Private House in Spain

There has been a noticeable growth in the Ibiza property market, evidenced by the number of new estate agents established in the past few years. In that time, private houses have been selling well and a recent tightening of the law relating to the rental of apartments for short-term lets has seen prices in that sector drop, as more properties have become available.

The housing market on Ibiza is very unique – the combination of a small housing stock and tight restrictions on new building projects, not to mention the relative scarcity of idyllic islands in the western Mediterranean, makes for exceptionally high land values. There are bargains to be had but everything is relative – property prices have been pushed higher and higher due to demand and with some prices comparable to central London or New York City.

Nevertheless, deluxe property specialist Christian Wolf believes there is still good value to be found in the market. Christian maintains that property on Ibiza offers considerably better value than having the money in the bank – as summer rental values are very high and houses generally sell for a profit. If you could afford a property for two or three million euros with guest apartment and a tourist licence, you may never need to work again. Properties of this kind have the potential to be rented out for fifteen to twenty weeks, potentially generating €150,000 per year.

This article is taken from Ibiza Spotlight article from 01 OCT 2019