The market price of a luxury property in Mallorca

How to calculate the market value of a luxury property in Mallorca?

Knowing the market value of a property in Mallorca is a crucial point when it comes to selling your property. Do you want to know how to do it? We will tell you.

What are the most important aspects to consider?

Many factors influence the calculation of the market value of a property. The question becomes even more complicated if it is a luxury property. On the other hand, the emotional aspects must also be taken into account, which are more difficult to quantify.

As specialized real estate agents, we know exactly which factors are decisive:

Location. The location is crucial. Mallorca is an exceptional place. However, there are more and less desirable, differentiated and valuable regions. The urban, social and service environment is also crucial.

Size. The area of the house and the surrounding land determine the market value of a property. Luxury villas usually have a minimum size of 250 square meters.

Rooms, layout and equipment. The layout of the property is a decisive factor in its valuation. The number of rooms, the garden, the pool, the parking spaces, the gym, the jacuzzi, the elevator or the home automation system have a great impact.

Quality. The presence of noble materials such as marble, solid wood and gold must be taken into account. Likewise, attention to detail and exquisite furnishings increase the final value of a house in Mallorca.

How can I request this study from specialized real estate agencies in my region?

As a rule, it is not recommended for a potential seller to determine the market value of a property without prior knowledge. It is advisable to turn to specialized real estate agencies like ours, which perform this task professionally and reliably.

Errors in these initial assessments can lead to two problems:

Loss of money. The property is sold at a price lower than the amount that could have been obtained.

Loss of time. Prospective buyers decline to buy because of the cost overrun. The transaction is delayed and the sellers have to show the house more.

Actually, the process is quite simple. You just need to contact us and we will do our job. We will check all the data, aspects and documents required for the valuation. This way you will save time and money when selling your property in Mallorca.

How can I increase the commercial value of my property?

We explained above that the value of a home, especially in the luxury real estate market, is not just rational. There are emotional factors that increase the perceived value of a property.

Whenever we increase the sense of exclusivity, differentiation and glamor of a property, its market value increases. In this sense, at One Mallorca we apply very effective marketing techniques. Among others:

Staging. For those who decide if this is the house they are looking for, every detail counts. For this reason, and even more so for luxury properties, the rooms must be kept in perfect condition. Exquisite furniture and ornaments are placed, the house is staged with the right light, and every single impression gains impact.

Professional photos. The pictures published of the property must respect the above principle. Moreover, they are taken by special advertising photographers, so that each image increases the sensation and creates an even more positive impression: desire is activated through the senses!

Suggestive texts. Words are also very valuable tools. Descriptions of the property, the place, the surroundings, and the experiences associated with it are seductive if they are skillfully worded. Both on the Internet and in real estate catalogs or any other digital or offline communication, texts are extremely relevant.

Not all specialized real estate agents can offer these compelling communication tools. Turn to an agency like ours: At One Mallorca, we take care of these differentiators.

How does the IRS react if I sell my house below market value?

It is legal to sell a property below market value, even for an amount less than its cadastral value. However, as a rule, this is not advisable. If you decide to do so, make sure that the whole process is fully justified and very well documented.

The tax authorities are very attentive to these transactions and do not hesitate to investigate them. It examines ex officio the possibility that these sales and purchases also involve black money or an attempt to reduce the amount of inheritance and gift tax.

The investigations of the tax authorities are intensive and meticulous. In some cases, this results in the demand for payment of income tax on the higher capital gain realized. In addition, the penalties or fines are quite high if the sale is considered inappropriate.

To determine the market value of your property in Mallorca, you can rely on One Mallorca, the real estate agency with the best references and qualifications.