Buying to rent in Lanzarote
Year round sun. Lots of beaches. In Europe.
This is why people come to Lanzarote.
Having had several holidays on the island you have decided this is a place you would like to spend more time. There is some equity in your house, you have some savings or you want to get an overseas mortgage. You have the money needed to buy a property in Lanzarote.
You can afford the house but do not want to just leave all the money idle without generating an income. The solution is to rent the property when you are not using it.
Two ways to rent out your property in Lanzarote is long term rent and holiday rentals.
Long term renting pros and cons:-
- Easily managed
- direct payments
- upkeep and maintenance simple
- steady predictable income
- Lower income, normally about half or holiday lets
- cannot use the property when you want
- possible bad tenants
Long term letting generates a steady income you can rely on with low maintenance. Defeats the object of having a house in Lanzarote you can stay in when you want.
Holiday renting pros and cons:-
- Higher income
- Can block off any dates you want to use the property
- Any less the optimal guests will soon be gone
- On call management service
- Delayed payments via rental websites
- Higher level of maintenance and upkeep needed
- Income can vary
Short term renting has its drawbacks however if you want to be able to use the house a few times a year then its the only real option.
Depending on the sort of property you want to buy can dictate the location.. A larger more isolated house will need to be outside the main resorts where the majority of tourist lets are. Many say that to get the best income for your investment you need a two bedroom property in one of the three main tourist resorts.
The three main tourism locations in Lanzarote are Puerto del Carmen, Playa Blanca and Costa Teguise. Puerto del Carmen has the majority of tourist arrivals with a prevalence of apartments on complexes. Playa Blanca is more open with larger properties on offer. Costa Teguise has a mixture of both complex type apartments and larger individual properties.
Creating a rental income
Once you have bought you new apartment or villa in Lanzarote you need to make a good rental strategy.
Photos of the house:
The first step in promoting the house are good images. There are some great professional photographers on the island that can dress the property and take the photos. The house will need to be well decorated and furnished to take full advantage of a photographers skills.
If you decide to take the photos yourself then make sure you take them on a sunny day with all the lights on and windows allowing the full light of the sun to enter the rooms. The camera sees all the details the eye can miss. Make sure the rooms are clear, tables are laid, beds are perfectly made with even towels laid out on them. Making the effort here will pay the best dividends later.
Once you have your photos then you need somewhere to put them. Holiday rental websites work very well. Normally there is now upfront charge but they take around a 15% commission of income.
The best known vacation rental websites are booking.com, airbnb, VRBO and trip advisor there are also many many others that also work well. Try doing some research on google and see what property portals come at the top then contact them.
Enjoying the property for yourself.
Once your house is on the rental website you will see there is a an availability calendar. You can set the dates you want to use the house as blocked and enjoy the house whenever you want.