Buying vacation properties: tips for users, landlords and investors
28/06/2022 · Autor: VON POLL IMMOBILIEN
Whether you want to use a vacation property as your own vacation home or acquire it with the aim of renting it out or investing in it: You should plan your decision in any case as detailed as for your own home. Here we have summarized for you what there is to consider.
The most important thing in advance:
- The local conditions in the vicinity of your vacation property must fit your lifestyle habits for own use.
- As a landlord of a vacation home, you should analyze in advance the local market conditions and define your tourist target group.
- When buying a vacation property abroad, pay attention to which incidental purchase costs are incurred there. These can vary partly very.
Use vacation property yourself: personal needs decide
More and more people use the opportunity to enjoy in a vacation property small timeouts from everyday life. Owners/inside estimate thereby the high quality of life, which offers itself to them particularly in naturenear situations. The possibilities are manifold: close to beaches, forests, mountains or lakes, body and soul can recharge. Vacation properties are now also popular as home-office retreats. If you also dream of spending a few relaxing days in your vacation property, you should ask yourself exactly which points are important to you.
As with any real estate purchase, everything starts with the topic of "location". Public transport links, gastronomic offerings, supermarkets, other shopping facilities, sports facilities, playgrounds and car rentals in the vicinity - all this should be carefully evaluated in advance, depending on your personal preference in a potential vacation property. If these key points fit for you, it goes to the detailed planning and the topic of financing. You should also answer the question of whether renting is an option for you. In this case, some other points are still relevant.
Renting out your vacation home: what to consider
Whoever wants to rent out their vacation property should definitely get an overview of the local vacation property market in advance. Especially the property prices and the rental potential on site are relevant. Before you make a purchase decision for your vacation property, various aspects should be considered. Even better, immerse yourself in advance as a tourist in your preferred region and get a picture of the leisure and vacation property on offer.
The purchase price may well be many times the annual rent, but it must be realistic - our online property valuation as a first price indication will help you in this regard with the initial assessment. Very important is also a clear definition of your target group for the rental. Adjust the furnishings and offerings in your vacation property accordingly to achieve maximum rental success. As a general rule, furnishings should be contemporary and color schemes harmonious. Easy-care floors, insensitive tableware and robust quality furniture are also helpful in keeping the domicile clean and intact in the most uncomplicated way possible. Generally, a fully equipped kitchen with dishwasher, a well-functioning WLAN as well as a crib and high chair are expected today - in case families are part of your target group.
Additional tips for renting out your vacation home or apartment
In addition, you should make a decision whether animals are allowed. Personal items, family photos and heirlooms should not be placed in your rented vacation property. Another tip: You can extend the season for rentals by adding a sauna or hot tub. If possible, calculate in advance from how many rented weeks the property can pay for itself. If you want to be on site yourself from time to time, you should be correspondingly flexible when planning your vacation.
Whoever wants to get support in marketing can do so through a local agency. For a commission - usually this varies approximately between 15 and 25% of the rental price - you can take a number of services. These include marketing and leasing, prompt responses to inquiries from prospective tenants, reception of guests, final cleaning, janitorial service, garden maintenance/pool service, and commissioning and acceptance of repair and renovation work. Speaking of which, you should definitely carry out regular renovations to ensure that your vacation property remains attractive for rental in the long term. Every two to three years are common here.
Acquiring vacation properties as an investment: our expert tips
Purchase price, possible rental income and appropriate financing should be calculated in detail in advance with your financing advisor. It should be noted that in each country, other ancillary purchase costs are incurred. If your potential vacation property is located abroad, you should inquire in advance about all taxes and duties that are incurred during a purchase.
You should also consider the foreign currency if necessary, if you are considering a purchase in a non-euro country. Also important for your financial planning: Certain additional costs such as broadcasting fees, general electricity, gardener, Internet and staircase cleaning are incurred even if your vacation property is not rented. Farsightedness is therefore required - and a successful marketing strategy. The following applies here: if you see your vacation property as an investment, you should aim for a rental with sufficient annual occupancy.
Summary - the most important things in summary
Whether it's your own vacation home, rental plans or investment in value: whoever - whether in Germany, a European country or around the globe - looks for a vacation home, should in any case pay special attention to the quality of construction. Building permit and a certificate of habitability should be absolutely seen before the purchase. Also a complete proof of all previous owners in the land register is essential for a serious purchase transaction.