It is not only the owners of more modest holiday homes who want their property to pay for itself! People who are about to buy a luxury villa abroad also often have this wish. And there is good news! Luxury villas can pay for themselves in at least six different ways.
Recovering part or even all of the annual costs by making the luxury villa profitable… Those who attach importance to profitability and a positive cash flow will not say no to this!
Owners of foreign luxury villas have several options to make this possible!
Table of Contents
- 1 Professional rental programme
- 2 Specialised online rental companies
- 3 Payment in kind – Exchange programme
- 4 Rentals from private individual to private individual
- 5 Your villa as an event location
- 6 Your villa as a business | Luxury villas can repay themselves
- 7 Conclusion: Luxury villas can repay themselves
- 8 Offer of luxury villas for sale for private use + rental
- 9 Rather looking for smaller buy-to-let properties?
Professional rental programme
You may have your eye on a gem of a villa located in a resort. In such a case, there is a chance that you can include your villa in the rental programme of the resort operator.
In other words, as the owner of a luxury villa in a resort, you can often rely on a team of experts. The rental is fully taken care of and you have no worries. So renting out your luxury villa is possible without a care in the world.
The operating company of the rental programme bears responsibility for marketing, bookings, maintenance, cleaning, etc.
Depending on the resort, owners can expect guaranteed annual rental income. In return, you have to make peace with a limited number of days that you can use the villa yourself.
During the rest of the year, the villa is then made available to tenants through the resort’s rental programme. Tenants can then rent the villa as hotel accommodation.
This option is most suitable if you are the owner and will use your luxury villa for a maximum of a few weeks per year. In such a case, this practical solution has the advantage that the rental income covers the costs of the villa. And this in a professionally run resort.
Keep in mind that the annual maintenance costs of a luxury villa can be high. But the other side of the coin is that the rental prices for such gems are much higher (sometimes up to EUR 35 000 per night).
In other words, even the more extreme luxury villas can pay for themselves as both costs and benefits are higher!
We also made detailed information on the advantages and disadvantages of foreign property investments with guaranteed rental income [AVAILABLE SOON].
Specialised online rental companies
Did you know that there are also online rental companies that specialise in renting out luxury villas? Exclusive villas can pay for themselves thanks to these online niche platforms. These platforms provide an excellent service to both owners and tenants.
Examples of such online rental companies are Le Collectionist and Villas of Distinction.
Le Collectionist guarantees exceptional villas in breathtaking locations. Each villa on this platform is unique and exudes character and class.
Villa tenants can count on an excellent service comparable to that of a five-star hotel. A personal concierge is appointed who is constantly at your disposal.
As a tenant, you can also count on personal chefs, masseuses and drivers. In short, everything you could wish for as a tenant to spend your holiday in ultimate luxury.
As a landlord, you can count on the network of Le Collectionist, members who have sound values. Often, the tenants themselves are also owners of a luxury villa.
If you want to rent out your villa through Le Collectionist, you can do so online or submit an application directly.
Villas of Distinction also offers a broad portfolio of unique luxury villas in over 50 countries worldwide.
As a tenant, you can turn your wishes and dreams into reality at this company. As a tenant, you can go there for:
- Romantic getaways
- Family holidays
- A golfing trip with some friends (buying golf course property – pros and cons [AVAILABLE SOON])
- Corporate events
As a tenant of a luxury villa, you are assigned a personal concierge. This person welcomes you with open arms as soon as you arrive.
The concierge ensures a flawless holiday and can engage a personal cook. The organisation of tailor-made excursions is also no problem for Villas of Distinction.
If you wish to rent out your luxury villa through this company, you can submit an application online.
Payment in kind – Exchange programme
Another way to make money from your foreign luxury villa is by getting paid in kind. Yes, you read it correctly. Luxury villas can pay for themselves, in kind!
In fact, there are also online companies that specialise in luxury villa exchange programmes. In other words, by periodically exchanging your villa, you can use another luxury villa in another country for free.
So you do not receive hard cash when people use your villa. But you will receive free accommodation in a luxury villa at a destination of your choice.
For the adventurers and globetrotters among the owners of luxury properties, this can certainly be interesting! Free stays in the world’s most luxurious villas… There are less nice things!
A good example of an online exchange platform for luxury villas is THIRDHOME.
Feel free to take a look at this website, it can be inspiring!
If you are interested in becoming a member of this platform as an owner of a luxury villa, you can submit an application online.
Rentals from private individual to private individual
Airbnb is the market leader in consumer-to-consumer holiday rentals. Airbnb has revolutionised the rental market for holiday accommodation.
Airbnb is putting pressure on traditional hotel chains and offers home owners the opportunity to rent out their property to a tenant, often on a short-term basis.
In other words, luxury villas can pay for themselves by their owners finding tenants through Airbnb.
You just pay Airbnb a percentage per booking and that’s it.
There are also many other portals where you can rent from private individual to private individual. Examples are websites such as:
On these platforms, you either pay a fixed amount per year to promote your property or you pay a commission per booking.
The disadvantage? Managing your luxury villa and its guests can be time-consuming and stressful. People are demanding and if your luxury villa is several thousand kilometres away, there is also a distance barrier.
As the owner of a luxury villa, you actually need an extension on the spot. Someone who can stay on the ball at all times.
You must be able to trust such a person and this person or party must have a sense of responsibility. When there are complaints or problems, this person must be able to intervene quickly.
Your villa as an event location
Don’t forget that you can also make money in a niche. What is more, often the more profitable investments are those in a very specific niche.
If you are the owner of a unique and exclusive villa, you could position it as an event location.
You then build a brand around it, you have a classy website built, you do promotion, and so on. A luxury villa as an event location is perfect for:
- Film shoot
- Photo sessions
- Corporate events
- Team building, etc
Of course, this is not for everyone, but it is certainly possible. And since a lot depends on unique positioning and perception, you can actually generate some nice income through it.
Your villa as a business | Luxury villas can repay themselves
Suppose you are so attached to your exclusive villa abroad. Then the chances are that you would actually like to live in it permanently.
Well, why not? You can always redecorate your luxury villa and add a revenue model to it. Why not put a small luxury B&B in it? Or a wellness for people who want to enjoy and relax in the ultimate luxury environment?
The advantage is that you can stay in your luxury villa permanently. Additional advantages are that you have something to do, your social life will flourish and you can earn a pretty penny with it.
The disadvantages are that you will have to work hard and that you have never actually done it. With a 9 to 5 mentality, you will quickly scare away many customers. So you need to be made of the right stuff…
Do you prefer to lie in your armchair? Then just don’t start. This is an option for the hard workers, the toilers, the striving people, the enterprising souls who never find peace!
Another disadvantage is that you will most likely have to deal with some local bureaucracy and annoying rules and paperwork.
Conclusion: Luxury villas can repay themselves
Luxury villas can repay themselves in several ways. Hope you found some inspiration above! We recommend that you take a look at the listed websites!
It can really open your eyes to see what online networks exist.
A world of possibilities lies at your feet… Will you take the leap?
Are you looking for a luxury villa for sale that you can rent out? Then check out the following offers:
Offer of luxury villas for sale for private use + rental
Villas with contractually guaranteed returns
- Luxury property for sale in France in Wyndham Halcyon Retreat Golf & Spa Resort:
- 2 weeks free private use per year
- Initial yield of 3% per year, contractually guaranteed, rising to 6 and 8% per year in later years
- Optional resale guarantee:
- Sale at minimum 100% of original purchase price after 5 years
- Sale at minimum 150% of original purchase price after 10 years
- Three types of villas for sale on Samos (Greece) in Hera Bay Luxury Resort:
- Free weeks of private use on an annual basis
- Contractually guaranteed return on an annual basis
- Unique limited offer, in prime location in the bay of Hera on Samos
Rather looking for smaller buy-to-let properties?
A villa is rather large and in most cases requires quite a bit of capital to buy (even if you use a mortgage loan [AVAILABLE SOON] and therefore partly finance it with debt).
So, as an investor, if you want to invest in real estate, it is easier to get into smaller properties in terms of capital requirements. These are not super-sized villas but rather terraced houses, studios, flats, tree houses, garages or plots.
You can buy the following buy-to-let properties as an investment and as a full replacement of the classic savings account.
In addition, you can count on a worry-free rental guarantee [AVAILABLE SOON] and, in many cases, a top return that puts a traditional savings account to shame!
Discover the details below:
- Buy a student room in Leuven as an investment [AVAILABLE SOON] – With years of carefree rental guarantee in top locations and with premium finishes!
- Purchase German real estate with rental guarantee and good returns
- Buy a luxury second home in France at Wyndham Halcyon Retreat Golf & Spa Resort | Invest from 42 500 Euros of your own funds and get up to 8% return. Moreover, enjoy 2 weeks of free private use of your luxury studio or flat!
- Swedish rented houses as investment [AVAILABLE SOON] with up to 7% annual return
- Recreational real estate as an investment in the tourism sector – Participate from EUR 17 230 at a yield of up to 8% per year.
- Luxury property in Montenegro for sale – Free 6 weeks of personal use per year + good gross rental yield (not contractually guaranteed)