Making a healthy profit on your buy to let investment need not break the bank. Provided you do your research and follow our advice, a wise investment can bring in a healthy return.
Needless to say, premium rental income villas and chic city pads in sought after locations come at premium prices. If prime real estate doesn’t fit your budget, a Spanish renovation project may be the opportunity you are looking for.
In this article, we will look at different types of properties to consider for your Spanish renovation project.
Invest In A Spanish Renovation Project: Country Living!
Inland Andalucia is simply stunning. Spanish country living offers the best of all worlds:
- The sun shines as many days of the year as it does in the busy coastal areas.
- Towns and villages are not overrun with too many tourists in the busy holiday times.
- Neither are they ghost towns in low season
- Space and scenery are up for grabs.
- Your money buys you more property and more land.
Thanks to improved infrastructure in recent years, many inland areas now enjoy easy access to airports and coastal areas. This has led to an increased demand for inland properties by people looking for a beautifully natural environment, within a Spanish community, with less tourists, without giving up access to the sandy coastal beaches. This area has become particularly popular with families looking to relocate to Spain. These families are your ideal long term tenants.
The areas where we have had the most demand for long term rentals in the countryside are Alhaurin el Grande, Coin and Mijas Campo.
Building regulations are more complex in rural areas. Read our article 7 Legalities to Understand Before Investing in Buy To Let Property in Spain.
Invest In A Spanish Renovation Project: Village Life!
You have probably heard stories of properties for sale for €20.000 or even less in inland Spain. In all honesty, do you really believe these properties are in desirable areas? If you are looking for your own inland village hideaway in the middle of nowhere then yes, go for it. However, if you are looking to make a profit from your investment, we need to consider the location. In popular inland villages, apartments and small houses are in high demand for both short term and long term rentals and in many areas the demand is year round.
It goes without saying that even village properties in the prime areas, such as Mijas Pueblo, command a higher price however rental yield is also higher. Remember, we can help your property investment stand out from the crowd and consequently earn you a nice return.
Invest In A Spanish Renovation Project: Chic City Lifestyle!
The Andalucian cities of Malaga and Cadiz are simply booming! For too many years these two beautiful places have been overlooked. Those days are over and soon too will be the ability to pick up great investment opportunities in these locations. In 2017, Malaga City property prices enjoyed an annual increase of 10% year on year. Not surprisingly, it is a magnet for buy to let investors. Cadiz is now hot on its heal thank to the attention given by the likes of Rick Stein and many others.
Excellent International schools attract wealthy families looking for quality long term rentals to the area. Museums, food and other attractions pull tourists from all around the globe. We have lost count how many nominations and awards Malaga has received for tourism over recent years.
Despite this demand, and consequent price hikes, there are some great opportunities for a Spanish renovation project in parts of the city. You only need to ask!
Invest In A Spanish Renovation Project: Vive la Costa!
Needless to say, demand for both long term and short term rentals in almost all coastal areas in Malaga and Cadiz are in high demand, making this a desirable area for investing in buy to let properties.
In almost all areas of the Costa del Sol, you will find properties that would benefit from a facelift and interior refurbishment. It is important to keep your ideal tenant in mind when embarking on such a refurbishment. Remember, quality attracts quality.
Coastal locations such as Marbella and Sotogrande command prime prices for all property types. However, careful research in popular areas such as Benalmadena, Fuengirola, Mijas Costa and East of Malaga can provide you with a very interesting investment opportunity without having to invest millions.
Invest In A Spanish Renovation Project: Something to think about?
Spending money renovating a property can seriously increase the level of return on your investment, providing of course that you have purchased the property at a good price. If money is no object then purchasing prime property will always yield prime returns.
However, if you are looking to bag a bargain in the popular areas, you will discover it is much more of a challenge these days. Heading a bit off the beaten track can lead to a lot more opportunities for this kind of investment. We are particularly excited about renovation opportunities in coastal locations on Costa de la Luz (where Lisa recently invested).
If you’d like to know more, simply drop us a line.
Lisa Sadleir
