Our latest real estate market update summary shows why Ibiza is still a great investment opportunity.
Property sales and prices in Ibiza in 2023 reflect a resilient and well-balanced market. Despite global and geopolitical uncertainty, the Ibiza property prices remain stable. Although demand has decreased, prices have continued to rise following established trends from previous years. As a result, some slight sales dips exist, but the market remains strong, healthy, and adaptable.
So, is 2024 a good time to buy a property in Ibiza? There is no doubt about it! Now is an excellent time to invest. It is more pressing to question whether it is a good time to sell a property, as the market may be gradually turning towards a buyer’s market. Check out our insights and forecast below for more information.
The General Balearic and Spanish Property Market over the Past Decade and in 2023
Spain and the Balearic Islands have demonstrated continuous growth over the past decade (pre-pandemic), reaching its peak in 2017. Sales and price averages remained steady until late 2019, when a mild decline began, indicating that the market was experiencing minor stagnation. Despite a temporary pause in 2020, sales and prices again reached their highest levels yet during mid-2022.
In the dynamic landscape of 2023, following the post-COVID-19 boom, we observe yet another minor dip in both buying activity and price fluctuations across Spain and the Balearics. It’s worth noting that this adjustment is often a natural part of the market’s evolution, allowing for stabilisation after remarkable growth. This phase may signify an opportunity for the market to recalibrate, ensuring long-term sustainability and setting the stage for a resilient and prosperous future.
However, prudent consideration is advised for individuals considering short-term investment strategies in light of prevailing market dynamics. Exercise caution until the second quarter of 2024, as this period will likely provide greater clarity regarding the enduring nature of present trends. To make informed investment decisions for Spain and the Balearics, following the evolving market landscape and thoroughly evaluating the prevailing market conditions during this interim period will be essential.
Ibiza’s Luxury Housing Market 2023 with Prestige Properties
Amidst global challenges, geo-political developments and financial uncertainty, the Ibiza luxury housing market is still flourishing. As one of Europe’s most popular holiday destinations, there is a high level of interest in investing in a property here.
We can see that the trend continues, and Ibiza’s price per square metre is still higher than the other Balearic Islands or the Spanish mainland, exceeding the price in 2022, even though demand and sales have slightly wavered.
Our Prestige Properties Ibiza’s sales data from 2023 calculated:
- An overall 17% increase in price per square metre since 2018
- Our sales volume doubled between 2020 and 2021 – which remained stable throughout 2022 and has now experienced a dip for the first time since 2019.
- An 87% rise in enquiries over the past two years. Yet, we are very gradually shifting from a low supply/high demand (2022) to a higher supply/lower demand market (2023)
- 75% of our buyers purchased a property as a second home in 2023.
For our Full Market Report and more statistics, please visit our 2023 Annual Ibiza Property Market Report and 2024 Forecast.
Our 2024 Forecast and is now a Good Time to Buy a Property in Ibiza?
As we look ahead to the Ibiza real estate market in 2024, the landscape appears to be uncertain. While there are indications that the market may shift towards a buyer’s market, it’s important to note that this cannot be confirmed yet, we will have to wait until at least the completion of the second quarter of the year to have more certainty.
Sales in the Ibiza real estate market for the upcoming year are anticipated to stabilise after the slight slow-down of 2023, with an observable increase in the number of properties available on the market. This trend may persist, leading to a greater inventory of properties in the following year. Despite this, the current market conditions suggest that it remains a favourable time to sell properties in Ibiza, as prices are currently high. However, the trajectory of future prices is still uncertain, and whether they will stabilise or experience a decline cannot be confirmed.
Ibiza’s real estate market has historically exhibited resilience, with prices recovering and often surpassing previous levels after experiencing a drop. This characteristic makes the market in Ibiza intriguing for long-term investors who may view potential downturns as opportunities for future gains.
For those considering buying property in Ibiza, the island’s real estate market has demonstrated its ability to bounce back after crises, distinguishing itself from mainland Spain and other real estate markets. Ibiza’s multicultural environment and high demand for luxury properties and holiday homes further enhance its attractiveness for both sellers and buyers in 2024.
In conclusion, while the Ibiza real estate market in 2024 is shrouded in uncertainty, it is currently a favourable time to sell due to high prices. Given the historical resilience of the market and the island’s unique and ever increasing appeal, potential buyers are sure to find long-term opportunities.
It’s recommended to monitor real-time market updates, consult local real estate experts, and factor in global economic conditions to make more accurate predictions for Ibiza’s real estate market in 2024.
We would be more than happy to talk you through Ibiza’s Real Estate potential.