The return on investment when buying a holiday home
You have assets and are unsure what to invest in. In more and more municipalities it is becoming more difficult or even impossible to invest in real estate. A good alternative is then recreational real estate or holiday homes. As is the case with regular houses, the market for holiday homes is characterized by scarcity, which causes prices to rise sharply.
This makes the investment risk low, unlike investing in the stock market, for example. At the same time, there is an interesting average return of several percent. Investing in recreational real estate, especially when you do so with a reputable party such as EuroParcs, is a serious option.
Why EuroParcs?
EuroParcs is one of the top three largest vacation park providers in the Netherlands, making it an interesting business partner when it comes to investing in recreational real estate.
The strength of the Dutch company to bring holiday homes to the attention of a large public in terms of marketing and PR, provides assurance of a good return on investment. EuroParcs explains the investment opportunities not only verbally, but also in writing, including return calculations.
The advantages of investing in a holiday home
Investing in recreational real estate is interesting compared to regular real estate simply because the purchase price is lower.
You can buy a vacation home from as little as one hundred thousand euros, although it is necessary to act quickly because a lack of supply causes prices to rise. Furthermore, if you buy the vacation home purely for rental purposes, you can reclaim the VAT.
Recreational real estate also offers the advantage that, when you rent out the holiday home commercially, you are taken care of from A to Z in terms of cleaning, small maintenance and security.
An investment at EuroParcs
EuroParcs also distinguishes itself from other vacation park providers in that you have the opportunity to invest not only in recreational real estate but also the accompanying land. This makes the investment at least even more stable in value and also gives you more legal certainty towards the distant future in case of changes at the park.
Our sales advisors answer all your questions
After the firs contact, you will receive information documents about your preferred park. EuroParcs has documented all the advantages of buying a vacation home and what is involved so that you don´t miss any information.
You will also be assigned an experienced sales advisor who will personally provide you with further information and guidance when you decide to buy. Want to know more? Check out our online offer and make an appointment with a buying advisor.
Your own choices when buying a vacation home
EuroParcs can not give a ready-made answer about everything, some choices are personal.
Consider the question of the location of the vacation home: near the water, in the woods, in the hills or elsewhere. This is really a matter of taste: EuroParcs' parks are all in beautiful locations, which one appeals most to you is a personal consideration.
Is investing in a holiday home wise?
Finally, what is the answer to the key question of whether investing in a vacation home is wise? It depends on your expectations.
If you need financing to buy a vacation home, the mortgage costs come at the expense of the return. If you want a higher than average return, that also requires a higher investment amount.
In general, the larger a vacation home is, the more vacation guests can stay in it and the higher your return on investment in recreational real estate. But when you can buy a vacation home with your own funds, you can speak of a solid investment with solid expectations.
Are you intrested? Then take a look at our online offer before meeting with an experienced sales advisor!
Frequently asked questions about investing in a holiday home
After the purchase, how long does it take until the vacation home is in the rental?
It depends on whether you bought a new or existing holiday home. If it is the latter, the holiday home can be rented out shortly after the purchase. If the holiday home has yet to be built, you must be patient for several months on average.
Are there any disadvantages to buying a holiday home?
Actually only one: due to a change in the law, when you buy a vacation home to put it up for rent, you will pay 8% transfer tax. Before 2021, it was 2% or 6% depending on the type of property.
May I stay in the holiday home myself if it is commercially leased?
EuroParcs contractually states that you can have two weeks of private use of your property per year if you have chosen to rent out the vacation home as much as possible. Longer private use is possible but at the expense of rental income.