Property Rentals: I have a Cunning Plan

About to relocate to the Mijas Costa from the Blanca, my beloved and I did a whistle stop tour and were impressed by the vibrancy, lifestyle, availability and prices. To be honest, I had originally opted for second choice Blanca in 2008 because rents were at least 50 percent lower than they were in the Sol. There's now a refreshing parity. So let's go   ...

Interestingly, we were both perplexed by the number of really nice properties that were clearly unoccupied, some presumably for some time. Wouldn't the owners' assets be better protected if rather than leave them empty and abandoned they were to rent them?

Sure there would be vetting involved but as I say, far better a professional couple in a €1,000 (value) a month property at €500 a month than 'derelict'. I would call such renters 'caretaker tenants'. If I were younger I would set it up as a business.  

Nice idea, and I agree that letting it out a bit cheaper to the "right" people is certainly preferable to leaving it empty. Why is it that empty properties (like unused stationary cars) deteriorate so? The problem is, finding a professional couple. Down here there is huge unemployment. Tenants still have the upper hand and if you rent to Spaniards, they know their rights and will be hard to get out if they default on the rent. Foreigners are likely to be working "black" if at all, and therefore have no job security. A decent retired couple would probably be best, but so many of them have fled back home. Dilemna.

Mike, I have often thought the same.  I have always said too that there really shouldn't be any homeless in Spain at all.

But yes, the mind boggles as to why people simply don't just rent out their properties.  There is insurance that landlords can take out to protect themselves should tenants not pay up or damage the property.

But saying that, maybe there are just too many properties out there even for the long term rentals market demand.

A business opportunity there though?  For sure.

Justin

 We have a website for a few people who want to rent out their properties.  Some just want a little help with the mortgage etc.  There is a lot of hassle involved as we all know, taxes, form filling, payment of bills (or non payment) . For some the risk is too high and the thought of someone else sleeping on your nice new bed, and the grease on the walls etc.  We rent ours and to be honest we have been so lucky with our guests. The insurance is quite high, and you have to pay the first £250 of any claim.  For us the hassle is worth it - sometimes!  If we didn't need the money, In hind sight ,I don't know If I would rent unless all I wanted was a business and not a home.  

 Well, all well and good renting to "professionals" or whatever but there are many horror stories of what can happen.  An example is a couple in Spain opposite me who rented it out and the neighbours informed them that the air conditioning had been left on all the time with the windows and doors wide open.  Plus, when they left, the air conditioning was left on full blast. 

However, my experience of renting has put me off for life.

Back in the 90s, I was posted to Cyprus for 3 years.  We rented out our house in UK through an agency (well known and respected) who rented it to a couple who both worked in a bank.  Fine, all good and, although the rental income after tax did not quite cover the mortgage, we did have the benefits of no standing charges for utilities or the council tax etc.

We did get a neighbour ringing to say our garden was getting in a bit of a mess.  A quick ring to the agents and they said we didn't leave a lawnmower (which I thought we'd did).  Anyway, money sent for new lawnmower.  Agents rang to ask if it was OK if the tenants re-decorated.  OK, says I.

On return (after the 3 years) we walked in an my wife broke down crying.  The window frames were rotted through due to lack of maintenance, the oven door was hanging off, there had obviously been a leak in the bathroom and the panel had been ripped off despite their being screw access.  The master bedroom had been painted in battleship grey using gloss paint over the old wallpaper and had been painted around the wardrobe and bed/cabinets.  The carpets looked like they hadn't even been vaccuumed, let alone cleaned in the whole 3 years.  Virtually every wall was marked in some way and the kitchen appliances were all coated in grease.

In the end, we had to replace the bath and panels, all the windows, all the carpets, all the kitchen fitting etc.  I redecorated from top to bottom.  Almost £30,000 in all.  Insurance paid £2,750 for a couple of things but wouldn't pay for many of the things, including the windows.  

A complaint to the agents elicited the response that we had got our rent on time so we shouldn't complain.  Oh, and I found 3 lawnmowers, 2 in the garage and one in the shed.  Plus an old fridge that had been dumpled in the back garden.

Renting to a professional couple?  Not my house, I'm afraid.

There’s no way of knowing and I don’t claim to. But, the horror stories always do the rounds and surely put off potential owners. A pity because commonsense suggests that many wonderful tenants not only play by the rules but actually repair and renovate; decorate and generally look after their property, which strictly speaking isn’t their obligation.