What your property earns per year, after costs
The calculator works from gross rental income to net yield. You enter the purchase price, the expected nightly rate and the occupancy. The tool deducts fixed costs and compares the result against your own investment. The figure is an indication, not a guarantee.
How the region affects the outcome
A percentage only means something if you can compare it. These three areas on the Costa del Sol behave differently. The difference lies in the nightly rate and occupancy outside the high season.
Six factors that determine the outcome
A good return starts with the purchase, not the rental.
Choose the right location
Walking distance to the beach, town centre or golf course reduces vacancy. This is the factor that has the greatest impact on the calculator.
Invest in interiors
A well-styled property commands higher nightly rates and better reviews. Factor this into the calculator by entering a higher nightly rate.
Use dynamic seasonal pricing
A fixed annual rate means leaving money on the table in July and August. Enter a weighted nightly rate, not a flat annual average.
Buy below market price
The purchase price is the denominator in every return calculation. Every euro you save on the purchase price has a positive impact on all subsequent years.
Reduce vacancy rates
Occupancy is more important than the nightly rate. Shorter minimum stays and quick turnovers increase the number of nights booked.
Arrange your rental licence in good time
Without an Andalusian rental licence, you are not permitted to offer holiday rentals, and platforms will take your listing offline. Include the application costs in your initial budget.
Frequently asked questions
How the calculator works and what you need to enter yourself.
A net return of 4 to 8 percent per year is realistic on the Costa del Sol, excluding capital appreciation. Where you fall within that range depends on location, property type, and financing. We use conservative assumptions, not peak figures.
The tool deducts management and platform fees, community charges (VvE), IBI, insurance, energy, and maintenance from the gross rent, and includes Spanish taxes if desired. You can account for vacancies via the occupancy rate. Adjust the default values to match your property, otherwise, the result may be too optimistic or too cautious.
A mortgage increases the return on your equity through leverage, but monthly repayments reduce your net cash flow. This calculator works without financing. Use the mortgage calculator to determine your monthly repayments and subtract them from the net rental income.
Yes, for both existing and new-build properties. With new builds, maintenance costs are lower in the first few years, and rentals only start after completion. Therefore, calculate rental income from the completion date, not the purchase date.
The tool uses market averages for the Costa del Sol. It remains a model, not a guarantee. Actual rental income fluctuates by season and rental strategy. Use the result to compare properties, not as a commitment.
Ready for your next step on the Costa del Sol?
Whether you are looking for a second home, an attractive investment or a place under the Spanish sun: we are happy to help you make the right choice. Book a free introductory call and discover which options match your wishes.
