Holiday Home Segment Now 13pc of Local Housing Market
Holiday-home demand is back on the increase amongst local buyers, reveals new research.
13% of homes sold in Spain to local buyers are intended to be used as holiday-homes, according to a new report by the Spanish property portal Fotocasa titled ‘The Profile of Second Home Buyers in Spain’. Local demand for second homes is increasing as the economy improves after years in crisis.
The report provides details on the profile of second home buyers in Spain, based on searches carried out by house-hunters at the portal and a survey of Spaniards who have bought a home in the last year.
For example, the report reveals that 57% of people who have bought or searched for second homes are men with an average age of 46 years. 39% are after a resale property, whilst just 5% are only interested in new build. 56% are indifferent.
Demand by region
21% of Spanish second-home buyers live in Madrid, 17% in Andalusia, 13% in Catalonia, 8% in the Basque Country, and 8% in the Valencian Community.
59% have no intention of renting out their second home, whilst 34% plan to offer holiday rentals.
The holiday rental market “ is one of the reasons why rental prices are rising so fast,” explains Beatriz Toribio, head of research at Fotocasa. “High returns from tourist rentals encourage owners to turn to this instead of long-term rentals, which reduces the supply of the latter.”
But the majority of Spaniards who have bought or plan to buy a second home in Spain have no intention of renting it to anyone. The main reasons given being they don’t want to deal with the inevitable wear and tear, nor have problems with non-payment, all according to Fotocasa.