Buying real estate in Spain: what type of accommodation to choose?

Spain is a popular tourist destination for holidaymakers from all over Europe and the world. This attractiveness is justified by its mild climate all year round, its many tourist towns and its gastronomy. These are all factors that lead many to invest in real estate in the region, in addition to the tourist appeal of its cities. Whether it's a second home or a house, buying property in Spain can be made profitable by renting it out on a seasonal basis to generate extra income.

Not to mention that the price of housing stock on the Iberian Peninsula has fallen sharply over a period of 10 years. Some regions have seen prices fall by as much as 75%, making the property market more attractive and encouraging many investors to buy property there.

Planning to buy a property in Spain? Focus on the type of accommodation to choose.

What is the advantage of buying a home in Spain?

Although property prices have fallen considerably since the 2008 crisis in Spain, experts predict that they will rise by up to 4% in the next three years. This is due to the fact that the market is attracting many foreign investors from France. To satisfy this demand, more and more developers are building luxury resorts, thus helping to boost this market which is starting to recover.

French investors can therefore expect to realise capital gains of up to 6% depending on the location of the property in a few years' time.

It should also be noted that Spain is a great place to live with its sunny climate for most of the year. Its cities are very busy in the high season, as they attract tourists from all over the world in the summer. This is why many investors choose locations such as the Costa Brava to buy their properties.

In addition to attractive prices compared to major cities such as Barcelona, the region has modern, recently built properties in prime locations such as Roses, Empuriabrava, Playa De Aro and Lloret de Mar. These coastal towns are good places to invest because of their tourist appeal, but also because of the living environment they offer. With rents having risen by 5-15%, they are ideal for buy-to-let.

The type of property to buy according to your plans

Profitability is a factor you should consider when choosing the type of property to buy in Spain. Whether you are considering buying a primary or secondary residence, bear in mind that you can always rent out part of the year or during the high season. If your aim is to invest to generate rental income, a flat, ideally located in a tourist resort, will be easier to make a profit from. However, if you are buying to live in, your criteria will be based on your personal taste, your budget, as well as your lifestyle needs: proximity to public transport, shops, schools, etc.

The flat

The flat is a property in which it is advisable to invest if you intend to generate rental income, which does not prevent it from being the choice of most people who want to settle down. This attractiveness is primarily due to its price. If you buy in areas such as Empuriabrava, for example, it is possible to find flats in residences with a community pool for 87,000 euros.

The flat is a logical choice if you intend to use it as a second home. You can rent it out to tourists and holidaymakers during the rest of the year and stay there during your holiday periods.

The house

A house is a better choice for those who want a place to stay during a family holiday or to settle down permanently in Spain. You are likely to find a family home of around 100 m², with amenities such as a garden, private parking and a terrace for only 285,000 euros in Empuriabrava.

It is also not uncommon to find houses with a single outdoor room that can easily be rented out during the summer months.

The advantage of a house is that it offers enough space and privacy to enjoy your family life while sometimes offering the possibility of seasonal rental income.

If you choose an area such as Playa de Aro, you can also enjoy a 100 m² residence with terrace, swimming pool, private parking and cellar from 320,000 euros. In Lloret de Mar, it is even possible to find offers around 214,000 euros for a 6-bedroom house of 189 m² fully furnished, with a private garden.

The villa

French investors who need space both inside and outside can invest in a villa, which is a common type of property in Spain. Villas are often high-end constructions with modern and luxurious facilities, which is a considerable advantage in addition to the fact that they are situated in a location where the weather is good all year round.

It is also a property that can be rented to families or to high-end clients when used as a second home.

The price of villas in Spain is quite high given the space and facilities they can offer. However, by choosing the right area, it is possible to get a good deal.

In the bay of Roses, for example, you can find property offers at 319,000 euros for a 140 m² villa with 3 bedrooms, private garden and enclosed courtyard, provided you are prepared to carry out some renovations.

In any case, the best way to find good deals is to use a real estate expert who knows the Spanish sector well.