Do you own a holiday home on the Costa del Sol? Perhaps you’re looking to take advantage of rental income in one of Europe’s hottest destinations? The Costa del Sol, Malaga province in particular, has seen a record number of tourist’s in the past few years. In fact, each year more tourists visit for the perpetual sunshine and miles of beaches. This year is set to expect even more tourists hit our shores and if you have a property on the Costa del Sol, it may be your time to cash in.
Many people often ask us about buying a holiday home on the Costa del Sol that will also provide them with a steady income by letting to tourists. This year, in 2017 is the best possible time to take full advantage. The property sector in Marbella is booming and once again construction is taking place in many popular areas.
It’s difficult to make a living providing holiday accommodations in most areas, however, the Costa del Sol is different. Besides the record breaking tourism, each summer more and more people are looking for self-catering accommodations. Luxury hotels provide a certain level of service of course but at a very high cost. Imagine a family of 4 or 5 having to stay in a hotel for their 2 or 3-week vacation? It’s easy to see a hotel wouldn’t accommodate, at least not on a comfort level the family would enjoy.
With your Costa del Sol apartment or villa, you can provide a level of comfort a family needs and most certainly wants. And don’t forget, one summer of letting to tourists would cover your running costs for up to half a year. This includes mortgage payments and any additional community fees or management fees that might need to be covered. Basically, one summer of letting your villa or apartment can recoup a huge portion of the running costs.
There couldn’t be a better time to consider renting your property out on the Costa del Sol. This is especially true for British expats or those who travel quite a bit for business. If you do plan on being away from your Costa del Sol home for long stretches of time, you have two options available to you:
- You can let it stay empty, and have your property management company collect your mail, check on the residence and make sure all is okay.
- Or you can rent it out to holidaymakers during the high season
The Costa del Sol is the go to location for UK holiday travelers. Spain is booming right now for second homes, despite the Brexit. We don’t have to remind you about the weather back in the UK or how constant weather changes like from rain to cold or more rain to freezing can really get you down. But thankfully on the Costa del Sol we enjoy over 300 days a year of sunshine, and with plenty of beaches there is no shortage of something to do.
Since mid-2014, second home values have continued to be a good investment. Marbella and surrounding areas like San Pedro, Puerto Banus and the Golden Mile remains a prime market to invest in a second holiday home. You can get a two-bedroom flat on the Costa del Sol from £116,000 and a good apartment in Marbella with sea views for around £700,000. The majority of property sales on the Costa del Sol are resale homes, which are more affordable and currently in far greater supply.
Since the end of 2013 property sales on the Costa del Sol has risen sharply and it continues to rise even into 2017. Thanks to foreign investors, the property sector on the Costa del Sol has new life and it only continues to grow. The most surprising of all is the major interest coming from the UK. British people are looking for a second home abroad and since 2014 the percentages of property buyers from the UK has increased year on year to date.
The numbers don’t lie – most real estate investments that are turned into rentals see an average return of 7-10 percent annually on the Costa del Sol. Besides the beaches and golf, expats from non-EU countries are also drawn to the area because of Spain’s Golden Visa program. The Golden Visa allows any property owner who spends more than 500,000 EUR is given residency.
Property Management Companies like KMS understand Local Government Regulations
It is our job to vet tenants for you, making sure that your tenants won’t violate housing agreements, and in some cases run background checks. Before we let to renters we deal with the all the hassle like home-prep services. We make sure everything is on the ready and all the little details are covered.
Once you decide to rent out your property with KMS, we can walk you through the entire process from start to finish. Best of all, our flexible packages are designed to help in any situation or management needs that must be met.
Check out more information about our property management services and our property maintenance services.
Get in touch today to discuss how you can make money letting out your Costa del Sol property to holidaymakers.
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