Buying A Spanish Property for Rental Puposes

One of the advantages of owning a property in Spain is that along with an average capital gain of 5% per annum you can let it out for the whole year to either a long term tenant or to holidaymaker's. Rental income is at its peak at Christmas, Easter and July and August. The Costa del Sol and the Canary islands are the best locations for maximum utilisation as the weather is excellent all year round. Also to a slightly lesser extent is the Costa Almeria and Costa Blanca up to about Benidorm. Further north than that and it tends to get a bit nippy in the winter months.

Having chosen an area with a good all year round climate, the next most important criteria for a Spanish Holiday home is to be within easy reach of an airport and a beach. There are many other criteria which can effect rentability and lots to learn about taxes for resident or non resident owners. Read the Living in Spain Guide for more information.

The problem for most owners is getting their web sites or rental properties found. There are hundreds of thousands of sites and rental agencies on the web for Spanish vacation houses and apartments. Whilst it might be cheap setting up a site. Advertising it either in the press or on the internet search engines is an expensive exercise. Another problem for owners is processing the enquiries about availability. How many times do people phone up to enquire about a week that is already let. In SPOG e-Classifieds Holiday Rentals we include spaces for 2 photos, a map and an availability calendar to show potential clients when it is booked. This dramatically reduces wasted enquiries. The cost of putting your property in e-Classifieds is completely free for a year. Where else can you get such low cost effective advertising. Effective in that SPOG ensures that our site is always at the forefront of most major Search engines and in the Press.

A concern of any holidaymaker is the safety of the booking. Firstly that the descriptions and photos are not misleading and secondly that the property and owner or rental agency actually exist. This is why many holidaymaker's prefer to rent out through ABTA or IATA associated companies. SPOG will play the role of supervisor and mediator to Private and Business Members to ensure that owners fairly describe their property and holidaymaker's complaints are fair and justified.

Do it yourself lets

There is a current trend amongst relocators to Spain that with the proceeds from selling up in the UK, people are buying two properties here in Spain. One in which to live and one to rent out. This a very sensible way of proceeding. As you can do your own cleaning, keep an eye on the property and the tenants at the same time and enjoy your life here in Spain with an adequate income and a good investment and have something to do every day "Very Important".

There are many financial, tax and practical implications involved however in Renting out here in Spain especially as a non resident. Tax Inspectors are wise to all this nowadays. In the Living in Spain Guide you can learn all about the most effective way to purchase and market a rental property.