Nowadays it seems increasingly difficult to achieve the potential for touristic rental. If you’re thinking about investing in real estate in Spain to make a fortune from rental payments by tourists, don’t do so without consulting specialists on the subject. Ideally you’d find someone who not only has knowledge of the real estate market but also knows the way around the jungle of national, autonomous, and municipal tourism regulations. There’s still a chance to invest successfully in tourism, but more than ever, you have to be careful not to buy real estate with your eyes closed. Something that seems super suitable for touristic rental could turn into a fiasco without the proper guidance.
You have to fully understand the differences between the different types of touristic accomodation, and there are quite a few. At the same time you have to take into account all the recent changes in the applicable regulations that have changed significantly at national, autonomous, and municipal levels.
Due to the dramatic situation in the long-term rental market, the Spanish government is actively trying to change it. For many, it’s no longer a challenge but almost impossible to find a home with a rent that doesn’t consume more than half of their income.
Finding the balance between supporting a highly profitable economic activity and maintaining a sufficient housing supply for residents is a real challenge. Mind you: the number of tourists entering Spain in one year is close to being double the number of residents.
I’m following the development of this interesting but distorted market with great interest, intending to publish more on the subject in the near future. Who knows it might do my bit in the search for balance.