Palma Airbnb Market Analysis 2025: Short Term Rental Data & Vacation Rental Statistics in Balearic Islands, Spain
Is Airbnb profitable in Palma in 2025? Explore comprehensive Airbnb analytics for Palma, Balearic Islands, Spain to uncover income potential. This 2025 STR market report for Palma, based on AirROI data from April 2024 to March 2025, reveals key trends in the bustling market of 1,159 active listings.
Whether you're considering an Airbnb investment in Palma, optimizing your existing vacation rental, or exploring rental arbitrage opportunities, understanding the Palma Airbnb data is crucial. Navigating the high regulation landscape is key to maximizing your short term rental income potential. Let's dive into the specifics.
Key Palma Airbnb Performance Metrics Overview
Monthly Airbnb Revenue Variations & Income Potential in Palma (2025)
Understanding the monthly revenue variations for Airbnb listings in Palma is key to maximizing your short term rental income potential. Seasonality significantly impacts earnings. Our analysis, based on data from the past 12 months, shows that the peak revenue month for STRs in Palma is typically August, while January often presents the lowest earnings, highlighting opportunities for strategic pricing adjustments during shoulder and low seasons. Explore the typical Airbnb income in Palma across different performance tiers:
- Best-in-class properties (Top 10%) achieve $9,551+ monthly, often utilizing dynamic pricing and superior guest experiences.
- Strong performing properties (Top 25%) earn $5,376 or more, indicating effective management and desirable locations/amenities.
- Typical properties (Median) generate around $2,563 per month, representing the average market performance.
- Entry-level properties (Bottom 25%) see earnings around $1,288, often with potential for optimization.
Average Monthly Airbnb Earnings Trend in Palma
Palma Airbnb Occupancy Rate Trends (2025)
Maximize your bookings by understanding the Palma STR occupancy trends. Seasonal demand shifts significantly influence how often properties are booked. Typically, Augustsees the highest demand (peak season occupancy), while March experiences the lowest (low season). Effective strategies, like adjusting minimum stays or offering promotions, can boost occupancy during slower periods. Here's how different property tiers perform in Palma:
- Best-in-class properties (Top 10%) achieve 90%+ occupancy, indicating high desirability and potentially optimized availability.
- Strong performing properties (Top 25%) maintain 79% or higher occupancy, suggesting good market fit and guest satisfaction.
- Typical properties (Median) have an occupancy rate around 58%.
- Entry-level properties (Bottom 25%) average 30% occupancy, potentially facing higher vacancy.
Average Monthly Occupancy Rate Trend in Palma
Average Daily Rate (ADR) Airbnb Trends in Palma (2025)
Effective short term rental pricing strategy in Palma involves understanding monthly ADR fluctuations. The Average Daily Rate (ADR) for Airbnb in Palma typically peaks in July and dips lowest during February. Leveraging Airbnb dynamic pricing tools or strategies based on this seasonality can significantly boost revenue. Here's a look at the typical nightly rates achieved:
- Best-in-class properties (Top 10%) command rates of $461+ per night, often due to premium features or locations.
- Strong performing properties (Top 25%) achieve nightly rates of $249 or more.
- Typical properties (Median) charge around $125 per night.
- Entry-level properties (Bottom 25%) earn around $74 per night.
Average Daily Rate (ADR) Trend by Month in Palma
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Airbnb Seasonality Analysis & Trends in Palma (2025)
Peak Season (August, July, June)
- Revenue averages $6,207 per month
- Occupancy rates average 66.1%
- Daily rates average $239
Shoulder Season
- Revenue averages $4,127 per month
- Occupancy maintains around 54.0%
- Daily rates hold near $222
Low Season (January, February, March)
- Revenue drops to average $2,298 per month
- Occupancy decreases to average 43.0%
- Daily rates adjust to average $213
Seasonality Insights for Palma
- The Airbnb seasonality in Palma shows highly seasonal trends requiring careful strategy. While the sections above show seasonal averages, it's also insightful to look at the extremes:
- During the high season, the absolute peak month showcases Palma's highest earning potential, with monthly revenues capable of climbing to $6,428, occupancy reaching a high of 70.0%, and ADRs peaking at $242.
- Conversely, the slowest single month of the year, typically falling within the low season, marks the market's lowest point. In this month, revenue might dip to $2,178, occupancy could drop to 40.0%, and ADRs may adjust down to $210.
- Understanding both the seasonal averages and these monthly peaks and troughs in revenue, occupancy, and ADR is crucial for maximizing your Airbnb profit potential in Palma.
Seasonal Strategies for Maximizing Profit
- Peak Season: Maximize revenue through premium pricing and potentially longer minimum stays. Ensure high availability.
- Low Season: Offer competitive pricing, special promotions (e.g., extended stay discounts), and flexible cancellation policies. Target off-season travelers like remote workers or budget-conscious guests.
- Shoulder Seasons: Implement dynamic pricing that balances peak and low rates. Target weekend travelers or specific events. Offer slightly more flexible terms than peak season.
- Regularly analyze your own performance against these Palma seasonality benchmarks and adjust your pricing and availability strategy accordingly.
Best Areas for Airbnb Investment in Palma (2025)
Exploring the top neighborhoods for short-term rentals in Palma? This section highlights key areas, outlining why they are attractive for hosts and guests, along with notable local attractions. Consider these locations based on your target guest profile and investment strategy.
| Neighborhood / Area | Why Host Here? (Target Guests & Appeal) | Key Attractions & Landmarks |
|---|---|---|
| Santa Catalina | Vibrant neighborhood known for its local market, trendy bars, and restaurants. Close to the waterfront and attracts both tourists and locals looking for a lively atmosphere. | Santa Catalina Market, Tito's Salsa Club, Cathedral of Santa Maria of Palma, Basilica de Sant Francesc, Parc de la Mar |
| Old Town (La Ciudad Antigua) | Rich in history and culture, this area boasts narrow streets, historical buildings, and a variety of shops and eateries. Highly sought after by tourists wishing to experience Palma's history. | Palma Cathedral (La Seu), Bellver Castle, Arab Baths, Plaza Mayor, Museum of Mallorca |
| Es Molinar | Charming coastal neighborhood that offers a more laid-back atmosphere compared to the bustling city center. Popular for its seaside promenade and close proximity to beaches. | Es Molinar Beach, Caminito de Es Molinar, local seafood restaurants, water sports activities |
| Portixol | Trendy area with a beautiful seafront promenade, known for its excellent dining options and cafes. Close to Palma and attracts families as well as young travelers. | Portixol Beach, Xoriguer Restaurant, seafront cycling paths, local art galleries |
| Playa de Palma | Famous for its long sandy beach and vibrant nightlife, this area attracts party-goers and families alike, making it a dynamic spot for Airbnb hosting. | Playa de Palma Beach, Megapark, Aqualand El Arenal, water sports activities, bars and nightclubs |
| Son Vida | An affluent residential area featuring luxury villas and stunning views over Palma. Attracts high-end travelers seeking a posh getaway. | Son Vida Golf |
| La Bonanova | A peaceful neighborhood with beautiful views of the bay and easy access to the beach, perfect for families or couples seeking relaxation and comfort. | Mirador de la Bonanova, local parks, cliffs and coastal views |
| Camp de Mar | Known for its upscale beach clubs and luxury accommodations, Camp de Mar is a prestigious area appealing to tourists looking to indulge in relaxation and exclusivity. | Camp de Mar Beach, local beach clubs, golf courses nearby, water sports facilities |
Understanding Airbnb License Requirements & STR Laws in Palma (2025)
Yes, Palma, Balearic Islands, Spain enforces high STR regulations. Obtaining a license and ensuring compliance is almost certainly required according to current 2025 STR laws. Always verify the latest short term rental regulations and Airbnb license requirements directly with local government authorities for Palma to ensure full compliance before hosting.
(Source: AirROI data, 2025, based on 32% licensed listings)
Top Performing Airbnb Properties in Palma (2025)
Benchmark your potential! Explore examples of top-performing Airbnb properties in Palmabased on Trailing Twelve Month (TTM) revenue. Analyze their characteristics, revenue, occupancy rate, and ADR to understand what drives success in this market.
Finca Rústica Felostal SonSoleclau with Sauna&Pool
Entire Place • 12 bedrooms
Villa El Terreno
Entire Place • 4 bedrooms
Miraclet - Adults Only
Entire Place • 2 bedrooms
Finca Son Pou
Entire Place • 6 bedrooms
Premier Villa Rental in Mallorca | Es Barranc Vell
Entire Place • 6 bedrooms
Seafront villa first line in Palma (Molinar)
Entire Place • 4 bedrooms
Note: Performance varies based on location, size, amenities, seasonality, and management quality. Data reflects the past 12 months.
Top Performing Airbnb Hosts in Palma (2025)
Learn from the best! This table showcases top-performing Airbnb hosts in Palma based on the number of properties managed and estimated total revenue over the past year. Analyze their scale and performance metrics.
| Host Name | Properties | Grossing Revenue | Stay Reviews | Avg Rating |
|---|---|---|---|---|
| Carlos | 29 | $2,624,308 | 1545 | 4.65/5.0 |
| Portic | 19 | $1,746,171 | 730 | 4.35/5.0 |
| Homerti | 8 | $1,587,868 | 139 | 4.55/5.0 |
| Priority Villas | 23 | $1,507,786 | 853 | 4.54/5.0 |
| Michelle | 4 | $1,053,198 | 246 | 4.92/5.0 |
| Maria Del Pilar | 6 | $756,040 | 495 | 4.89/5.0 |
| Elva | 6 | $588,346 | 286 | 4.90/5.0 |
| Slow | 4 | $549,570 | 72 | 4.42/5.0 |
| Isidoro | 4 | $465,500 | 683 | 4.85/5.0 |
| Holidu | 3 | $458,672 | 126 | 4.56/5.0 |
Analyzing the strategies of top hosts, such as their property selection, pricing, and guest communication, can offer valuable lessons for optimizing your own Airbnb operations in Palma.
Dive Deeper: Advanced Palma STR Market Data (2025)
Ready to unlock more insights? AirROI provides access to advanced metrics and comprehensive Airbnb data for Palma. Explore detailed analytics beyond this report to refine your investment strategy, optimize pricing, and maximize your vacation rental profits.
Explore Advanced MetricsPalma Short-Term Rental Market Composition (2025): Property & Room Types
Room Type Distribution
Property Type Distribution
Market Composition Insights for Palma
- The Palma Airbnb market composition is heavily skewed towards Entire Home/Apt listings, which make up 68.6% of the 1,159 active rentals. This indicates strong guest preference for privacy and space.
- However, a notable 30% share for Private Rooms suggests opportunities for budget-conscious travelers or hosts renting out spare rooms.
- Looking at the property type distribution in Palma, Apartment/Condo properties are the most common (59.4%), reflecting the local real estate landscape.
- Houses represent a significant 27.5% portion, catering likely to families or larger groups.
- The presence of 7.5% Hotel/Boutique listings indicates integration with traditional hospitality.
- Smaller segments like outdoor/unique, others, unique stays (combined 5.6%) offer potential for unique stay experiences.
Palma Airbnb Room Capacity Analysis (2025): Bedroom Distribution
Distribution of Listings by Number of Bedrooms
Room Capacity Insights for Palma
- The dominant room capacity in Palma is 1 bedroom listings, making up 41.8% of the market. This suggests a strong demand for properties suitable for couples or solo travelers.
- Together, 1 bedroom and 2 bedrooms properties represent 60.9% of the active Airbnb listings in Palma, indicating a high concentration in these sizes.
- A significant 24.3% of listings offer 3+ bedrooms, catering to larger groups and families seeking more space in Palma.
Palma Vacation Rental Guest Capacity Trends (2025)
Distribution of Listings by Guest Capacity
Guest Capacity Insights for Palma
- The most common guest capacity trend in Palma vacation rentals is listings accommodating 2 guests (31%). This suggests the primary traveler segment is likely couples or solo travelers.
- Properties designed for 2 guests and 4 guests dominate the Palma STR market, accounting for 47.9% of listings.
- 20.9% of properties accommodate 6+ guests, serving the market segment for larger families or group travel in Palma.
- On average, properties in Palma are equipped to host 3.4 guests.
Palma Airbnb Booking Patterns (2025): Available vs. Booked Days
Available Days Distribution
Booked Days Distribution
Booking Pattern Insights for Palma
- The most common availability pattern in Palma falls within the 181-270 days range, representing 32.9% of listings. This suggests many properties have significant open periods on their calendars.
- Approximately 61.0% of listings show high availability (181+ days open annually), indicating potential for increased bookings or specific owner usage patterns.
- For booked days, the 91-180 days range is most frequent in Palma (32.7%), reflecting common guest stay durations or potential owner blocking patterns.
- A notable 40.5% of properties secure long booking periods (181+ days booked per year), highlighting successful long-term rental strategies or significant owner usage.
Palma Airbnb Minimum Stay Requirements Analysis
Distribution of Listings by Minimum Night Requirement
1 Night
186 listings
19.5% of total
2 Nights
124 listings
13% of total
3 Nights
145 listings
15.2% of total
4-6 Nights
137 listings
14.4% of total
7-29 Nights
95 listings
10% of total
30+ Nights
267 listings
28% of total
Key Insights
- The most prevalent minimum stay requirement in Palma is 30+ Nights, adopted by 28% of listings. This highlights the market's preference for longer commitments.
- A significant segment (28%) caters to monthly stays (30+ nights) in Palma, pointing to opportunities in the extended-stay market.
Recommendations
- Align with the market by considering a 30+ Nights minimum stay, as 28% of Palma hosts use this setting.
- If feasible, allowing 1-night stays, especially midweek or during low season, could capture last-minute bookings, as only 19.5% currently do.
- Explore offering discounts for stays of 30+ nights to attract the 28% of the market seeking extended stays.
- Adjust minimum nights based on seasonality – potentially shorter during low season and longer during peak demand periods in Palma.
Palma Airbnb Cancellation Policy Trends Analysis (2025)
Super Strict 30 Days
23 listings
2.5% of total
Super Strict 60 Days
5 listings
0.5% of total
Flexible
143 listings
15.5% of total
Moderate
235 listings
25.5% of total
Firm
155 listings
16.8% of total
Strict
360 listings
39.1% of total
Cancellation Policy Insights for Palma
- The prevailing Airbnb cancellation policy trend in Palma is Strict, used by 39.1% of listings.
- A majority (55.9%) of hosts in Palma utilize Firm or Strict policies, indicating a market where hosts prioritize booking security.
Recommendations for Hosts
- Consider adopting a Strict policy to align with the 39.1% market standard in Palma.
- With 39.1% using Strict terms, this is a viable option in Palma, particularly for high-value properties or during peak demand periods.
- Regularly review your cancellation policy against competitors and market demand shifts in Palma.
Palma STR Booking Lead Time Analysis (2025)
Average Booking Lead Time by Month
Booking Lead Time Insights for Palma
- The overall average booking lead time for vacation rentals in Palma is 68 days.
- Guests book furthest in advance for stays during July (average 109 days), likely coinciding with peak travel demand or local events.
- The shortest booking windows occur for stays in February (average 50 days), indicating more last-minute travel plans during this time.
- Seasonally, Summer (98 days avg.) sees the longest lead times, while Winter (55 days avg.) has the shortest, reflecting typical travel planning cycles.
Recommendations for Hosts
- Use the overall average lead time (68 days) as a baseline for your pricing and availability strategy in Palma.
- For July stays, consider implementing length-of-stay discounts or slightly higher rates for bookings made less than 109 days out to capitalize on advance planning.
- Target marketing efforts for the Summer season well in advance (at least 98 days) to capture early planners.
- Monitor your own booking lead times against these Palma averages to identify opportunities for dynamic pricing adjustments.
Popular & Essential Airbnb Amenities in Palma (2025)
Amenity Prevalence
Amenity Insights for Palma
- Essential amenities in Palma that guests expect include: Wifi. Lacking these (this) could significantly impact bookings.
- Popular amenities like Kitchen, Essentials, Hot water are common but not universal. Offering these can provide a competitive edge.
Recommendations for Hosts
- Ensure your listing includes all essential amenities for Palma: Wifi.
- Prioritize adding missing essentials: Wifi.
- Consider adding popular differentiators like Kitchen or Essentials to increase appeal.
- Highlight unique or less common amenities you offer (e.g., hot tub, dedicated workspace, EV charger) in your listing description and photos.
- Regularly check competitor amenities in Palma to stay competitive.
Palma Airbnb Guest Demographics & Profile Analysis (2025)
Guest Profile Summary for Palma
- The typical guest profile for Airbnb in Palma consists of predominantly international visitors (93%), with top international origins including Germany, typically belonging to the Post-2000s (Gen Z/Alpha) group (50%), primarily speaking English or Spanish.
- Domestic travelers account for 6.6% of guests.
- Key international markets include United Kingdom (17.4%) and Germany (17.3%).
- Top languages spoken are English (41.2%) followed by Spanish (13.5%).
- A significant demographic segment is the Post-2000s (Gen Z/Alpha) group, representing 50% of guests.
Recommendations for Hosts
- Focus marketing internationally, particularly towards travelers from Germany.
- Tailor amenities and listing descriptions to appeal to the dominant Post-2000s (Gen Z/Alpha) demographic (e.g., highlight fast WiFi, smart home features, local guides).
- Highlight unique local experiences or amenities relevant to the primary guest profile.
- Consider seasonal promotions aligned with peak travel times for key origin markets.
Nearby Short-Term Rental Market Comparison
How does the Palma Airbnb market stack up against its neighbors? Compare key performance metrics like average monthly revenue, ADR, and occupancy rates in surrounding areas to understand the broader regional STR landscape.
| Market | Active Properties | Monthly Revenue | Daily Rate | Avg. Occupancy |
|---|---|---|---|---|
| sa Carroca | 98 | $10,551 | $862.81 | 52% |
| Can Germà | 25 | $9,819 | $927.22 | 47% |
| Can Tomàs | 26 | $9,321 | $878.17 | 47% |
| Es Cubells | 31 | $8,883 | $1002.54 | 54% |
| Sant Rafel de sa Creu | 46 | $7,518 | $730.00 | 45% |
| Vista Mar | 64 | $7,047 | $750.94 | 46% |
| Algaida | 79 | $6,918 | $709.08 | 48% |
| Vista Alegre | 18 | $6,413 | $1214.28 | 42% |
| Mancor de la Vall | 35 | $6,389 | $620.29 | 54% |
| Sant Josep de sa Talaia | 256 | $6,308 | $699.24 | 48% |