Mount Teide
Puerto colon beach
Excursion trips
Golf Courses
Water Sports
A Harbour Restaurant
Buying A Property
Introduction
Buying property abroad is becoming more and more popular as time moves on. Some people buy a property abroad for investment
purposes, some buy as a second property to use as a holiday home and generate income from holiday rental. Some people even
sell up in the UK, buy a property abroad and move there. If you are interested in buying property in Tenerife, then check out
various links through out this page. If you want more general information on buying property in Tenerife, then read on.
So Why Buy A Property In Tenerife?
The main reason most people choose to purchase property in Tenerife, is due to the favourable and temperate year round climate.
On the whole, the island is generally a cheaper place to live than the UK, so this is another reason people choose to purchase
property here. The standard IGIC rate (like VAT), is lower in the Canaries coming in at just 5%, and this gives rise to a
cheaper cost of living, whilst the standard of living remains high. This is reflected in the myriad of bars and restaurants
dotted through-out the island. The cost, choice and standard of eating and drinking on the island is another reason while people
choose to buy property here, as there is a staggering choice of establishments which cater to all needs.
If you are considering purchasing a property here, then check out our questions and answers below. This is a non biased
list of questions and answers, to give you some general property purchasing tips and advice if you are considering buying a Tenerife Property.
We can take no responsibility for any problems you may encounter by following the advice below.
Also take legal advice and use a reputable estate agent before involving yourself in any property transaction.
Tenerife Property Questions And Answers
Q. How do I go about budgeting to buy a property in Tenerife?
A. If you have to borrow money to purchase your property, then check out the availability of mortgages
on offer in Spain (assuming you have finance your purchase outside of the UK). Before you start looking for a property in
Tenerife, ensure you have the finance in place and have a clear understanding of how much you want to spend.
Q. What additional costs are involved over and above the purchase price of the property?
A. The additional costs to add to the purchase price of a property can vary, but if you budget for between 8 to 10%
of the total property value, you will not be far off the mark. These additional costs encompass deposits, legal fees, tax and
notary fees. Work this figure into your budget at the beginning, as trying to find this money when you are ready to exchange
contracts can be something of burden.
Q. Are there different ways to purchase property in Tenerife?
A. There are only really two ways to purchase a property in the Canaries. You can either
buy a re-sale property or you can buy a pre-construction off plan property. Properties off plan in Tenerife are generally cheaper than
re-sale properties, but very often when you sign up to purchase one, they are only part way through construction or have not
even begun construction. Be aware that you will not be able to move into your property until you have exchanged contracts,
the building has been completed and all necessary licenses have been applied for and obtained. This can sometimes take time.
The advantage of buying a re-sale is once you have exchanged contracts, you can usually move in straight away.
Q. What type of property should I look at purchasing?
A. The answer to this obviously depends on your personal taste and how much you are willing to spend. You
need to ask yourself further questions to determine exactly what you are looking for. Consider what you would like to located
close to (IE the beach, supermarkets, restaurants etc) and what amenities you would like your property to have or would like
the complex to have. If you have been here before, what area would you like to be in? Many people purchase property
in a given area, simply because they have visited that area before. Visit other areas to get a better feel for the Island to
give yourself a broader choice. Have you given any thought to what you want to use the property for? This is another
important question you should ask yourself.
Q. How do I find an estate agent?
A. Like in the UK, there are many estate agents in Tenerife, and a quick internet search will find you some
reputable agents. Do be certain they are reputable however and ensure they are accredited agents. They should be registered with
either A.P.I. (Colegio de Agentes de la Propiedad Inmobiliaria) or G.I.P.E. (Confederation Européenne de L'Immobilier). Speaking
to them over the phone is a good way to guage their professionism and how comfortable you feel with them, but it is no substitute for
meeting them and seeing their business premises. Ensure you question them thoroughly about the services they provide or services
they have access too. Also make sure they are covered by indemnity insurance.
Q. What are the legal requirements for owning a property in Spain?
A. If you want to own a property in Tenerife, the first thing you need to apply for and obtain is an N.I.E
number. Your estate agent or lawyer should be able to advise you on how to go about getting an N.I.E, and many reputable
agents will help to apply for it.
Q. Will I be able to get the paperwork in English?
A. This will depend on the estate agent. All of the legal paperwork will be in Spanish, but any reputable
agent should be able to provide you with an approximate translation. If not, take the paperwork to a translator. Never sign
anything you do not fully understand.
Q. My friend bought a property abroad and has told me how to go about it. Should I listen to them?
A. Of course you should listen to the experience of some one who has purchased a property abroad, but,
always check the facts with a reputable estate agent or lawyer, as laws constantly change.
Summary
Purchasing property here need not be a daunting prospect if you use common sense and seek professional advice from a
reputable estate agent and lawyer. The property market in the Canary Islands is still increasing in terms of value, so putting your
money into a property in over here is a fair bet. If you are interested in purchasing a property in Tenerife, then check out the various links through out this page..
We hope the above has answered some of your property questions. If you have a specific question we have not covered,
then do
contact us using the contact page. If we think the question you pose would be of interest to others, we will add it to
this page.