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Evening Standard
Evening Standard
Business
Cathy Hawker

Buying guide: everything you need to know about buying property in Mallorca - home of the ‘Golden Visa’

Steffi and Bernd Weis live happily in this traditional yet contemporary townhouse in the north of the island

(Picture: Handout)

We all love Mallorca. The gold-plated holiday island 2 hours and 20 minutes from London has enormous variety, from the rural beauty of Deià to the buzzy year-round life of Palma with its orange groves, vineyards and blossom in between.

Mallorca is the largest of the Balearic Islands and a favourite with international property buyers for its sophisticated modern infrastructure.

It measures 60 miles by 40, putting most areas within one hour of Palma’s palatial airport, yet it packs in the action with over 30 marinas, 22 golf clubs and 17 international schools. From five-star hotels to beachfront cabanas, garlic-soaked tapas to Michelin-starred meals, Mallorca offers great charm – and great taste.

Panoramic view of Porte de Soller, Palma Mallorca, Spain (Shutterstock / Balate Dorin)

Mallorca has efficiently upped its game for the past three decades. Look at the celebrities who own homes or holiday there: Michael Douglas and Catherine Zeta-Jones; Richard Branson; super model Claudia Schiffer; and singer James Blunt.

Sasha Obama, Spain's King Juan Carlos, Michelle Obama, Spain's Queen Sofia and Princess Letizia pose before a lunch at the Marivent Palace, Palma de Mallorca, Spain in 2010 (AP)

Michelle Obama took her daughters there and the Spanish Royal Family have two much-loved holiday homes on the island. It is home to tennis superstar Rafa Nadal and is where he has set up his international tennis academy.

Where to buy

There’s a wide range of properties right across the island, from new build apartments to substantial fincas and contemporary villas.

But in general, the east coast is the quieter side, less well-connected but with many of the finest beaches, while the west coast, especially the southwest, is the most popular – and the most expensive.

(@vhcmedia/Pixabay)

The Tramuntana Mountains running southwest to northeast form Mallorca’s backbone – a rustic, beautiful UNESCO World Heritage Site beloved by hikers and serious cyclists who pedal furiously along the vertiginous slopes and winding roads.

The artistic and protected village of Deià in the west at the start of the Tramuntana Mountains, once home to poet Robert Graves, is hugely sought after with wonderful views but very few new build opportunities.

Nearby Soller has a wider choice of homes, good shops and a thriving weekly market, while the coastal stretch around Valldemossa is also in high demand.

In the southwest, the finest contemporary homes on the hillside about the marina at Andratx (35 minutes from Palma airport) sell for well over seven figures – not bad for a former fishing village. Santa Ponsa, with its proximity to several golf courses, also attracts well-heeled buyers.

Pollensa in the north is an evergreen British favourite – David Cameron holidayed there during his time in Downing Street – and a top rental location too, both in Pollensa itself and also in the Port, a few miles away.

To the east, the small harbours and beaches from Porto Cristo to Colonia Sant Pere are utterly charming, backed by historic towns and quiet countryside. The fabulous northeastern medieval town of Artà, a favourite with German buyers, offers whitewashed townhouses and a weekly market.

Another popular weekly market is in Alaro, thirty minutes inland from Palma airport and twenty from the nearest coast. The town lies at the heart of Mallorca’s successful vineyard region and at the foot of the Tramuntana; its annual fiesta is one not to miss.

In Palma, Mallorca’s year-round capital facing the Mediterranean Sea, property options include beautiful palacios in the Old Town, once home to Spanish aristocrats and now remodelled into wonderful homes hidden behind quiet courtyards.

Also look at Santa Catalina and waterfront Portixol; east of Palma beyond the Roman city walls and linked by a long cycle path, both on-trend locations are filled with good restaurants and bars.

How to buy

Spain’s buying process differs significantly from that in the UK and buyers who are not fluent in Spanish should ensure they appoint an experienced bilingual lawyer. The main process involves:

· Obtain an NIE, Numero de Identification de Extranjero. This unique tax identification number is required to open a bank account and buy property.

· Once you have agreed a price on a property to buy, ask your lawyer to ensure there are no outstanding charges on the property and that the property has full title by checking the Registro de Propiedad.

· A reservation agreement, a simple contract between the buyer and the seller with a small deposit, agrees the sales price and removes the property from the market in the short term.

· The buyer and seller sign the legally binding preliminary contract, Contrato de Arras, with a deposit of 10 to 20% normally due. This should be paid into an Escrow account.

· The final contract, Escritura de Comparventa, is signed in front of the notary with the buyer liable for the full amount with all costs and taxes. The notary will put the new owners name on the final deeds and lodge the deeds with the registry office.

· As a rule of thumb, allow 11 to 14% of the purchase price for buying costs in Spain, though these do vary in different regions of the country.

The Golden Visa

Since Brexit, British passport holders have been entitled to visa-free access throughout the EU for short-term visits. For weekend breaks, one or two-week summer or ski holidays and one-off short stays of a month or two, the entry rules will seem little changed from pre-Brexit days.

However, under current rules, British citizens can only stay within the Schengen Area for 90 days in any one 180-day period.

To stay for longer periods, a specific visa is required. The two most popular are the Non-Lucrative Visa and the Golden Visa.

The Non-Lucrative Visa allows stays of over three months for anyone not taking up employment in Spain, making it ideal for retirees. Applicants must demonstrate a bank balance of €34,000 (or the sterling equivalent) and have valid private healthcare cover.

This visa lasts initially for one year and is renewable for further two-year periods, with holders able to apply for permanent residency after five years. The application process is generally straightforward and takes between two and three months.

The Golden Visa is available to investors who spend a minimum of €500,000 on property. Available since 2013, it provides holders and their family (spouse, children under 18 and dependent parents) with residency permits to live in Spain.

Escape to the Mallorcan sun

Steffi and Bernd Weis, owners of a German-based design and communication company, bought a rundown townhouse in Pollensa in 2016. After a two-year renovation, including a year spent getting approval for the design and all the necessary planning permissions, they now have a wonderfully personalised home complete with a swimming pool.

The couple’s Pollensa home was rundown when they bought it six years ago (Handout)

“We had wanted a house in Mallorca since we first visited the island in 2000,” says Steffi. “After that we came at least once every year on holiday, usually in February but sometimes in the summer too, generally staying at Son Brull, a beautiful hotel in a former 12th Century monastery whose architecture and interior design inspired our own build.”

By artfully blending traditional Mallorquin elements alongside modern industrial design, their property fits with neighbouring houses while offering a comfortable and stylish home. Aged wooden beams, a stone façade and wooden shutters are complimented inside by polished concrete floors, a free-floating staircase and sliding doors in untreated steel.

Polished concrete floors add contemporary gloss to an otherwise largely traditional design (Handout)

Huge windows flood the interiors with light – a distinct contrast to traditional dark Spanish homes – while a window in the pool allows an aquarium-like view of the water from the entrance hall and provides additional light for the ground-floor. Artworks come from favourite artists worldwide.

“We had always wanted a renovation project, both because it would be more affordable and give the house a personal touch,” says Steffi, 47. “And we chose Pollensa because we like being part of village life and chatting with our neighbours.

“We spent eight weeks of lockdown there and that only deepened our love for both the house and the island. We appreciate the lovely neighbourhood, the tranquillity of life in our town and the beauty of our house.”

Glittering glimpses of the first floor terrace pool can be seen throughout the property (Handout)

The couple made firm friends in Pollensa during the renovation. An English couple, John and Amanda, let them live free of charge in their house for six months so that they could be right next to the building site, while another English couple, Janine and David, rented their house to them for a further three months.

With their local architect already on board, a chance encounter in the village with some old friends led them to the building company they successfully used. “Our foreman, Gori, was invaluable, introducing us to all the craftsmen and technical crew we needed,” says Bernd.

The result is a house filled with personal details and practical design. Sliding doors maximise space, the pool on the first floor terrace reaches down to the ground floor, providing a dazzling blue centre point throughout the property, while internal stone walls add texture and sleek cubic bathrooms bring considerable contemporary gloss.

“This was our first purchase abroad, one we had contemplated for many years,” concludes Bernd. “We expected it to be an adventure but never realised all the dimensions it would take to get there. We are fully in love with the result. Every time we enter our home we immediately feel calm and relaxed.”

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