The Spanish love affair with owning property is showing a large decline with the next generation of potential owners.Millennials are shifting to rentals after witnessing their parents and family lose money and their homes during the crisis and the years that have followed.
VillaMia has seen the demand for rental property increase and this significant shift hasn’t gone unnoticed with many foreign investors purchasing property throughout Spain with the sole aim of long-term residential rental. This again is a huge shift in the buying patterns seen pre-crisis where investment purchases were often geared towards short-term or holiday rents.
A key indicator of the potential growth of this market is the significant interest from many of Spain’s largest real estate investments trusts who are all ploughing capital into property units for rent. Merlin Properties Socimi SA’s CEO, Ismael Clemente recently said in an interview that they are planning to double their number of units by the end of the year. Merlin believe that young Spaniards don’t have a culture of ownership and no longer see renting as a bad option.
For Merlin, other investment trusts and individuals with the available capital, the rising popularity of rentals represents a fantastic business opportunity. Professional residential renting could be the next big surge for investors in Spain.
VillaMia has witnessed the demand for rental property in Javea outstripping supply, so now could be you time to invest in properties for sale in Javea with the aim of long-term rental.
Michelle Hughes, owner of VillaMia, added: "2016 has been the strongest year I've seen for long term rentals and there is a massive shortage of decent properties available all year around. If people have the capital it is a good time to buy as the property won't stay empty for long and Javea attracts new families all year around.
"By investing in a property for sale in Javea with us and allowing our team to manage the rental of your property you know that the full process of purchase to rent will be as easy, professional and straight forward as possible.”
Cheryl Scarborough, sales director at VillaMia, said: "I recently sold a 2 bed apartment in Javea for almost 75,000 euros and after putting in new windows it went straight back on our website for a long term rental at 500 euros a month. The rental market has a shortage on properties but that is not the case for sales and we have a good selection of properties to suit all budgets. We can advise you what to expect for a rental and help with every step.”
VillaMia has also seen an increase in clients taking winter lets and purchasing properties during the rental contract.
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