MADRID – After two difficult years due to travel restrictions to contain the spread of the coronavirus, the tourist rental industry in Spain continues to move towards normalcy.
Of all properties that left the market during the pandemic, 67% are active again in this segment. This is shown by the latest study analysis and evolution of tourist rental, carried out by Fotocasa and published in the newspaper El Economista. The result represents an increase of five points compared to the previous year.
Less than in 2021
In this way, 33% of tourist apartments remain active in the residential or long-term rental segment. That is five percentage points less than in 2021.
“We estimate that holiday home owners who had resorted to the long-term market during the pandemic have returned to the tourist rental market. The uncertainty regarding the summer season has completely disappeared given the forecasts of the expected record summer. Furthermore, the number of holiday homes has increased by five percentage points,” says María Matos from Fotocasa.
Of the tourist apartments that are occupied, 14% do so for a limited period (six percentage points less than in 2021) with the idea of returning to the tourist market as soon as the situation improves. On the other hand, about 20% of tourist homes remain in long-term rental for an indefinite period (two percentage points more than the previous year).
Short stays and holiday rentals
Similarly, 2% of the total number of properties on the market are rented out for short stays or holidays. That shows a slight decrease of 0.8 points compared to the data from 2021. 12.2% of all homeowners use their home for long-term rental, an increase of 0.9 percentage points compared to the previous year.
Of the segment of housing for rent, 8% of landlords have used the house for holiday rental and 26.1% offer it for long-term rental. In both situations, the data shows a slight decrease from the 2021 figures.
The remainder concerns homes that were regular homes (34%), second homes (12%), inherited homes (9%), and vacant homes (7%).
The profile of the landlord who chooses to rent out his home as a holiday home in 2022 concerns both men and women with an average age of 49 years. In 52% of the cases, the owner lives with the partner and their children and already owns a home (89%).
In terms of distribution across Spain, the number of holiday home rental companies is the largest in Andalusia (24%). That number is increasing this year in Catalonia (16% compared to 11% in 2021) and the Valencian Community (13% versus 9% in 2021). In Madrid, a gradual decrease is noted, from 21% in 2020 to 14% in 2021 and 12% in this year 2022.
Reasons to choose tourist rental?
Profitability remains the main driver. About the evolution of investment for holiday rentals, it can be seen that the percentage of buyers who have invested in this type of rental remains stable but increases slightly compared to previous years: 3.9% in 2022 compared to 3.8% in 2021 and 3.6% in 2020.