Despite the crisis and the slumping housing market, buying properties again gains importance as the main option for a safe and profitable investment.
With the fickleness of stock exchanges, and the general fear for the insecurity of bank deposits after the financial crisis in Cyprus, many savers decided to return to the brick to defend their savings and incomes.
In order to obtain an immediate and satisfactory profitability, through the rental of a property, small savers purchase in cash, look for second hand, simple andcheap flats , with prices below € 150,000, in the center of big cities.
Among them, Barcelona is one of the cities with the highest returns, which in some cases can reach up to 7% in the most central areas, well above the common bank deposits.
Furthermore, in the area of the Old Town of Barcelona, owners take advantage of the great movement of tourists and choose to convert their apartments in tourist apartments that are rented by weeks and can get even higher returns.
Another factor favoring property investment is the local legislation that allows not to declare the rental income from a long term contract in the personal income statement, if the tenant is less than 30 years old, increasing profitability. Considering the large number of students and young professionals who choose to live in downtown Barcelona, the business for the owners may be perfect.
