An apartment on the Spanish coast that largely pays for itself while you enjoy it yourself: for many Dutch and Belgian buyers that is the reason to start. The question that follows is almost always the same: what does such a holiday home really earn? Brochures show returns of 15 or even 18%, usually without stating what goes into the calculation. Below we work through it from top to bottom: what comes in gross, what goes out and what is left at the bottom line.
What comes in gross
The season does most of the work
The nightly rate of a holiday property on the Spanish coast swings sharply over the year. For a two-bedroom apartment within walking distance of the beach the asking rate in July and August is often between 150 and 250 euros a night, in May and September between 90 and 140 euros, and in winter it drops towards 60 to 80 euros. Sea views, a private terrace and a parking space push those figures up. So never calculate with the summer rate times twelve, because that is exactly the arithmetic error behind the attractive returns on paper.
Occupancy across the whole year
A well-performing property on the Costa Blanca or the Costa del Sol achieves in practice 120 to 180 let nights per year. July and August are then virtually full, the shoulder seasons run at half strength and the winter depends on the location: in Torrevieja or Fuengirola winter residents arrive, in a village without amenities little happens between November and March. Bear in mind too that you want to come yourself, and that the weeks you take are usually the most expensive ones.
What comes off the rent
The gross rent is the easy part. A manager who handles the keys, the guests and the cleaning charges 20 to 25% of turnover, and at 1,500 kilometres distance you rarely avoid that. Booking platforms take another 3 to 17% on top. Then come the fixed charges: community fees of 800 to 2,000 euros per year in a development with pool and garden, the municipal IBI tax, buildings and liability insurance, water, electricity and internet that simply keep running, and a reserve for maintenance and furnishings. Exactly what those charges and the purchase costs are, we set out in our overview of the costs of buying a house in Spain.
A worked example
Take a two-bedroom apartment of 300,000 euros, close to the sea, with a licence. Add 12% buyer's costs and your investment is around 336,000 euros. At 150 let nights at an annual average of 140 euros you arrive at 21,000 euros gross rent, or 6.3% of your investment. From that, roughly 5,000 euros goes on management and platform fees, 1,500 euros on community fees, 500 euros on IBI, 350 euros on insurance, 1,400 euros on water, electricity and internet and 1,000 euros on maintenance. You are then left with around 11,000 euros. As a non-resident from the EU you pay 19% income tax on that through a Modelo 210 return, deducting costs in proportion to the days let. At the bottom line, this example leaves around 9,000 euros per year.
Rent is only half the return
Anyone who looks only at the rental income misses most of the story. The Spanish coastal market has seen solid capital growth for years, and that comes on top of your rent. Add the two together and the total return in the regions we recommend comes to an indicative 10 to 15% per year. Where you end up within that range depends mainly on the purchase price, the location and the licence. If you finance part of it with borrowed capital, the capital growth moreover works on the full property value while you put in only a share. How much you can borrow as a non-resident is explained in our article on the mortgage in Spain for Dutch and Belgian buyers.
No licence, no letting
Tourist letting in Spain is regulated at regional level and almost everywhere you need a licence number that must appear in every advertisement. Since 2026 the platforms have been checking this actively. So there are two things to check before you sign: whether the municipality considers the address eligible, and whether the statutes of the owners association do not rule out tourist letting, because more and more coastal developments have banned it. How the application works per region is set out in our article on the holiday rental licence in Spain in 2026.
What makes the difference between a mediocre and a good return
Three things explain almost the entire difference. Walking distance: every extra hundred metres to the beach or the centre costs you both nights and nightly rate. The season your location can sustain, because a place where there is something to do in March too doubles your lettable weeks. And the purchase price itself, because you make your return when you buy, not when you let. If you buy off-plan, you often buy below the completion value, but there are two to three years between paying and letting.
How we help you
We work through every property we offer using realistic nightly rates and honest occupancy, not the summer peak. We check the licensing situation and the statutes before you make an offer, and guide you in Dutch right through to the notary. Explore our regional pages for the Costa Blanca, the Costa del Sol and Mallorca.
Frequently asked questions
How much does a holiday home in Spain earn net?
For a well located apartment with a licence, the gross rental yield is 6 to 7% of your total investment. With capital growth added, the total return comes to an indicative 10 to 15% per year. What remains net after that depends on management, platform fees, community charges, tax and maintenance; those items are set out in euros above.
How many nights a year can I let?
Count on 120 to 180 let nights for a property close to the beach or the centre. July and August are usually full, the shoulder seasons run at half strength and the winter depends on the location. Subtract from that the weeks you want to use yourself.
What tax do I pay on my Spanish rental income?
As a non-resident with an address in the EU you pay 19% income tax on your net rent, that is after deducting costs in proportion to the number of days let, through a Modelo 210 return. For the period the property stands empty you also pay a flat-rate levy on the cadastral value.
Do I need a licence in order to let?
Yes, for tourist letting you need a regional licence number almost everywhere in Spain, and it must appear in every advertisement. The platforms have been checking this actively since 2026. Always check the statutes of the owners association as well, because more and more developments rule out tourist letting.