What does a holiday rental in Gran Canaria earn?
On stock Terrivio tracks, gross yield in Gran Canaria is typically 6–9% and net yield 3–5.5% after operating costs and purchase costs. The gap is the whole story: platform fees, cleaning, management, energy, insurance, community charges and local tourist tax often absorb 35–50% of gross revenue.
Worked example: a property at €255,000 let at €110 per night with 66% occupancy books about 241 nights and €26,510 of annual revenue (10.4% gross yield). After 24% variable costs and €3,700 of fixed costs, NOI is about €16,448 — 5.8% net on a total investment of €285,600.
Seasonality — do not annualise a peak week
Like Tenerife, Gran Canaria is a genuine year-round STR market: winter sun from Northern Europe, summer from Spain and the rest of the EU. The south (Maspalomas, Mogán) carries winter; Las Palmas is more city-year-round. 60–72% occupancy is realistic for licensed south-coast stock.
Resort comunidad fees and a noisy commercial strip next door can wipe the yield gap versus the mainland. Confirm tourist-use in the statutes and whether the unit is already licensed before the deposit. Flight-capacity cuts show up in ADR within weeks.
Purchase costs and tax in Gran Canaria
Budget about 12% above the asking price for acquisition costs in Spain. Main item: ITP 6–10% (resale) · 10% VAT + 1.5% AJD (new-build). These costs are gone on day one — that is why Terrivio divides NOI by total investment, not by asking price.
Non-resident EU/EEA owners pay 19% on net rental income (costs deductible); non-EU owners 24% on gross. Annual IBI property tax and Plusvalía on resale apply.
Tourist tax: Catalonia & Balearics: ~€2–7 per night. Usually collected from guests, but it still sits inside your competitive nightly rate.
Short-term rental rules in Gran Canaria
Holiday lets need a vivienda vacacional licence via the Cabildo de Gran Canaria plus Spain's national registry number. Some tourist-saturated zones restrict new licences. Unlicensed listings are fined — do not underwrite 'everyone rents anyway'.
Country overlay (Spain): A regional tourist licence (VUT/HUT) plus the national single registry number (mandatory since July 2025) are required. Barcelona is phasing out tourist flats by 2028; the Balearics and parts of Andalusia restrict new licences.
Popular towns include Maspalomas, Playa del Inglés, Las Palmas, Puerto de Mogán and Meloneras. Each has a different seasonality and licence map — Terrivio scores regulation for the exact city on a listing analysis.
How to calculate yield in Gran Canaria
- Estimate annual revenue. Use a blended ADR and annual occupancy, not a peak-week rate. Booked nights = 365 × occupancy. Then revenue = ADR × booked nights.
- Subtract operating costs. Variable costs (platform, cleaning, management) plus fixed costs (insurance, utilities, community fees, maintenance). A starting point in Gran Canaria is 24% variable plus the fixed costs in the calculator.
- Add purchase costs to the price. Include transfer tax, notary, registry and agency — about 12% in Gran Canaria.
- Divide NOI by total investment. That is net yield. Compare it with your mortgage rate and with a long-term rental fallback before you bid.
Frequently asked questions
Is a holiday home in Gran Canaria a good investment in 2026?
It depends on licence, micro-location and whether you need the weeks yourself. Typical net yields are 3–5.5%. Always underwrite net, never gross, and never assume a peak-week rate runs 365 days.
How do I calculate rental yield in Gran Canaria?
Net yield = (annual revenue − variable costs − fixed costs) ÷ (purchase price + acquisition costs). Annual revenue is ADR × 365 × occupancy. The calculator on this page does that with Gran Canaria defaults.
What are purchase costs in Gran Canaria?
Plan about 12% of the price: ITP 6–10% (resale) · 10% VAT + 1.5% AJD (new-build), plus notary, registry and any agency fee.
Do I need a licence to let in Gran Canaria?
Holiday lets need a vivienda vacacional licence via the Cabildo de Gran Canaria plus Spain's national registry number. Some tourist-saturated zones restrict new licences. Unlicensed listings are fined — do not underwrite 'everyone rents anyway'.