Mallorca attracts international buyers for its climate and lifestyle, but its legal, planning, and environmental framework requires special attention. These are the critical aspects for a safe investment.
On the island of Mallorca, special attention must be paid to the urban planning regulations and municipal planning, as each municipality has its General Urban Development Plan (PGOU), which regulates exactly what can be built, reformed, or legalized. It is notorious that, in many properties, especially when we refer to properties located on rural land, the physical reality does not fully coincide with what appears in the land registry or in the land registry.
It is essential to check:
- Whether the building has a building permit and a first occupancy permit.
- If there are undeclared extensions or constructions without regularization.
- If there are any open proceedings by the municipality or pending penalties.
As I have already mentioned in previous paragraphs, special attention should be paid to properties located on land classified as rural land. On rural land, construction is quite limited or even in some cases absolutely forbidden. In these cases, it is highly advisable to consult an architect who knows the area and can clearly indicate what can and cannot be built. One of the criteria that in most cases must be respected is that it must fit in with the landscape and rural environment.
However, in protected areas such as ANEI (Areas of Special Natural Interest) or ARIP (Areas of Rural Landscape Interest), construction is practically forbidden.
Also, in recent years, especially since the pandemic, tourist rental has gone from being an activity with little supervision to being under much stricter surveillance. No new licenses have been granted since 2022. The Govern approved a moratorium, and for now, it is still in force. This means that if you buy a property without a license with the idea of renting it out to tourists, you will not be able to do so, at least until a new quota is opened or the relevant local council allows it in your area. Properties that already have a license can continue to operate, as long as they comply with the current rules: they must be registered and display their official number when they are advertised.
This shift in legislation responds both to growing concerns about access to housing for residents and to the attempt to curb the unregulated boom in holiday tourism. What is being sought is a balance between the development of the tourism sector and the housing needs of the local population.
Recently, something quite useful (and necessary) has been launched: a unique register of holiday homes. Basically, it is a database where all properties licensed for holiday rentals are listed, not only in Mallorca but nationwide. Each authorized property is given an identification code, and that number has to appear on any advertisement, be it on online platforms or even on printed posters. Why? Because it is much easier for the administration to control what is being rented legally… and for travelers, it is also a way of knowing that they are not being taken for a ride.
The conclusion is simple: buying in Mallorca can be a great investment, but you can’t just jump in without knowing what you’re getting into. The rustic land has its limitations, the tourist use is very controlled, and the rules change frequently. Therefore, beyond the illusion (which is totally valid), you need to have your feet on the ground and surround yourself with professionals who know the local regulations well.
Because in the end, and I say this from experience: the problem is not what they tell you, but what nobody warns you about until it is too late. Franke & de la Fuente offers legal advice to ensure that you navigate these complexities safely.