Top 5 European Destinations for Irish Holiday Home Buyers in 2025
Introduction
Irish families and investors are increasingly looking beyond the Emerald Isle for a second home where they can enjoy longer summers, benefit from favourable tax regimes and, in many cases, generate rental income. 2024 saw a modest but steady rise in Irish purchases across Europe, and the trends that emerged last year are set to shape the market in 2025.
This article breaks down the five European destinations that are most attractive to Irish holiday‑home buyers this year, backing each choice with the latest statistics, cost‑of‑living insights and practical advice on how to buy, finance and manage a property abroad.
1. Spain – Sun, Sea and a Well‑Established Irish Community
Why Spain continues to lead
- Irish sales volume – The Irish market for Spanish property recorded 2,307 transactions in 2024, a 0.07 % year‑on‑year increase (SpanishPropertyInsight). Ireland now accounts for 0.017 % of all foreign sales in Spain, the highest share for the decade.
- Geographic hot‑spots – The Costa del Sol, Costa Blanca and the Balearic Islands remain the most popular regions for Irish buyers, thanks to direct flight connections from Dublin and a long‑standing expatriate network.
- Affordability – While prime beachfront villas in Marbella can exceed €2 million, a typical three‑bedroom town‑house in the Costa Blanca averages €350 000–€450 000, offering more square footage per euro than in the UK or Ireland.
Tax and financing considerations
| Item | Detail |
|---|---|
| Non‑resident income tax (IRNR) | 19 % on Spanish‑source rental income (reduced to 24 % for short‑term tourist rentals). |
| Wealth tax | Applies only above €700 000 of net assets; most Irish buyers fall below the threshold. |
| Mortgage rates | Euro‑zone rates fell to 2.4 % in Q4 2024, making Spanish mortgages attractive for Irish residents with euro‑denominated income. |
| Inheritance | Spain imposes a 7‑8 % inheritance tax on non‑residents, but many regions (e.g., Andalusia) offer exemptions for close relatives. |
Practical tip for Irish buyers
Engage a bilingual solicitor who can coordinate with a Spanish “gestor” (tax adviser). Most Irish buyers use a “dual‑process” – a solicitor in Ireland to handle the purchase contract and a local gestor to register the property, obtain the NIF (tax identification number) and set up a Spanish bank account for mortgage payments.
2. Portugal – Golden Visa, NHR Tax Regime and Coastal Lifestyle
What makes Portugal stand out
- Golden Visa appeal – The Portuguese Golden Visa still requires a €280 000 investment in low‑density areas or €500 000 in Lisbon/Algarve, but the programme now grants a fast‑track route to residency for Irish citizens, who can travel visa‑free across the Schengen zone.
- Non‑Habitual Resident (NHR) tax – For a ten‑year period, foreign‑source pensions, dividends and capital gains are either exempt or taxed at a flat 10 % rate, dramatically reducing the tax burden for retirees and high‑net‑worth investors.
- Rental yields – 2024 data show 6.8 % gross yield in Lisbon, 6.6 % in Porto and 5.6 % in the Algarve (Kyero market report).
Recent market numbers
- Sales growth – Portuguese property sales to foreign buyers rose 12 % YoY in 2024, with Irish buyers representing 5 % of that foreign cohort (idealista Portugal).
- Price trends – Average price per square metre in the Algarve climbed 4.2 % to €2 800/m², while Lisbon saw a 5.1 % rise to €5 200/m².
Buying process in a nutshell
- Obtain a Portuguese tax number (NIF) – Can be arranged through a local attorney or online service.
- Open a Portuguese bank account – Required for mortgage payments and tax filings.
- Reserve the property – A 10 % deposit is customary; the balance is paid on completion (usually 60‑90 days after the “promessa de compra e venda”).
- Apply for Golden Visa/NHR – The residency application is filed with SEF (Serviço de Estrangeiros e Fronteiras) within six months of purchase.
Irish‑specific advice
Because many Irish buyers plan to use the property as a rental, register the home with the local municipality for short‑term tourist licences. The “Alojamento Local” (AL) permit is mandatory in Lisbon, Porto and the Algarve and can be obtained in 2–4 weeks if the property meets fire‑safety and accessibility standards.
3. Italy – Lakes, Tuscan Vineyards and Growing Foreign Interest
Market snapshot
- Holiday‑home share – Holiday homes accounted for 7.1 % of all Italian transactions in 2023, up from 5.8 % in 2021 (Tecnocasa research).
- Foreign buyer share – 13.5 % of all purchases were by non‑Italian buyers in 2023, a record high driven by Irish, German and Dutch investors.
- Regional price movement – Lake Garda saw a modest 0.4 % price dip, while Lake Como’s “Como side” surged +5.5 % YoY, reflecting continued demand for premium lakeside villas.
Why Irish buyers love Italy
- Cultural familiarity – English‑speaking services are widespread in Tuscany and the Lakes, and the Italian education system offers international schools for families.
- Lifestyle value – A three‑bedroom apartment in Tuscany averages €350 000, delivering roughly €1 200 per month in short‑term rental income (Airbnb data 2024).
- Tax incentives – The “Flat‑Tax for New Residents” (30 % on foreign income, capped at €100 000) is available to anyone who transfers tax residence to Italy and rents out a property for at least 30 days a year.
Practical steps for Irish purchasers
- Hire a “notaio” – The Italian notary handles title search, cadastral checks and the deed (“rogito”).
- Check the “Catasto” – Verify land registry details to avoid hidden encumbrances.
- Secure financing – Italian banks offer mortgages up to 70 % LTV for non‑residents, with rates around 3.1 % in Q4 2024.
- Consider the “cedolare secca” – This flat 21 % tax regime applies to long‑term rentals and can be elected by the owner, simplifying tax compliance.
Irish tip
If you plan to rent the property seasonally, register with the local “Comune” for a “licenza di locazione turistica”. Many municipalities now provide a one‑stop online portal, reducing paperwork for Irish owners.
4. Greece – Value for Money, Rapid Price Growth and a Warm Climate
Recent data highlights
- Budget escalation – Average buyer budgets rose to €350 000–€550 000 in 2024, a 15 % increase on 2022 (Elxis market review).
- Price growth – A newly built 80 m² villa in Rethymno (Crete) jumped 23 % from €280 000 in 2022 to €327 000 in 2024.
- Buyer demographics – Irish buyers now rank among the top three nationalities purchasing Greek holiday homes, alongside the Netherlands and Germany (Elxis 2024 report).
Top Greek regions for Irish buyers
| Region | Typical price (3‑bedroom villa) | Rental yield (2024) |
|---|---|---|
| Crete (Rethymno/Chania) | €300 000–€420 000 | 5‑6 % |
| Ionian Islands (Corfu, Lefkada) | €350 000–€500 000 | 4.5‑5 % |
| Peloponnese (Nafplio, Kalamata) | €250 000–€380 000 | 5‑6 % |
Tax and residency benefits
- Golden Visa – Minimum €400 000 investment in mainland property (or €800 000 on islands with >3 100 residents) grants a five‑year residence permit, renewable for up to 10 years.
- Property tax (ENFIA) – 0.1 % on the first €200 000 of value, scaling up to 1.15 % on values above €1 million – most Irish purchases fall well below the top bracket.
- Capital gains tax – 15 % on profit realised within five years of purchase, reduced to 5 % after five years.
Buying checklist for Irish investors
- Legal representation – Choose a Greek lawyer (“δικηγόρος”) experienced with foreign buyers; they will verify title, ensure the property is free of “απαγόρευση οικοδομής” (building bans).
- Bank account – Needed for tax payments and mortgage transfers; many Irish banks have partnerships with Greek institutions to ease cross‑border transfers.
- Off‑plan vs. ready‑made – Off‑plan projects in Crete and the Ionian islands are selling out within months; they often include a 10‑15 % discount versus completed units.
- Utility registration – The “ΔΕΣΚ” (electricity) and “ΔΕΗ” (water) must be transferred to the new owner; the lawyer can handle this on your behalf.
Irish tip
Because the Greek market still offers a lower price per square metre than Spain or Portugal, Irish buyers can often secure a sea‑view villa for €30‑40 % less than comparable Spanish properties, while still achieving a solid 5 % rental yield.
5. France – Alpine Retreats and the French Riviera for the Discerning Buyer
Emerging trends for Irish buyers
- Rising interest – Irish purchases in France grew 4 % in 2024, with the majority concentrated in the Provence‑Alpes‑Côte d’Azur region (Notaires de France).
- Price differentials – While a beachfront apartment on the Côte d’Azur averages €9 500/m², a comparable three‑bedroom chalet in the Alps costs around €3 800/m², offering a more affordable entry point for holiday‑home investors.
Tax environment
| Tax | Rate / Note |
|---|---|
| Non‑resident income tax | 20 % on French‑source rental income, reduced to 15 % if the property is let furnished under the “LMNP” (Loueur en Meublé Non‑Professionnel) regime. |
| Wealth tax (IFI) | Applies to net real‑estate assets above €1 300 000 – most Irish buyers stay under this threshold. |
| Capital gains tax | 19 % plus social contributions (17.2 %); exemption after 22 years of ownership. |
Practical considerations
- Financing – French banks typically offer up to 70 % LTV for non‑residents, with rates hovering around 3.0 % in 2024.
- Legal process – A notaire prepares the “acte de vente” and registers the deed; the process takes 8‑10 weeks from offer to completion.
- Rental licensing – In popular tourist zones (e.g., Nice, Cannes) a “Location Meublée Touristique” licence is required for short‑term rentals; the municipality may impose a cap on the number of nights per year.
Irish tip
Irish buyers often pair a French Alpine chalet with a “ski‑to‑sea” lifestyle – wintering in the Alps and spending the summer on the Riviera. The dual‑season use maximises rental income, with Alpine rentals averaging €1 200 per week and Riviera short‑term stays reaching €250 per night.
Conclusion
The data from 2023‑2024 make it clear that Irish holiday‑home buyers are spreading their interest across a diverse set of European markets:
| Destination | Key attraction for Irish buyers | 2024 price trend | Typical rental yield |
|---|---|---|---|
| Spain | Established Irish community, strong flight links | +1 % YoY | 4‑6 % (seasonal) |
| Portugal | Golden Visa, NHR tax regime, high yields | +4 % YoY | 5‑7 % |
| Italy | Lakeside prestige, “cedolare secca” tax | Mixed – +5 % in Como, –0.4 % in Garda | 5‑6 % |
| Greece | Value for money, fast‑growing budgets | +15 % (2022‑2024) | 5‑6 % |
| France | Alpine affordability, Riviera luxury | +4 % YoY | 4‑5 % (furnished) |
For Irish buyers the decision will hinge on a blend of lifestyle preferences, tax considerations and the potential for rental income. By understanding each market’s specific regulations, financing options and emerging price trends, you can make an informed choice that turns a holiday‑home purchase into a lasting asset.
Next steps
- Define your priorities – climate, proximity to the UK/Ireland, rental potential or residency pathways.
- Engage local experts – a solicitor or notaire, a tax adviser and a reputable real‑estate agent who speak English.
- Run the numbers – factor in purchase price, taxes, mortgage costs, insurance and expected rental income to calculate a realistic net yield.
- Visit the site – spend at least a week in the region during both high and low seasons to gauge seasonal demand and community feel.
- Secure financing early – pre‑approval from an Irish or Euro‑zone bank can strengthen your offer, especially in competitive markets like the Algarve or the Balearics.
With the right research and professional support, 2025 could be the year you turn a Mediterranean sunrise or an Alpine sunset into a cherished family retreat and a solid financial investment. Happy house hunting!