Property In Benalmadena/Torremolinos in Malaga, Spain

[Harri Laitalainen]

Hi, 

We're new to investing and having been to Malaga before quite fell in love with the area. We want to take advantage of the prices there now and especially the whole Pound to Euro currency at the minute. Our ideal situation would be to buy a holiday home, but one that we can rent when we aren't there. I was wondering if anyone has experience in this and especially in these areas? 

Is it easy to rent a place out? What should we look out for? 

We've already found a property we think has potential, but of course wouldn't want to rush into it. 

The secondary reason to buy there is for my mother who is retiring and bless her sole can't afford to live in her current flat after that as it's insanely expensive. So for her to move to Spain would mean she could actually enjoy her life and have a good quality lifestyle as well. 

Any and all help would be so highly appreciated! 

Thanks, 

Harri :) 

[Colin G Murphy]

Hi @Harri Laitalainen

There wouldn´t be too many people on this website who are familiar with the Malaga market, so it´s worth contacting a few agents on the ground to help. Malaga is a big place, so seek out locals who know the specific neighborhoods.

That being said, I can confirm that while it is not difficult to rent out a vacation home in Malaga, it is very difficult to turn it into a reliable source of income. There is a huge glut of apartments in that region and a lot of distressed landlords. Vacation renting is a very time consuming and labour intensive business. It is like a part time job if you are doing it yourself and if you pay another company to do it on your behalf, they could charge 40%+ of your gross income as fees. 

The majority of vacation homes aren´t investments, they are expenses. Some earn enough money to pay for a couple of holidays for the owners, but most are just a drain on time and resources. That being said, they are a great and well deserved reward towards the end of a working life. 

From a lifestyle point of view, it is certainly true that the south of Spain is much cheaper than the UK and your Mum could improve her quality of live there a lot. Spend as much time in the area before buying as meet as many expats and estate agents as you can before taking the plunge. 

Suerte!