Net result if sold in year 10
+€105,065
After all costs, taxes and the mortgage
We could not calculate these assumptions. Change the last value, or reset to the agency defaults.
Annual return (IRR)
3.8%
On your own money
Cash needed at purchase
€197,889
€279,439 incl. yearly shortfalls
Average net cash flow per year
−€8,155
After mortgage payments and tax
Gross yield 3.4%Net yield 1.5%
Good to know
- In some years the rental income does not cover the mortgage and costs. Keep a cash reserve for those years.
Assumptions
Move any slider. The figures update straight away.
Purchase & financing
Source: From the listing (asking price in the agency's CRM) · checked 20 October 2026
€156,000 of own money
Source: Non-resident max loan-to-value: EU 60–70%, non-EU incl. UK 50–60% · checked 20 October 2026
Source: 12-month Euribor 3.2% (Oct 2026) + non-resident spread: 3.9% fixed EU, +0.6 pp non-EU · checked 20 October 2026
Source: Most banks lend non-residents up to 25 years · checked 20 October 2026
Rental income
Source: 4-bed villa with pool in Jávea: €2,600–3,900 a week in peak season; default €3,900 × (price / €1.3M)^0.77, min €500 · checked 20 October 2026
Source: AirDNA Jávea: 62% average occupancy (Sep 2026); split per season is an estimate · checked 20 October 2026
Source: Mid season ≈ 67% of the peak weekly rate · checked 20 October 2026
Source: AirDNA Jávea: 62% average occupancy (Sep 2026); split per season is an estimate · checked 20 October 2026
Source: Low season about £1,400 a week for a 4-bed villa; ≈ 37% of peak · checked 20 October 2026
Source: AirDNA Jávea: 62% average occupancy (Sep 2026); split per season is an estimate · checked 20 October 2026
Source: Agency estimate — adjust (3 weeks of own use, taken from the low season first) · checked 20 October 2026
of gross holiday income
Source: Agency estimate — adjust (channel commission 12%: a mix of Airbnb's host-only fee (~15%) and direct bookings. Cleaning and linen per changeover are charged to guests and passed through, so they are neither income nor cost here) · checked 20 October 2026
VAT on short stays (10%, in force since 8 Oct 2026, pending ratification)
Source: RDL 29/2026: 10% IVA on stays of 30 nights or less from 1 Dec 2026, pending ratification (D-011) · checked 20 October 2026
Source: Jávea long-term rent €11–13/m² a month; default €12/m² built. Without built area: gross yield houses 3.8%, flats 5.0% · checked 20 October 2026
Source: Agency estimate — adjust (long-term vacancy 3–8% by scenario) · checked 20 October 2026
Running costs
of rental income after VAT
Source: Management 15–35% of gross is typical; default 20% + 21% IVA (holiday), 8% + IVA (long-term) · checked 20 October 2026
Source: Xàbia IBI rate 0.85% × estimated cadastral value (no 2026 ordinance found) · checked 20 October 2026
Source: Xàbia rubbish fee €125–273 a year, + €20 per tourist bed place · checked 20 October 2026
Source: Agency estimate — adjust (home insurance €500–900, scaled with the price) · checked 20 October 2026
Source: Agency estimate — adjust (community fees €600–2,400 a year for flats, 0 for a detached villa) · checked 20 October 2026
Source: Agency estimate — adjust (pool service €1,500 a year + garden €1.25 per m² of plot (€600–12,000); flats 0) · checked 20 October 2026
Source: Agency estimate — adjust (utilities €200–550 a month by size; the tenant pays on a long-term let) · checked 20 October 2026
of the property value, each year
Source: Agency estimate — adjust (maintenance reserve 0.5% of the purchase price a year, growing with cost inflation) · checked 20 October 2026
Source: Agency estimate — adjust (gestor / fiscal representative €600 a year; SL accounts and filings €2,500) · checked 20 October 2026
Growth
per year
Source: Scenarios 2% / 5% / 8% a year (D-010). Jávea houses, last 5 years: about +11% a year · checked 20 October 2026
per year
Source: Agency estimate — adjust (rent growth 1.5% / 2.5% / 3.5% a year by scenario) · checked 20 October 2026
per year
Source: Agency estimate — adjust (cost inflation 2.5% a year) · checked 20 October 2026
Exit & tax
Source: Buyer's choice (sell after 5, 10 or 15 years) · checked 20 October 2026
of the sale price, incl. VAT
Source: Agency estimate — adjust (estate agency fee on sale 3–5% + 21% IVA) · checked 20 October 2026
Source: Agency estimate — adjust (plusvalía municipal ≈ 0.5% of the price; depends on the cadastral land value) · checked 20 October 2026
Source: Corporate tax 25% for a holding-only SL (entidad patrimonial, LIS art. 5 and 29, D-012) · checked 20 October 2026
Deduct expenses (2025 court ruling, appeal pending)
Source: Audiencia Nacional allowed deductions for non-EU owners (2025); Supreme Court appeal admitted 15 Jul 2026 · checked 20 October 2026
Value, equity and mortgage
Projection at the end of each year
- Property value
- Equity
- Mortgage balance
Equity = property value minus mortgage, before sale costs and taxes.
Year by year
Swipe sideways to see all columns
| Year | Net cash flow | Value | Mortgage balance | Equity | Gross rental income | Mgmt & ops | Mortgage payments | Tax & VAT | Net cash flow |
|---|---|---|---|---|---|---|---|---|---|
| 1 | −€8,857 | €409,500 | €228,359 | €181,141 | €13,224 | −€7,392 | −€14,667 | −€22 | −€8,857 |
| 2 | −€8,711 | €429,975 | €222,494 | €207,481 | €13,555 | −€7,576 | −€14,667 | −€22 | −€8,711 |
| 3 | −€8,562 | €451,474 | €216,396 | €235,078 | €13,893 | −€7,766 | −€14,667 | −€22 | −€8,562 |
| 4 | −€8,408 | €474,047 | €210,055 | €263,992 | €14,241 | −€7,960 | −€14,667 | −€22 | −€8,408 |
| 5 | −€8,251 | €497,750 | €203,464 | €294,286 | €14,597 | −€8,159 | −€14,667 | −€22 | −€8,251 |
| 6 | −€8,090 | €522,637 | €196,610 | €326,027 | €14,962 | −€8,363 | −€14,667 | −€22 | −€8,090 |
| 7 | −€7,925 | €548,769 | €189,484 | €359,285 | €15,336 | −€8,572 | −€14,667 | −€22 | −€7,925 |
| 8 | −€7,756 | €576,208 | €182,076 | €394,132 | €15,719 | −€8,786 | −€14,667 | −€22 | −€7,756 |
| 9 | −€7,583 | €605,018 | €174,373 | €430,645 | €16,112 | −€9,006 | −€14,667 | −€22 | −€7,583 |
| 10 | −€7,405 | €635,269 | €166,364 | €468,905 | €16,515 | −€9,231 | −€14,667 | −€22 | −€7,405 |
| Total | −€81,550 | €148,154 | −€82,811 | −€146,671 | −€222 | −€81,550 |
Gross rental income − mgmt & ops − mortgage payments − tax = net cash flow. Tax includes VAT on short stays and income tax.
If you sell in year 10
- Sale price
- €635,269
- Agency fee
- −€38,434
- Plusvalía
- −€2,000
- Capital gains tax
- −€43,967
- Mortgage repayment
- −€166,364
- Net proceeds
- €384,504
For a non-resident seller, the buyer withholds 3% of the price (€19,058) and pays it to the tax office. You get it back, or it is set against your capital gains tax. It is a timing item, not a cost.
Purchase costs
- Transfer tax (9.0%)
- €35,100
- Notary & land registry
- €1,170
- Lawyer (incl. VAT)
- €4,719
- Mortgage set-up (valuation, gestoría)
- €900
- Total purchase costs
- €41,889
- Down payment
- €156,000
- Mortgage amount
- €234,000
- Total cash needed
- €197,889