Investors in Tenerife and Spain benefit from more rental opportunities

Rental opportunities in Tenerife increase

Investors interested in property in Spain could benefit from more rental opportunities as more Brits choose to holiday in Europe. 

According to a new study by Abta – The Travel Association, bookings to Spain have increased by 11 per cent compared to last year, showing that the destination is becoming more popular with holidaymakers.

Short breaks are also seeing more people travelling into the country, especially to Madrid, as economies around the world recover and capital has been freed up to boost overseas stays.

“During the recession, luxury holidays were substantially affected, but have now experienced a healthy comeback,” Abta said in a statement.

Source: International Business Times

Plenty of advice for Tenerife property hunters at Property Investor Show

Property bargains in Tenerife, Canary Isles and Spain

Lots of advice, plenty of opportunities and optimistic statements, but fewer exhibitors at the Property Investor Show, the UK’s premier event for property investors held last weekend at London Docklands Exel Exhibition centre.

However, there was plenty of essential information on “Where to” and “How to” invest provided from keen exhibitors just about managing to cope with the early rush of visitors with property investment on their minds. More than 30 seminars focused on topics ranging from “How to Spot a boom and a bust” to “How to win in a recession”.

Many small investors, were looking to acquire from the ongoing “Sale of the Decade” in the Spanish market, where banks are disposing of their unwanted toxic assets with huge discounts of up to 56% and generous mortgages between 80-111%.  A spokesman for a Spanish distressed property site  added: “Putting your money in the  Spanish property markets could be the perfect hedge for investors with sunny Spain for family holidays and some equity gain a few years down the line.”

Two properties can be bought for a realistic amount in Spain – one to rent out, the second for family enjoyment, with equity gains to look forward to when prices start to rise again in the world’s top second home destination.

Tenerife and the Canary Islands have some excellent bargains, even in the prime property sector, but prices will be rising again soon judging by the renewed interest of late.

Thomas Cook to pull out of Canary Islands?

The Irish low-cost carrier is to offer 32 services to the Canary Islands (Gran Canaria, Lanzarote, Tenerife and Fuerteventura) from nine British airports this summer – with the routes being supported by discounts offered by the Canary Islands’ government. Thomas Cook, Britain’s second-largest tour operator, has claimed that Ryanair will receive a subsidy equivalent to at least 6.5 euros per passenger on the new routes.

Thomas Cook to leave Tenerife and the Canary Islands?

Thomas Cook to leave Tenerife and the Canary Islands?

Thomas Cook has given warning it could pull out of the Canary Islands in a row over the “subsidies” it claims are being paid to Ryanair by local authorities.

Manny Fontenla-Novoa, chief executive of Thomas Cook, said in an interview with the trade publication Travel Weekly that “paying” Ryanair to fly to the islands was not the way to arrest falling visitor numbers and said that Thomas Cook might switch to selling more holidays in Turkey and Egypt.

A spokesman for Ryanair denied that the carrier received subsidies. “The discount scheme is available to all airlines that commit to growing traffic to the Canary Islands,” he said. “Instead of complaining, Thomas Cook should apply for the scheme, lower its fares and compete on price to grow its business – something it has never had to do in the Canary Islands.”

Top tourist destinations visited by less tourists.

Less tourists on the beaches in Spain and Tenerife

Less tourists on the beaches in Spain and Tenerife

Europe’s top tourist destinations – France, the world’s most popular tourist destination, with 79.3 million visitors last year, has been hit hard by a drop in the number of foreign travellers.

The number of international visitors to France in the heat of the summer – July and August – has fallen by nearly one-third, after sinking by 15.5 per cent in the first five months of the year, government figures show.

Spain, the third most popular destination last year, has suffered a 10 per cent drop in visits this summer, following an 11.4 per cent fall in the first half of the year, and Italy is forecasting an 8.3 per cent drop in foreign visitors between May and October.

As frugal foreigners stay in their home countries, Europe’s top tourist destinations are looking at their compatriots to compensate.

According to a Gallup poll, 48 per cent of Europeans plan to spend their holidays in their own countries this year, compared with 43 per cent last year.

Britons, the continent’s top travellers after Germans, have reduced their European trips by 10 per cent. As a result, the beaches of Spain, usually crowded with British and German tourists, are emptier than usual.

Spain last year lost its spot as the second most visited country, as the US took its place with 58 million visitors compared with 57.3 million. The Spanish Government is spending €1 billion euros ($1.7 billion) to support the tourism industry.

As in other European countries, tourists are drinking and eating less in Spain’s usually bustling bars and restaurants. Beer consumption is expected to fall by 13.5 per cent this month compared with last year, Spanish brewers say.

Despite this summer of discontent, France should remain the world’s top tourist choice because travel was down in every country at ”about the same rate,” said Christian Mantei, president of the tourism development agency Atout France.