Hi Franco49 and welcome to the forum.
One word... Rubbish!
Pitby is correct in everything she is saying.
These 'guaranteed rental yield' plans aren't worth the paper they have been written one, that's if this person has actually written it down in the 1st place!!!
The property is obviously way over valued and I expect that if you managed to get an 80% LTV mortgage, you would end up borrowing 256,000€ for a place that will actually have a selling price of considerably less. A good asking price would be, depending on the build quality, of around 200,000€ or less in today's climate.
Our 2 bed, 2 bath was purchased for a little more than 200,000€ three years ago, and it was a good price then, and is bigger than the one you are talking about.
You could get a small 3 bed Townhouse for the figures this guy is quoting, and if you look at the Holiday Rental market at the moment, you will see that things are much quieter than last year, however things do seem to be picking up as there has been a lot of people around over half term, picking up on cheap flights and cheap rentals.
I know someone that is selling a big 2 bed, 2 bath fully furnished for 180,000€ with a good valuation No! It's not us! But it is in the same small complex where we bought our 1st property.
And for a bit more than that, you can buy a huge 3 bed Townhouse in La Vizcaronda where we live, with private underground garage!
My advice for what it's worth...
Don't touch that deal with a bargepole!
This message was last edited by TechNoApe on 03/06/2009.