We’ve all been there – spending an idyllic week in Spain, and before you know it you’re loitering outside estate agents and fantasising about a little bolthole that provides a holiday retreat together with a rental return, and maybe a ready-made retirement home.

For most, reality kicks in when the plane lands in the UK, but others see it through, some more successfully than others. So what are the crucial elements to the process that will ensure a happy and successful outcome?

Most importantly, remember that a holiday is not a proper yardstick for making decisions about a long term residence. The seasons change dramatically in Spain, so an area or a property that’s perfect for a week in the summer may be completely unsuitable at other times of the year.

• Holiday complexes can feel like ghost towns outside the holiday season, so choose carefully, and consider areas that are not only focused on holiday living
• Holiday apartments don’t necessarily make for comfortable year-round living – you will probably want to be well away from the noise of children and ‘night owls’
• Summers are hot, but winter can be very cold. The property of your choice must be airy and have good ventilation and/or air-conditioning, but it must also be fitted with heating.
• Try and get the balance right between buying something that is good for letting and also saleable in the longer term
• Look carefully at the costs of maintenance and upkeep

The ideal rental investment:

Location is the most important issue. You need to be able to offer local facilities, entertainment, restaurants, and accessibility to the airport and bus routes, without necessarily being on top of them. The noise factor if you’re too close can become overwhelming if you spend a considerable amount of time at the property, and it can be off-putting for those renting your property.

For the best rental opportunities, it’s a huge bonus to have access to a pool, even if the property is within walking distance of the sea.

If your property is in a great location you can command good prices, especially in the summer months. And if you’re not tied to school holidays, there are plenty of opportunities to enjoy your own property outside the high season when things are quieter, and the heat less intense.

An ideal example would be a two or three bedroom apartment with good communal facilities within walking distance, but not in the middle of, a town such as Puerto Banús or Marbella. You’re looking for an attractive town with restaurants, markets, shops and bars. If you can get to all these, and a beach, on foot, but are living in a quieter location, then it’s a win win situation.

So make sure you choose very carefully, seek plenty of advice, and try not to be blinded by the heady feeling of euphoria you get from your holiday in the sun! If you get it right, it can be a wonderful situation, and you might even end up living in Spain permanently.

The city of Valencia has the buzz of Barcelona but with half the population and homes at a fraction of the price.

Thanks to Liz Rowlinson for including some of my comments about Valencia in her Daily Mail article of 6.8.10:

http://www.dailymail.co.uk/property/article-1300838/Valencia-buzz-Barcelona-far-lower-prices.html