Holiday Home vs. Permanent Home in Spain
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Buying a Holiday Home vs. Permanent Residence: What’s Right for You?
11 May 2025

Buying a Holiday Home vs. Permanent Residence: What’s Right for You?

Are you dreaming of owning a property in Spain’s stunning Costa Blanca region? Whether you’re drawn to the sun-soaked beaches, Mediterranean lifestyle, or the promise of a new adventure, one big question stands in your way: Should you buy a holiday home or a permanent residence?

At AP Properties Spain, we’ve helped countless clients navigate this decision. Both options come with unique benefits, but choosing the right one depends on your personal needs, goals, and lifestyle. Let’s dive into the key differences, advantages, and things to consider when deciding between a holiday home and a full-time residence.

What is a Holiday Home?

A holiday home is typically used for short-term stays—weekend getaways, school holidays, or seasonal escapes. Many buyers from abroad choose Costa Blanca for its fantastic weather, picturesque coastal towns, and easy accessibility from the rest of Europe.

Advantages of a Holiday Home:

1. A Personal Escape:
Imagine having your own retreat waiting for you—no need to book accommodation or deal with the high prices of peak season travel.

2. Rental Income Potential:
When you’re not using it, a holiday home can generate income through short-term or mid-term rentals. The Costa Blanca remains one of Europe’s most visited regions, making it a popular spot for holiday lets.

3. Less Commitment:
Owning a second home doesn’t require a complete lifestyle change. You can enjoy Spain at your own pace while maintaining your main residence elsewhere.

4. Long-Term Investment:
Property in this region tends to appreciate in value, making it a smart long-term asset with strong resale potential.

What is a Permanent Residence?

A permanent residence is a home where you live year-round or for most of the year. It's about starting a new chapter—perhaps retirement, remote work, or raising a family in Spain.

Advantages of a Permanent Residence:

1. Full Immersion:
Living permanently in Spain lets you truly become part of the community. You can learn the language, embrace the culture, and enjoy the slower pace of Mediterranean life.

2. Better Value for Money:
If you're staying long-term, you're more likely to get your money’s worth from your property investment—no more paying for flights and hotels multiple times a year.

3. Local Benefits:
Permanent residents can access local healthcare, schooling for children, and potentially tax advantages depending on residency status.

4. Lifestyle Upgrade:
Many people move to Costa Blanca permanently for better weather, healthier living, and reduced stress. The quality of life here is a major draw. Imagine waking up in the morning and (almost) always see a shining sun.

Key Considerations When Deciding

Here are some practical factors to weigh up when choosing between the two options:

1. Time Spent in Spain

  • Holiday Home: Ideal if you plan to spend only a few weeks or months per year.

  • Permanent Home: Better if you're staying for extended periods or moving completely.

2. Budget

  • Holiday homes can sometimes be smaller or located in high-demand tourist areas, which may increase the price per square metre.

  • Permanent homes might be slightly further inland or in local neighbourhoods, offering more space and better value for money. Have you checked our beautiful La Romana already? A fantastic place if you are looking for a permanent home.

3. Purpose of the Property

  • Is it purely for leisure, or are you planning to work remotely, retire, or enrol your children in school?

  • Your purpose will help determine the type of amenities and infrastructure you need nearby.

4. Legal & Tax Implications

  • Residency status can affect your tax obligations in both Spain and your home country.

  • At AP Properties Spain, we can connect you with trusted legal and tax advisors to help you understand your situation clearly.

5. Rental Income Strategy

  • Holiday homes offer greater short-term or mid-term rental income but require active management, for sure now the law around tourist rental changed several times over the last years.

  • Permanent homes are more suited to long-term rentals if you ever choose to rent them out.

Why Costa Blanca is Perfect for Both

Whether you're looking for a lock-up-and-leave apartment by the beach or a spacious villa to call your forever home, Costa Blanca offers it all. With over 300 days of sunshine a year, an excellent healthcare system, international schools, and a vibrant mix of Spanish charm and expat-friendly services, this region caters to all types of buyers.

Some popular areas for holiday homes include:

  • Benidorm – lively, beachside, and always in demand.

  • Torrevieja – ideal for sun-seekers with a thriving rental market.

  • Calpe and Altea – charming coastal towns with a blend of tradition and tourism.

Top spots for permanent living include:

  • Javea – a family-friendly town with excellent schools and local life.

  • Moraira – peaceful, upmarket, and perfect for retirement.

  • Orihuela Costa – a mix of local amenities and international communities.

  • La Romana - a wonderful traditional Spanish village to enjoy fantastic views and the ideal base for all your excursions on the Costa Blanca or Costa Calida

Still Not Sure? Let’s Talk.

At AP Properties Spain, we don’t just sell homes—we help you find the lifestyle you’re looking for. We take the time to understand your needs, and our local expertise across the entire Costa Blanca and Costa Cálida means you’ll get personalised advice every step of the way.

Whether you’re looking for a sun-soaked escape a few times a year or a brand-new beginning in Spain, we’re here to help you make the right choice.

Ready to start your property journey?

Contact us today to discuss your dream home in Spain—we’ll help you find the perfect fit, whether it’s a holiday haven or your next forever home.

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