Why Mallorca makes a great option for condo buying instead of TorontoMallorca (also known as Majorca, so I will alternate which name I use) is a tiny tropical island off the coast of Spain in the Mediterranean Sea, an island that is 80% dependent upon tourism for its entire economy.
So you would think that the prices of condos and apartments there are probably pretty expensive, right?
Thus you would think Majorca really only caters to wealthy estate properties - but we are forgetting that the locals at Mallorca have to live somewhere too, right?
Which means that wherever they are living, it has to be affordable - either by renting a property, owning a condo, or owning a house.
What I have learned is that vacant beach front properties are very expensive. Vacant lots on the beach are in the 450,000 to 600,000 Euros range. (That is $675,000 to $900,000 CDN.)
Now compare those prices in Majorca to small condos in Toronto - and they are about the same. A small condo in Toronto costs about the same as a small condo in a tropical paradise.
And to be fair, the really expensive condos in Mallorca are about the same prices as the really expensive condos in Toronto - a city that so far this winter has average -15 degrees outside, so bitterly cold you start thinking "Hey, why am I living here? Why aren't I living in a tropical paradise instead???"
At which point you have to stop and think why anyone would bother to live in Toronto when they could live in Majorca or some other tropical place instead.
Like just look at these photos I found of Mallorca. I think they demonstrate the difference.
Yada yada yada, basically why would anyone live in Toronto - one of North America's most expensive cities to live in - when you could live in Majorca instead for the same price?
Job? Learn to telecommute. Most of the high paying jobs in Toronto are in the banking and investment industry - jobs that could easily telecommute. Entire workplaces could all move to Mallorca and still hold meetings and do their regular banking stuff while enjoying sun, surf and relaxing drinks in a paradise.
It boggles my mind that tropical islands are not the financial centres instead of cold cities like London, New York and Toronto.