One of the key reasons for buying a property in Italy is to rent it out as a holiday home. Here we look at some of the ways you can benefit from renting out your Italian property.
You can take advantage of a booming market. Private self-catering homes continue to be extremely popular as first choice accommodation for many travellers. They provide a homely and comfortable atmosphere, especially for families. Choose your location wisely and there could be a steady stream of clients knocking at your front door.
It’s fun to experience running a small business. Have you always wanted to run your own small business? Now is your opportunity! And what better place to do this than in Italy?
Buying a property in Italy could allow you to enjoy a regular and healthy income. Investing in property still makes good sense and is relatively low risk compared to other investments. This is good news in the age of low interest rates, stock market volatility and financial scandals. The favourable climate means that Italy is a popular holiday destination throughout the year. This means that you could have a very high occupancy rate and therefore a sizeable income. If your property is located in a popular location, the school summer holiday period could be a particularly lucrative season.
What’s more, there is increasing interest in rentals from companies. Firms are increasingly booking self-catering accommodation for business trips, getaway weekends, and corporate team-building activities. Others are offering them as prizes instead of the customary hotel stays.
A business will enable you to cover your property’s expenses. It can be a struggle to keep up with the annual expenses of a property that lies empty for long periods of each year. Buying a property in Italy and then renting it out to holiday guests can help pay off those expenses.
Moreover, running a rental business will allow you to gain attractive tax relief. You can offset your mortgage interest against any rental income and the upkeep of the property, which can provide attractive tax advantages.
After a certain timeframe, you could sell it on as a thriving business. Should you wish to sell your property, you could sell it as a thriving and profitable business.
Your own small business will contribute to the local economy. Holiday rentals make a surprisingly large contribution to the local economy. Statistics show that holidaymakers staying in self-catering accommodation spend more in the local community than those staying in hotels. This isn’t surprising as they have to use the local shops, restaurants, services etc. The local community will therefore come to appreciate you, especially when you recommend the local businesses and amenities.
You’ll be able to offer help to the extended family. Many homeowners testify to the joy that they experience in being able to open up their homes to their children and spouses, their grandchildren, and even distant relatives. Family gatherings take on a new and exotic meaning!
How to successfully rent out your Italian home
After reading all of the above, you may be beginning to think seriously about renting your Italian property out and wondering how best to do this. There are a quite a lot of issues to take into consideration, but don’t be overwhelmed! Here are seven steps you need to take to successfully rent out your Italian home.
- Think carefully about your target market
Are you targeting families? Are they likely to have babies and toddlers? Or teenagers? Or is your target young professionals who might want to go in a group of two or three couples? Or older couples who might want good accessibility? What about pets: welcome or not?
- Prepare your property accordingly
Depending on the conclusions you came to above, then spend some time and money on setting the place up for the specific needs of that type of customer. A family with young children might need a high-chair, baby cot, stair-gates, plug socket covers, child-proof cupboard doors, window locks etc. Older children might need sports equipment, or a leisure room where they can play music and chill out away from their parents. Senior citizens might require wheelchair ramps, non-slip flooring, stair rails, non-skid bath mats, grab bars in the shower or bathtub.
- Consider what it’s like out of season
If you want to maximize your rental income after buying a property in Italy you may want to take bookings all-year-round. So think about how to heat your house in the winter months and the cooler evenings of spring and autumn. An open fire may look very attractive, but a wood burner is a more efficient and economical source of heat. If your property does not have central heating in all the rooms, consider oil-filled radiators, which are cost-effective heating options.
- Invest in marketing
You need to make it as easy as possible for potential tenants to find your property, particularly but not exclusively online. This might require spending a bit of money, but it will be money well spent and easy to recuperate if it leads to reservations.
- Use a simple booking system
There’s nothing so frustrating as deciding on a holiday home and then being faced with all types of online registration, reservation and payment hurdles. If it’s too difficult to make a reservation, your potential client will simply go elsewhere. Ensure that people can book quickly and easily, ideally online. Get your friends to test out the booking process. You need to convert an enquirer into a paying customer as quickly and smoothly as possible.
- Be available to provide support before, during and after their stay
This is an essential part of the business. Being able to respond to a question or solve a problem quickly and efficiently can be the difference between a satisfied customer or a grumpy one. And you know which one is likely to recommend your home or make a repeat booking! In practice, this means having someone on the ground to hand over the keys, deal with any issues during their holiday, and check the property at the end in order to refund their deposit.
- Employ an experienced property management company
At Italian House Hunters we are happy to help you with all the aspects mentioned in #6. We can also organise the cleaning of the property between rentals, and take care of any maintenance tasks needed. In other words, we will take good care of your property – and your tenants – allowing you to sit back and relax, knowing that the property and your tenants are being well looked after.
Buy a property in Italy with Italian House Hunters
Italian House Hunters can help you every step of the way. From the initial search through all the paperwork, rules and regulations to the signing of the contract – and even beyond to rental advice. We have an extensive local network and can locate properties that are under the radar. Moreover, we’ll help you get the best deal possible!
Italian House Hunters are on a mission to help Italophiles from around the globe find and buy their dream house. Our experience is priceless and our expertise comes at no risk to you. If your search proves unsuccessful or if your purchase falls through, we won’t charge you.
Contact Italian House Hunters today.
