If you’re considering buying a vacation home in Europe, the continent offers a wide range of locations that are ideal for investment, rental income, or personal retreats. Here are some of the best places to consider for purchasing a vacation home in Europe, based on affordability, rental potential, and lifestyle appeal.
1. Algarve, Portugal
- Why Buy: The Algarve region in southern Portugal is a popular destination for its sunny climate, beautiful beaches, and affordable real estate. With a strong tourism industry, properties here can generate excellent rental income, particularly during the summer. The Algarve also benefits from Portugal’s Golden Visa program, which attracts non-EU buyers with the option of residency.
- Top Locations: Lagos, Albufeira, Tavira
2. Costa Brava, Spain
- Why Buy: The Costa Brava coastline in Catalonia is known for its charming fishing villages, beautiful beaches, and proximity to Barcelona. It’s a popular vacation spot among both Spanish and international tourists. Property prices are relatively affordable compared to Barcelona, making it a good investment with strong rental potential.
- Top Locations: Tossa de Mar, Begur, Cadaqués
3. Crete, Greece
- Why Buy: Greece offers stunning island locations, with Crete standing out for its natural beauty, historical sites, and relaxed lifestyle. It’s one of the more affordable Greek islands, and its long tourist season ensures good rental returns. The island’s growing popularity among expats and vacationers adds to its investment appeal.
- Top Locations: Chania, Rethymno, Heraklion
4. Tuscany, Italy
- Why Buy: Tuscany offers a blend of countryside charm and historical appeal, making it ideal for those looking for a peaceful escape. Properties in Tuscany, especially near popular towns and vineyards, have great potential for vacation rentals. The region attracts tourists year-round, thanks to its scenic landscapes, wineries, and historical sites.
- Top Locations: Florence, Lucca, Siena
5. French Riviera, France
- Why Buy: The French Riviera is a prime location for luxury vacation homes, known for its Mediterranean climate, glamorous lifestyle, and vibrant tourism scene. While property prices are high, the area’s prestige and rental income potential make it a worthwhile investment, especially for high-end and luxury rentals.
- Top Locations: Nice, Cannes, Antibes
6. Andalusia, Spain
- Why Buy: Andalusia is a culturally rich region with a warm climate and beautiful beaches along the Costa del Sol. Property prices are generally more affordable than other parts of Spain, and cities like Málaga have become popular for their mix of culture, modern amenities, and beach access. The area sees high rental demand year-round.
- Top Locations: Marbella, Málaga, Nerja
7. Dubrovnik, Croatia
- Why Buy: Dubrovnik is a UNESCO World Heritage site known for its stunning architecture, Adriatic coastline, and unique charm. With Croatia’s increasing popularity among international tourists, Dubrovnik offers solid rental potential during the peak summer months. Coastal properties here are in high demand and hold long-term value.
- Top Locations: Dubrovnik Old Town, Lapad Peninsula, Cavtat
8. Provence, France
- Why Buy: Provence is famous for its picturesque landscapes, lavender fields, and Mediterranean climate. It’s an attractive choice for buyers seeking a rustic countryside experience. Vacation rentals are popular during the summer and wine harvest seasons, with demand for properties in traditional villages and scenic countryside settings.
- Top Locations: Aix-en-Provence, Avignon, Gordes
9. Amalfi Coast, Italy
- Why Buy: The Amalfi Coast is a high-demand area for luxury rentals, known for its cliffside views, beaches, and charming coastal villages. While property prices are steep, the exclusivity and popularity among tourists ensure strong rental returns. The region’s cultural appeal and breathtaking scenery make it a solid investment.
- Top Locations: Positano, Amalfi, Ravello
10. Sicily, Italy
- Why Buy: Sicily is an affordable option compared to mainland Italy, offering Mediterranean beaches, historic towns, and a distinct cultural vibe. The island attracts tourists year-round, particularly those looking for a mix of beach and culture. With lower property prices, Sicily presents an excellent investment opportunity with high rental potential.
- Top Locations: Taormina, Palermo, Cefalù
11. Lake District, United Kingdom
- Why Buy: The Lake District in England is a popular destination for both local and international tourists due to its stunning lakes, mountains, and villages. It’s ideal for those looking for a countryside retreat, and properties here have strong rental potential, especially in the summer. The area also benefits from being easily accessible from major UK cities.
- Top Locations: Windermere, Keswick, Ambleside
12. Lisbon Coast, Portugal
- Why Buy: Lisbon is a vibrant, growing city that has become a hot spot for expats, digital nomads, and tourists. Coastal suburbs and nearby towns offer beach access with city amenities, making them ideal for vacation homes. The region has strong rental demand, especially during the summer, and Portugal’s favorable tax policies for foreigners make it attractive.
- Top Locations: Cascais, Estoril, Ericeira
13. The Azores, Portugal
- Why Buy: The Azores are a group of islands with lush landscapes, hot springs, and a mild climate, perfect for nature lovers. The islands are still emerging as a tourist destination, meaning property prices remain relatively low, with increasing potential for long-term value. The Azores are ideal for buyers looking for a tranquil, unique retreat.
- Top Locations: São Miguel, Terceira, Pico
14. Canary Islands, Spain
- Why Buy: The Canary Islands have year-round warm weather, making them a popular choice for vacationers and snowbirds. The islands attract tourists throughout the year, ensuring consistent rental income potential. Affordable prices, beautiful beaches, and a relaxed lifestyle make the Canaries a solid investment choice.
- Top Locations: Tenerife, Lanzarote, Gran Canaria
15. Bled, Slovenia
- Why Buy: Lake Bled is known for its scenic beauty, with a lake surrounded by mountains, a medieval castle, and an island with a picturesque church. Slovenia’s affordability compared to Western Europe, along with the appeal of Lake Bled as a tourist destination, makes it a unique and cost-effective investment choice.
- Top Locations: Lake Bled, Bohinj, Kranjska Gora
Summary
In Europe, the best places to buy a vacation home depend on whether you’re prioritizing rental potential, property affordability, or personal use. Portugal and Spain offer affordable coastal options, while Italy and France provide luxury and cultural appeal, especially in high-demand areas like the French Riviera and Amalfi Coast. For year-round warm weather, Canary Islands and Algarve are excellent choices, while Tuscany and Lake Bled are perfect for those seeking scenic retreats. Each location offers a unique mix of lifestyle, culture, and financial benefits, making Europe a diverse and attractive market for vacation homes.
