SPAIN’S RENTAL MARKET IN NEW GOLDEN AGE

Spain’s property market is thriving and its rental sector is experiencing a resurgence, with average price increases of 20.9% over last year, according to industry website Idealista. This makes it an excellent time for Marbella holiday property owners to boost their income, as these short-term rentals are far more profitable than long-term leases.

This rise in rental rates is accompanied by a declining supply of properties in some parts of Spain, making it more of an owners’ market than in previous years. Between 2007 and 2013, many owners rented their properties out, but now that trend is reversing quite swiftly, and the report states: “Out of every ten rental leases that expired last year, six of those properties are now being put up for sale.” 

Whilst this applies more to long-term lets, the vacation rentals market is experiencing a more positive impact. For example, a survey of homeowners conducted by property listing website Fotocasa shows that 74% of owners who rented out their place to tourists reported making more money than if they had rented out to long-term tenants.

Holiday rentals in Nueva Andalucía
The data from both surveys relates to all of Spain, but especially to what is happening in Marbella and Nueva Andalucía, Nordica’s main area of expertise. Rental prices here are showing unprecedented rises, with some exceeding €1,100 per week. Overall, vacation rentals on the coast have risen by around 10% over 2016.

With this in mind, now is the time to ensure that your holiday property is fully booked. The high season is the prime time to maximise your profits, but Marbella is a year-round destination and with the help of Nordica to manage your bookings and take care of your property, you could have an even better annual income.

The Nordica team are experts at property management for holiday rentals and are happy to assist you with ensuring that the property meets the standards needed to get the best prices. We always recommend that our vacation rental owners undertake regular reviews of the property’s furnishing and decoration, and advise that owners remove personal items, such as family photos, from the residence. This provides a more neutral ambience that allows guests to feel more at home, even if just for a week or two!

There are other ideas that owners can implement, which have been proven to increase further bookings and word of mouth recommendations. These include: welcome packs of food and refreshments; detailed information directory of local amenities including emergency numbers and personalised reviews of local restaurants. Also, if your property is targeting families, don’t forget information about leisure activities for children and teenagers, and make sure the property is child proof as far as possible.

At Nordica we pride ourselves on supporting our holiday rental owners with a superior service and one that provides peace of mind, because you will know that your property is in professional hands. We understand that your rental property is a business and we will always endeavour to ensure that your holiday home in one of the most desirable locations for holidaymakers is fully booked. Contact us to discuss your Marbella or Nueva Andalucía holiday rental and discover the Nordica way to ensure the best returns.