Cheap Real Estate in Mallorca for Sale — what to buy under 100000 euro

If you want to buy a cheap Mallorca beach house, we recommend reading this article. After reading, you will find out whether real estate prices in Mallorca are falling. What kind of Mallorca property you can buy for €100,000, €150,000 and €200,000. Is it possible to find a very cheap offer for €1? And how to get a good deal on a Mallorca property. 

Table of content:

1. Are property prices falling in Mallorca?
2. Why real estate can be cheap
3. How to avoid being scammed when buying cheap real estate in Mallorca
4. Property in Mallorca under €100,000
5. Property in Mallorca under €150,000
6. Property in Mallorca under €200,000
7. Property in Mallorca just for €1
8. Cheap real estate in Mallorca - is it worth buying

1. Are property prices falling in Mallorca?

2. Why real estate can be cheap

Some factors can help you buy cheap property in Mallorca:

• no panoramic view and/or sea view
• the property is far from the sea, and the beach must be reached only by public transport or car
• the house was built a long time ago, and the property requires renovation
• Finca Urbana or house in urbanization. The house locates within the city, but on the outskirts or in a deprived area. A significant disadvantage here is the city noise and lack of privacy. These are the characteristics most often sought by buyers of fincas and houses.
• there is a legal dispute over the property's
• small living space (up to 65 square metres) 
• no swimming pool and lift in the apartment complex
• urgent sale
• prohibition of alterations to the structure of the building and the construction of additional structures
• there is a legal dispute over the property
• presence of illegal buildings and changes to the structure of the premises.

 3. How to avoid being scammed when buying cheap real estate in Mallorca 

Some of these factors can seem daunting and lead to a rejection of property purchases in Mallorca. For example, it sometimes takes years and tens of thousands of euros for a new owner to legalise some buildings. So to avoid getting into trouble, keep to the four rules of Yes! Mallorca Property, how to avoid being scammed when buying an affordable sea home in Mallorca.

Rule #1: Carefully review all necessary documents before making a deposit for the purchase of a property.

What documents a buyer should check to avoid problems in the future
Сedula de Habitabilidad	The "Cédula de habitabilidad" is a document that proves that a building constructed for residential purposes meets the minimum requirements for habitation in terms of size, sanitary facilities and technical connections. It is issued by the Consell de Mallorca.
Nota Registral (Nota Simple/ Nota Simple Informativa)	It is an official report obtained from the Land Registry of Spain (Registro de la Propiedad) that contains information pertaining to the legal status of the property. The document shows:  who is the real owner any encumbrances, such as mortgages or tax debts contains a full description of the property
Certificate from the Land Registry	Legal building plans. The document can be obtained on request from the Town Council / Town Hall (Ayuntamiento).
En normas de Construccion	The document shows how many square metres can be added to the building.
Certificado de No Infracción Urbanística	No Infraction Certificate. This is a certificate made by the Town Hall, establishing that the property is free (or not), from any fines on the property, or on any of the constructions added to the property.

Rule #2 Consult a Lawyer and an Engineer

Suppose there are open legal disputes, illegal modifications or the sale of the property not by the owner but by his representative under a power of attorney. In that case, we recommend that you consult a solicitor for advice. Turning down a reasonable offer is not severe enough, but insurance would not be out of place. It is also advisable to consult a structural engineer who will tell you how much it will cost to have the alteration project drawn up and approved by the Ayuntamiento (Town Hall).

Rule #3: Spell out all the details in the option agreement

Be sure to describe all the nuances of the transaction in the option agreement. Also, tell the parties' responsibilities in the property purchase contract for decisions related to possible restrictions and legal consequences.

Rule number 4: Get help from professionals

Another way to buy cheaply in Mallorca is to take advantage of offers from banks that have foreclosed on overdue mortgages. You can also participate in auctions which are gaining popularity. Please see our special article for more information on these ways of buying property in Mallorca.

4. Property in Mallorca under 100,000 euros

Mallorca is a luxury resort. And there is a belief that it is impossible to buy property in Mallorca for under 100,000 euros. But that is not the case. For up to 100,000 euros in Mallorca, you can buy apartments in Palma with a living area of up to 70 m2, two or even three bedrooms, and one or two bathrooms. These flats are usually in houses without a lift and are located in certain areas: Son Gotleu, Cala Major, Camp Redo, Son Fuster, Son Cladera, Pere Garau and Ses Cadenes.

These areas are not considered upmarket and are mostly located along the circuitous route on the Palma border. 

But there are areas where you can buy a sea home in Mallorca for under 100,00 euros which are more attractive as an investment. For example, in the Arenal area or the eastern areas of the Island - Porto Cristo, Sa Coma and Cala Millor — apartments or studios on the seafront with 50m2 of living space can be bought for under €100,000. The rental rate in these areas is 9-10 €/m2 per week. This means that in the tourist season, renting out a studio can bring €2,000 per month. 

It is worth noting that properties in Mallorca of up to €100,000 are sold within 1-3 weeks of publication. Therefore there are few such offers on the Island — no more than 0.01% of all offers.

Property in Mallorca up to €150,000

For this amount of money, a property buyer in Mallorca can already get a wider range of choices. For example, buy a 2-3 bedroom flat with furniture in Mallorca in the same areas as for the amount of 100,000 euros. Or in a more comfortable apartment complex with a swimming pool and lift, just after the renovation. The living space can be up to 120 m2. 

You can also buy a studio in Mallorca for up to 150,000 euros in one of the most prestigious areas. And even with a good view of the sea or the mountains. For example, in these areas Bonanova,  Puerto de Palma, Magaluf, Santa Ponsa, Andratx, Alcudia и Calvia

And in some areas, you can even find a small house or townhouse with up to 200 m2 of living space for the same money. 3 bedrooms, 1-2 bathrooms. But most likely, a beach house in Mallorca for 150,000 euros will require major repairs and, as a consequence, a serious cash investment.



Beautiful apartment with sea views in Magaluf, €169,000

Areas where you can buy a house in Mallorca under €150,000: Manacor, Mauro, Costitx, Campos, Montuiri, Inca, Sa Pobla, Sineu, Algaida.

If you have decided to buy a sea home in Mallorca for under €150,000, we recommend that you study the documents carefully before buying. Often these houses are built without ayuntamiento permission and have the status of an illegal building.

Nowadays you can find around 1,000 listings (4%) of properties up to 150,000 euros in Mallorca.

Real estate in Mallorca up to 200,000 euros

If you have a budget of up to €200,000, the choice of properties in Mallorca will increase slightly. Yes! Mallorca Property estimates that there are now 1,700 active offers (6%) of properties in Mallorca under 200,000 euros. 

Basically, for €200,000, you can buy an inexpensive flat in Mallorca in good condition. It even might be freshly renovated and furnished. 2-4 bedrooms. 1-2 bathrooms. The living area up to 100-120 m2. Panoramic views.

Or it could be a smaller apartment, but in a good complex and in an area right on the sea. For example, a 1-bedroom, 1-bathroom, separate living room, kitchen and 58m2 of living space in El Arenal will cost you just €160,000.

The area is located directly by the sea, has all the necessary infrastructure and is perfect for holidays or renting out your property for short-term passive income. 

Similar offers can be found in other privileged tourist areas: Santa Ponsa, Playa de Palma, Puerto de Alcudia, Magaluf, Torrenova, Palmanova, Genova, Puig de Ross.

Real estate in Mallorca for 1 euro - reality or myth?

This practice has been taking place  In many Spanish autonomies for a long time. You could buy a house in Spain for €1. And in some cases, you could even buy a villa or a whole village. But on one condition. The municipality, which has sold such real estate, imposes on the new owner the obligation to reconstruct the transferred property, as well as putting in order the surrounding area. The time limit for restoring such property could not exceed 3 years from the date of transfer of ownership. 

The condition of these properties was, to put it mildly, miserable. A serious cash investment was required to restore the property. Between 100,000 and 300,000 euros, which, of course, ceases to make such properties cheap.

But it was a kind of publicity stunt to attract investment from citizens of those countries where the average income is higher than in Spain. Mallorca needs no additional advertising and has a high investment appeal, so it is impossible to buy a house in Mallorca for €1 even with the condition of its subsequent complete restoration.

Cheap real estate in Mallorca - is it worth buying

Although you can't buy a sea house in Mallorca for €1, it is possible to find a really cheap property in Mallorca. If you are looking to buy a cheap Mallorca property as an investment, there are some key points to consider: 

1. In which area you are buying a property. There are areas where the average price per m2 is rising faster. The most reliable areas for investing money are these: 

• south-west area: Santa Ponsa, El Toro, Calvia, Andratx, Bendinat; 

• region Palma: Bonanova, Son Rapinya, Santa Catalina, El Paseo Maritimo, Portixol; 

• the north of Mallorca: Alcúdia, Puerto de Alcúdia, Pollensa, Muro, Can Picafort.
  

3. Assess the condition of the property you are buying. It is best to ask an architect to give you an objective appraisal of the investment to be made and the  renovation time frame. 

4. Find out whether it is possible to obtain a tourist licence in the area where you are buying the property.

Buying cheap real estate in Mallorca is a sure way to protect and increase your capital. These properties are perfect for those who want to buy:

• rent out an apartment

• visit Mallorca during holidays

• buy a cheap Mallorca apartment to sell it later for more money

In the Yes! Mallorca Property catalogue has over 1,000 current offers for properties in Mallorca. 

Our database is being updated daily. If you are planning to buy cheap property in Mallorca and have not found a suitable option on our website - leave your request, and our specialists will monitor the market just for you. With us, you will buy a house in Mallorca at a low cost and with profits.