housing on the Costa Blanca is experiencing a considerable increase in prices
because of its great tourist interest, urban consolidation and magnificent sea
views. A large number of investors tend to buy either holiday homes or
long-term rentals to enjoy profits even in the offseason.
buying a second residence could be a good way to drive profits, the regulations
are different from primary home depending on whether you are opting for
seasonal rental or ordinary rental. If you are planning to invest in a second
home housing on the Costa Blanca, you need to do careful research to avoid
making certain mistakes that might lead to financial losses.
What is the best real estate investment on
the Costa Blanca?
the best idea to invest your hard-earned money on the Mediterranean coastline
is to buy for personal use and spend vacations with your family. At first,
purchase it for enjoyment purpose and later, you can go with the option of
selling it at the highest price possible.
great option is a mixed investment where you can use it personally,
enjoy the property during the part of the year and rent it out for a few
months. If it is a long-term investment, you’d better go with a fixed-rate
mortgage and be aware of fixed costs. Before carrying out any operation, you
should have a clear understanding of the real estate market to avoid unpleasant
What factors to keep in mind when investing
in the Costa Blanca?
are various factors to determine a good property purchase such as location,
neighbourhoods, infrastructure, living conditions, maintenance fees, and prices
of other similar properties in the area. Above all, you should yield from the
appreciation of the house as this could increase the profitability depending on
the time period when the transaction has been closed.
Why Buying a Property to Rent Out Drives
is a massive increase in the demand for a holiday or tourist rentals which
isn’t going to slow down anytime soon. According to the studies of the Bank of
Spain, the gross return on property is at 4.2 per cent in Spain. In the Costa
Blanca, the returns on home rentals are more profitable in inland locations and
rise to more than 5 per cent for first and second-line properties.
property buyers decide to invest in a rent out on the Costa Blanca, in areas
closer to the coast like Finestrat and Benissa, they will enjoy higher
profitability and returns. Usually, villa investors on the Costa Blanca go for
holiday rentals due to greater yield, more enjoyment, lower risk of non-payment
and close gold courses.