|
Leases
of
urban
properties
in
Spain
are
regulated
by
the
new
Urban
Leases
Act
of
1994
which
has
brought
about
several
important
changes
to
the
old
system
under
the
1964
act.
The
new
act
applies
not
only
to
commercial
and
domestic
dwellings
but
also
to
holiday
and
seasonal lets.
One
of
the
important
items
governed
by
the
act,
and
relating
to
long-term
leases
is
the
tenants
rights
to
an
early
resolution
of
the
contract
with
very
low
penalties
and
the
benefits
of
the
statutory
automatic
extension
of
the
duration
of
the
lease.
If
you
intend
to let
your
property
you
should
seek
a
copy
of
this
act
and
ensure
you
have
legal
advice.
For
properties
let
in
the
Canary
Islands
as
tourist
accommodation,
there
is
a
special
act
(of
1995)
that
states
a
professional
property
agent
has
to
be
used.
The
agent
must
hold
an
official
licence.
Owners
failing
to
comply
are
subjected
to
heavy
fines.
The
tax
rate
on
rental
income
is
either
25%
or
35%
depending
on
whether
or
not
you
are
deemed
to
be
a
permanent
resident
in
Spain.
What
may
appear
strange
to
us
is
that
the
tax
is
paid
by
the
tenant,
a
deduction
for
the
tax
is
made from
the
rental
before
the
net
amount
is
passed
on
to
the
owner.
Insist
on
proof
that
the
tax
payment
has
been
made
on
your
behalf.
Any
income
from
rent
received
in
Spain
by
non-residents
is
subject
to
a
payment
of
a
flat
rate
of
25%.
Even
if
the property
is
not
rented,
owners
are
still
liable
for
the
income
tax,
calculated
on
deemed
letting
income
at
the
rate
of
2%
of
20%
of
the
official
property
value.
Arrange
for
the
tenancy
agreement
to
be
drawn
up
by
a
gestor
(a
Spanish
legal
representative).
Any
interest
payable
on
a
loan
is
not
allowable
against
the
rental
income,
even
though
UK
tax
is
due
on
the
income
if
you
are
a
UK
resident.
There
is
a
treaty with
Spain
that
any
Spanish
taxes
paid
to
be
offset
against
UK
tax.
When
the
property
is
sold
and
the
proceeds
are
invested
in
another
principal
and
habitual
home
then
no
Spanish
Capital
Gains
Tax
is
payable
(as
long
as
the
repurchase
is
within
2
years
of
the
disposal).
Alternatively
if
the
property
is
owned
for
more
than
10
years,
then the
CGT
liability
disappears.
This
does
not
mean
however,
that
your
liability
to
UK
tax
also
disappears.
See what rights tennant has here |
|
The Top 5 Tips for Renting your Holiday Home
Have a holiday home? Want to turn it into some extra income? It makes sense, especially if you and family and friends just use it occasionally. An empty property soon feels unloved, advertise it, make money from it, and keep it looking good!
What are the basic guidelines you should know when renting out your holiday home? There are a few pointers worth remembering, to enable you to reap the best advantage from your second property. Follow these simple guidelines, and improve your chances of success in the holiday rental market.
Here are Top 5 Tips to take note of:
- Advertise. That sounds obvious, doesn't it? But just take a coffee break and explore the options – soon you'll realize there are thousands of options. It's simple: all of those free to advertise sites are swamped with thousands of rentals, often poorly promoted, so the rule is the old one: You Get What You Pay For. Choose a site where you'll get feedback, statistics, where they specialize in YOUR market. It's their business to promote yours, let them get on with what they do best. What will you get in return? Results.
- Social Media. It's everywhere, so use it. Facebook, Twitter, Google+....if you have an account, add the link from your advert – if you don't, then get one set up. Do you blog? It's a great way to promote the area you have chosen to enjoy your holiday home, make others aware of it too. Then drop in some natural references to your holiday home, make folk want to come! A quick copy and paste to your rental website link may well make you a booking.
- Keywords. When you set out your advert, take care of the Keywords. Learn a little SEO. Double dutch to you? It's just words! Just repeat the words that are likely to be searched for, use them carefully. Say where you are, and what you have. Ensure you mention the area, the type of accommodation, if it's rural, say it's rural. Say what folk are likely to search for.
- Describe, describe, describe. Take great pictures, show it off. If a picture is worth a thousand words, then paint a good one too. Be accurate - remember that old game show – Catchphrase – say what you see! Wax lyrical on what you have, don't imagine what you haven't! If you're rural and miles from everywhere, make that your appeal for someone who wants to get away from it all – but don't let future holidaymakers assume they can go shopping or clubbing – you might think that's obvious, but someone who hasn't Googled the area or flicked through a guidebook before arrival day might not appreciate it! You know what you have – you need to make it clear.
- Presentation. Keep your property up to scratch. Those picture you took the day you renovated will be exactly what your guests expect, so a top tip, put a little profit from every rental back into something new, a little love back into your home! Rental homes require a little more TLC than your own home. Sheets need replacing more often, towels too. Always ensure there's a fresh bar of soap, new dishcloths -little things mean a lot. If you have a little outside space then plant it up for colour and scent. Make your holiday rental property smell nice, it's something often overlooked, but smell is a sense, and a lingering one! Paint, primp, polish – it's worth it!
If you have a property in Spain that you want to let then make a free enquiry here and start earning money
|
