11 tips for successfully buying a beach house in Spain

Keep these tips in mind to ensure you choose a great beach property.

Buying a house on the beach is a dream for many. Coastal properties in Spain attract both local and international buyers, whether for a primary residence, a second home or as a rental investment.

Before purchasing a seaside property, it's important to consider a few key factors. In this article, we provide essential tips to help you successfully buy a beach property.

Where to buy a beach house?

Being on or near the beach doesn't necessarily guarantee an excellent location, as coastal areas can vary significantly. Some Spanish cities offer better beaches or more amenities than others, which is an important factor to consider before buying a house near the sea.

Your choice will depend on your needs and preferences. For instance, some may prefer the quieter, cooler beaches of northern Spain, while others might be drawn to the more vibrant, recreational spots in the south.

Beachfront homes, highest valued

Beachfront properties are highly sought-after, commanding premium prices due to their limited supply. As a result, they represent a valuable investment opportunity.

If you come across a beachfront flat in a desirable location at a good price, act quickly – it’s likely to attract interest and could appreciate over time. Conversely, if beachfront options are unavailable, consider properties progressively further from the beach. The closer the property is to the sea, the more it may be worth in the future.

The best time to buy a flat on the beach

In the summer months, beach house prices can rise. The holidays are synonymous with holiday rentals, and this can limit the supply of homes for sale until the holiday season is over, temporarily increasing prices.

In addition, summer can also make planning viewings harder, as the owners may not be available. It is best to do this 2-3 months before June, and 2-3 months after August. 

What is the best beach area to invest in?

Before choosing where to buy a beach house, it’s wise to research the various locations along the Spanish coastline. Each region offers a unique climate and lifestyle. Start by defining what aspects matter most to you, such as climate, cuisine, leisure activities, or tranquillity, and then begin your search.

Once you have clarified your preferences, determine your budget for buying a beach house. Compare property prices in different coastal areas, evaluating the potential for appreciation and rental income in each location.

Identify what a beach apartment needs

Extras like a swimming pool, sauna, garage space, or paddle tennis court can significantly enhance the value of a beach house. Consider what features you truly need.

In coastal areas where parking is scarce, having a dedicated parking space can be highly beneficial. However, not all beachfront properties come with a swimming pool, and owning one entails additional maintenance costs.

Is it profitable to invest in a beach house to rent?

Many believe that buying a beach house and renting it out can be a lucrative investment, potentially covering the cost of the house itself. While this can be true, it's not always the case.

To ensure profitability, conduct a thorough preliminary study. Not all coastal areas experience a steady flow of tourists year-round, and properties incur ongoing expenses such as taxes, mortgage payments, and community fees.

Moreover, if you're going to rent it out as a holiday home, you must obtain the necessary permits and licences. This also involves some costs. Although the profitability of a beach house can range between 8% and 12% for holiday rentals (or even more), you must do the maths. Some properties do not generate even 2-3% profitability or only generate expenses.

Essential services for a quality life on the beach

Ensure that the area where you buy your beach house offers essential services for comfort and safety, such as reliable transport links, hospitals, restaurants, and shops. These amenities are crucial for maintaining a high quality of life in your coastal home.

Assesses the condition of the house

Before buying a beach house, thoroughly inspecting the condition of the house is essential. In coastal areas, damp-related problems and damage are more common.

To uncover any hidden problems, always hire a professional to conduct a comprehensive evaluation of the property.

Select coastal areas with potential for redevelopment

Prices for second homes and beach houses can vary greatly over time. Research market trends and avoid areas with excessive supply. Focus on locations with strong long-term appreciation potential to maximise your investment.

Negotiate coastal house prices

As the price of beach property varies according to many factors, negotiating effectively is vital. Conducting thorough market research, hiring the services of a real estate agency and getting a professional valuation can help you get the best possible price.

Mortgage for a beach house

Depending on whether you want a house on the beach as a first residence or as a second home, things change. Mortgages for buying a second home may have different conditions than those for a primary residence. For example, the percentage of financing is usually reduced to 60%-75% (compared to the 80% that banks accepts for buying a first home). 

Moreover, mortgages for second homes often have a maximum repayment term of 25 years, which can lead to higher repayments or higher interest rates. 

Get in contact with homes-abroad.com if you want to buy a beach home. Only the sun cover Spain better than us.