Tourist rent is more profitable, but only from 60% occupancy. In recent years, investment in housing has been increased to allocate it to tourist rentals. From the outset, this type of rent seems to report a high profitability. The agreed rental price is usually higher than the traditional rent. ...

Is tourism rental more profitable than traditional rental?

Real estate news, tourist or traditional rental

Tourist rental is more profitable, but only from 60% occupancy.

In recent years, it has increased the investment in housing to allocate it to tourist rentals. From the outset, this type of rent seems to report a high profitability. The agreed rental price is usually higher than that of traditional rental.

However, tourist rental is more profitable than residential rental only if it exceeds 60% of occupancy in cities such as Madrid or Barcelona. This is confirmed by the second 'Comparative study on tourist vs residential rental' prepared by Safe Rent.

Therefore, so that the tourist rental is more profitable than the traditional, housing must have a high occupancy .

Disadvantages of tourist rental

There are certain disadvantages with respect to this type of rental. For example, taxation is different, there are always a series of risks and a series of licenses must be in order to allocate the home to such use.

On the other hand, there is taxation. The tourist or seasonal rentals must be declared in the Rent as real estate capital yield. Unlike the traditional rent, the 60% reduction in net return is not applied.

Calculation of profitability of a tourist rental

In basis at € 80 per night.

Is tourism rental more profitable than traditional rental?

Source: Rent Insurance.

In this way, an owner who is thinking of allocating housing for tourist rental must calculate the expenses and income very well.

Related news tourist rental .

"The administrative regime of tourist housing: Inspection and sanctioning regime", by Ms. Encarnación Montoya Martín

"Key ideas on the contractual and civil liability regime in the accommodations in houses of tourist use ", by Mr. Manuel García Mayo

" Tourist apartments and neighborhood communities ", by Mr. Guillermo Cerdeira Bravo de Mansilla

" Taxation of the tourist homes: t tax, control and fraud ", by D. Alfonso Luis Cerdeira Bravo de Mansilla

The intermediaries of tourist housing rental should inform the Treasury of their activities

This way, the Hacienda will control the vacation rental as of this year

Tourist accommodation does not make rent more expensive, according to the CNCM

General State Budgets 2019: Measures to limit rental prices

Can I do tourist rental without problems?

New decree: Neighboring communities may prohibit housing for tourist use and these must have a CIVUT

Hacienda studies a decree that will require the tourist rental platforms identify the owners

The tourist rental must have a clear regulation, according to the Ombudsman

Does it compensate more the tourist rental than the residential?

Tourist rental platforms must inform the Treasury of owners and customers

20% of the sale of free housing in Spain is carried out by foreigners

According to the data of the General Council of Notaries, the sale of free housing made by foreigners in Spain reaches 20% of the total market of our country. This figure was already recorded during the first half of last year, with more than 43,000 transactions, which represents the largest number of operations registered in ......

Real estate news Real estate loans have fallen by 9% in the last year, almost 11,000 million euros.

According to the report "Evolution of credit to productive activities in Spain by activity sectors", published by AIS Group (specialist consultant in credit risk management), the portfolio of loans to companies engaged in real estate activities fell more than 10,800 million euros between 2016 and 2017. This fall in credit to this segment means ......

Online Course: Prevention of Occupational Risks in Offices

Real-estate course on Occupational Risk Prevention. This course allows you to acquire the necessary basic level knowledge of Occupational Risk Prevention. The objective is to consolidate and improve knowledge about prevention applied to daily tasks in the workplace. The Royal Decree 39/1997, of January 17, which approves the ......

Inbound Real Estate Marketing

Inbound Marketing What is this? The Inbound MK or Inbound Marketing or even Attraction Mk with which it is often named is a new trend in digital marketing. As we read on the page of its creators, Brian Halligan and Dharmesh Shah, «HubSpot was founded in 2006 as a result of a ......