Alanda Homes Blog

With the price of property on the Costa del Sol looking more attractive than they have done for years, now is certainly a great time to invest whether you’re looking for a holiday home, a permanent residence or a property with good rental potential.  Of course, for many people, buying a property abroad can often fulfil more than one of these requirements.  Some buy holiday homes to use themselves and then rent them out for the remaining weeks of the year, whilst others invest in what will later become a retirement home and rent it out in the meantime.

With the enduring popularity of the Costa del Sol as a holiday destination for visitors from the UK, Europe and elsewhere in the world, there is no doubt that the rental market is a lucrative business to be in.  With many properties fetching in excess of £500 per week (and sometimes well in excess of this figure) during the high season, the potential for gain can be quite considerable.  Where short-term rental is concerned, however, there are a few things which buyers need to consider carefully before going ahead.

First of all, you need to think about how you are going to market your property and whether this is something that you want to do yourself or through an agent, as well as what arrangements you want to put in place for vetting potential clients and collecting rental payments.  You also need to consider how you are going to manage changeovers in between guests.  Who is going to do the cleaning, change the bedclothes and towels and so on?  If the property has a swimming pool, who is going to maintain it in your absence and how will you cope with any problems which might arise with the facilities or if, for example, a client loses a key?  Another major thing to think about is insurance and making sure that you are covered if one of your guests has an accident on the property.

Although this might seem like a scary list of considerations for potential investors, it is worth bearing in mind that many thousands of people rent out their properties every year and quickly put in place systems for dealing with all eventualities so that everything runs smoothly.  Indeed, with the potential for an excellent rental income and growing equity, investing in a rental property can be extremely worthwhile.