Mallorca mortgage scheme ceiling rises to €40m

Mallorca, in the Balearic Islands, has 769 approved mortgage guarantees as of October: the regional government is raising the ceiling on its homebuying scheme from €30 million to €40 million. Government spokesman Antoni Costa announced the decision after Friday’s cabinet meeting on 6 November 2026. The scheme, Nova Hipoteca Jove, is aimed at people who can afford mortgage repayments but lack the savings needed to buy a home.

Who can get a guarantee

Despite the scheme’s name, there is no general age limit. The home must cost no more than €382,700, and a participating bank must agree to a mortgage covering between 80% and 100% of the purchase price, depending on the rules that apply to that bank.

The Balearic Housing Institute can guarantee up to 20% of the home’s value for applicants aged 40 or under, large families, single-parent families, people with disabilities and those caring for a person with a disability. For other applicants, the limit is 15%.

Residence rules and deadline

Applicants must have lived in the Balearic Islands for at least five years, whether continuously or not. The home must become their permanent main residence, and they must not own another home, except in certain cases.

Across the islands, 921 guarantees have been approved as of October. CaixaBank, Colonya Caixa Pollença, Cajamar Caja Rural and Abanca Corporación Bancaria take part in the scheme. Applications and mortgage agreements can be completed before 1 February 2028.

Topics: Housing · Politics · Pollença

Source: Europa Press / Mallorca.com