Realistic income from holiday lets in Mojacar - Page 2

Thank you all for your replies and insights about Mojacar holiday lettings. My wife and I were planning to be managing the lettings ourselves, checking in and out, cleaning between guests, repairs etc.. 

We are really keen on moving to Spain sooner rather than later.

We will be in the area in July and then in November to have some viewings and to get the feel for the area both in peak season and off-season.

We will also be exploring other potential business options to invest in, that could generate more profit than holiday lettings.  Many thanks

Serge

I'm sure I frightened the livin' bejazus out of anybody hoping to make money from renting out a holiday home in Spain. You'll never retire on the earning from renting, but you can make the situation better for you.

1. Buy property that is run down and needs some repairs. Do most of the work yourself. This will save you bigtime and if you have to sell on the property later the more you'll gain from the sale.

2. You can replace the entire kitchen for under €4K if necessary. 

3. Do all changeovers yourself and do the cleaning honestly (no skimping).

4. Charge a fair rent (inclusive of fair charge for utilities) which will give repeat customers (this is what you want).

5. Don't install pre-pay electricity charge boxes.

6. Keep plants at a minimum (reduces maintenance and what might appear beautiful to you might not to somebody else). 

7. Supply clean and good sheets etc.

8. Inform prospective clients the truth. If your place gets little sun inform them. Don't be vague or misleading - You'll be found out.

9. Appreciate your neighbours wherever your rental property is. This is usually missed at one's peril. 

10. Somebody has cracked the nut regarding profitable rentals. This information is "protected" and you'll never be let in on the secret. You don't hear fishermen advertising their favoured fishing spots. Experience and empathy will pay dividends

11. Make enquiries locally on whom you should not rent to. If you don't get a definite answer you ain't hearin' the full truth. I bet this has surprised you!

12. Don't lose sight of the objective.

100% correct Matthew. At approaching 70,  I should be able to consider showing down a tad but owing rental properties is certainly not proving to be the way to do that. It's fine as long as one enjoys the busy life ( and I mean BUSY...... I've got 3 properties to do change overs on today, already taught 2 classes and the temperature gantry is reading 39 degrees right now in Mojacar) but one has to commit wholeheartedly to running this type of business and most of all, keep smiling when the Hacienda take their, increasingly large,  slice of any profit made! 

You have very strong and authoritative views and advice  Matthew.  Are these based on recent experience of renting out a variety of accommodation in Andalusia?  There would seem to be many choices that could be made - one luxury villa or two cheap and cheerful ones - buy  a bargain 'do'er-upper ' and struggle with the regulations permits and building costs or take over somewhere already trading at a higher initial cost - get many guests going for lowest-cost accommodation through 'booking.com' or possibly fewer people coming with recommendation.  I wonder which of these you do or is it a mixture?  Do you think the profit from renting has got greater of less over the last ten years?  What was the proportion of Spanish and EU guests you had, compared to British, and has that changed.?

I certainly agree with what you both have to say Susi, and Matthew.  I once helped with apartment changeovers, including our own letting apartment in a complex where my furst husband was administrator. You are kept very busy indeed and people can be very demanding at any time of day.  We spent more time at the complex than at home in the summer. 

I would also question the practicality of having rental apartments in Mojacar  if one is  living as far out as Zurgena or Arboleas as roads are so packed in the summer and it can take an age to get to anywhere on the beach. Furthermore, you have to accept that you wont be going anywhere yourself in the hottest months as they will be your busiest.

Do not consider long term lets as the laws here make it a nightmare to rid yourself of squatters as any lawyer will tell you, and some people have even ended up being blackmailed into paying squatters to vacate their property!

Hi Bess, All I have is my opinion and for once I'm trying to contain it within the scope of the original question. The question contains the words "Realistic Income from Letting Apartments in Mojacar." Usually when money is involved I try to post honest truths as Mojacar has lots of people with broken dreams from lies they believed. 

But, most of my friends in Spain who used to rent out their properties have exited renting as their efforts were barely in decent profit. Again let me return to advice I have given to people here looking to buy property - Do the SWOT analysis and remember you cannot fool yourself. Hard Facts can look pretty grim when written down in black and white.

However, if you rent your place as a hobby and not for meaningful reward, then drive on. 

NEARLY FORGOT:- The vast amount of our clients are from the UK. They come every year for approximately the same dates. This suits us and them.