Some will set out to purchase
a buy to let property, whilst those who have bought a
may not intend to stay in their Spanish property for many
weeks of the year. An excellent way to cover the annual
costs associated with ownership is to consider letting
for either long term, or shorter holiday periods. You
can make a substantial income from rent, or just cover
the annual costs associated with the ownership of your
property in Spain.
When buying to rent, location is the
most important consideration when comes to holiday letting.
Distance from the beach and nearest airport, shops and
local entertainment are paramount. A successful buy to
let property depends on a variety of factors - including
the style, standard of the property and facilities, and
the availability of a pool, which are all key factors
that will influence the success of your holiday letting
business. Generally speaking, the better equipped a property;
the more likely it is to let well. Internet holiday hunters
expect to pay less than when they are booking through
a high street company. Obviously, a town apartment in
an inland area is unlikely to generate the same level
of interest as a seaside villa with a private pool in
a top holiday spot!
There are an abundance of 2 bed
apartments available to let in Spain, in fact many owners
are having to reduce their rental prices to compete. Our
advice for those buying to rent would be to go as high
up the ladder as you can afford to ensure that the property
is rented most of the year round. Three bedroom villas
with private pools in a good location are the most popular
with holiday makers. On average, a 3 bed villa with a
pool will generate around £800 - £900 pw in
July and August, £650 - £700 in June and September
and between £200 - £550 at other times.
Buying to rent on a long
term basis is a different proposition. Location, such
as ‘front line beach’ is not as important.
Long term renters are looking more for the conveniences
of living, as opposed to holiday-ing. Many people like
to spend a few months looking around for property to buy,
but long term rentals are in short supply as most owners
opt for the higher weekly holiday prices. However, buying
to let on a long term basis can be the source of a regular
‘year round’ income, and should not be dismissed
as a poor source of income.
Once you have purchased your
buy to let property, the next thing to consider is how
you are going to equip and market your property for renting.
Property Owners who cut costs will never reap the financial
rewards. (See our excellently priced range of Furniture
Packages Spain ) Holiday makers expect certain standards,
and there is little point in buying a beautiful property
to rent if the sun beds are broken, and the bedding is
stained. For more information on equipping rental property,
see our Owners Guide
to Renting in Spain which offers hints and tips on
the type of furniture and accessories todays holiday makers
expect from a rental property.