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Spain Property - A Fantastic Buy to Let Opportunity

With low-cost airlines delivering holidaymakers from the UK and Europe to the main Spanish resorts, investors can hope to secure good yields from rental properties.

The Buy to Let Market in Spain

The "Buy to Let" market in Spain is till growing. This is mainly due to massive demand for Spanish accomodation mostly during the Summer months.

The demand for short and long term rental property that has driven the Spanish investment property market forward. A growing numbers of holiday makers avoid traditional travel agents and book flights and accomodation online. This has greatly improved the occupancy rates for Spanish rental property.

Location - Location - Location

In the last few years this became an investment fad and has resulted in an oversupply of rental properties for renting in some Spanish regions.

It is therefore of great importance to select a Spanish property in an area that is popular with holiday makers and is situated close to 4 / 5 star resorts or golf courses, and amenities.

The Iberia peninsula and southern Spain in particular have several major demand drivers that help generate good all year round tourism and in proportion rental occupancy rates:

Weather and beaches - High Season

During the summer tourists from all over Europe flock to the Spanish Costas for guaranteed sunshine, resulting in demand for rental accomodation in major tourist areas.

Golf - All Seasons

Spanish buy to let property benefits from a massive level of tourism and occupancy rates with the demand generated from its many golf courses. This is a major reason why investors look to buy but to let property near major golf courses as they can expect good rental profits in the low season also.

Skiing - Winter Season

The Sierra Nevada Mountains near to Granada, offer investors yet another serious rental income stream. The Ski resort in Sierra Nevada is growing in popularity and generates visitors from all over the world for wintersport holidays.

Open Skies Policy - Low Cost Budget Flights

With low-cost airlines delivering holidaymakers from the UK and Europe to the main Spanish resorts, investors can hope to secure good yields from rental properties.

The holiday rental market has also benefited from increasing numbers of holidaymakers booking flights and accommodation direct over the internet.

Retirement Market

The British continue to contribute significantly to this market as both permanent residents and temporary visitors. A report from the Institute of Public Policy Research suggests that 3.3 million UK pensioners may be moving overseas by 2050, three times the current number.

In addition, UK holidaymakers are key to the ongoing demand for holiday homes.

Rental Yields

The rental market offers average yields of between 3.5% and 5.5% in popular destinations, which, in turn, bolsters healthy capital values.