Balearic housing gap: 2,907 starts, just 900 done

Mallorca and the other Balearic Islands see work start on 2,907 homes in the first half of 2026, but builders finish just 900. The gap stands out in figures presented in Palma on Thursday, 22 October, by the Balearic government. Mallorca’s economy grows by 2.9% in the third quarter, yet rising prices remain a concern.

Housing starts across the islands are up 51.3% on the same period last year, while completions fall 17.5%. An estimated 8,262 homes are under construction. Economy minister Antoni Costa says the homes completed this year were started in the first half of 2024, and he expects a significant rise in completions over the next two years.

Growth comes with higher prices

The Balearic economy grows by 2.8% in the third quarter. Construction expands by 4.6% and services by 2.7%. Costa calls prices the most worrying figure in the report: they rise 5.2% across the islands in September, with energy products up 19.2%.

Visitors spend more but stay less time

Tourists spend €18,291 million across the Balearics up to August, 5.4% more than in the same period last year. Visitor numbers rise 1.9% to 14.4 million, but the average stay falls to 5.9 days. Overnight stays drop 1% to 85.3 million.

Topics: Housing · Economy · Palma

Source: Europa Press / Mallorca.com