Ibiza's property market skyrockets after the pandemic
Real estate prices have already surpassed pre-crisis levels and continue to rise. You might be surprised to find out the location of the most expensive real estate in Ibiza
Today, home prices in the Balearic Islands are much higher than pre-2008 crisis ones. There are 5 locations in Ibiza topping the list.
Ibiza is a European paradise: well-developed air traffic with all of Europe, breathtaking landscapes, mild climate and international fame are factors that make it a favourite holiday destination for tourists all over the world.
It seems that almost all the celebrities have been chilling here this summer. The most famous businessmen, movie stars, musicians and athletes have chosen Ibiza and its beaches for their holidays, which immediately influenced the real estate market.
Ibiza is a European paradise: well-developed air traffic with all of Europe, breathtaking landscapes, mild climate and international fame are factors that make it a favourite holiday destination for tourists all over the world.
It seems that almost all the celebrities have been chilling here this summer. The most famous businessmen, movie stars, musicians and athletes have chosen Ibiza and its beaches for their holidays, which immediately influenced the real estate market.
Today, even in a post-pandemic market with all its peculiarities, the average transaction price on the island exceeds the records set before the subprime lending crisis. Then the peak of prices fell on the third quarter of 2008 and amounted to 2355 euros per square meter. Finally, after ten years of a downtrend, in mid-2018, the prices returned to pre-crisis levels and now exceed them.
According to data for the first quarter of 2021, prices are 10.5% higher than before the previous recession. Currently, the average price per square meter in Ibiza is 2602 euros per square metre. The leaders in the high-speed growth of prices are five areas of the island.
According to data for the first quarter of 2021, prices are 10.5% higher than before the previous recession. Currently, the average price per square meter in Ibiza is 2602 euros per square metre. The leaders in the high-speed growth of prices are five areas of the island.
1. Santa Agnès de Corona
Average price per square metre in Santa Agnès de Corona, Ibiza
The area of Santa Agnes de Corona, located in the northwest of Ibiza, has the highest real estate price on the entire island: 9,943 euros per square meter.
The 2-bedroom properties in the municipality of San Antonio de Portmany cost 976,033 euros (on average). For properties with 3 bedrooms, they ask for 2.37 million euros. Compare this with the average price on the island, which is 411,604 euros.
If the number of transactions during the quarantine in Santa Agnès de Corona were only five sales in 2019 and four in 2020, now they offer 23 apartments and 184 villas for sale.
The 2-bedroom properties in the municipality of San Antonio de Portmany cost 976,033 euros (on average). For properties with 3 bedrooms, they ask for 2.37 million euros. Compare this with the average price on the island, which is 411,604 euros.
If the number of transactions during the quarantine in Santa Agnès de Corona were only five sales in 2019 and four in 2020, now they offer 23 apartments and 184 villas for sale.
2. Sant Josep de sa Talaia
Average price per square metre in Sant Josep de sa Talaia, Ibiza
The southwestern side of the island is a huge paradise with the cleanest beaches and the most untouched natural landscapes of the archipelago. Es Cubells is situated in the centre of this area. Real estate prices here are on average 7,729 euros per square metre.
271 apartments and 545 houses (villas and townhouses) are now available for purchase. The average price of apartments exceeds one million euros, the average cost of houses is 2.34 million euros.
At the same time, only 14% of houses on the market are offered for rent. Therefore, the high demand for purchase determines the price growth.
271 apartments and 545 houses (villas and townhouses) are now available for purchase. The average price of apartments exceeds one million euros, the average cost of houses is 2.34 million euros.
At the same time, only 14% of houses on the market are offered for rent. Therefore, the high demand for purchase determines the price growth.
3. Santa Gertrudis de Fruitera
Average price per square metre in Santa Gertrudis de Fruitera, Ibiza
This city is the only place in the Ibiza's interior to be included in the ranking of the areas with the highest price per square meter. The cost of 1 m2 here is 6,886 euros.
This is one of the few districts where prices have not increased in recent years. Things began to change only two years ago, from 2018. Currently, there are no offers on the market to sell apartments or flats. Among the houses for sale, single-family homes with several bedrooms prevail. There are now 134 of such offers.
This is one of the few districts where prices have not increased in recent years. Things began to change only two years ago, from 2018. Currently, there are no offers on the market to sell apartments or flats. Among the houses for sale, single-family homes with several bedrooms prevail. There are now 134 of such offers.
4. Sant Francesc de s'Estany
Average price per square metre in Sant Francesc de s'Estany, Ibiza
In fourth place of this top is Sant Francesc de s'Estany – a village in the south of the island, with a great location near the island`s main airport and the Salinas salt baths.
And at the same time, the average price per square meter of real estate here is 6685 euros.
You may purchase a villa here for 1.66 million euros. The most usual options are a three-bedroom house with a small plot.
And at the same time, the average price per square meter of real estate here is 6685 euros.
You may purchase a villa here for 1.66 million euros. The most usual options are a three-bedroom house with a small plot.
5. Sant Joan de Labritja
Average price per square metre in Sant Joan de Labritja, Ibiza
Situated in the north, Sant Joan de Labritja is the least populated of the municipalities in Ibiza. There you can enjoy nature and rural life.
The mountains are covered with pine forests, rocky bays offer impressive picturesque views, and against this background, the peasants working in their fields – all this is in stark contrast to the glamorous pictures of life on the other side of the island. And nevertheless, it is this area that took the honourable fifth place in the rating.
The average price of one square metre of housing here is 6,517 euros.
The mountains are covered with pine forests, rocky bays offer impressive picturesque views, and against this background, the peasants working in their fields – all this is in stark contrast to the glamorous pictures of life on the other side of the island. And nevertheless, it is this area that took the honourable fifth place in the rating.
The average price of one square metre of housing here is 6,517 euros.
Ibiza property market phenomena
As you can see from the ranking, areas that are not promoted and flooded with tourists offer real estate in Ibiza at the highest price.
At the same time, the fastest-growing prices are for villas with several bedrooms, from 4 and above. This trend began in 2015 and continues to this day. Over the past five years, the average price of 4-bedroom properties has grown from half a million euros to 900,000. Demand has also stimulated the supply: by the second quarter of 2021, these properties accounted for 24% of the market supply.
Another interesting phenomenon of the island, the prices for secondary real estate are 2% higher than the prices for new buildings, which is not much, but nevertheless, this suggests that there are enough buyers who want to purchase and use real estate right now in Ibiza.
At the same time, the fastest-growing prices are for villas with several bedrooms, from 4 and above. This trend began in 2015 and continues to this day. Over the past five years, the average price of 4-bedroom properties has grown from half a million euros to 900,000. Demand has also stimulated the supply: by the second quarter of 2021, these properties accounted for 24% of the market supply.
Another interesting phenomenon of the island, the prices for secondary real estate are 2% higher than the prices for new buildings, which is not much, but nevertheless, this suggests that there are enough buyers who want to purchase and use real estate right now in Ibiza.
