The Balearic Islands of Spain are a beautiful group of islands blessed with excellent climate all through the year. Mallorca, Cabrera, Ibiza, Formentra and Menorca are the popular property hotspots in the Balearic Islands. If you’re looking to sell property in the Balearic Islands, you couldn’t have picked a better time because the Spanish property market in general has shown a marked improvement this 2015, with property prices rising by 0.47% this quarter.
Also, if you have a Balearic Island property for sale, you’re among the fortunate property owners in Spain, because the Balearic Islands are remarkably popular with foreign buyers looking to buy property in Spain. There is a strong demand for Balearic property for sale from discerning buyers from Russia, China and the Middle East.
The rising demand for homes is only to be expected as Balearic Islands are one of the most popular tourist destinations in Spain. There are actually passengers at Palma de Mallorca airport than at any other airport in Spain. Everybody wants a home here, and it’s hardly a surprise that multimillionaires from China and Russia look to buy a vacation home or a second home here. So if you’re looking to sell property in the Balearic Islands, you’re clearly one of the luckiest people in the world, because the timing couldn’t have been more perfect.
We can confirm that in 2014 four times as many properties were sold as 2013. Sales included apartments, plots and villas ranging from a €700,000 apartment through to a €3.2million apartment and several villas between €1.8million and €4.5million.
In Mallorca house price falls have come to an end. Since June 2014, the banks have also become more open to lending, albeit with strict criteria. In 2014 our Mallorca sales were up around 20% on the previous year and we’re headed for record sales figures in 2015 – now is a great time to invest.
Now you know why you’re so fortunate if you’ve a Balearic Island property for sale. That being said, here are some tips that will help you get the best price for your Balearic Island property for sale.
# Dealing with Real Estate Agents
Hire an agent that markets overseas. 80% of the properties sold on the islands over the last two years were bought by buyers in Russia, China, Norway, Germany and Uk expats. An agent who sells to these markets will have a much better knowledge about the house and the market conditions. Offer a commission between 3 to 5% on a successful sale. Be very clear in your agreement with the real estate agent, otherwise you might regret later.
Look to market the property on portals, blogs and online forums, especially those that cater to foreign buyers from China, Russia, Britain, Germany, United States and the Middle East. Spread a word about the property at haunts frequented by the expat community such as pubs, restaurants, clubs etc. Look to market it on the social media as well. Facebook and Twitter are useful tools for marketing.
# Keep the Documentation Fully Ready
All the paperwork related to the house should be ready, whether it is the original sales deed, copies of the property taxes paid, gas bills, utility bills, receipts for community bills and the Residencia card as well, if you have an official Spanish residency status.
# Be Mindful of Capital Gains Tax
Capital Gains Tax to be paid is higher if you are a non-resident – as much as 35%, and much lower, just 15% of the property price if you are an official resident of Spain. However, if the Balearic Island property for sale is your only home, and you’re also a resident, you’ll be exempted from paying capital gains tax. Hire a qualified tax consultant to help you out with the details related to capitals gains tax.