Rental costs unaffordable

Mallorca: locals have to live in caravans

For many residents of Mallorca, housing is now unaffordable.

(Bild: Nataliya Schmidt - stock.adobe.com)

There is a housing shortage and sometimes unaffordable rents on the Balearic Islands. Many locals, for example, can no longer afford to live on Mallorca - despite having a full-time job. Many have to live in caravans.

In no other region of Spain are average rents as high. The situation is precarious. A housing law passed in 2023, which limits rent increases for old contracts, has not been able to alleviate the situation.

There is a housing shortage not only in Mallorca, but also in many other regions of Spain and the EU. However, property prices have risen particularly sharply in recent years on the vacation island, which is especially popular with Germans and Brits. In view of this development, rental prices have also climbed to new highs.

Hardly any apartments for less than 1,000 euros
There are hardly any apartments on Mallorca for less than 1,000 euros. According to figures from the Spanish statistics authority INE, the average monthly income on the island is just over 1,900 euros. Social housing is virtually non-existent. Those who work in tourism can count themselves lucky: Many employers offer accommodation for service staff and the like. Others only rent out apartments from October to May. During the rest of the year, they are rented out to tourists at a high price. 

"Caravan settlements" in parking lots
Many people can no longer afford apartments and live in caravans in front of supermarkets and in public parking lots. However, they have to change location every ten days. There are now entire settlements of campers, caravans and even cars on the outskirts of the city.