Buying a second home in Mallorca is a major investment, but annual maintenance costs are as relevant as purchase price. This guide breaks down all real expenses so you budget accurately and avoid unpleasant surprises.
Example: 200 m² detached villa in Alcudia
Cadastral value: €400,000 | Market value: €1,200,000
Mandatory annual taxes
IBI (Property Tax)
- What it is: Municipal tax on property
- Calculation base: Cadastral value × municipal coefficient
- Alcudia coefficient: ~0.45%
- Estimated annual cost: €1,600-2,200 (200 m² villa)
- Payment: Annual (Sept-Oct) or installments
- Discounts: Don't apply to second homes
Garbage tax
- Annual cost: €120-180 (according to m² property)
- Payment: Together with IBI or separate
Community expenses
If in private development
- Monthly fee: €80-200/month depending on services
- Annual cost: €960-2,400
- Includes: Common area maintenance, gardening, communal pool, security (if any)
- Extraordinary assessments: Budget €500-1,500 extra every 3-5 years (works, improvements)
If in independent villa
- No community fee but you assume all individual maintenance costs
- Garden and private pool: €200-400/month in high season
Utilities
Electricity
- Contracted power: 10-15 kW (200 m² villa)
- Fixed term: €60-90/month (always pay even if not using)
- Consumption (moderate use 4 months/year): €100-150/month when in use
- Air conditioning (summer): +€80-120/month
- Estimated annual total: €1,200-1,800
Water
- Fixed fee: €20-30/bimonthly
- Consumption (with garden and pool): €40-80/bimonthly
- Annual total: €360-660
- Pool (initial filling): ~40 m³ = €80-120 (once/year)
Internet and phone
- 600 Mbps fiber optic: €40-60/month
- Annual total: €480-720
- Tip: Don't cancel in off-season, you'll lose installation
Regular maintenance
Garden and exteriors
- Gardener (2 times/month): €150-250/month in season (April-October)
- Annual total: €1,200-2,000
- Pruning, treatments: €300-500 additional/year
Pool
- Weekly maintenance (season): €80-120/month (May-October)
- Chemicals: €400-600/year
- Opening/closing season: €200-300 each
- Annual total: €1,200-1,800
Cleaning and general maintenance
- Deep cleaning (start/end season): €200-300 × 2 = €500
- Preventive visits (if don't live there): €50-80/month = €600-960/year
- Small repairs: €500-1,000/year (taps, locks, paint)
Insurance
Comprehensive home insurance
- Building and contents: €300-600/year (€1.2M villa)
- Coverage: Fire, theft, water damage, weather phenomena
- Liability: Included (€300,000-600,000 capital)
- 24h assistance: Plumber, locksmith, emergency electrician
Summary: realistic annual budget
200 m² villa in development (value €1.2M)
- IBI + garbage: €1,800
- Community: €1,500
- Electricity: €1,500
- Water: €600
- Internet: €600
- Garden: €1,800
- Pool: €1,500
- Cleaning/maintenance: €1,500
- Insurance: €500
- Contingencies (10%): €1,130
- ANNUAL TOTAL: €12,430/year (€1,036/month)
Percentage of property value
- €12,430 / €1,200,000 = 1.04% annual
- General rule: 1-1.5% of market value in annual fixed costs
Extraordinary expenses (every 5-10 years)
- Exterior painting: €5,000-8,000
- Roof renovation/waterproofing: €8,000-15,000
- HVAC replacement: €6,000-12,000
- Bathroom/kitchen renovation: €15,000-30,000 each
How to reduce costs
Energy
- Install solar panels (ROI 7-10 years, 50-70% bill savings)
- Aerothermal for HVAC (more efficient than gas/electric)
- LED in all lighting
Water
- Automatic drip irrigation (saves 40% vs sprinkler)
- Low-consumption native plants
- Pool cover (reduces evaporation 90%)
Conclusion: budget realistically
Maintaining a villa in Mallorca costs approximately 1-1.5% of its annual value in fixed expenses, plus contingencies. For a €1.2M property, budget between €12,000-18,000 annually.
If you rent the house, these costs are partially or totally covered by income. If it's only for personal use, they're the "price of peace of mind" of having your Mediterranean refuge.
Interested in Alcudia Luz?
Alcudia Luz offers quality homes that minimize long-term maintenance costs.