Frequently Asked questions
Can I rent out my property in Valencia?
The process of applying for a rental license varies depending on the location of the property, and in some cases, a lawyer is required to handle the application.
Finding a suitable property for short-term tourist rentals has become more challenging, particularly in major cities. Additionally, rental regulations differ by region and municipality. We can certainly help you identify properties that appear to meet the initial requirements, but a final legal check by a lawyer is always necessary.
Unfortunately, we cannot guarantee approval for a tourist rental license. However, renting out a property for medium-term (over three months) or long-term stays is always an option. This can be ideal for expats, students, or those taking language courses.
We’re happy to discuss the possibilities with you.
How much return can I expect when renting out my property?
The return on investment for a home in Valencia largely depends on how often and for how long the property is rented out.
Naturally, the return will be higher if the home is rented year-round and lower if you use the property yourself, particularly during the summer months. While returns are not guaranteed, there are exceptions. For instance, in some areas in Spain there are projects offering guaranteed returns, sometimes around 5.5%, often in a hotel-style concept where the rental management is handled for you. However, in these cases, personal use of the property is typically limited.
Many sought-after areas in Spain offer excellent rental income potential, but it’s important to consider that regions with higher property prices often have lower yield rates. In contrast, homes in inland areas may offer higher returns due to lower purchase costs.
Overall, investing in Valencia continues to be an attractive option.
How do I set the price for renting out my property?
While a higher rent may increase your potential income, it’s important not to set the rent too high, as this could make your property unaffordable for your target market.
Understanding who your target tenants are is essential before purchasing a property in Valencia.
For example, if you’re targeting young professionals, a monthly rent of around €800 might be reasonable, as their average salaries often range from €2,500 to €3,000.
Following the guideline that tenants should ideally spend no more than 30-35% of their income on rent means setting your price within this range.