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View of Palma de Mallorca (symbol picture)
Photo:
Jochen Tack / imago images
Perhaps there is a connection between the two reports: The British statistical office has determined that property prices in Great Britain have risen more sharply than they have been for around 17 years.
Meanwhile, the largest real estate platform Idealista has determined that the most expensive street in Spain is on an island that is also extremely popular with the British: Mallorca.
For houses on Carrer Sant Carles, which is just under 500 meters long in the municipality of Calvià, the highest purchase prices for real estate are demanded, as a survey by the platform shows, on which the medium »El Confidencial« reported.
The owners of the houses on Mallorca there demanded an average of 7.043 million euros.
Thanks to their elevated position southwest of the Mallorca capital Palma, almost all of these properties offer a fantastic view of the bay of Palma and the Mediterranean Sea.
Tax rules drive prices in the UK
In second place in the Idealista ranking is the residential complex “Urbanización Coto de La Zagaleta” in the village of Benahavis on the Costa del Sol, not far from the famous seaside resort of Marbella.
There, the required sales prices with an average of 7.042 million are only slightly lower than on the Mallorcan street Sant Carles, it said.
The top of this ranking is completed by Mozart Street in Marbella (an average of 5.932 million euros per house).
It is difficult to determine to what extent the British are actually responsible for these high prices on Mallorca.
It is clear that the sharp rise in prices on the other side of the English Channel is particularly related to the expiry of tax breaks.
In July 2020, Finance Minister Rishi Sunak lowered the tax on home purchases for a year in order to stop the slump in property sales.
It has been back to its old level since July, which is why many Brits wanted to close their real estate deals in June.
According to the statistics office, prices rose by an average of 13.2 percent in June compared to the same month last year.
In May the increase was 9.8 percent.
Lucy Pendleton of London real estate agent James Pendleton said prices were going crazy.
Many Britons were looking for more spacious apartments as home office has become common since the outbreak of the pandemic and the need for space at home has increased.
House prices rose particularly strongly in the north-west of England in June.
Here the plus was 18.6 percent.
In the capital London, on the other hand, they increased by "only" 6.3 percent.
apr / Reuters / dpa
