Holidaymakers often wonder if they should buy a second home instead of renting it out in the summer for a few thousand euros a week.
Health crisis Corona virus infection covid-19 marked the strong return of secondary housing to the real estate landscape. A farmhouse in Percheron, a Provençal farmhouse or a golden stone building in Périgord: this is now the dream of 50% of French people!
Back in effect for secondary housing
However, a vacation home has costs not only to purchase, but also to use, which are between 1 and 3% of the value of the property each year. As Le Figaro Immobilier reminds us, “to balance costs or even generate additional income, seasonal rentals are a long-term solution, provided you choose a quality property with an attractive location.”
Faced with this problem, Prelaa French pioneer in the acquisition of shared ownership of secondary housing, has just published in Occitania a choice of five cities located within 2 hours of Montpellierwhere the profitability of renting a second home is particularly attractive.
Therefore, Prello has compiled a list of these less popular cities located, but which nevertheless turn out to be very profitable.
But then where to invest? often Tuke, Baule, Lakanova or Arcachon are favorites among second-home buyers. These cities, located on the shore of the sea or ocean, reminiscent of sun and rest, really have serious advantages. However, other places that we do not think of spontaneously, whose resonance sometimes does not go beyond the regional framework, can provide excellent rental profitability.
The city of Narbonne (Aude) on the shores of the Mediterranean Sea stands at the top of the cities to invest in, 2 hours from Montpellier. This is the commune of Aveyron, Severac-d’Averonwho rises to the second step of the pedestal of honor, followed by another city of Od, Leukat who rounds out the top three.
● Narbonne (Aude): 14.19% of gross yield
● Sévérac-d’Aveyron (Aveyron): 12.90% gross yield
● Leucate (Aude): 12.40% gross yield
● Mouriès (Bouches du Rhône): 11.18% gross yield
● Anduze (Gard): 10.99% gross yield
More than two-thirds of owners now rent their properties for at least part of the year
For Louis de Jouvancourtco-founder and CEO of Prello: “Buying a second home has long been seen as a pleasure to buy, but also a big expense. Today, the situation is completely different: more than two-thirds of owners now rent out their properties for less than part of the year to cover all or part of the costs this generates, and almost one in three second homes in Europe are bought with the intention of renting out,” he explains.
The attraction of vacationers for this type of accommodation is growing
“This development is explained by the growing attraction of vacationers to this type of housing, as well as the awareness of the owners of the income they can get from it. However, to put all the advantages on your side, it is necessary to “invest in a good location. As always, the location makes the investment. You should also offer a clean and well-equipped home, like home!”
To compile the ranking, Prello was based on the gross profitability of the property, calculated according to two different indicators: namely the estimated revenue of Airbnb by municipality and the price per square meter in the city.
Prello chose cities with more than 3,000 inhabitants in 2019 (INSEE figures) with a secondary residence rate in 2018 of more than 10% (observatoire des Territoires figures).