at all property types together. Notably, sqm prices for villas for sale in Palma are around 6.2% higher than the average for the Palma municipality but conversely apartments in Palma, on a square metre basis, are around 5.4% cheaper. This levels out the overall average property price when comparing the two markets. The reason for the relatively cheaper apartments in Palma, on a square metre basis, is due to the large amount of apartments catering for local buyers rather than overseas lifestyle investors, pulling down the municipality average. Notable examples are Llevant–La Soledat at €2,974/m², Rafal–Son Forteza at €3,443/m², and Son Oliva–Plaza Toros–Camp Redó at €3,573/m²
- Sales prices for Palma apartments, looking at both the median and the mean, are higher than for Mallorca, and because the average price per square metre is lower in Palma, apartments in Palma are generally larger than those in Mallorca. This is explained by the fact that a much higher proportion of apartments for sale in Palma are designed for permanent living, as opposed to units aimed at the holiday-rental market. The latter are often designed to maximise ROI, which results in smaller living areas and higher-density developments.
- Looking at per-square-metre rental prices and yields, the figures for Palma and Mallorca are not significantly different. From an investment standpoint, this indicates that Palma’s higher average sales prices are supported by its rental ROI, thereby justifying value. But we should note, these rental metrics are based on Idealista data, which includes some short-stay listings but is predominantly composed of monthly and long-term rentals.
Palma vs. Mallorca: Share of Listings Above Price Levels
| Price Level | Palma Villas (%) | Palma Apartments (%) | Mallorca Villas (%) | Mallorca Apartments (%) |
|---|---|---|---|---|
| From €500K | 98.5 | 82.5 | 94.4 | 74.2 |
| From €1M | 85.9 | 47.0 | 74.7 | 33.8 |
| From €1.5M | 72.6 | 26.6 | 60.9 | 18.5 |
| From €2M | 56.8 | 14.7 | 47.8 | 9.9 |
| From €2.5M | 48.1 | 8.5 | 39.8 | 5.9 |
| From €3M | 37.1 | 4.1 | 30.7 | 2.8 |
| From €5M | 16.5 | 1.0 | 11.1 | 0.6 |
| From €10M | 2.0 | 0 | 2.5 | 0 |
Note: Figures based on our analysis of reporting data and live listings from Idealista and Kyero.
Variation of Palma Property Prices
The table below shows the internal price spread within each municipality, using Idealista’s reported €/m² sales data to identify the most expensive area, the least expensive area, and the resulting differential ratio.
Intra-Municipality Price Variation Comparison
| Municipality | Most expensive €/m² (Area) | Least expensive €/m² (Area) | Ratio (High ÷ Low) |
|---|---|---|---|
| Palma | €8,598 (Son Vida) | €2,974 (Llevant–La Soledat) | 2.89× |
| Calvià | €9,653 (Costa d’en Blanes) | €3,887 (Son Ferrer) | 2.48× |
| Andratx | €8,924 (Port d’Andratx) | €4,101 (Andratx Pueblo) | 2.18× |
| Alcúdia | €5,133 (Barcarés–Manresa–Bonaire) | €3,755 (Ciutat d’Alcúdia) | 1.37× |
| Pollença | €5,052 (Port de Pollença) | €4,550 (Pollença) | 1.11× |
Price Variation Ratios by Municipality
The data and chart clearly show that the property market of Palma displays the highest level of price diversity compared with the other key municipalities; between its least expensive area of Llevant–La Soledat and its most expensive, Son Vida, the prices per square metre are almost three times higher. This large price differential can be explained in the context of the wider Mallorca market: the largest differences in property-for-sale prices are found when you compare housing met primarily by local demand to areas where demand is driven by overseas lifestyle and investment buyers.
This completely different source of demand explains the near-200% pricing premium of Son Vida over Llevant–La Soledat. Son Vida is a market dominated by luxury detached homes catering for wealthy overseas buyers, with only a handful of compact apartments available for under a million euros. Villa prices extend to €20–30 million and beyond for sprawling luxury estates. In complete contrast, in Llevant–La Soledat, apartments catering for local Mallorcan demand can be found for under €100,000, and semi-detached houses for around €200,000.
It is also worth noting that Llevant–La Soledat is not only close to Palma Beach but also a short walk from Portixol–Molinar, one of the priciest coastal sub-markets on the island - as we show later in this article. This illustrates how close together areas can be while having completely different profiles of pricing and supply.
Palma’s Micro-Markets
Palma’s property market is highly heterogeneous, made up of several micro-markets that differ sharply in architecture, property types, price levels, and the profile of buyers they attract. Due to this diversity, separate analysis is required for each area. In this section, we examine these sub-markets in detail and show how together they define the structure of Palma’s overall market.
Historic & Central Palma
To represent Palma’s historic district, we use aggregated data from three core Old Town neighbourhoods: La Seu, Sindicat and Cort. This combined dataset provides a representative sample for analysing property-type distribution, sales and rental price levels, price-point distributions, and rental yields across the historic centre.
Old Town (La Seu, Sindicat, Cort) – Data Summary
Split of Property Types
| Palma Old Town | |
|---|---|
| Property Type | % of Listings |
| Apartments | 56% |
| Penthouses | 20% |
| Duplex | 14% |
| Detached Houses | 6% |
| Semi-detached | 0% |
| Terraced | 3% |
| Country Homes | 1% |
Apartments Price Distribution
| Palma Old Town | |
|---|---|
| Price Bracket (€) | % of Listings |
| 0 – 499,999 | 29% |
| 500,000 – 999,999 | 36% |
| 1,000,000 – 1,499,999 | 11% |
| 1,500,000 – 1,999,999 | 12% |
| 2,000,000 – 2,499,999 | 3% |
| 2,500,000 – 2,999,999 | 4% |
| 3,000,000 – 3,499,999 | 2% |
| 3,500,000 – 3,999,999 | 2% |
Villas and Houses Price Distribution
| Palma Old Town | |
|---|---|
| Price Bracket (€) | % of Listings |
| 0 – 999,999 | 14% |
| 1,000,000 – 1,999,999 | 29% |
| 2,000,000 – 2,999,999 | 19% |
| 3,000,000 – 3,999,999 | 19% |
| 4,000,000 – 4,999,999 | 5% |
| 5,000,000 – 5,999,999 | 0% |
| 6,000,000 – 6,999,999 | 14% |
Sales and Rental Metrics
| Palma Old Town | ||
|---|---|---|
| Metric | Apartments | Villas / Houses |
| Median Price | €800,000 | €2,500,000 |
| Mean Price | €1,071,209 | €3,148,095 |
| Sales Price per m² | €5,986/m² | €5,952/m² |
| Rental Price per m² | €19.35/m² | €10.19/m² |
| Rental Yield | 3.9% | 2.1% |
Key Points from Data
Notable points from our data about property in the historic centre of Palma, known locally as Casco Antiguo: This is a submarket market dominated by apartments rather than houses. When combining the property groups of apartments, penthouses and duplex units, they account for around 90% of all listings.
This area has a large supply of affordable apartment stock, and not surprisingly average apartment prices are cheaper here than for the Palma municipality. The Old Town median apartment price is 16% lower than Palma’s, and the mean is 13% lower.
However, for villas and houses the picture is reversed. The historic centre shows higher median and mean values than Palma overall, 11% for the median and 2% for the mean. This difference can really be considered an historic premium with high prices being commanded at the top end of the market due to architecture and heritage-grade properties.
Regarding prices per square metre, Old Town properties sit meaningfully above the Palma-wide averages. Apartment €/m² values are around 18.8% higher than the municipal figure, while villas and houses are approximately 14.1% higher.
Looking at the percentage of properties listed from €1M, a good indicator of how this micro-market compares with the wider Palma municipality, 34% of apartments are priced from €1M versus 47% for Palma. For villas and houses, the proportion is the same in both cases at 86%.
What’s on the Market in Palma Old Town
Looking at the apartment market of La Seu, Sindicat and Cort, the overriding theme is traditional Mallorcan architecture and historic buildings, often offered for sale after renovation. Typical features include exposed wooden beams, high ceilings and French balconies.
In La Seu there is an abundance of compact flats of 60–70 m² plus larger apartments up to 200 m² in upgraded buildings. There are also a small number of premium penthouses and duplexes priced from €1M to €3M.
Sindicat has a broader mix of stock from small 1-bed units to medium-sized apartments, and a reasonable selection of mid to high-end duplexes and penthouses mostly priced from around €650k to €2M.
Cort is the most upmarket of the areas, with many apartments offered newly appointed within restored historic buildings. There is a prevalence of premium penthouses and duplex properties ranging up to €4M.
In terms of houses/villas, the stock on the market in the Historic Centre is very limited. Older houses are available under €1M in Sindicat, many renovation projects. Only a handful are available in La Seu, mainly heritage-grade and priced from around €2M upwards. The most upmarket houses are in Cort, dominated by restored palaces and architecturally significant homes, with prices extending to €8 million or more.
Santa Catalina
Part of central Palma, Santa Catalina is characterised by low-rise buildings and a mix of traditional Mallorcan architecture with more modern residential developments.
Split of Property Types
| Santa Catalina | |
|---|---|
| Property Type | % of Listings |
| Apartments | 58% |
| Penthouses | 12% |
| Duplex | 2% |
| Detached Houses | 21% |
| Semi-detached | 1% |
| Terraced | 5% |
Apartments Price Distribution
| Santa Catalina | |
|---|---|
| Price Bracket (€) | % of Listings |
| €0 – €500,000 | 27.8% |
| €500,000 – €999,999 | 43.7% |
| €1,000,000 – €1,499,999 | 13.7% |
| €1,500,000 – €1,999,999 | 9.6% |
| €2,000,000 – €2,499,999 | 2.6% |
| €2,500,000 – €2,999,999 | 1.1% |
| €3,000,000 – €3,499,999 | 0.7% |
| €3,500,000 – €3,999,999 | 0.4% |
| €4,000,000 – €4,499,999 | 0.0% |
| €4,500,000 – €4,999,999 | 0.4% |
Villas and Houses Price Distribution
| Santa Catalina | |
|---|---|
| Price Bracket (€) | % of Listings |
| €0 – €499,999 | 6% |
| €500,000 – €999,999 | 15% |
| €1,000,000 – €1,499,999 | 24% |
| €1,500,000 – €1,999,999 | 27% |
| €2,000,000 – €2,499,999 | 0% |
| €2,500,000 – €2,999,999 | 12% |
| €3,000,000 – €3,499,999 | 3% |
| €3,500,000 – €3,999,999 | 3% |
| €4,000,000 – €4,499,999 | 3% |
| €4,500,000+ | 6% |
Sales and Rental Metrics
| Santa Catalina | ||
|---|---|---|
| Metric | Apartments | Villas / Houses |
| Median Price | €680,000 | €1,550,000 |
| Mean Price | €794,365 | €2,049,091 |
| Sales Price per m² | €5,278/m² | €6,615/m² |
| Rental Price per m² | €18.29/m² | €14.18/m² |
| Rental Yield | 4.2% | 2.6% |
Key Points from Data
Similar to Palma Old Town, Santa Catalina is largely made up of compact housing, with detached homes representing only about 21% of the market. Compared to Palma Old Town, properties in Santa Catalina are on average more affordable, with median and mean apartment prices 15% and 26% cheaper, and median and mean villa/house prices 38% and 35% cheaper. In terms of price distributions, 71.5% of apartments are priced under €1 million and 72% of villas and houses are priced below €2 million, which is a significantly higher percentage than what is available at those price levels in both the Palma municipality and Palma Old Town.
Looking at average price per square metre, the figure for apartments in Santa Catalina is very similar to that for the wider Palma municipality. However, for the property group of villas and houses, Santa Catalina is priced 26.8% higher.
What’s on the Market in Santa Catalina
Properties in Santa Catalina show remarkable diversity in terms of property age, style and price point. Apartments date from 20th- to mid-century buildings, with an abundance of renovated and reformed properties, following latest demand trends: high internal specification with features such as underfloor heating, full-height windows and open layouts. Layouts vary from 1-bed units to large family apartments, duplexes and luxury penthouses with terraces of 70–120 m². Apartment price points extend from around €235k–€420k for compact homes or renovation projects, to €420k–€900k for modernised 2–3 bedroom homes, up to €900k–€1.4M for larger renovated apartments and mid-tier penthouses in the luxury sector, and €1.4M–€4.6M for luxury penthouses, front-line Paseo Marítimo homes and premium units.
The supply of villas and houses is characterised by authenticity, with a large selection of historic townhouses typically featuring exposed wooden beams, traditional Mallorcan floors and façades. Common to many thriving historical property markets, many developers offer traditional style blended with modern upgrades to maximise space, natural light, rooftop terraces and of course private pools. Investors can get their foot on the villa and house ladder of Santa Catalina for under €400k with entry-level townhouses. Mid-price renovated houses typically range from €1M–€1.5M. Luxury modern townhouses are priced from around €1.5M to €3.5M, and looking at the luxury sector for detached homes, €4.4M–€8.5M is seen at the top end for seafront villas offering panoramic cathedral and marina views.
Son Armadams
Split of Property Types
The data shows that Son Armadams is overwhelmingly an apartment-led market: 90% of all listings consist of apartments, penthouses and duplex units - an equal concentration to Palma Old Town - with only 10% of the stock falling into the house-type category.
| Son Armadams | |
|---|---|
| Property Type | % of Listings |
| Apartments | 76% |
| Penthouses | 17% |
| Duplex | 7% |
| Detached Houses | 9% |
| Semi-detached | 0% |
| Terraced | 1% |
Son Armadams is a small micro-market within Palma with very limited villa and house stock. Because the total number of listings in this property group is too small for a meaningful distribution table or calculation of averages, we have focused our analysis here on the property group of apartments, duplex units and penthouses.
Apartments Price Distribution
| Son Armadams | |
|---|---|
| Price Bracket (€) | % of Listings |
| 0 – 499,999 | 9% |
| 500,000 – 999,999 | 48% |
| 1,000,000 – 1,499,999 | 32% |
| 1,500,000 – 1,999,999 | 6% |
| 2,000,000 – 2,499,999 | 1% |
| 2,500,000 – 2,999,999 | 4% |
Sales and Rental Metrics
| Son Armadams – Apartments | |
|---|---|
| Metric | Apartments |
| Median Price | €850,000 |
| Mean Price | €987,199 |
| Sales Price per m² | €5,451/m² |
| Rental Price per m² | €17.19/m² |
| Rental Yield | 3.8% |
Key Points from Data
Looking at the different metrics for the affordability of apartments, duplexes and penthouses in Son Armadams compared to the figures for Palma as a whole, the median price for this property group is 10.5% lower than the municipality figure, and the mean around 20% less. However, in terms of price per square metre, apartments in Son Armadams are around 8.2% more expensive.
Looking at price distributions, 43% of apartments here are listed from €1 million versus 47% across Palma, and only 11% from €1.5 million as opposed to 27% for Mallorca.
What’s on the Market in Son Armadams
Apartments in Son Armadams comprise traditional Mallorcan buildings and renovated mid-century blocks mixed with more modern, newly completed developments. Buyers can enter the market for around €350,000, with a typical property at this level being an older two-bedroom unit. In the mid-range, nearly half of the properties are priced between €500,000 and €1 million. At these price points, 2–3 bedroom apartments with modern kitchens and upgraded interiors are available, sometimes with private garages. More premium apartments, including contemporary duplex and penthouse units, become available between €1 million and €1.5 million, offering higher-spec finishes. At the top end of the market, upscale luxury penthouses with views of the sea, cathedral or Bellver Castle can command over €2.5 million.
In terms of villas and house supply in Son Armadams, there is only a limited amount available. Older homes and townhouses can be acquired for just over €1 million. Renovated historic houses with upgraded interiors command a higher price tag from around €1.5 million. At the premium end of the market, luxury detached properties are generally priced from €2 million and extend to around €5 million, featuring more outdoor space and private pools.
Waterfront & Mid-Luxury Areas
Portixol–Molinar
As our data shows, Portixol–Molinar commands some of the highest square-metre prices in the Palma municipality. Located just a few kilometres east of Palma’s city centre, Portixol and Molinar are adjoining coastal neighbourhoods that are often treated as a single area by real estate agents. Both originated as fishing villages, which explains their abundance of compact housing with historic character, including apartments, townhouses and refurbished fishermen’s houses. Premium properties, from luxury penthouses to high-end villas, are found along Molinar’s seafront and around Portixol Marina.
Split of Property Types
| Portixol–Molinar | |
|---|---|
| Property Type | % of Listings |
| Apartments | 62% |
| Penthouses | 10% |
| Duplex | 2% |
| Detached Houses | 5% |
| Semi-detached | 3% |
| Terraced | 18% |
Apartments Price Distribution
| Portixol–Molinar | |
|---|---|
| Price Bracket (€) | % of Listings |
| €0 – €499,999 | 26.2% |
| €500,000 – €999,999 | 37.7% |
| €1,000,000 – €1,499,999 | 12.3% |
| €1,500,000 – €1,999,999 | 15.6% |
| €2,000,000 – €2,499,999 | 0.0% |
| €2,500,000 – €2,999,999 | 3.3% |
| €3,000,000 – €3,499,999 | 3.3% |
| €3,500,000 – €3,999,999 | 0.8% |
| €4,000,000 – €4,499,999 | 0.0% |
| €4,500,000 – €4,999,999 | 0.0% |
| €5,000,000 – €5,499,999 | 0.0% |
| €5,500,000 – €5,999,999 | 0.8% |
Villas and Houses Price Distribution
| Portixol–Molinar | |
|---|---|
| Price Bracket (€) | % of Listings |
| €0 – €499,999 | 0.0% |
| €500,000 – €999,999 | 8.5% |
| €1,000,000 – €1,499,999 | 6.4% |
| €1,500,000 – €1,999,999 | 17.0% |
| €2,000,000 – €2,499,999 | 19.1% |
| €2,500,000 – €2,999,999 | 10.6% |
| €3,000,000 – €3,499,999 | 17.0% |
| €3,500,000 – €3,999,999 | 19.1% |
| €4,000,000 – €4,499,999 | 2.1% |
Sales and Rental Metrics
| Portixol–Molinar | ||
|---|---|---|
| Metric | Apartments | Villas / Houses |
| Median Price | €686,000 | €2,450,000 |
| Mean Price | €1,032,170 | €2,579,596 |
| Sales Price per m² | €6,680/m² | €9,622/m² |
| Rental Price per m² | €17.75/m² | €22.77/m² |
| Rental Yield | 3.19% | 2.84% |
Key Points from Data
Portixol–Molinar shows some of the highest €/m² figures in Palma. Compared to the wider municipality figures, on average, apartments are 32.5% more expensive and villas and houses command a premium of 84.5%. In fact, the average price per square metre of villas and houses in Portixol–Molinar at €9,622/m² even exceeds the exclusive neighbourhood of Son Vida at €8,598/m².
We must note, the elevated €/m² is driven not by exceptionally high list prices, but by the compact nature of the housing stock, particularly the small footprints of many premium seafront houses and townhouses. This is clearly illustrated when we look at absolute sales prices. For example, the apartment median is around 28% lower than the Palma figure and apartment means around 17% lower.
What’s on the Market in Portixol–Molinar
Apartments account for around three-quarters of the properties on the market in Portixol–Molinar, most benefiting from either sea views or proximity to the coast. Entry-level apartments are available from around €300,000, generally studios or smaller 1–2 bed units, with typical sizes ranging from 40–80 m². The mid-market has the most choice, with price points of around €450,000 to €900,000, often consisting of renovated stock or upgraded buildings. These mid-price points include penthouses and units with proximity to the beach. Premium apartments are available from €1,000,000 to €2,000,000, often with three or four bedrooms and larger living spaces, frequently around 200 m² or more. At the upper end of the apartment market, prices extend from €2,000,000 to €4,000,000 for luxury frontline units, some with marina views. At the extreme top end, a few super-luxury, expansive apartments with very large floor areas can come on the market at prices over €5 million.
Commanding a premium for their proximity to the sea, villas and houses in Portixol–Molinar are priced exceptionally high relative to their size (€9,622/m² in our data sample). The market is a mix of renovated older homes and new builds. Investors can enter the villa and house segment from around €850,000–€1.1 million, with build areas starting from roughly 150 m². Mid-range stock priced between €1.45M and €2.2M generally offers around 150–250 m² of space, often within small residential complexes featuring communal grounds and shared pools. More spacious properties of around 180–300 m², including both detached homes and premium townhouses, are typically priced between €2.3M and €3.2M, frequently with private pools and contemporary layouts. The most expensive villas and houses are generally newly renovated or newly built seafront properties priced up to around €4 million, with common features such as multi-level layouts, large terraces, and lifts.
Paseo Marítimo
Positioned opposite the Port of Palma, and just a few kilometres from the city centre, Paseo Marítimo, which translates to "seafront promenade" in English, is fundamentally a market only for apartments with no villas or houses for sale.
Split of Property Types
| Paseo Marítimo | |
|---|---|
| Property Type | % of Listings |
| Apartments | 93% |
| Penthouses | 7% |
Apartments Price Distribution
| Paseo Marítimo | |
|---|---|
| Price Bracket (€) | % of Listings |
| €0 – €499,999 | 15.8% |
| €500,000 – €999,999 | 33.3% |
| €1,000,000 – €1,499,999 | 19.3% |
| €1,500,000 – €1,999,999 | 14.0% |
| €2,000,000 – €2,499,999 | 8.8% |
| €2,500,000 – €2,999,999 | 0.0% |
| €3,000,000 – €3,499,999 | 3.5% |
| €3,500,000 – €3,999,999 | 1.8% |
Sales and Rental Metrics
| Paseo Marítimo | |
|---|---|
| Metric | Apartments |
| Median Price | €995,000 |
| Mean Price | €1,208,130 |
| Sales Price per m² | €6,809/m² |
| Rental Price per m² | €19.55/m² |
| Rental Yield | 3.44% |
Key Points from Data
Absolute sales prices for apartments are in fact very similar when comparing Paseo Marítimo to the Palma municipality, with median prices only diverging by 4.7%. The similarity of listing prices is also confirmed when looking at price distributions, with both Paseo Marítimo and Palma having 47% of their apartments priced from €1 million. However, one noticeable difference highlighted by our data is the significantly higher price per square metre commanded by apartments in Paseo Marítimo compared to the municipality average - the former being 35% higher.
Rental yields in Paseo Marítimo are significantly lower - 22% less - than the figure for Palma as a whole. This rental yield is primarily based on long-term letting, so all we can deduce with certainty is that the high sqm sales prices driven by proximity to the coast generate a lower ROI, for long-term rentals, than the average for the municipality.
What’s on the Market in Paseo Marítimo
Residential properties for sale in Paseo Marítimo basically comprise apartments and penthouses, with virtually no villas or houses available. At the cheapest end of the market, a compact one-bedroom apartment can be acquired for €300–400K; typical living areas in this price bracket range from about 45 m² to 65 m². These entry-level units will often be in older buildings, frequently renovated before being put on the market. Anywhere in Paseo Marítimo is close to the sea, so even the cheapest units may have ocean views. For €400,000–€500,000, 2-bed units of around 60–80 m² are available, sometimes in seafront buildings, with marina or cathedral views. The larger share of the apartments falls into the €500,000–€900,000 price bracket, offering 2–3 bedrooms and often providing over 100 m² of living space. Some penthouses will also be available at the upper end of these prices. Premium units are available from €900,000–€1.3M – higher spec, newly renovated, larger terraces, underfloor heating, and designer interiors, and living areas of up to 150 m² or more are common. Above €1.3M and up to around €2M can be considered the start of the luxury segment. A combination of premium views, closeness to the promenade, high-specification finishes, and substantially larger floor areas often in the range of 200–300 m² justifies the pricing tag. The top end of the market, from €2M–€3.5M+, contains super-luxury penthouses and apartments, sometimes up to four or five bedrooms and 300+ m², fantastic views, and premium oceanfront positions.
El Terreno
Positioned on the western side of the Bay of Palma, about 2–3 km from the city centre, the neighbourhood of El Terreno adjoins the Paseo Marítimo. The property market is dominated by compact housing stock - apartments, penthouses and duplex units - which together account for 73% of listings.
Split of Property Types
| El Terreno | |
|---|---|
| Property Type | % of Listings |
| Apartments | 55.8% |
| Penthouses | 14.5% |
| Duplex | 2.9% |
| Detached Houses | 16.3% |
| Semi-detached | 2.9% |
| Terraced | 7.6% |
Apartments Price Distribution
| El Terreno | |
|---|---|
| Price Bracket (€) | % of Listings |
| €0 – €499,999 | 34.7% |
| €500,000 – €999,999 | 36.0% |
| €1,000,000 – €1,499,999 | 10.7% |
| €1,500,000 – €1,999,999 | 10.7% |
| €2,000,000 – €2,499,999 | 4.0% |
| €2,500,000 – €2,999,999 | 1.3% |
| €3,000,000 – €3,499,999 | 1.3% |
| €3,500,000 – €3,999,999 | 0.0% |
| €4,000,000 – €4,499,999 | 0.0% |
| €4,500,000 – €4,999,999 | 0.0% |
| €5,000,000 – €5,499,999 | 1.3% |
Villas and Houses Price Distribution
| El Terreno | |
|---|---|
| Price Bracket (€) | % of Listings |
| €0 – €499,999 | 0.0% |
| €500,000 – €999,999 | 10.0% |
| €1,000,000 – €1,499,999 | 20.0% |
| €1,500,000 – €1,999,999 | 20.0% |
| €2,000,000 – €2,499,999 | 10.0% |
| €2,500,000 – €2,999,999 | 10.0% |
| €3,000,000 – €3,499,999 | 3.3% |
| €3,500,000 – €3,999,999 | 10.0% |
| €4,000,000 – €4,499,999 | 3.3% |
| €4,500,000 – €4,999,999 | 3.3% |
| €5,000,000 – €5,499,999 | 0.0% |
| €5,500,000 – €5,999,999 | 3.3% |
| €6,000,000 – €6,499,999 | 0.0% |
| €6,500,000 – €6,999,999 | 0.0% |
| €7,000,000 – €7,499,999 | 0.0% |
| €7,500,000 – €7,999,999 | 0.0% |
| €8,000,000 – €8,499,999 | 0.0% |
| €8,500,000 – €8,999,999 | 0.0% |
| €9,000,000 – €9,499,999 | 0.0% |
| €9,500,000 – €9,999,999 | 0.0% |
| €10,000,000 – €10,499,999 | 3.3% |
Sales and Rental Metrics
| El Terreno | ||
|---|---|---|
| Metric | Apartments | Villas / Houses |
| Median Price | €649,000 | €1,995,000 |
| Mean Price | €960,747 | €2,636,552 |
| Sales Price per m² | €5,462.84/m² | €6,981.48/m² |
| Rental Price per m² | €18.59/m² | €23.45/m² |
| Rental Yield | 4.08% | 4.03% |
Key Points from Data
In common with Portixol–Molinar, average sales prices in El Terreno for both property groups - apartments and villas/houses - are significantly lower than the figures for Palma as a whole. However, due to the compact nature of the stock and the area’s proximity to the coast driving up values, the average prices per square metre are considerably higher.
For example, the median sales price for apartments in El Terreno is 32% lower than the Palma-wide figure, but their average price per square metre is 8% higher. A similar pattern appears for villas and houses: the median price in El Terreno is 11% lower, yet the €/m² value is 34% higher.
What’s on the Market in El Terreno
Apartments for sale in Paseo Marítimo can be divided into two distinct groups: the older stock in the traditional area by the park, and the more expensive units closer to the coast with ocean-facing aspects or sea views. The cheapest apartments available start at around €220,000 for compact 1-bed units with typical sizes of 35–55 m² in mid-century buildings, and 2-bed units are available from around €250,000. From €300,000–€400,000, more refurbished stock is available, with living areas typically 50–90 m², brighter open layouts and, in some cases, private patios and ocean or harbour views. In the €400,000–€500,000 bracket, higher specifications appear, and proximity to the sea becomes one of the defining factors. At €500,000–€750,000, premium views, penthouses, higher-floor units and superior communal facilities become more noticeable. The €750,000–€1.2M segment offers prime contemporary apartments and penthouse stock with more substantial outdoor areas and elevated, close marina views. Around €1.2M can be considered the start of the luxury segment, with larger contemporary units, better proximity to the ocean and more designer-led finishes. Ultra-luxury apartments and penthouses command prices up to €5M, with expansive build areas of up to 450 m² and rooftop living spaces.
Regarding villas and houses, Paseo Marítimo offers historic properties, renovation projects and modern luxury homes. Entry-level properties are available for around €800,000, but these will be older houses requiring refurbishment. Moving to the €1.25–€1.6M price bracket, a reasonable choice of listings with sea views is available, with open layouts and more desirable locations between Bellver Park and the Paseo Marítimo. Stepping up from €1.6–€2.3M, investors can expect more turnkey opportunities, private pools and fine harbour or cathedral views. From €2.3–€3.5M, more expansive hillside properties offering greater privacy and more outdoor living space, including gardens and pools, are available. The top end of the market, from €3.7M, offers various newly built contemporary detached ocean-view villas, with stately mansions commanding price tags up to €10M.
Suburban & Luxury Enclaves
Son Vida
The most exclusive neighbourhood in Palma, the housing stock of Son Vida is dominated by detached homes, which account for around 90% of its market. For this reason, we have focused our analysis for Son Vida solely on the property group of villas and houses, excluding apartments.
Split of Property Types
| Son Vida | |
|---|---|
| Property Type | % of Listings |
| Apartments | 6% |
| Penthouses | 2% |
| Duplex | 0% |
| Detached Houses | 90% |
| Semi-detached | 0% |
| Terraced | 1% |
| Country Homes | 1% |
Villas and Houses Price Distribution
| Son Vida | |
|---|---|
| Price Bracket (€) | % of Listings |
| 0 – 999,999 | 1% |
| 1,000,000 – 1,999,999 | 0% |
| 2,000,000 – 2,999,999 | 2% |
| 3,000,000 – 3,999,999 | 7.1% |
| 4,000,000 – 4,999,999 | 26.3% |
| 5,000,000 – 5,999,999 | 20.2% |
| 6,000,000 – 6,999,999 | 16.2% |
| 7,000,000 – 7,999,999 | 2% |
| 8,000,000 – 8,999,999 | 6.1% |
| 9,000,000 – 9,999,999 | 5.1% |
| 10,000,000 – 14,999,999 | 11.1% |
| 15,000,000 – 24,999,999 | 1% |
| 25,000,000+ | 2% |
Villa and House Sales and Rental Metrics
| Son Vida | |
|---|---|
| Metric | Villas / Houses |
| Median Price | €5,500,000 |
| Mean Price | €7,093,838 |
| Sales Price per m² | €8,598/m² |
| Rental Price per m² | €16.75/m² |
| Rental Yield | 2.34% |
The neighbourhood of Son Vida, which is in fact a luxury gated estate dating back to the 1950s, is well known in Mallorca as one of the most sought-after areas for low-density, sprawling luxury estates. Wealthy lifestyle buyers are drawn to Son Vida for its stunning natural setting, privacy, and elevated views over the Bay of Palma and the Serra de Tramuntana.
Benefiting from proximity to Palma city centre and bordering the prestigious municipality of Calvià, it commands some of the highest villa prices on the island, both in absolute terms and on a per-square-metre basis. Looking at the data above, only 3% of the villas are priced under €3M, and 63% are priced between €4M and €7M. At the very top end of the market, super-luxury estates can command prices of €30–40 million.
The median and mean villa prices for Son Vida are 144% and 130% higher than the figures for Palma, and 214% and 157% higher than the figures for Mallorca. Villas in Son Vida also command a substantial premium over both Palma and Mallorca on a price per square metre basis. The average villa €/m² at €8,598 is around 64.9% higher than the Palma-wide figure and approximately 75.1% higher than the Mallorca average. In fact, as reported by Idealista, Son Vida is the second most expensive area on Mallorca, only marginally cheaper than the luxury marina area of Port d’Andratx at €8,924/m².
Similar to Port d’Andratx, the primary motivations for luxury villa buyers in Son Vida are lifestyle, wealth preservation, and long-term capital appreciation. Properties in this area are generally not purchased for rental-investment returns, but as high-quality residential or second-home assets.
Genova
Positioned on the slopes of Na Burguesa mountain, about 4.5km from the Palma city centre, the district of Genova evolved from a traditional village. Zoning regulations limit the construction of new apartment buildings in Geonova, and only a tiny number of apartments are for sale. We have focused our data analysis for Genova on the property group of villas and houses.
Split of Property Types
| Genova | |
|---|---|
| Property Type | % of Listings |
| Apartments | 6% |
| Penthouses | 1% |
| Duplex | 1% |
| Detached Houses | 68% |
| Semi-detached | 9% |
| Terraced | 12% |
| Country Homes | 3% |
Villas and Houses Price Distribution
| Genova | |
|---|---|
| Price Bracket (€) | % of Listings |
| €0 – €999,999 | 16.7% |
| €1,000,000 – €1,499,999 | 16.7% |
| €1,500,000 – €1,999,999 | 14.3% |
| €2,000,000 – €2,499,999 | 11.9% |
| €2,500,000 – €2,999,999 | 11.9% |
| €3,000,000 – €3,499,999 | 4.8% |
| €3,500,000 – €3,999,999 | 2.4% |
| €4,000,000 – €4,499,999 | 9.5% |
| €5,000,000 – €5,999,999 | 2.4% |
| €6,000,000 – €6,999,999 | 4.8% |
| €7,000,000 – €7,999,999 | 2.4% |
| €8,000,000 – €8,999,999 | 0.0% |
| €9,000,000 – €9,999,999 | 0.0% |
| €10,000,000 – €10,999,999 | 0.0% |
| €11,000,000 – €11,999,999 | 0.0% |
| €12,000,000 – €12,999,999 | 2.4% |
Sales Metrics
| Genova | |
|---|---|
| Metric | Villas & Houses |
| Median Price | €2,175,000 |
| Mean Price | €2,852,024 |
| Sales Price per m² | €6,141/m² |
Key Points from Data
So, what does the data about Genova tell us? This is primary a micro-market for villas and houses which account for 92% of the stock for sale. Looking at average sales prices of villas/houses, both median and the mean are similar to the figures for Palma municipality. However, the outlier is the average price per square metre which is 18% higher for Genova than Palma as a whole. This difference can be explained by more compact traditional housing stock in Genova compared to more expansive contemporary builds being more prevalent across the municipality.
What’s on the Villa and House Market in Genova
Genova offers a wide range of entry points for villas and houses, starting from around €650k–€800k for compact homes, typically of traditional style and of sizes around 120–180 m². From €800k to €1.2M, interior sizes increase to approximately 150–215 m², with more indoor living areas and terracing. Sea-view villas and houses are generally priced at least €1M, and within this bracket sea views start to appear more consistently, particularly from upper floors and roof terraces.
Mid-sized homes are available from around €1.2M to €1.7M, with living areas typically in the 160–300 m² range. It is common for properties in this price bracket to have views over Palma Bay, along with more substantial garden areas and pools.
Looking at €1.7M–€2.5M, mid, to luxury-level larger homes of 230–350 m² are available, often on elevated plots and with superior views. Over €2.5M, luxury villas and houses become available in Genova – a mixture of more contemporary designer builds and traditional homes. These typically have build areas of 350–600+ m², with premium panoramic views, expansive indoor/outdoor living and multi-level terracing.
The market generally tops out at around €8 million, except for the odd outlier of luxury sprawling country estates.
Son Rapinya / La Vileta
Often considered a single neighbourhood, La Vileta and Son Rapinya lie just south-east of Son Vida and around 3.5 km from central Palma. They offer suburban living with easy access to the capital, along with more affordable property prices than the Palma average.
Split of Property Types
| Son Rapinya / La Vileta | |
|---|---|
| Property Type | % of Listings |
| Apartments | 35% |
| Penthouses | 5% |
| Detached Houses | 30% |
| Semi-detached | 8% |
| Terraced | 22% |
Apartments Price Distribution
| Son Rapinya / La Vileta | |
|---|---|
| Price Bracket (€) | % of Listings |
| 250,000 – 499,999 | 67% |
| 500,000 – 749,999 | 13% |
| 750,000 – 999,999 | 13% |
| 1,000,000 – 1,499,999 | 8% |
Villas and Houses Price Distribution
| Son Rapinya / La Vileta | |
|---|---|
| Price Bracket (€) | % of Listings |
| €0 – €499,999 | 11% |
| €500,000 – €999,999 | 67% |
| €1,000,000 – €1,499,999 | 14% |
| €2,000,000 – €2,499,999 | 3% |
| €2,500,000 – €2,999,999 | 6% |
Sales Metrics
| Son Rapinya / La Vileta | ||
|---|---|---|
| Metric | Apartments | Villas / Houses |
| Median Price | €439,000 | €819,000 |
| Mean Price | €550,979 | €1,049,472 |
Key Points from Data
In terms of the split of the property types for sale in Son Rapinya / La Vileta, 60% are villas or houses and the rest apartments. But what stands out from the data is the substantially cheaper property prices compared to the average for Palma. 34% of the apartments are priced from €500K, versus 83% for Palma as a whole. Regarding villas and houses in Son Rapinya / La Vileta, 23% are priced from €1M, compared to 86% for the municipality. The greater level of affordability in this area is also confirmed when we look at our medians for both property groups. The median apartment and villa/house listing prices are 54% and 64% lower respectively when comparing Son Rapinya / La Vileta to Palma.
What’s on the Market in Son Rapinya / La Vileta
Apartment buyers for Son Rapinya and La Vileta can get on the property ladder in this area for as little as €250,000 for compact units in older buildings without lifts, sizes typically in the range 79-90 m² and with 3-bedrooms. From around €330,000 to €450,000, stock is available with larger living areas up to 120 m² in newer buildings, some with open views and communal facilities. Looking at the price brackets €450,000 to €900,000, apartments with high specifications such as Jacuzzis and roof terraces are available with areas up to around 150 sqm. At the top end of the market, from €900,000 to around €1.5 million, more expansive apartments are available with living areas over 250 m² but the premium price tags are primarily determined how prestigious the neighbourhood is, proximity to leisure facilities and schools, and quality of the views plus of course modern high spec features.
The entry-level price point for villas and houses in the neighbourhood of Son Rapinya and La Vileta is around €400,000 for compact older homes with built areas under 200 m². Significantly more spacious properties are available from €600,000 to €750,000 - which we can consider mid-market in this area - with built areas of 200–300 m² and some new-build options. From €750,000 to €1 million, there is a higher concentration of contemporary properties, some with private pools. In the €1 million to €2 million bracket, larger detached homes are available, including a mix of modern villas and older houses with bedroom counts of up to six, built areas of around 700 m², and generous land plots. We can consider the luxury end of this market as €2 to €3.5 million, with large detached properties comprising historic houses and country homes - often on extensive land plots of over 2,000 m² - alongside more contemporary stock on smaller lots, typically offering between six and nine bedrooms.
Palma and Mallorca: Property Price Trends Since 2007
One of the defining characteristics of the property market of both Palma and Mallorca as a whole is their ability to sustain long-term price growth, with either no downturn or bouncing back remarkably quickly, in the face of major economic shocks. Crucial to the security of property investments, we can see the robust nature of both markets by looking at property price trends dating back 18 years to include the Global Financial Crisis of 2008.
Using price-per-square-metre property values from Oct 2007–Oct 2025, both markets show consistent nominal and inflation-adjusted price appreciation, with Palma recording a nominal CAGR of 4.09% (2.09% inflation-adjusted) and Mallorca, using the Balearics as a proxy, at 4.25% (2.25% inflation-adjusted).
Palma vs. Mallorca: Price Trends 2007–2025
Two points are clear from looking at the graph: both markets show very similar long-term performance, recovering relatively quickly from each of the four economic shocks and returning to impressive positive price growth. However, for each event, the price drops for Palma were significantly greater than the figures for Mallorca. This is because the property market of Palma contains a much higher percentage of local housing, with a higher percentage of mortgage-dependent buyers, and is generally more exposed to economic conditions. When looking at the broader market of Mallorca in aggregate, it contains an overall higher percentage of luxury lifestyle properties and overseas investors - more of these are cash buyers, and their higher net worth means they are more insulated from economic hardship.
Appendix: Data Sources and Methodology
- All price-per-square-metre data was derived from full listing volumes on Idealista as of end November 2025.
- Median and mean sales prices for Palma and Mallorca were derived from live Kyero data as of mid-November 2025.
- Inflation adjustments are based on the Consumer Price Index (IPC) published by the Instituto Nacional de Estadística (INE), using the index values for October 2007 and October 2025. The resulting inflation factor applied is 1.417. Source: INE.
- For the Mallorca and Palma price-per-square-metre data we have published, we cleaned the sales and rental listing prices. Using our own methodology, we produced separate adjustment factors for both markets to deflate and normalise prices. This process corrects for duplicate listings, pricing anomalies and negotiation margins. For Palma, sales prices were adjusted downward by approximately 18% and rental prices by approximately 14%. For Mallorca, sales prices were adjusted downward by approximately 13–16% and rental prices by approximately 12–14%. Applying these factors ensures that the presented €/m² figures and derived rental yields are a more accurate depiction of each property market.
- For all our Palma reporting areas, apartment price-distribution tables are based on the combined property group of standard flats, penthouses and duplex units. For our villas and houses price-distribution tables, this includes detached, semi-detached and terraced properties, as well as country homes.