Why you should buy a property in Tenerife

Property sales in Tenerife dramatically slowed down and prices did fall significantly in the down turn of the property market slump from 2007. This had catastrophic consequences for many people and was a hard time. In many other countries it was more horrific. The United States of America saw properties reduced to an almost giveaway price, sometimes less than 50% of the original asking price of just 3 years earlier. This could be said for other countries including Ireland, parts of England, Greece and mainland Spain.

The Tenerife Property Market did not suffer nearly as much as the other countries. There are many reasons for this. A beautiful sunny climate as the temperature is an average 23 degrees with very little rainfall. When it rains it is usually 2 or 3 days of heavy rain and then the sun comes out straight afterwards and its back to the beach and sunbathing again.

We are just a short 4 hours 30 minutes flight from most parts of Europe for winter sunshine. This attracted clients from Italy, Belgium, Holland, Austria, Germany, France, and lots from Scandinavia. It was not long before the people coming here from these colder countries decided to buy a property in Tenerife. It makes great sense to buy Tenerife property if you are coming here regularly for a sunny break with a great infrastructure. You should get a good rental income from a property in Tenerife as well as your property appreciating in price. If you buy a property in Tenerife which is considered a good location, near the beach and shops and restaurants then the price will always be a little higher than in a more remote location. The rental of the property will be easier and you will have more occupancy and will be able to achieve a better price.

Prices do go up and down but the historical facts are good. If you look back at prices over a longer term, say over 10 to 20 years then property investment is still one of the best available. An example of Property prices in Tenerife. A 1 bedroom apartment in Paloma Beach cost less than €60,000 in 1995; by 2006 properties in Paloma Beach were selling for around €175,000. In this credit crisis the prices have fallen to an average of around €130,000. This is a loss for the people buying a property in Tenerife in 2005 around €50,000 in this short term. Those who could afford to buy 3 properties in Tenerife in 1995 would have made more than €180,000 even if they sold them now!! €300,000 if they sold at the height of the Tenerife property market in 2005. Now that is a great investment and a really good reason why we should “Buy a Property in Tenerife”