Rental Investments

Rental Investments

With 2016 being commended as a historic year for Portugal, and 2017 continuing with the country winning 10 International Travel Awards, plus adding to its Michelin stars, Portugal seems set on a positive trajectory forward.  

Lisbon, the capital has received considerable international attention appears poised to take a lead as the new creative and digital capital of Europe. Over the last two years it has attracted globally known artists, events and further developed its strong wine and food culture

The Algarve, in southern Portugal, has seen a considerable increase in tourism and investment in holiday homes and rental properties. Known as the tourism capital of the country it has proven successful in managing tourism volumes well in excess of its own population. The region recently receiving not one, but five tourism “Oscars”, including “Best Tourism Board” for the second year in a row and positioned the Algarve as the big winner of the 2017 Publituris Travel Awards.

Algarve Tourism History & Indicators

Looking back to the period between January to May, growth rates were strong and increased compared to the same period in 2016. According to leading indicators, the income acquired for this duration totalled €240MM in comparison to the €200MM for 2016,  a growth of 19.7%.

Overnight stays, in January to May 2016 were 5.2 million whereas in for the same time period in 2017 they had risen to 5.7 million, showing an increase of 9.5%.

In 2016, Faro airport recorded just over 7.6 million passengers arriving into the Algarve, this figure was up 18.5% in 2015. In the first 8 months of 2017, (January-August) over 6 million passengers had arrived into the Algarve, up 13.9% over the identical period for the previous year, which recorded 5.3 million passengers. These figures are a clear indicators of how Portugal’s tourism, mainly the Algarve, is growing annually.

Algarve Rental Market

The region has seen continuous increase in homeowners making the decision to rent their properties during peak seasons, allowing for directly benefit from the growing tourism industry. Foreign investment in Algarve real estate market for rental income has also been on the rise as investors  become more aware of the regions potential. Properties purchased for rentals have consisted of two (or more) bedroom apartments, sometimes multi unit purchases as well as villas, and estates. These investments have also been supported through financial incentives issued by the Portuguese government, through programs such as Non Habitual Residency, Golden Visa amongst others.

Algarve Rental Services

Ideal Homes Rentals Package helps ensure your property is seen by would-be holidaymakers in the competitive rentals market, along with taking the stress out of the bookings process - meaning you can sit back, relax and reap the benefits. Some of the services provided are as follows;
  • Arrangement of adverts placed across an established network
  • Full rental administration
  • Deposits, payments etc paid seamlessly into you account
  • Flat rate commission