Buying Property inPalma Old Town

Palma Old Town Property Prices in 2026

Average Price per m² in Palma Old Town

Neighbourhood-level portal data is not available for the Old Town. As a reference, based on asking prices on real estate portals, updated in 2026, Palma city averages €5,177/m² for houses and €5,087/m² for apartments.

In the city, asking prices are up 4.61% for houses (from €4,949/m² in 2025) and 6.03% for apartments (from €4,798/m²) over the last 12 months. Prices in the Old Town are usually above the city average. These are asking prices, not final sale prices, and they vary widely by street, size and views.

Price by Property Type

Ranges seen in our listings:

• Renovated apartments: typically €850,000 to €1,200,000 for 80 to 160 m², and €4,500 to €7,000/m². See apartments for sale in Palma Old Town.
• Penthouses with terraces: from around €1,200,000 up to €3,500,000 or more, and €9,000 to €12,000/m² in the best positions.
• Restored townhouses: from around €1,500,000 up to €4,750,000 or more, starting from around €6,000/m² on quieter streets. See houses for sale in Palma Old Town.
• Historic palaces: from around €4,000,000, priced on application for the most exclusive.

Market Trends

In Palma as a whole, apartments are growing slightly faster than houses. In the Old Town the market is small and limited by supply, so compare properties of the same type, size and street.

Property Types Available in Palma Old Town

Apartments

Apartments in restored historic buildings, usually with high ceilings, original flooring and natural light from inner courtyards. Many have a lift and private outdoor space.

Penthouses

Penthouses with rooftop access and views over the cathedral or the Bay of Palma are rare, which is reflected in the price.

Townhouses

Multi-storey houses, often built as single-family residences and renovated while keeping stone staircases, arched doorways, inner patios and roof terraces.

Historic Palaces

Palaces, convents and merchant houses converted and restored over time, at the top of the market.

Best Areas and Micro-Locations to Buy in Palma Old Town

• La Lonja and the Cathedral area: the most sought-after addresses, with the highest prices.
• Calatrava: historic district with townhouses and old palaces.
• Santa Eulalia and Plaza Cort: historic area close to the town hall and the main squares.
• Outer streets: more moderate prices, with some of the best-value apartments in the centre.

You can see more detail in our page on property for sale in Palma Old Town. See also our guides for Palma, Santa Catalina and Portixol.

Buying Process in Mallorca

The general purchase process is the same as elsewhere in Mallorca. In the Old Town, buyers should pay particular attention to renovation permissions in protected buildings and to the rental rules, as no new ETV licences are currently being issued in Palma.

Legal Steps

1. Obtain an NIE (foreigner identification number).
2. Make an offer and sign the reservation agreement.
3. Carry out due diligence: ownership, charges, licences and building status.
4. Sign the private purchase contract and pay the deposit.
5. Sign the deed in front of a notary and pay the remaining amount.
6. Register the property in the Land Registry.

Taxes and Fees

Buyers must budget for transfer tax (ITP) on resale properties, or VAT and stamp duty (AJD) on new builds, plus notary, registry and legal fees. Rates and thresholds change, so confirm the current figures with your lawyer before making an offer.

Financing

Non-resident buyers can apply for a mortgage in Spain. Banks usually finance a lower percentage than for residents, so check the conditions before signing the reservation agreement.

Timeline

The time between the reservation agreement and the deed depends on the documentation and the financing, and is normally a matter of weeks to a few months.

Investment Potential in Palma Old Town

Rental Yields and Tourist Licence

For investors the appeal is long-term capital appreciation rather than short-term rental yield, partly because no new ETV holiday rental licences are currently being issued in Palma. If rental income is part of your plan, verify the current rules and whether an existing licence transfers with the property. We do not offer yield promises.

Resale Value Drivers

Location, the quality of the renovation, outdoor space, light, views and the architectural interest of the building are the main factors that affect resale value. Limited supply supports demand.

Things to Know Before Buying in Palma Old Town

• Protected buildings: renovation works need permissions and can take time.
• Rental rules: no new ETV licences are currently being issued in Palma, so verify the current rules.
• Legal status: make sure that the property is correctly registered and matches the registry.
• Community fees: buildings with a lift and shared areas have community costs.
• Building condition: older buildings may need structural work, roof or installations.
• Energy certificate: required for the sale.

Frequently Asked Questions about Buying Property in Palma Old Town

What is the average price per m² in Palma Old Town?

Neighbourhood-level portal data is not available for the Old Town. As a reference, based on asking prices on real estate portals updated in 2026, Palma city averages €5,177/m² for houses and €5,087/m² for apartments. In our listings, renovated Old Town apartments range from €4,500 to €7,000/m², prime penthouses from €9,000 to €12,000/m² and townhouses start from around €6,000/m² on quieter streets.

How much does an apartment cost in Palma Old Town?

In our listings, renovated apartments of 80 to 160 m² typically range from €850,000 to €1,200,000, with well-positioned homes in La Lonja or the Cathedral area reaching well above €1.5 million.

Which property types can I buy in Palma Old Town?

The market includes renovated apartments, penthouses with private terraces, restored townhouses and historic palaces, usually in converted palaces, convents and merchant houses.

Can I get a tourist rental licence in Palma?

According to our page on property for sale in the Old Town, no new ETV licences are currently being issued in Palma. If rental income is part of the plan, verify the current rules and whether an existing licence transfers with the property.

Why is supply limited in the Old Town?

The historic character of the area and heritage protection keep new development minimal, so the stock of renovated apartments, penthouses and townhouses is finite.

What should I check before buying in the Old Town?

Check the legal status and the condition of the building, renovation permissions in protected architecture, community fees, the energy certificate and the rental rules.

Sources: asking prices on real estate portals for Palma city, updated 2026 (no neighbourhood-level data available for the Old Town); price ranges and rental rules from our page on property for sale in Palma Old Town. Check the current rules with your lawyer.

Properties for Sale in Palma Old Town

Browse the current properties for sale in Palma Old Town.