You have an apartment or bungalow in Torrevieja or Orihuela Costa and the eternal question: ¿vacation or long term rental? bar's answer is “the vacation gives more”. The answer with numbers is: depends on your actual occupation, your management expenses and your tolerance for regulation. Let's do the full account.
The vacation rental account
High income per night, but distributed in a brutally seasonal manner: July-August fills up on its own, spring and autumn depend on your price and your reviews, and winter is saved—sometimes—by the long-stay winter guest. (Northern European retirees). Subtract from the income: platform commissions, management and cleaning (A professional manager charges around 20-25%), supplies at your expense, replacements and accelerated wear, specific insurance… and the tourist license with your requirements, that in the Valencian Community has hardened (We tell it in the guide tourist rental license). The real net is usually quite far from the gross that excites.
The account of the long season
Lower income per month, but twelve months charged, only one tenant, supplies at your expense and normal wear and tear. Its risks are other: the non-payment (mitigable with good selection and non-payment insurance) and a regulation of habitual residence with contracts of 5/7 years and more rigid income. The management, instead, It is minimal compared to the vacation.
The technical tie that almost no one counts
In many areas of Torrevieja, when all his expenses are subtracted from the vacationer and a realistic occupation is given (not the extrapolated August), the annual net is surprisingly close to the long season — with ten times more work and regulation. The vacationer clearly wins when the property is very good for that use (first line, pool, family capacity), It is professionally managed and the license is assured. Loses when it is an ordinary apartment far from the beach managed at times.
The third way: mid season
Season contracts (1-10 months) to posted workers or European winterers: better income than usual, Less rotation than vacation and without a tourist license. Requires real seasonal causality well documented in the contract, but for many homeowners in the area it is the perfect balance.
And there is always the uncomfortable question
What if neither one nor the other? With current sales prices in the area, There are portfolios that yield less when rented than what your capital would yield if you sold today and relocated. Before deciding on a rental regime, know the real sale value of your property: It is the comparison term that is missing in almost all accounts. At Mayrasa we give you that information for free, and if you rent, We guide you on the real demand for your type — you can see what exists among buyers in our selection of apartments in Torrevieja. Numbers first; regime after.
