How to buy 'regal' property in Spain

Potential investors in property in Spain could buy a palace in Majorca for a reasonable price, a source asserts.

Many of the country's regal residences in need of refurbishment can be bought at little relative cost, according to the Independent.

Hans Lenz, from local estate agent First Mallorca, says the projects must retain their royal appearance outside.

"Most palaces in Palma are protected. The interiors can be modernised but the exteriors cannot be changed, in order to maintain the character of the area," he tells the news provider.

Properties ranging from a top-floor apartment in Casco Antiguo to a 19th century palace can be purchased, costing £315,000 and £3.6 million respectively.

Those looking to spend a little less on their dream property in Spain may be enticed by traditional renovated projects dating back to the 17th century, with stone staircases and internal courtyards retaining an original feel.

Recent reports from property surveyor Tinsa reveal that property prices in Spain could fall by 20 per cent in 2009.