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Mallorca becomes unaffordable: the housing shortage as a systemic problem

How Holiday Rentals Affect Housing in Mallorca

Holiday rentals in Mallorca reduce long-term housing supply and add pressure to already high rents.

Published: April 22, 2026
Mallorca becomes unaffordable: the housing shortage as a systemic problem

Answer

What role do holiday rentals play in Mallorca’s housing crisis?

Holiday rentals play a major role because they take homes out of the long-term rental market. In heavily affected areas of Mallorca, that reduces the number of apartments available to residents and pushes prices higher. The issue is not just new construction, but also how existing housing is used.

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