A new report argues that the coronavirus crisis presents a good opportunity, and good reasons, to buy into Spain’s stock of holiday homes.
Covid-19 has made properties traditionally seen as holiday-homes look more attractive as properties for longer stays, and even permanent residence, argues the Spanish appraisal company Instituto de Valoraciones in a new report.
Holiday homes tend to be located away from urban centres, with more inside and outside space than is typically the case in city homes. They offer more privacy, social distancing, and also tend to be cheaper, the report points out. This crisis has made people appreciate these features more than ever.
The pandemic has also revolutionised the world of office work, allowing many people to work online from home like never before, weakening the link between home and work locations. The daily commute is no longer a critical factor for many people, allowing them to live further away from work than before. That, potentially, increases the demand for homes in areas that were not an option for commuters until now.
This will leave holiday homes better placed to attract extended stay rental clients, they argue, boosting the investment potential. It also increases the value of second homes as such, because owners can now take more advantage of them. As the report says, “this change allows people to take more advantage of their second-home, which they can now use for both holidays and long stays, if the property has a good internet connection and basic amenities nearby.”
The health crisis also increases the value of homes that facilitate healthy lifestyles. “Second homes tend to be located in areas that are less densely populated and closer to nature, offering an ideal alternative for a change of scene, and to enjoy outdoor lifestyles,” says the report.
The report also argues that international travel restrictions will boost local demand for holiday homes. The flip side is less foreign demand for the same reason.
Finally, the report suggests that this is a good time to buy as the economic crisis results in forced sellers who need liquidity, whilst the stock of holiday-homes for sale in Spain is growing.