Is Ibiza a good place to buy a property?

Is Ibiza a good place to buy a property? The property market in Ibiza has always been reliable. There is no denying that our island’s real estate market has seen a significant influx of residents and foreign buyers, particularly in the luxury segment – and it has undoubtedly become one of the world’s top property hotspots. 

Its idyllic location and high property demand have made Ibiza a safe investment for quite some time. As the current market stands, investing in a home in Ibiza makes for a secure return on investment, irrespective of whether it is residential, a second home, a villa for tourism rental purposes, or an early project phase property.

In light of Ibiza’s vibrant property market, we are excited to share our latest market update showing why Ibiza remains a great investment.

The island of Ibiza is not only an attractive investment but also one of the most sought-after locations in the world. Known for its pleasant climate year-round, natural environment, and extraordinary lifestyle, our island has much to offer. Our island’s picturesque beaches and sunsets, social networks, events, and laid-back lifestyle continue to attract many home buyers seeking a place in the sun where other international and cosmopolitan communities align. 

Moreover, our island draws in many remote workers and entrepreneurs who can work from anywhere – including those with children due to its quality schools, natural surroundings and level of safety.

Many visitors from afar are impressed by its increasingly easy international connection (not only direct from London, but direct flights from New York to Mallorca are now available, allowing you to reach Ibiza in approximately 8 hours), making travelling to and from Ibiza much simpler and more enjoyable.

Prestige Properties presents Ibiza’s Luxury Housing Market 2022/2023

Soon, we will be taking a look at the housing market statistics once again as we enter the last quarter of 2023. Yet, as far as we can predict and according to our internal insights, we have continued to rise since our previous audit. 

Our 2022 annual market report and 2023 forecast shows that Ibiza’s real estate market has always been more resilient than our neighbouring Islands and Spain’s mainland. Ibiza’s luxury sector has experienced a considerable upturn since 2020 compared to our peers. 

Our Prestige Properties Ibiza’s sales data for 2022 show the following:

  • An overall 10% increase in price per square metre between 2020 and 2022 across all areas on the island
  • Our sales volume doubled between 2020 and 2021 – and remained stable throughout 2022
  • An 87% rise in enquiries over the past two years
  • A drop of around 50% in (published) listings (suggesting a high demand versus low supply market)
  • 58% of our buyers purchased a property as a second home

For our Full Market Report and more statistics, please visit our 2022 Annual Ibiza Property Market Report and 2023 Forecast.

Overall, following the main boom of 2021 (which saw even higher numbers than the pre-covid highs in 2017), the market remains steady and continues to rise. With fewer sellers on the market, property values are predicted to increase as the race against a low supply continues, making this a good time and Ibiza a good place to buy a property.

buying and selling of homes in the balearic islands 2022

Ibiza Real Estate Properties for Tourism and Rentals

Ibiza generally continues to grow, especially in the hospitality and tourism sectors, making it a premium place to travel. Due to this growth, housing and infrastructure demand has also increased, making it a good destination for those looking to buy a property for tourism purposes.

Buying an Ibiza property with a current tourist licence is the ideal situation. The application process and legal certificate will already be completed, and, what’s more, regular tourism customers are likely to return to this same property and book their holidays year after year. Buying a property for tourism is a win-win situation. This type of investment will likely be fully booked year after year as the tourism industry is booming and its prestige VIP status continues upward.

You can learn more about purchasing a property with a tourist licence or obtaining your own in our guide entitled How to Obtain a Tourist Rental License in Ibiza.


Ibiza’s Real Estate Market for Long-Term Residents and Families

Our island’s relaxed lifestyle and tranquil environment make it a popular destination for long-term residents, families, and professionals (young and old) who can work remotely. Those who can afford it will naturally prefer a purchased home over long-term rentals (which are also challenging to find). 

The island is experiencing a sensational rise in interest as internationals and families become more active in their purchasing journeys, resulting in an increase in prices, a decrease in supply, and an increase in demand.


So, is Ibiza a good place to buy a property and is now the right time?

Overall, one thing is for sure: You’ll have a better chance of getting a decent return if you buy a property in a highly valuable location, highly sought-after and in constant demand. And, yes, Ibiza is most certainly one of those places!

Are you looking to buy a property or luxury villa in Ibiza? Well, now is a perfect time!. If you want to view our Buyers Guide or speak with an agent about the current market and investment opportunities, contact us today

We would be more than happy to talk you through Ibiza’s Real Estate potential.





Do you have any questions or need more info?
Send us a message and we will get back as quickly as possible!

    How to Obtain a Tourist Rental License in Ibiza

    If you want to invest in a property in Ibiza for tourism rental purposes, you must carefully carry out thorough research and plan. It is essential to take caution – as you will see, obtaining a tourist rental license is not easy. 

    In 2012, a new law was passed, the ‘Ley de Arrendamientos Urbanos’, or LAU (Urban Leases Act). Under this law, short-term holiday rentals were allowed as long as you met the standard requirements. However, later in the summer of 2017, the law changed significantly and getting a permit got a lot tougher. Nowadays, many properties in Ibiza are not eligible for tourist rental licenses. 

    To help you, we have created a short guide that provides all of the information you need to obtain a tourist rental license in Ibiza. However, seeking legal advice comes highly recommended as laws and regulations are constantly changing. Ensuring everything is correct and legal can save you hefty fines and unwanted situations.


    Is my property eligible for a tourist rental license in Ibiza?

    If you’re renting your place for less than a month, you need a tourist rental license. Ibiza’s tourist rental licenses tend to be for detached houses. However, it doesn’t mean all detached houses will get a tourist license. All requirements must be met, no matter what. 

    If you want to buy an apartment to rent out for holidays, you should be aware that a tourist licence may not be accepted. Licenses were not previously allowed in shared buildings (therefore apartments), and even though this regulation has now changed and apartments are now theoretically permitted, in reality, they must first be approved by the local authorities’ board.


    Ibiza has a set of minimum requirements that properties must meet to receive a tourist licence.  The following list outlines the main requirements, although there are other factors to consider related to any given property:

    1. There must be an occupancy certificate for the property, known as the ‘Cedula de Habitabilidad’.
    2. Residents’ quality of life is the primary concern. The property must be located within a "tourist zone". These zones are based on environmental data, population statistics, and planning criteria without compromising an area’s management capabilities or resources.
    3. When a previous sanction for a severe breach of a holiday rental licensing law exists, a home cannot be rented for vacations. Naturally, once the sanction is fulfilled and the property’s legality is restored, the property may again be considered for vacation rentals. Therefore, when looking for a tourist license, you should request a ‘certificado de inexistencia de infraccion urbanistica’’ to ensure no sanction exists.
    4. Before the house can obtain a touristic license, it must be at least five years old, and during those five years, it must have been used as a private residence.
    5. The property must also possess an energy certificate. Specifically, the construction of a house must meet the F rating for buildings constructed before 31/12/2007 and the D rating for buildings built after that date.

    Rental licenses are now available for apartments, but only if the board of owners approves. Additionally:

    1. Licenses must be renewed every five years.
    2. Renters must be informed in writing about the house rules and must respect them.
    3. Renters who do not respect the regulations must vacate the property within 24 hours.
    4. Insurance must cover potential damage the clients may do to community property.
    5. The community must have a 24-hour service number.

    How do I apply for a tourist rental license to rent my property in Ibiza?

    To obtain a tourist license from the local council, applicants must submit the following documents: 

    1. A "responsible declaration" ("Declaración Responsable de Inicio de Actividad de comercialización de estancias Turísticas en viviendas") which meet the criteria for tourist rentals in Ibiza
    2. Plans and documents related to the property
    3. Ownership documentation
    4. The number of guest beds must not exceed the number of people legally allowed to occupy the property according to the certificate (cédula).
    5. The local council issued a certificate proving that the property is located in a holiday-letting area (tourist zone).
    6. Proof that the property meets the legal requirements for holiday rentals
    7. Once you have paid the application fee, you will receive a preliminary rental license number.

    For more detailed information and to proceed with obtaining a rental licence, please visit Bufete Frau Legal Service and Specialist for Real Estate Law for more information, legal advice and support with filing your application.


    How long will I need to wait before I can start renting my property in Ibiza?

    Upon submitting your tourist rental license application, you confirm that your property meets all the required criteria. Once you have applied, you will receive a preliminary rental license number and you can immediately begin renting out the property. An inspector will carry out all the relevant checks at a later date. After this, if there are any inaccuracies, omissions, or falsifications in the application statement, the registration will be cancelled, and holiday rental activity will be suspended immediately. Once a rental license number (whether preliminary or final) has been allocated, it must be used for advertising on portals like Airbnb so that guests and authorities can check whether a holiday rental is legal.

    IMPORTANT DISCLAIMER: Since February 2022 there is a 4-year moratorium on the "creation of new tourist beds" which effectively means a hold on all applications of new rental licences in the Balearics. This means that while you are free to submit the paperwork and fees, they will not be processed for (at least) the next 4 years and no preliminary numbers will be issued. You can read more on this subject in the following article:
    Balearic Tourism Law: Moratorium of up to four years to build new tourist accommodation in the Balearic Islands (diariodemallorca.es)


    What happens if my new property or villa in Ibiza already has a rental license or application at the point of purchase?

    Those who wish to purchase a property with a current tourist license need not worry about reapplying. However, you should still check everything thoroughly. Approved licenses will always have an ETV certificate (Estancia Turistica en Viviendas). 


    What costs are involved when obtaining a tourism rental license in Ibiza?

    The price for a rental permit is currently €600 for the application plus the following per bed:

    One bed: €4.300,00
    2 beds: €8.643,00
    3 beds: €13.029,40
    4 beds: €17.459,70
    5 beds: €21.934,30
    6 beds: €26.453,70
    7 beds: €31.018,20
    8 beds: €35.628,40
    9 beds: €40.284,70
    10 beds: €44.987,50
    11 beds: €49.737,40
    12 beds: €54.534,80



    Do you want to buy a property with a tourist license or rent your property for holidays in Ibiza? 

    Before you embark on your buying journey, choose the right real estate agent and a legal team who can help you carry out your research and make an informed decision. If you require assistance in your search or you have any additional questions that you would like addressed, please feel free to contact us today.


    Do you have any questions or need more info?
    Send us a message and we will get back as quickly as possible!

      2021 Annual Ibiza Property Market Report and 2022 Forecast

      Based on both internal and external sources, this report presents information on the property market in Ibiza and the Balearic Islands for the year 2021, as well as its projected forecast for 2022. Based on data and figures received in 2020 and 2021, the analysis covers four main topics of discussion:

      1. The General Balearic Property Price Curve & Sales 
      2. The Ibiza Property Price Curve 2021 Summary
      3. The Ibiza Luxury Housing Market Report 2021 with Prestige Properties
      4. The Forecast for 2022 


      1. The General Balearic Property Price Curve and Sales

      Over the past decade, as discussed in our year-end property market review for 2020, both sales and house prices have shown continual and stable growth across the Balearic Islands. Here we can see, although the real estate market took an abrupt decline following the Spanish financial Crisis in 2007, the market has since stabilized and experienced a steady recovery, reaching a peak increase for both sales and price by 2017.  


      The first marked fall in prices and sales only occurred in late 2019 through until 2020, suggesting that the market as a whole was experiencing minor stagnation.  This minor stagnation was only exacerbated by the fact that the property market industry, like many other sectors, started to experience less movement due to the uncertain status of COVID-19 as well as three months of physical inactivity due to complete closure. 

      However, as early as the summer of 2020 and moving through until the end of 2021 we have been very pleased to see buyers’ activity quickly restart, and thriving again with property sales continuing to rise in all sectors of real estate across the Baleares. 


      There should be no doubt, however, that this growth has been influenced not just by the characteristics of the local market, but also by global interest in real estate as a whole.  

      According to Forbes, 2021, "In the wake of the lockdowns in March, Americans discovered that existing homes were not adequate for the new work, teach, exercise, cook and live at home reality. Based on realtor.com surveys of consumers, we learned that home shoppers are looking for more space, quieter neighborhoods, home offices, newer kitchens, and access to the outdoors, traits which have revived a strong interest in the suburbs and smaller metro areas." 

      This is further supported by Savills Global Real Estate Service who claim our changing priorities since Covid-19 are shifting global residential real estate. Here the international agents describe, "tastes shifted during the pandemic as home became the centre of the universe… We have (also) seen a step-change in second home ownership too. In Dubai, 2021 has seen an ‘unprecedented influx’ of international high net worth buyers looking for a second home and as Hugo Thistlethwayte, Head of Global Residential Operations, notes: ‘There has been a realisation that a second home doesn’t need to be an hour from the main city residence, but could be in Aspen, Jackson Hole or Switzerland. This trend could make places like the Algarve, Mallorca and the south of France 52-weeks-a-year locations." (2021)

      As we can see from the Balearic year-on-year variation in house prices (below), despite a temporary pause in buying activity, the interest in moving location, and seeking a new property has not only since recovered, but has quickly regained the highest pricing since 2007, supporting the argument that living priorities and significant interest in real estate have increased as a result of the pandemic.


      2. The Ibiza Property Price Curve 2021

      There is no doubt that the pandemic has altered our notion of home, finally allowing us to dare to create our dream life, working a city position amid a coastal or countryside second-home alternative, and, of course, complemented by the chance to also secure a strong investment.

      Here in Ibiza, it is evident that we are experiencing similar "unprecedented influxes" and a small boom in the luxury sector of Ibiza’s real estate market for second-home international buyers, brought on by Covid-19. The pandemic has motivated buyers with means to invest in properties located in safe and more natural surroundings, away from overcrowded so-called ‘hotspots". Ibiza’s high-end and upscale property market, therefore, continues to be a desirable location for second-home buyers particularly from Europe, and naturally, we continue to experience a situation of low supply versus high demand, which means that many villas and properties are seen as rare products, driving price booms, resulting in a strong and an unwavering price curve right here in Ibiza (see section ii price per square metre comparison below). 

      While prices and sales lowered during autumn 2019 and early 2020 in the Baleares as a whole (as seen from the graph above), it must be noted that Ibiza’s luxury real estate market has often shown to be more resilient than its neighbouring islands, and set-backs or downturns in the market and price curves never hit quite as strongly.


      3. The Ibiza Luxury Housing Market Report 2021 with Prestige Properties

      All data discussed below is a representation of our internal data related to the Luxury Housing Market in Ibiza and is solely taken from our internal database.


      i) Average Price per Square Meter

      Our internal statistics from our sales database with Prestige Properties Ibiza calculated an average increase in price per square metre, from 6.569 to 7.927€, approximately a 21% increase between 2019 and 2021.


      ii) Average Price & Price per m2 by Municipality

      On the whole, all areas on the island have experienced price-per-square-metre increases between 2019 and 2021.  

      N.B The price per square meter, per municipality, may need to be flexible as the figures depend solely on our internal sales, and weighty factors may apply, as noted in our analysis hereafter.

      201920202021
      Eivissa€6.437€6.076€7.418
      Sant Josep€6.755€7.931€7.998
      Santa Eularia€6.471€6.715€9.553
      Sant Antoni€4.876€5.273€5.442
      Sant Joan€9.048€8.644€9.604

      .

      Eivissa – Average Price & Price per m2 by %

      The entire city is in high demand and continues to demonstrate a strong market presence. Overall, Eivissa has something for everyone, like most cities in Europe, and has increased in popularity in line with the rest of the island. Eivissa has experienced a 15% increase in price per square metre since 2019.

      Average Property Size: 168m2 | Average Property Price in Euros: 1.3M 


      Sant Josep – Average Price & Price per m2 by %

      San José has always been high in demand among affluent luxury second-home buyers.  In 2021, if we segmented San José, areas such as Es Cubells and Ses Salines would still naturally appear at the very top of the island property portfolio, where many other San José developments and properties would now be on par with some of the properties and prices on offer in Santa Eulalia. Sant Josep has experienced an 18% increase in price per square metre since 2019.

      Average Property Size: 256m2 | Average Property Price in Euros: 2M


      Santa Eulalia – Average Price & Price per m2 by %

      In 2021, a particularly large property sale occurred in Santa Eulalia, leading to an unusual rise in the overall average price per square metre and as previously mentioned, some flexibility is required here. However, if we take the current average as gospel, Santa Eulalia would have experienced a 48% increase in price per square metre since 2019. It is clear that Santa Eulalia (despite margin for slight error) is catching up rapidly to the highly sought-after area of San José. 

      Average Property Size: 311m2 | Average Property Price in Euros: 3.5M


      Sant Antoni – Average Price & Price per m2 by %

      The area of San Antonio de Portmany is slowly making progress, becoming more sought-after than clients may first assume. Although the area is often in less demand than other areas, potential home buyers are often encouraged to look at the abundance of opportunities and great investment prospects here.  San Antonio has seen a 12% increase in price per square metre since 2019.

      Average Property Size: 299m2 | Average Property Price in Euros: 1.6M


      San Juan – Average Price & Price per m2 by %

      In the last couple of years, Sant Joan seems to be where the most prestigious and expensive villas are located, with a price tag that has almost doubled on average over the past few years. The new demand for properties in the municipality is a reflection of the property market’s high-end price valuation. San Juan has seen a 6% increase in price per square metre since 2019.

      Average Property Size: 344m2 | Average Property Price in Euros: 3.7M

      .

      According to Tinsa (2021) Living on the Coast Report, the market in Ibiza has exhibited different behavior depending on the segment. However, as per our internal analysis, the demand for detached homes for sale or long-term rental has increased. There have also been price increases, more notable in detached homes than in new developments.  They summarised:  

      Standard multi-family homes sit between 3,000 and 4,000 €/m2, with a surface area from 50 m2 to 140 m2, with one to three bedrooms. Single-family homes typically register between 6,000 and 7,000 €/m2 and those larger family homes value between €10,000 and €20,000/m2. These properties were mostly located on the seafront promenade of Ibiza or on the front line of a marina. The most expensive single-family home registered between 12,000 and 15,000 €/m2 for a detached house. This product was mostly located on the west coast of the island of Ibiza in the municipality of Sant Josep and around Ibiza in the neighbouring municipality of Santa Eulalia. 

      .

      iii) Sales per Year

      Our internal statistics from our sales database with Prestige Properties Ibiza between 2019 and 2021 calculated a very minor decrease of 4% in sales and only 3.5% in volume, which despite the 3-month closure of offices and ability to partake in property viewings is basically a non-existent comparison.

      Properties sold to date in 2021 (up until October 2021) have calculated an increase of 56% more sales than 2019 and a turnover of 95% increase in Euros related to direct sales.

      .

      iv) Enquiries per Year

      Even with pandemic news, lockdowns, and restricted movement, we still saw an ongoing and steady flow of users visiting the website and generating inquiries throughout the year 2020. During the year 2021, since restrictions began to ease, an increase of over 36% has been recorded as active inquiries conducted by individuals seeking an Ibiza property whether through sales or rentals.

      Conclusion: The Luxury Real Estate Market Ibiza 2021

      Even with the pandemic looming during 2020, luxury housing in Ibiza continued to make progress regardless. As we can see from the information and data above, the way we are changing and prioritising our home lifestyle has led to a definite increase in global (and island-wide) interest which has only resulted in a growing buyers market in 2021. As more and more clients seek out their ideal lifestyle in a more relaxed environment, away from the hassles of the big cities, it is evident that international buyers continue to dominate and strengthen the luxury real estate purchasing market.  In fact, "user behavior data shows Ibiza remains the most popular among the three main Balearic islands, achieving 22% more listing views than Mallorca (even though it has half the number of active listings)." – James Edition, October 2021

      .

      4. The Forecast for 2022

      It is expected that house prices will continue to rise steadily and consistently in the luxury property market in Ibiza as there are no signs of crisis at present, making for attractive investment opportunities. In general, this speaks of Ibiza’s upscale market, which not only survived but flourished during the pandemic, giving us confidence that the island will continue to be attractive on an international level for the foreseeable future 2022. However, we do not envision a continuation in the number of sales we have witnessed during 2021.  We anticipate the sales boom of 2021 will potentially slow down as the post-pandemic effect fades away, especially as we are increasingly seeing a case of low numbers of sellers in the market as we continue towards the end of 2021.

      Long-term rentals for larger properties have become increasingly popular, especially with families. Prestige Properties Ibiza was required to hire more staff by the summer of 2021 in order to deal with the influx of inquiries, especially for long-term rentals. This is also confirmed by Morna International School, which has received a record number of new student applicants, who are also seeking residency (James Edition, 2021), indicating a potential anticipated interest for families in 2022 who may be keen to stay in the rental market until the right property for sale arrives in the future, or on the opposite side of the coin, they may return back to the metropoles once the effects of the pandemic and lockdowns are both a distant memory, (which at the moment, seems like is not likely to happen anytime soon). Either way, it is still undeniably the international buyers and overseas investors who are still the main market for second luxury homes in Ibiza and are expected to be in 2022.

      Additionally, the island is exhibiting even greater growth in general, becoming an even more desirable and trendy place to live. Since small, local businesses have struggled to cope with lockdowns and business closures, we have also seen an influx of new, innovative bars and restaurants opening, and signs that continued investment is underway.



      Thank you for staying updated with us at Prestige Properties. We hope to see you soon!


      Do you have any questions or need more info?
      Send us a message and we will get back as quickly as possible!

        2020 Annual Ibiza Property Market Report and 2021 Forecast

        This 2020 annual property market report and predicted forecast for 2021 has been provided by Prestige Properties Ibiza, which summarises key trends and patterns in the current Ibiza and Balearic housing market, with statistics and impressions from both internal and external sources as documented.
        The analysis covers four significant points and primarily draws upon data and figures received throughout 2019 and 2020.

        The Ibiza Property Market Report has been broken into four sections as detailed below:

        1. The General Balearic Property Price Curve
        2. The Ibiza Property Price Curve
        3. Prestige Ibiza Luxury Housing Market Report 2020
        4. The Forecast for 2021

        The General Balearic Property Price Curve

        The general real estate market across the Baleares has demonstrated a durable and stable rhythm in both consumers and house prices over the past 10 years. Following the financial crisis in 2007, the real estate market took a steep drop from its peak, which later stabilised and found a steady recovery from 2017 onwards.

        Ibiza Property Market - Evolucion del precio de la vivienda en Islas Baleares

        The year 2020 is the first year to have both a marked price and sales drop since 2017, suggesting the overall market is experiencing slight fatigue.
        According to Tinsa (2021), the average house price throughout the Baleares shows a decline of 1.4% throughout 2020.

        However, given the uncertain circumstances relating to the global economic system, individual employment conditions, lockdown enforcements, and travel restrictions related to COVID-19, these statistics are to be more than expected and are a direct result of less movement within the property market industry over the past year.

        This is data further supported by EpData (2021) who also identify a clear drop in property sales across the Baleares from 2019 to 2020. Published data by the General Notary Council declared the number of sale transactions at a total of 1,124 in January 2020, representing a year-on-year decline of 1.92%. This in turn may also have influenced the beginning of house prices gradually dropping, even before the start of the pandemic, although we cannot be certain.

        The Ibiza Property Price Curve

        However, when discussing the rise in the general property market price curve in the Baleares before 2020, one of the most notable and major contributions to its recovery and growth lies in the luxury real estate market here in Ibiza.

        Here, we find the inflation of luxury housing as a weighty contributor to the upsurge of the overall general property market price curve, and a palpable influence in the continuing momentum from 2017 onwards.

        Ibiza has become, by comparison to anywhere else in Spain, including the leading cities of San Sebastian, Barcelona, and Madrid, an exceptionally valuable island, with average property prices rising above 56% in the past five years with a year on year progress – El Pais, 2019

        These figures over the past five years correlate with the immense interest and pursuit for homes from non-resident and overseas buyers. The demand for luxury properties has gone from strength to strength, and the Ibiza property market has ever since seen a rise in the value of our homes.
        This immense pursuit from international clients has led to the high-end property market in Ibiza finding itself with an occurrence of a low supply versus a high demand, and low supply effectively means that many villas and properties are stamped as a rare product.

        Naturally, where there are demand and rarity, areas become highly sought after, and even those smaller, lower costing properties, terrace housing, and apartments have taken a significant leap in value too, creating an unwavering price curve for the whole of the Baleares.

        The Ibiza 2020 Luxury Property Market Report with Prestige Properties

        The year 2020, although unstable in almost every sense of the word, has surprisingly followed the trend of increase here in Ibiza, with similar patterns starting to emerge in 2021.

        It must be noted this ‘increasing price curve trend’ can only be considered when discussing the luxury housing market, whereby the majority of properties in question are related to international second-home buyers, that are seeking and purchasing housing at the top-end of the Ibiza property market values. Our internal statistics from our sales database with Prestige Properties Ibiza between 2019 and 2020 calculated an average increase in price per square metre, from 6.665 to 7.021€ (approximately 6% increase), with the same number of sales recorded.

        Overall a very minor 1.1% decrease was noted on the total Euro expenditure from purchasing properties over the entire year. Even with global lockdowns, business closure for three months, and multiple travel restrictions, the luxury housing market has remained strong, just like our year-on-year statistics which have remained very firm and very positive.

        Ibiza Property Market - Avg. Price per square meters 2019 2020

        Property investment in Ibiza throughout 2020, specifically in the luxury housing market, has been incredibly safe with values very attractive on a global standard.

        Although the general property market price curve and sales demonstrate a slight dip and fatigue over 2020, the luxury real estate across the island of Ibiza, has demonstrated a noteworthy difference to the overall general statistics, with a continuation of increase that is inevitably supporting the overall market happenings.

        The Luxury Real Estate Market

        Ibiza is clearly distinguished by many exclusive and high-end properties. In each municipality prime housing has always been highly sought after. The luxury second-home real estate sales market has been very active throughout the health crisis and our annual statistics have confirmed our speculation (among our partners and collaborators), the interest in Ibiza has grown during the health crisis, with more and more clients looking to fulfill their dream life, in a more natural environment, away from the inconveniences of the large metropoles.

        From February 2020, just before the first announcement of a global pandemic, we see a consistent and steady flow of users over the year visiting our website with the same usual peak over the summer months where tourism enquiries are more active.

        Ibiza Prestige Properties - 2020 - Monthly Traffic (Num. Users)

        The island of Ibiza is an exceptionally diverse culture attracting many communities predominantly from across Europe with International buyers dominating the luxury real estate purchasing market.

        Our internal data demonstrates the majority of international interest throughout 2020 were the British population (23%), with an almost equal distribution of nationalities from France, Belgium, Germany, the Netherlands, and the United States visiting our website as confirmed users.

        Ibiza Prestige Properties - 2020 - Audience Geography

        Whilst the Spanish and Italian nationals came into second and third place, these statistics are more likely to be reflective of the tourism market rather than the luxury housing market, as these two nationalities are not the most common buyers in Ibiza within the luxury real estate market.
        Undeniably, fewer clients viewed properties due to travel restrictions throughout 2020, but those determined to purchase a home in Ibiza, continued on their buyer’s journey successfully, giving us great confidence to face next year with optimism and positivity.

        Our speculation is strongly supported across the board with reports that "Spain’s luxury real estate market remains patient, contemplative and sound. Almost immune to price indentation in other segments of the sector, luxury housing has been sheltered in a trench of owners who resist lowering their properties, knowing that this market plays in another division." – El Pais Economia, 2020

        Since the beginning of the pandemic, peace, and tranquility, away from risk, quarantined cities and schools, ecological land, fresh air, and less overcrowding are high on the buyer’s agenda.

        Ibiza Property Market Forecast 2021

        House prices in the luxury Ibiza property market are expected to remain stable in 2021 with anticipated growth and continued progress at a steady and stable rate.

        It is still undoubtedly the international buyers and overseas investors who continue to be Ibiza’s leading audience with second luxury homes being the main conclusive factor for this continuation in momentum, setting the scene in the luxury home sector both now and in the future.

        With the consideration that the early months of any new year are relatively quiet for any industry, the current interest in the early part of Q1 2021 has already seen a determined continuation of an increase in both property values and sales. We anticipate a very mature and sustainable market consisting of long-term stability, growth, and strength, which indicates a continuous and positive future market in 2021.

        The anticipated drop of sales and property prices across the Baleares due to the pandemic excludes the luxury housing market here in Ibiza. However, it must be noted there are no signs of crisis in the property economy thus far, and we expect to see a positive continuation of the general Balearic property price curve as we begin to move towards normality in the future.

        Consideration must be given to the potential opportunities available across the general Balearic market. Smaller plots of land and housing investments currently valued at lower rates are likely to have a very short expiry date. Once the pandemic relaxes and we begin to return to normality, these opportunities will likely cease to exist as property prices are likely to get back on the same path of increase as before, especially as the luxury housing market and desirability for Ibiza has not wavered in the slightest over 2020.

        Prestige Properties ‘Fun Facts’ 2020

        With the 2020 Ibiza Property Market Report and 2021 Forecast heading in the right direction for a positive future, we thought it would be fun to add a few additional points to our article. Here are a few of our top viewed properties over the course of the year. We hope you enjoy ‘through the keyhole’ at our most desirable luxe properties below.

        Penthouse Es Pouet – 17,488 views

        Asking Price: 3,295,000 € – Removed from Market for a Long Term Let Agreement

        Penthouse Es Pouet Ibiza
        Penthouse Es Pouet Ibiza
        Penthouse Es Pouet Ibiza

        Villa Calypso Cala Salada – 12,807 views

        Asking Price: 2,350,000 € – SOLD

        Villa Calypso Cala Salada
        Villa Calypso Cala Salada
        Villa Calypso Cala Salada

        Villa Estels San Mateo – 8,532 views

        Asking Price: 5,950,000 € – SOLD

        Villa Estels San Mateo
        Villa Estels San Mateo
        Villa Estels San Mateo

        Looking to buy a property in Ibiza?

        Do you have any questions or need more info?
        Send us a message and we will get back as quickly as possible!

          [Interview] Ibiza 2020 and Property Market Update with Prestige Properties Ibiza

          A new interview with Victor, Partner & Sales Director of Prestige Properties Ibiza, about Covid-19 in Ibiza and the effect on the Island’s Property Market

          What is open and available for tourists visiting the island this summer 2020?

          The summer of 2020 has certainly encountered a slow start due to recent global events. However, with national flights between the Balearics and mainland Spain occurring from late June and international flights from July 1st, Ibiza is now officially open for the majority and enjoying a different, yet remarkable tourism season considering the circumstances.

          The good news is, all of the island’s outdoor spaces are now open for public use which includes all the beaches, marinas, outdoor activity spaces such as tennis clubs, golfing, water sports and diving clubs, general group water activities like paddle boarding and kayak excursions, boating as well as land leisure activities such as hiking and cycling.

          Most restaurants, bars and shops are back to business with more places opening each and every day. We have been pleasantly surprised at the atmospheric vibrancy of the food and beverage industry and could not be happier for businesses to be flourishing again. The only main difference when compared to previously, is the night clubs still remain closed.

          Victor, Partner & Sales Director of Prestige Properties Ibiza

          What activities would you recommend for tourists visiting this season and why?

          Ibiza is the ideal island to explore and get acquainted with the beautiful hidden gems on offer. During July, August and most of September the island is usually extremely busy, which often leaves many visitors reluctant to hire a car and hit the road with the intense traffic and lack of parking in so many spots.

          This year is an optimal summer to take a touring opportunity and adventure around different beach coves, restaurants and towns, which may otherwise be less desirable during the height of the season for most.

          We would highly recommend any kind of outdoor leisure activities. Ibiza is an ideal place for cycling, playing tennis, snorkeling, night canoeing and taking a fun day with paddle boards out to sea. There are so many great opportunities and activities across the island to engage in and enjoy Ibiza’s natural side.

          With fewer people this year, these activities feel all the more special and gain an extra sense of wide open space and quiet retreat. There are many companies that specialize in offering tours and activities for visitors to enjoy.

          Formentera is an absolute must visit. With its crystalline waters and white sands, this small sister island of Ibiza will feel very much like a personal tropical island this season. Whether renting a boat or catching the ferry from Ibiza’s Marina or Santa Eulalia, spending the day in Formentera with its spectacular beaches, luxury seafront restaurants and seeing it’s glorious sunsets is nothing short of a perfect summer day in our opinion.

          Cala Saladeta Summer 2020

          What is new in Ibiza this year?

          Every year in Ibiza new and exciting venues open and join the lively social aspect of the island. Here are the top latest additions to our home which we are sure are worth a visit during your next Ibiza holiday!

          Hotel W – Santa Eulalia

          W Ibiza is a much anticipated brand new 5-star seafront hotel boasting of luxury suites, fine dining restaurant, regular nightlife music and Dj sets as well as a stunning health, wellness and spa centre. W Ibiza strikes a pose on the palm-fringed, sand-drenched beachfront of Santa Eulalia. This is where you get to stay and play with a brand that was made for the White Isle. The hotel comes complete with its very own yet separate seafront Chiringuito Blue Restaurant and a Vegan VE Cafe.

          Alma Beach Bar and Restaurant – Port des Torrent

          Alma Beach Ibiza is a brand new boho chic styled beach bar and restaurant situated directly on the beach of Port des Torrent, who are committed to an ibizan lifestyle concept in hospitality. The restaurant offers three different restaurant proposals, sunset, brasas and wellness, with one common denominator: to promote healthy cuisine with top quality ingredients.

          Alma Beach Ibiza is a unique place in which to enjoy the magical moments that the Pitiusa island has to offer.

          Alma Beach Ibiza 2020

          Bam-Bu-Ku – San Antonio

          Bam-Bu-Ku brought to Ibiza by the famous west end O Beach, a new family friendly day experience to San Antonio. A perfect opportunity for anyone looking for a lazy day under the Mediterranean sunshine, overlooking the pool whilst sprawled out on the luxury venue beds, complete with a personal waiter service. Here you can enjoy breakfast, lunch or dinner in a paradisiacal restaurant featuring a wanderlust menu of tropical fusion cuisine.

          Bam-Bu-Ku-Ibiza 2020

          Es Birra – Es Cana

          Es Birra Ibiza is Es Canar’s new socialite place to be if you’re located in the Santa Eulalia area. The old original night club of the 90’s has been taken over by a group of young and innovative individuals where craft beer, a typical gastronomical matching menu and a variety of live music genres exists. Es Birra brings forth a brand new trendy venue with plenty of indoor and outdoor space and an authentic Ibizan tribe.

          ES Birra Es Cana Ibiza 2020

          WOW – San Rafel

          WOW is a house for people to meet, gather and enjoy tantalising cocktails, pure, honest, raw and refined food combined with vintage furniture and retro interiors. It’s everything from a co-working space, to brunches at the weekend, art exhibitions and an array of seating areas to suit any mood.

          How do you think the island will be different without the nightclub tourism scene this season?

          The island is definitely much quieter than usual for this time of the year and we hope this knowledge encourages visitors and potential visitors of tourism, that quieter is in fact safer, with less overcrowding.

          This means we are encountering more families, couples and low key groups of friends from across Europe as a result of the nightclub scene remaining closed and also many of the big tour operator hotels, which is setting a very different tone to the island.

          With less extremes over the summer, the overall atmosphere and vibe has to date been more relaxed and demonstrates a similar collective of tourists, which would normally be seen during low season in Ibiza.

          Formentera beach summer 2020

          What measurements and regulations have been set in Ibiza for health and safety management that tourists and visitors need to be aware of?

          If you are visiting or considering visiting Ibiza in the coming months, we would like everybody to feel reassured that Ibiza tourism and lifestyle is continuing on a positive path and is open for your enjoyment.

          Certain regulations and safety measures are set to keep everyone feeling welcomed and able to enjoy their surroundings whilst still minimising overcrowding. Social distancing measures of 2m and facial masks continue in all indoor public spaces such as shops and supermarkets etc.

          The Balearic Islands recently made an extra adjustment to their current measurements in relation to the health and safety standards for all citizens and tourists who are visiting this season 2020. On Monday 13th July, a minor addition was made, similar to other European countries, whereby facial protective masks must be worn in all open spaces within urban areas, instead of only in closed public spaces.

          Outdoor living and social events such as relaxing on beaches, swimming, sporting activities, eateries, walking and exploring the countryside can continue as normal, mask free!

          The general expectation of the public within these outdoor settings is to maintain respect for one another and uphold social distancing between smaller groups and others as well as reducing overcrowding as much as possible.

          All public businesses including food and beverage industries have been advised on strict health and safety standards including all members of staff checking temperatures before each working shift and the utilisation of masks at all times when serving customers.

          For more information on our current safety measurements please see our recent publication "Summer 2020: The Use of Face Masks in Ibiza" !

          Formentera paradise - pic taken from formentera.es

          Winter in Ibiza

          Do you envision a shift in seasonal tourism or an extension of the summer this year?

          We hope the latter part of the summer season will be stronger compared to the beginning of the main season and for this to continue into the early part of the winter also.

          The main season has started slowly so we hope to see September and October as good months for the local economy. We don’t envision big changes, but ultimately it will all depend on the evolution of the health and well being of the current COVID-19 circumstances and the public here in Ibiza.

          What is the meaning of "Veroño"?

          Veroño is a term made up of two Spanish words, Verano (meaning Summer) and Otoño (meaning Autumn). The term is the way we express the continuation of summer into the autumn months, and the beautiful spring-like after seasons we experience here on the Island from October through to early December.

          The sea remains warm long after the big crowds leave and the weather usually stays warm and pleasant well into November. Most restaurants and businesses stay open until Christmas and for islanders, Veroño is almost like a quiet, tranquil spring setting with the majority of low-season opportunities and social events, including a few authentic parties to mark the end of the season and celebrate with each other. Winter for us starts officially in January.

          Have you ever been to Ibiza during Veroño? Check out our latest blog.

          sunset in Ibiza

          What is exciting about the winter time in Ibiza?

          Peace and rest. For most of us it is time to regenerate and spend quality time with our families, friends and among nature. Work is always quieter, but it allows the opportunity to prepare and get creative with new fresh ideas for the following season.

          What secret hidden gems would you recommend to discover in Ibiza during the off-season?

          During the summer season, many of us are busy working and are unable to find time to take on extra activities, especially under the heat, overcrowding and traffic on the island.

          Winter offers the perfect space and weather to remember why we live here. There are so many beautiful spots to explore, hills to hike and local all-year round restaurants to visit. Ibiza is never short of a beautiful day out and there’s always something new and undiscovered, even for those that have been here as locals for many years.

          Sa Talaia, the highest point on the island offers a fantastic hike with outstanding mountain top views. The hills in San Juan are also of incredible value for nature lovers. To simply experience a coffee in a local Ibizan bar among locals or to visit the natural springs of San Mateo, near Can Suleyetas, and then grab a tasty bocadillo, are simply priceless experiences that residents treasure during the winter time.

          Current Ibiza Property Market

          Are clients’ still actively seeking to buy property in Ibiza and have there been any significant changes in the Ibiza Property Market since the announcement of the Global Pandemic?

          What we have evidently seen to date has been very encouraging. The online interest and activity has remained very strong with an increase in interactions (requests, website visits) from potential and future clients during the lockdown period. It appears many were utilising their quarantine to research and pursue buying their desired property in Ibiza.

          Buyers are far from changing their mind. Since July, viewings have resumed and many clients are arriving on the island to continue their property search now that the flights have reopened. So we can say that all is very active, yes!

          We are generally not expecting the property market to have a drop, mainly because the demand is high and the supply is always very low in Ibiza.

          We would simply advise anyone looking to buy a property in Ibiza to follow their projects and make sure you continue to work with experienced professionals and remain fully informed and updated.

          It is still very early to predict the level of impact in the long-term. There will inevitably be changes and marked impressions on a global scale. However, Ibiza has always proven to be a solid market, so if you are well informed, you will be sure to make a good profitable decision.

          Cana Xica villa Ibiza

          What is the best advice you could offer those considering or currently with a buy to rent property in Ibiza ?

          Individual situations for those looking for buy-to-rent properties and tourism licenses will very much depend on the individual needs, their mortgages, general income and their dependency on tourism rentals as a main source of income.

          However, we would highly recommend any client to consider the long term prospects, have a good strategy about pricing and think about beginning to build a good client base (which can be done by selecting a strong agent). Ibiza is a very desirable tourism hotspot across the globe and is guaranteed to drive revenue in the long-term.

          Future Outlook 

          How has Prestige Properties Ibiza as a business and a team had to adapt to recent events and how do you perceive the near future to look like as a company?

          We all had to adapt during the past few months. Working from home, working part time and taking care of our families. Gaining a new work-life balance has not been an easy time for any of us.

          Proudly, we as a team have worked closely together and hard to improve every part of the business and the service we offer to the island and our clients, which makes us positive about the future. We are ready to work our way whatever comes our way.

          We have stayed open throughout. All our agents have been active. We have been spending more time than ever finalising our website and the presentation of our properties, as well as setting up our new virtual viewings service.

          Potential buyers have still been able to get a closer feel for properties on the market and have been able to fully continue with their buyers journey.

          Do you think the tourism industry will be strongly affected in the upcoming season 2021?

          We will all have to continue to adapt to the circumstances and our ‘new normality’. Many agents have offered 2021 secure risk free bookings and more last minute deals for 2020.

          The important thing to remember is to keep all safety measures and the well-being of the public as our main priority as an island and in business. Ultimately 2021 will depend on the evolution of the virus. We hope 2021 will resume back to normal and see a much improved tourism season, as a company we will be prepared as much as possible in advance for both the best and worst case scenario.

          What can the local community, businesses and visitors do to ensure we are all supporting one another positively?

          As previously mentioned, the general expectation of the public within both indoor and outdoor settings is to maintain respect for one another and uphold social distancing and safety measures.

          It is of utmost importance all visitors respect the beauty of the island and dispose of masks correctly into the recycling bins and not leave for others to clean up, especially on the beaches.

          Lastly, if individuals do not feel fit to travel or feel unwell on arrival, then please follow the guidelines and ensure everyone is kept safe.

          Thanks for staying updated with Prestige Properties Ibiza. We hope you enjoy your stay in Ibiza this season 2020.

          If you are considering travelling to Ibiza this year and are still yet to book accommodation, then why not check out our Ibiza holiday villas on offer.

          Our team members are always ready to help you with your travel opportunities and are happy to assist you with any of your questions, so get in touch with us today!

          Are you considering to buy a property in Ibiza?

          Do you have any questions or need more info?
          Send us a message and we will get back as quickly as possible!

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