07 Aug 2010 3:15 PM:
Both of our apartments are currently on long term lets on phase1, both to Spanish workers at repsol in Cartagena. Both are let for 11 months and I considering what to do next year in the light of changes to tax laws. I have had no problems, my neighbours tell me they are hardly ever there and we have no issues with noise etc. This is the first time I've let on a long term basis as I have always rented both on short term prior.
The reason I have done so this is is two fold, one the cost of cleaning rose quite dramatically which started to make weekly rentals much less attractive. I wanted a break from the administation of the bookings for this year which takes a lot of time and the interest rate on my mortgages became a fraction of what it had been previously.
After paying my rental manager his cut I come out with circa 500 euros a month for each apartment. Not very much I accept, particularly in the summer, but then again from oct through march thats 3000 euros for each apartment I wouldn't have had in rentals. The tenants pay the utilities and I cover the other costs from the rent. I just about break even over the year but only because the mortgage is 1/3 of what is was 18 months ago.
It's worth adding up the costs of advertising for holiday lets, cleans etc in terms of working out what your nett, rather than gross income is from holiday renting in terms of making a comparison with the income from long term
I will prob go back to renting myself next year after having taken a break but I have to say that I've had no issues related to the long term rentals at all.
I tend to take the view that if you are living somewhere for the next year you tend to take a bit more care of it than if you stay in it for a week and then never see it again.
It might not be for everybody but it's not all horror stories.
Mark
Community thread:
Long Term Rentals Needed
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