Real Estate Agents on Majorca – a never ending story of its own….

First of all:

There are extremely professional and reputable brokers on the Island for whom honesty and the pursuit of customer satisfaction are a matter of course. But separating the good from the bad is the problem. 

On Mallorca everyone who feels called to do so can call themselves realtors or "Inmobiliaria". 

We got to know many "brokers" who have absolutely no idea about the subject matter. These are mostly freelancers in a broker's office, such as untrained career changers, the housewife who seeks admiration as a businesswoman, the opportunist acting alone who sense a chance for a quick deal. Offers from other "colleagues" with their own pricing are simply copied taken from the Internet.

This is mostly due to the fact that there are almost no exclusive listings on Mallorca. We have often found properties listed with several brokers at the same time with price differences of up to 30%. If, as an untrained career changer, you lead the seller into thinking that you have well situated clients from Britain or Overseas who would pay far more than the original asking price, you are in business. However, if the property finally will be sold at this high price remains to be seen.

So it is self-explanatory that many "brokers" will not answer to specific important questions, e.g. whether the property in question is legal or illegal, because they don't know the answer themselves. 

Often these brokers have seen the property with us for the first time themselves.

I will never forget how I asked for a viewing of a property which, judging by the ad on the Internet was very interesting. The real estate agent confirmed to us on the phone that this property is indeed particularly beautiful and well-kept and being offered at an incredibly good price.

The first impression the outside of the house more or less kept what the advertisement promised. Well, you can see over the somewhat unkempt garden. After all the seller or sellers want or have to part with it and have let the care of the garden drag a bit.

But then we went inside:

The realtor went directly to the winter garden to present us the high-light of the house. Shock!!! The entire beautiful winter garden was waist-high with discarded toys and bulky waste from the last 20 years, and a pigeon was enthroned in a small wooden cage on top of one of the cardboard boxes. But that's not enough. Startled by our voices, a cat jumped out of the nirvana of the winter garden towards us. Our visit that day probably saved the pigeon's life. At least something good came up. The house also had many other surprises, such as sloping bathroom tiles (the realtor: "Please be careful not to fall off any more") in store for us.

When asked about the situation, the realtor informed us that she had never seen the house before and got her impression from the pictures that another realtor had taken almost 15 (fifteen) years earlier.

Well, at least this lady admitted she had never seen the house before. But when we showed interest in the property and we explained to her realistically how many additional costs we would incur for the renovation and asked her to talk to the seller about a corresponding price reduction, we never heard from her again. For her it would result in additional work and a lower commission. By the way, the property is still for sale.

The case is somewhat different if the prospective buyer is consciously not informed of circumstances that have a major impact on the quality of life, which the broker is aware of. 

For instance there is a sewage treatment plant in the coastal town of Sa Coma at the upper end of the city, with the result that the houses and properties nearby are exposed to unacceptable odors twice a day (early in the morning and in the late evening). A delicious breakfast on the terrace or a romantic evening in the garden is unthinkable. We approached three different brokers three times and got the answer that this was only a temporary problem and will be resolved by the community this year. The last statement like this was over 3 years ago and we know from our own experience that this "temporary" problem has now existed for a total of almost 7 years. We regularly pass there in the evenings in summer. And every time the question: "Has anyone farted the car?" Answer: " No, we are just passing Sa Coma."

We feel sorry for those buyers who are forced to face this problem AFTER the purchase while trying to enjoy the first glass of sangria on the terrace of their new home.

In this case all THREE brokers knew about the problem and downplayed it. Until we specifically approached the broker about, what we believe to be a serious problem, it was not even mentioned. It is only thanks to our own experience that we know about it.

Our conclusion:

Sometimes it doesn't work without a broker. You fell in love with a property on the Internet, but it is only offered through various brokers and not privately. But if it is somehow possible, due to our many years of experience, we advise strongly against consulting just ANY broker when looking for a property here on Mallorca. Don't trust a stranger just because he speaks your language. We are happy to take a look at the property for you and let you know our OBJECTIVE opinion about the property and the agent. Often the same property is on offer from Spanish brokers at a much lower price. Feel free to ask for our research assistance.  

If you have finally found your dream property, we STRONGLY advise you to consult a specialist lawyer for real estate law when purchasing. In contrast to a broker or a notary who, in contrast to other countries ONLY certifies your signature, a lawyer will check ALL papers and whether there are certain conditions or restrictions existing, which are in the way of your plans (e.g. building a pool, building an addition, etc.). A lawyer will usually charge you far less than a realtor. But every penny is well invested. Such legal advice has saved us from a major pitfall twice so far.

More on this here soon to come……

Renting on Majorca - a real challenge of its own ... (Part 1)

Please do not rely on your experience and knowledge of renting in Britain or Overseas. We are talking about MAJORCA !!! Everything is quite a different here.

The Spanish tenancy law is an extremely friendly law for the landlord. As a tenant, you enjoy far fewer rights than in Britain or Overseas. Rent reductions, e.g. due to mold growth, failure of the heating system or other reasons, are NOT legal and can be a reason for a termination on the part of the landlord.

In many years as tenants on Majorca, we too have had to make some experiences that we would have gladly done without.

Today we will tell you about our experiences with our first two rentals on Majorca:

Our first apartment on Mallorca shouldn't be too expensive because we wanted to keep our apartment in Germany for the time being. As absolute newcomers to the island we placed our trust in a realtor and rented an apartment that was highly praised by her. The apartment was visually impressive. A little "Majorcan charm", a new bathroom and otherwise the apartment seemed newly renovated and above all it was affordable. The only thing we found a little strange was that the wardrobes had no doors. "This is common in Majorca", said the broker. "It is to assure ventilation of the clothing so that it does not get any mould stains."

However, we were delighted with the new beds and new mattresses. New mattresses are still a rarity today. On Majorca it is common to rent out apartments and houses furnished, whereby, in a moderate price segment, it is mostly discarded furniture from the landlord and in most cases the landlord refuses to take out his "high quality furniture".

We rented the apartment in May. Great, there was air conditioning in the living room with an integrated dining area and kitchen. Inexperienced and naive as we were back then, we didn't make sure that the apartment had a heating facility. It can get cold on Majorca in winter. Very cold in fact! And in connection with the high humidity, the cold really creeps into your bones.

So winter came. The air conditioning was set to heating mode and we still had a maximum of 16 degrees in the apartment. Now the "Majorcan charm" took revenge. The beamed ceiling extended from a room height of 2.45 m on one side to a room height of almost 4 m on the other. Apart from the beautiful decorative wooden beams, there was no sign of any insulation under the roof. The heat from the air conditioner drew up and we sat freezing in the living room. Our electricity bill was already enormous at EUR 400 per month, but we couldn't freeze either. We started to heat with electric ovens, which made the electricity bill jump up again and the humidity was so high that we got an electric shock every time we touched a normal TV antenna cable.

So what to do? Having additional air conditioning units installed at our expense? In a rented apartment where you know from the start that you don't necessarily want to grow old in it? The landlord would have been very happy about it. Because when moving out, the tenant must leave all permanently installed systems, such as air conditioning units in the rental property free of charge.

There are a few ways to heat an apartment in Majorca, but in the end these are all rather temporary heating methods. Many heat here with so-called "Estufas". These are simple heaters to which a gas bottle is connected. If the gas is used up, you can buy a new full one. But this form of heating is also not exactly cheap and also has the disadvantage that even more humidity is released into the apartment during the combustion process. Not to mention the risk of possible carbon monoxide poisoning.

In the end we decided for a small heater called "Zibro". This burns almost odorless paraffin. The device should also switch off automatically if there is an increase in carbon monoxide in the air. Nevertheless we always had some concerns because these devices because are NOT approved for indoor use in Germany. But at least we got through our first winter on Majorca with a little warmth.

Still, the electricity bill hadn't moved down. In retrospect, we are almost certain that we "kindly" paid the landlord's brother electricity use as well. He lived in the apartment below us. A custom not entirely unusual on Majorca, as we were told by friends later.

In the following spring the real estate agent suddenly came up to us and informed us that a large village house had just become vacant for the same price as the apartment and that she had thought of us first. We visited the house with her. It was a beautiful early summer day, the Calla Lilies were blooming in the courtyard and the house offered plenty of space. We were aware that a lot of renovation, not to be confused with REFURBISHMENT, would come up to us. It was just an old village house full of character. When asked about a water stain on the living room wall, the realtor informed us that the neighbor had connected his washing machine to the other side of the wall and that there was a problem with the water supply recently. But this has now been fixed and the house is dry. We believed her explanation and moved in.

Less than three days after we moved in, there was heavy rain on Majorca. When we went into our living room the next morning, the blow almost hit us: the entire living room wall was wet and there was about 5 cm of water on the floor. The newly bought television and the new sofa a total loss! Immediately we went to our neighbor because we suspected another defect in his water pipe. We didn't speak a word of Spanish at the time and he didn't speak German, but communication somehow worked with hands and feet. He showed us the wall on his side. No trace of water and especially no water connection on this wall at all.

We couldn't live in a wet house. In addition, when we used a hair dryer, there was a strong burning smell from the socket, all the lights flickered and we could not use any other electrical devices during this time, e.g. a coffee machine, without the fuses being blown. The power supply and the ancient power lines were just too weak.

We wanted to move back to the old apartment but the same day that we had given notice the real estate agent introduced new prospective tenants to the landlord. He would have liked to have us back again. "Shifting tenants" in "her" village was her business strategy at that time.

We asked the realtor to help us and mediate between the owners and us in regards to the problems with house. No chance. She had her commission and nothing else interested her anymore.

With the help of some lovely people we then contacted the owner directly. At first he refused to release us from the contract and give us back our deposit. For him the house was in perfect condition. But our, actually empty threat "to go public with this story and turn it into an international affair" had an effect. He played poker by offering us if we leave the property at the end of the month, he would release us from the lease and give us back the deposit.

We had less than three weeks to find a new place to stay on Majorca. An almost hopeless endeavor. The apartments we visited were either too small, no pets allowed, or in worse shape than the house. So we saw our dream of living on Majorca ending before it really started.

By the way, years later we learned that the lease that was signed at the time would not have been legally binding anyway because it was only written in Spanish and we couldn't understand the content of the contract. Also, as is often the case, rental agreements that are only written in English are not valid here and are not legally binding. If you do not speak Spanish, the rental agreement MUST be drawn up in two languages. This is best done with a lawyer or an English-speaking "Gestoria".

Conclusion ( part 1):

Inexpensive rental apartments on Majorca are hard to find. But they still exist. However, the standard cannot be compared to an apartment in Britain or Overseas in terms of size and heating.

• Do not plan viewing appointments in beautiful sunshine when everything appears nice and dry. Best on is a day after heavy rain or early in the morning.

• If possible push pieces of furniture which is placed against an outside wall forward and look carefully at the wall behind it from below. This is where usually moisture and / or mold show first.

• Be a little suspicious when the apartment / house is freshly painted. Mold is often simply painted over.

• As ridicules it may sound, take an electrical device such as a hair dryer with at least 1400 watts to the viewing. Turn it on and then turn on the light. Is it flickering? It could be that the power supply is insufficient. Washing and baking at the same time would then be impossible.

• Be aware that any fixtures you have installed (e.g. air conditioning) become the property of the landlord without financial compensation when you move out.

• A landlord can give you 4 weeks' notice at any time due to personal needs. Regardless of the term of the contract.

• Rent reduction due to defects in the apartment / house is not legal here and can constitute a reason for termination.

• Do not rely solely on the agent's promise. If possible, check his / her statements.

• If you don't speak Spanish, INSIST on a bilingual rental agreement

• Never pay more than 1 month's rent deposit for an apartment or 2 months' rent for a house.

• In Spain the normal realtor commission for a rental is 1 month's rent. Don't pay more than that, no matter what the broker's argument will be. 

• NEVER pay several months or even a full year rent in advance. In the event of problems you will never see your money again.

• Most importantly, do not rely on judicial help. It can take years before a court date finally comes. Not to mention legal fees that you would have to pay in advance. Avoid problems from the start. Trust your gut instinct and never allow yourself to be rushed into a quick commitment.

The above viewing advices may seem a bit unconventional or even embarrassing at first glance. But they are in YOUR interest and from us, based on our experience, more than appropriate. It's about YOUR new home in which you should feel comfortable.

We would be happy to arrange and view an apartment or a house on your behalf. Please feel free to contact us.

We are YOUR representatives on Majorca

Renting in times of the Corona crisis

Mallorca has been particularly hard hit by the Corona crisis. Over 80% of the population is directly or indirectly dependent on tourism and yes, the need for many people here cannot be denied.

But anyone who thinks that this is already having a massive impact on the housing market is wrong. Affordable housing is still hard to find.

The current rental situation:

Yes, rental apartments and houses in some beautiful locations are currently relatively cheap and can be found in quite a large number.

BUT:

Judging by the furniture, most of them are originally vacation apartments or vacation homes. After the owners were unable to rent out their holiday properties profitably in the past season and are now also somewhat concerned in regards to possible house occupations, they are currently offering their properties relatively cheap for long-term rent or just for a few months until the next season.

If you only want to spend the winter on Mallorca or you only need a place to stay temporarily, nothing speaks against a temporary rental agreement. Such a property can easily be found directly from the owner. Please do not hesitate to contact us. We will help you with the search. But unfortunately there are already the first "rogues" on the loose. One of our clients has allegedly viewed an object allegedlyfor himself and shortly afterwards offered it for a much higher rental price. When we asked him about this he told us "he only wants to help the owner"..…an we believe in Santa Claus.

Particular caution is advised with apartments and houses for long-term rent. A long-term tenancy within the meaning of the law is any tenancy with a minimum rental period of 12 months. After these 12 months have expired, the tenancy is automatically extended. Therefore some landlords only make 11 month contracts. These do not extended automatically. They end on the last day of the 11th month.

You have found your dream apartment or dream house at an affordable rental price for long-term rent with a long-term (at least 12 months) lease and are overjoyed. Congratulations. We are happy for. But if this is originally a holiday property and you are allowed to serve as a cheap "placeholder" until the resurgence of tourism, your joy, regardless what kind of contract, will be very limited.

As soon as tourism picks up again the landlord will most likely find more or less legal ways to get you out of the property in order to rent it out to vacationers in a more profitable way. Ultimately, e.g. "own use" is always a good reason to cancel a rental contract and you, possibly new and inexperienced on the Island, will lose out. The local tenancy law can in no way be compared with that in Britain or Overseas and court proceedings are not only very expensive and very lengthy, but also have a very uncertain outcome. Ultimately, moving out is a better alternative in such a case.

Granted, normal cheap long-term rental properties are usually not as nicely furnished or equipped as a holiday home for the same price. But if you do not plan to start looking for an apartment again soon, we strongly advise against renting such a vacation home. Be skeptical if the property is new, bright and tastefully decorated, partly with furniture from the Swedish furniture store, and possibly still in a beautiful complex with a pool and at a relatively low rental price.

It is best to rule out any such problems in advance. Unfortunately, rental properties on Mallorca are mostly rented out furnished. When it comes to furnishing normal and affordable long-term rental properties most landlords do not really focus on "beautiful" and "cozy". Rather it seems that the apartments and houses were filled with some old discarded furniture that he himself would not live with and did not know where to put it.

We have moved on the island several times and have always been able to get our landlords to at least remove the mattresses and bed frames so that we could use our own beds. Most of the times the beds which were initially praised so highly by the landlord, ended up in the bulky waste on his order. We have come to terms with all the other pieces of furniture. With some good ideas and a little personal decoration a lot can be changed quite nicely.

It is almost impossible to get a landlord to vacate the property or to rent it out empty. Most of the time he himself does not have the necessary storage space for the old furniture which he will need to furnish the property again for the next tenant after you moved out. In Spain it is customary to rent a rental apartment or a rental house furnished. For the Spaniards, functionality is more important than comfort when it comes to their home. In contrast to Britain or Overseas, celebrations, social contacts and encounters take place almost without exception outside of their own four walls. And let's be frank and honest, even most of the local restaurants, which we call "rustic" and "authentic" seen through our "pink tourist glasses", have the charm of a small railway station waiting hall. With a little decoration and some fresh paint these restaurants would look much more inviting and cozy. But it is the way it is. We are guests in this country cannot expect to find everything like we used to have in our home countries. Other countries - other cultures….. 

And don't rely on British tenancy agreements with extracts from the British tenancy law. Such contracts have no validity here; even if a potential British landlord tells you something else.

Let us know what you're looking for. We are happy to help you with your search. Or if you already have an object in mind and do not know whether this is an actual vacation property, we will clarify this for you on site. We are NO real estate brokers and our fees are not comparable to a broker's commission.

Have we piqued your interest? We look forward to your inquiry.