High-net-worth individuals can choose to buy a second home in more than 250 territories worldwide. And such a wealth of options can be overwhelming. Property Finder has rated and ranked 32 countries based on their favorability as vacation home destinations.
As a leading real estate classifieds website in the UAE, Property Finder understands what matters to vacation home buyers and has created a Vacation Score that rates a country’s attractiveness as a vacation home destination across various metrics, such as affordability, accessibility, housing market growth, and rental yield.
- Best Countries to Own a Vacation Home – Top 5
- Conclusion: Choosing the Right Country for Buying a Vacation Home
- Methodology
Here’s the result. Below are the top countries for purchasing a vacation home.
Best Countries to Own a Vacation Home – Top 5
The top five countries to consider when buying a home overseas are Spain, France, Portugal, the United Arab Emirates, and the United States.
Spain (Score: 79.3/100)
Best for: Culture, art, and architecture enthusiasts
Spain tops the list of vacation home destinations, with a Vacation Score of 79.3/100, due to its cultural richness, accessibility, and relative affordability. Its cultural and natural resources (Spain is home to 50 UNESCO World Heritage sites), complemented by a laid-back lifestyle, a highly rated cuisine, and lovely weather, drive the country’s Lifestyle and Environment score of 76.7/100, the highest (except for France) in the category.
Spain’s Accessibility and Infrastructure rating of 83.0/100 reflects its extensive transportation and tourism infrastructure. Spain has 48 airports (41 international), well-developed transport links, and high-speed trains, making it easy to reach and explore. While it is not the most affordable market, Spain offers relatively good value for money, which, combined with its good accessibility, lifestyle, and destination appeal, makes it one of the most desirable second-home destinations in the world.
2. France (Score: 69.4/100)
Best for: Fashion, food, and high-end leisure travellers
France secures second place with a Vacation Score of 69.4/100. Like Spain, France tops the Lifestyle and Environment category (76.7/100), reflecting the country’s extensive natural and cultural resources (54 sites on the UNESCO World Heritage register) and its status as one of the most visited countries in the world.
France’s Accessibility and Infrastructure score (72.2/100) indicates that the country is easy to travel in and explore due to its extensive air and ground transportation network, which includes more than 30 airports. The country’s affordability varies significantly from region to region. Still, France is one of the least affordable countries on the list, making it a suitable second-home destination for high-income buyers.
3. Portugal (Score: 65.8/100)
Best for: Avid golfers
Portugal takes third place with a Vacation Score of 65.8/100. Its location, rich culture, and long history make it one of the most appealing destinations for overseas vacation home buyers. With a Lifestyle and Environment score of 66.3/100, it ranks fifth in destination appeal for its fantastic mix of attractions, including beaches and historical landmarks. It is also safe and secure, with a Safety and Security value of 6.55, which is 92% better than the safety scores of other countries.
Portugal is particularly known for its world-class golf courses (recently named the 2024 World Golf Awards’ World’s Best Golf Destination). This is why it’s an excellent second-home option for golfers.
4. United Arab Emirates (Score: 65.4/100)
Best for: Jetsetters
The UAE ranks fourth with a Vacation Score of 65.4/100, reflecting its combination of accessibility, stability, quality of life, and incentives. With eight international airports and six national carriers serving over 600 global destinations, the UAE is a powerhouse in air transport, ranking first in air transport infrastructure and second in international openness. It’s easily travelled to and explored, reflected in its Accessibility and Infrastructure score of 88.2/100.
An Affordability & Value score of 68.1/100 highlights the UAE’s excellent value for money. House prices are not the most affordable, but high-net-worth individuals can buy townhouses in Abu Dhabi or Dubai and obtain more property or luxury per dollar than in other countries. This, combined with 100% foreign ownership of property, the Golden visa scheme for property owners, and zero tax costs on property ownership, makes the UAE an ideal destination for vacation-home buyers.
5. United States (Score: 64.4/100)
Best for: Value-for-money buyers
The United States, in fifth place with a Vacation Score of 64.4 out of 100, has a varied terrain, from beachfront homes to mountain retreats. While it’s one of the biggest countries (by total area) in the world, it is easily travelled and explored, with an Accessibility and Infrastructure score (72.6/100) that reflects its strong air transport and tourist services infrastructure.
The United States is not the most price-competitive (Affordability & Value score is 51.4/100, but its price-to-income ratio is in the 97th percentile and buying property outside major cities offers excellent value for the money. It has an edge for second-home buyers who want good value, accessibility and diversity.
Table 1. Countries Ranked According to Vacation Score or Favorability as a Location for an Overseas Vacation Home
| Country | House Price Index 10yr Growth (%) | Affordability & Value score (out of 100) | Accessibility & Infrastructure score (out of 100) | Lifestyle & Destination Appeal score (out of 100) | Tax Burden Score (out of 100) | Final score (out of 100) | Rank |
| Spain | 77.9 | 56.9 | 83.0 | 76.7 | 47.1 | 79.3 | 1 |
| France | 27.5 | 43.1 | 72.2 | 76.7 | 30.1 | 69.4 | 2 |
| Portugal | 154.8 | 36.1 | 61.1 | 66.3 | 45.8 | 65.8 | 3 |
| United Arab Emirates | -9.2 | 68.1 | 88.2 | 34.4 | 90.3 | 65.4 | 4 |
| United States | 88.0 | 51.4 | 72.6 | 58.7 | 32.2 | 64.4 | 5 |
| Italy | 16.6 | 43.1 | 61.8 | 71.5 | 41.7 | 63.7 | 6 |
| United Kingdom | 47.8 | 37.5 | 71.5 | 66.3 | 33.5 | 63.0 | 7 |
| Denmark | 52.1 | 58.3 | 77.1 | 55.6 | 24.4 | 61.9 | 8 |
| Germany | 54.7 | 63.2 | 66.7 | 63.9 | 32.6 | 61.0 | 9 |
| Switzerland | 35.6 | 19.4 | 70.1 | 61.5 | 61.1 | 60.0 | 10 |
| Netherlands | 113.9 | 48.6 | 72.9 | 56.3 | 35.2 | 59.7 | 11 |
| Austria | 59.4 | 44.4 | 63.9 | 56.9 | 48.3 | 57.8 | 12 |
| Japan | 38.5 | 50.0 | 48.6 | 71.5 | 45.0 | 57.7 | 13 |
| Australia | 60.7 | 41.0 | 51.0 | 64.9 | 31.6 | 57.7 | 14 |
| Singapore | 47.9 | 6.9 | 88.2 | 32.6 | 64.5 | 55.8 | 15 |
| Greece | 75.7 | 26.4 | 64.9 | 43.8 | 44.2 | 55.0 | 16 |
| Canada | 64.6 | 47.2 | 39.6 | 62.9 | 36.1 | 52.7 | 17 |
| Sweden | 39.4 | 61.1 | 50.0 | 58.3 | 58.3 | 52.5 | 18 |
| Czech Republic | 139.7 | 44.4 | 51.0 | 47.9 | 80.4 | 48.1 | 19 |
| Belgium | 46.1 | 61.1 | 59.0 | 47.2 | 9.6 | 47.8 | 20 |
| South Korea | 26.7 | 38.9 | 38.9 | 53.5 | 57.7 | 47.2 | 21 |
| Ireland | 97.1 | 51.4 | 47.9 | 39.6 | 41.0 | 47.0 | 22 |
| Finland | 0.1 | 61.1 | 37.2 | 55.2 | 28.6 | 46.1 | 23 |
| New Zealand | 78.6 | 54.2 | 51.7 | 43.1 | 66.8 | 45.7 | 24 |
| Poland | 115.2 | 62.5 | 39.9 | 48.3 | 81.7 | 45.0 | 25 |
| Turkey | 2132.4 | 63.9 | 38.2 | 38.2 | 50.4 | 44.5 | 26 |
| Qatar | -21.2 | 68.1 | 40.6 | 27.8 | 96.1 | 41.9 | 27 |
| Malta | 77.4 | 54.2 | 47.6 | 22.9 | 75.4 | 40.6 | 28 |
| Malaysia | 39.6 | 76.4 | 35.8 | 41.3 | 51.3 | 40.6 | 29 |
| India | 53.8 | 62.5 | 29.9 | 47.2 | 52.2 | 39.9 | 30 |
| Mexico | 126.4 | 50.0 | 13.2 | 55.6 | 65.0 | 37.7 | 31 |
| Indonesia | 21.2 | 50.0 | 15.3 | 52.8 | 74.0 | 37.3 | 32 |
Conclusion: Choosing the Right Country for Buying a Vacation Home
When buying property to use as a vacation home, buyers often prioritise safety, security, and resources (natural and cultural). These are the lifestyle and environmental factors that make vacations pleasurable.
Accessibility, transport infrastructure, and tourist services also matter. Homebuyers looking to purchase a vacation home want a location they can easily fly into and conveniently (and comfortably) get around in and explore.
Start searching for your vacation home using our listings of properties for sale in the UAE. At Property Finder, your vacation home options include apartments, townhouses, penthouses, and villas in Dubai, Abu Dhabi, Ras Al Khaimah, Sharjah, Ajman, Umm Al Quwain, and Fujairah.
Methodology
We created a Vacation Score and used it to rank countries by their suitability for vacation-home purchases. The metrics are weighted according to importance. Here are the metrics and our data sources:
House Price Index, 10-year growth: The 10-year change in the BIS Residential Property Price Index; higher is better.
Gross Rental Yield: The annual rent (before taxes and expenses) expressed as a percentage of the property price. The data comes from the Global Property Guide, and the higher it is, the better.
Affordability and Value factors
- Price-to-Income Ratio: The price-to-income ratio is the median apartment price compared to the median disposable income of families. It is a measure of property affordability computed by Numbeo. Lower is better.
- Price Competitiveness: A measure of how affordable it is to travel or operate in a country, according to the World Economic Forum’s Travel & Tourism Development Index 2024. Higher is better.
Tax factors
- Average Rental Tax: The average rental tax rate data from Global Property Guide. Lower is better.
- Property Transfer Tax: Stamp duty that’s incurred when buying property. Data from Global Property Guide and national tax references. Lower is better.
- Annual Property Tax: Annual tax cost of owning property, calculated based on the property’s value. Data from Global Property Guide and national tax references. Lower is better.
- Rental Income Tax, midpoint: Parsed midpoint of the rental income tax range taken from Global Property Guide. Lower is better.
- Capital Gains Tax (2%): The levy on gains realised from the sale of land and other capital assets. Data taken from Global Property Guide and national tax references. Lower is better.
Accessibility and Infrastructure factors
The data for the metrics listed below were culled from the World Economic Forum’s The Travel & Tourism Development Index 2024 (see above for link).
- International Openness: This is a measure of how open a country is to visitors and providing travel services. Higher is better.
- Air Transport Infrastructure: A measure of a country’s air transport infrastructure capacity to provide sufficient air connectivity and air travel access domestically and internationally. Higher is better.
- Ground and Port Infrastructure: An indicator of the availability of ground and port services and infrastructure. Higher is better.
- Tourist Services and Infrastructure: The availability and productivity of tourist services and infrastructure. Higher is better.
Lifestyle & Environment factors
The data for the following metrics were taken from the World Economic Forum’s The Travel & Tourism Development Index 2024.
- Safety & Security: How safe are locals, tourists, and businesses from security risks. Higher is better.
- Cultural Resources: Indicator of cultural resources (e.g., archaeological sites). Higher is better.
- Natural Resources: Indicator of natural capital and outdoor tourism activities. Higher is better.
- Environmental Sustainability: Energy sustainability of the travel and tourism industry and the general sustainability of the economy. Higher is better.
Vacation Score
The Vacation Score, with the highest possible score of 100, is a combination of the metrics mentioned above, weighted in the following way:
Lifestyle & Environment factors
- Safety & Security (16%)
- Cultural Resources (14%)
- Natural Resources (9%)
- Environmental Sustainability (9%)
Accessibility and Infrastructure factors
- Air Transport Infrastructure (14%)
- Tourist Services and Infrastructure (14%)
- International Openness (9%)
- Ground and Port Infrastructure (5%)
Affordability and Value factors
- Price Competitiveness (5%)
- Price-to-Income Ratio (2%)
House Price Index, 10-year growth (1%)
Gross Rental Yield (1%)
Tax factors
- Average Rental Tax (0.30%)
- Property Transfer Tax rate (0.20%)
- Annual Property Tax (0.30%)
- Rental Income Tax, midpoint (0.10%)
- Capital Gains Tax (0.10%)
