Holiday rental: Star product
February 21, 2018Today, there are so many different real estate transactions, with people purchasing properties to sell them later on, or to renovate them and turn them into offices or business establishments. But one of the most common real estate transactions is clearly purchasing a property to rent it out. Purchasing properties for rent to generate monthly income is nothing new, but the owner’s selection of new property for rent, whether long-term or for holiday rental, is of vital importance. Holiday rentals have seen a huge uptick over the past years.
What is the rental investment situation in Alicante and on the Costa Blanca?
Alicante is one of the four cities with greatest profitability and lowest risk in all of Spain. During the last quarter of the year, the city’s profitability was 7.29%, and 2.2% above the national average. Additionally, real estate risk was also below average. This is clearly an excellent time to invest in this area of the Peninsula. More specifically, the Costa Blanca also bears high profitability for long-term rentals (6.7%), only topped by the Canary Islands, Lleida and Tenerife. As far as holiday rentals are concerned, depending on the price and the area where the property is located, profitability ranges between 2.20% and 3.57%.
Why are holiday rentals becoming a star product?
Over the past years, demand for holiday rental properties has grown exponentially. This is because of the profits provided by this kind of rental for lessors and lessees, and for those who are interested in investing and placing their property on the tourist market. Nowadays, it is possible to find apartments and villas on the coast at a highly interesting price. These destinations, with an occupation rate nearing 100% during the high season, practically guarantee profitability on the rental market. For tourists, the price-quality ratio is very good. This is more economical than other options at coastal destinations in the middle of the high season. Another point worth noting is that holiday rentals offer greater privacy and comfort, and in most cases, one can travel with their pets.
Why rent with Bennecke?
With over 30 years of experience in the tourist and real estate industry, Bennecke is a leading company for owners who wish to rent out their property. What’s more, it has a team of professionals who are available year-round, and its own cleaning and maintenance crew for our clients’ total peace of mind and comfort. Work with over 50 international websites, such as: Booking, Expedia, Homeaway, and more, offering between 50% and 70% occupation year-round.[1] Moreover, owners can manage their stay and obtain information on bookings, the calendar and liquidations directly from the website, with a personal login.
