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Rental Property Guide

Best Properties for Rental Income in Spain

Learn which Spanish properties generate the best rental returns. Location tips, property features to prioritize, and costly mistakes to avoid.

Happy property investor in Spain

Where You Buy Depends on How You Rent

The right location entirely depends on your rental strategy. Summer-only rentals have different requirements than year-round income properties.

5-7%
Typical Gross Rental Yield
€1,400-2,000
Weekly Rate (High Season)
~50%
Net Income After Costs
€15,000+
Net Annual Income Possible

If you only plan to rent during summer, location flexibility is high—most coastal areas see strong demand from June to September. However, if you want income year-round, you need areas with activity in every season.

The Costa Blanca South typically delivers 5-7% gross rental yields, driven by high demand for both long-term rentals and seasonal holiday lets. Use our rental income calculator to estimate potential earnings for different property types and locations.

Summer-Only Strategy

Works in most beach locations
Lower property prices in seasonal areas
Costa Cálida offers excellent value
Income concentrated in 3-4 months
Personal use during off-season

Year-Round Strategy

Requires established towns with activity
Strong expat communities create demand
Steadier income throughout the year
Better for mortgage coverage
Costa Blanca ideal for this approach

Top Locations for Rental Properties

For consistent rental income, focus on areas with these characteristics: an established expat community, reliable air connections, year-round dining and services, and proximity to healthcare. Read our rental income guide for detailed advice on what makes properties succeed.

Aerial view of La Zenia beach on the Costa Blanca South
Costa Blanca South: Strong year-round rental demand
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Locations 8 places
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What to Look For in a Rental Property

Woman enjoying fresh air at the beach in Spain

Beach Access Is King

Walking distance to the beach is the single most important factor for holiday rentals. Properties within 10 minutes on foot command significantly higher rates and occupancy. A sea view adds value, but proximity matters more than the view itself.
01

Communal Pool

Essential for holiday rentals. Apartments with well-maintained pools attract more bookings than those without, even if they have sea views.

02

Air Conditioning

Non-negotiable for summer rentals. Properties without AC will struggle to compete, regardless of other features.

03

Parking

Designated parking eliminates a major guest complaint. Street parking only can hurt reviews and bookings.

04

Two Bedrooms Minimum

Studios and one-beds have limited appeal. Two-bedroom apartments hit the sweet spot for couples and small families.

05

Outdoor Space

A terrace or balcony for outdoor dining is highly valued. Guests expect to eat outdoors in the Spanish climate.

Properties That Struggle to Rent

Spanish coastal property
Not every beachside property makes a good rental investment

Some properties look appealing on paper but consistently underperform as rentals. Avoid these common mistakes. For more on making Spanish property affordable through rental income, read our article on financing your property with rental income.

Run the numbers before you buy. Use our rental income calculator to estimate potential earnings, and our buying costs calculator to see total purchase costs. For a complete picture of what to expect, read our rental income guide.

Explore the Best Rental Locations

Ready to find the right area for your investment? Our area guides cover the Costa Blanca, Costa Cálida, and more—with local insights on rental potential, property prices, and lifestyle factors.

View Area Guides

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