Acquisition of real estate in Spain by foreigners can have two goals — to buy housing for your own holiday or as an object for renting. The second option gives you a steady income that will allow you to cover part of the costs, pay off your mortgage in a short time, or become a good option for making a profit. But residential and commercial property in Spain has its own nuances when buying, which must be taken into account in order to successfully complete the transaction.

Residential and commercial real estate in Spain — short-term and long-term renting

Spanish law has clear points regarding short-term and long-term rent issues. The property owner has the right to provide rental services for a specified period and at a designated cost. In this case, even if the rental period of the object is not over, it can be sold.
The annual income of this type of business ranges from several thousand to several tens of thousands of euros. This indicator is influenced by certain factors.
The rental price depends on the type of housing, location, condition, and area. The short-term option is more expensive, its profitability will be higher than with long-term surrender. In the short rental period interested tourists, people who came on business, students.
But there are disadvantages to this type of property delivery. It is quite difficultto findlivers so that housing does not stand idle. In addition, the objects located in the resort area are affected by seasonality. If in the summer it is possible to provide a continuous stream of clients, then in a cold season the house or apartments will stand empty.

The cost of long-term rent is lower, but here you can count on a steady income.
Delivery of residential or commercial real estate in Spain is carried out officially. The profit from it must be declared and submitted annually to the tax inspectorate. There is a tax on income from this type of activity in the amount of 24%, but only if the owner of the property is a resident. In addition, you should annually pay real estate tax. Its amount is 2% of the value of the object. On average, for an apartment, you need to give 100-500 euros each year, and if you are the owner of a villa or house — 300-2000 euros.
Clauses for paying utility bills, repayment of repair costs and other nuances are specified in the rent agreement.
To search for tenants is convenient to use the services of management companies. Such cooperation will save time and save you from solving organizational issues. Another advantage — the company assumes paperwork, which means you can avoid mistakes due to ignorance of the legislation of another country. Intermediary services also include rent control, repairs, insurance and more.