Rent in Madrid vs Palma
Madrid · Comunidad de Madrid — Illes Balears · Illes Balears · INE data 2026
Renting in Palma is 23% cheaper than in Madrid. The difference is €187/month — a saving of €2,244 per year.
€1006/month in Madrid vs €819/month in Palma. National average: €648/month.
Context
Madrid (Comunidad de Madrid) and Palma (Illes Balears) represent two rental markets from different Spanish autonomous communities. Palma is the more affordable option, saving €187/month compared to Madrid.
Estimated rent
Madrid
1006€/month
Palma
819€/month
Annual change
Madrid
+2.7%
Palma
+3.4%
INE index (base 2015=100)
Madrid
118.3
Palma
126.0
vs national average
Madrid
+358€
Palma
+171€
Population
Madrid
3,506,730
Palma
434,786
Per capita income
Madrid
19,632€
Palma
16,181€
Rent-to-income ratio
Madrid
61.5%
Palma
60.7%
Where is it better to rent?
In terms of rent, Palma is the more affordable option at €819/month, 23% less than Madrid (€1006/month). Living in Palma saves €2,244 per year compared to Madrid.
Madrid
Madrid · Comunidad de Madrid
1006€/month
View full profile →
Palma
Illes Balears · Illes Balears
819€/month
View full profile →
Cost of living guides
More comparisons with Madrid
Official source
Instituto Nacional de Estadística
Organismo estadístico oficial del Estado español
www.ine.es View source →