Long term buy to let back on the agenda in Tenerife?

October 4, 2009 – 12:41 pm

images8

Buy to let can be a good investment once more in Tenerife

Buy-to-let properties may not offer a short-term profit for landlords, but in the long term, they can provide a good return, according to  industry professionals. The number of new tenancies is increasing while property oversupply is dropping. If a landlord can find a house for the right price, then there is scope for a good long-term return on the capital invested.

If you’re a cash-rich landlord and you understand the market, it is a good time to get into the market if you buy the right type of property and your local estate agent  in Tenerife will be able to show you a variety of properties, from one bed apartments to villas with a sea view that should fit the bill at be at the right price.

By Angela | Posted in Economy, General, Holiday, Inspirational, Miscellaneous Articles, Property, Tenerife, Things to Do, Uncategorized | Tagged , , , , , , , , , , | Comments (0)

World tourism forecast

July 9, 2009 – 3:42 pm

Property bargains can be had in Tenerife as tourism struggles in the world recession

Property bargains can be had in Tenerife as tourism struggles during the world recession

The latest edition of the World Tourism Barometer has revealed that international tourism will decrease between four and six per cent this year in response to the economic downturn and concerns about swine flu - with Europe posting the biggest decline - a fall of ten per cent between January and April this year…

The United Nations World Tourism Organisation (UNWTO) has said that global tourism in 2009 will fall sharply.

International tourism is now forecast to decline by between -6 per cent and -4 per cent in 2009 as the pace of decline is expected to ease during the remainder of 2009, according to the UNWTO. In January it had predicted a decline of between zero and two per cent.

In view of the rapidly deteriorating global economic situation, economic growth prospects have repeatedly been adjusted downwards over the past six months. Property owners  in Tenerife,who rent for income will need to keep this in mind when setting prices  this year. Europe posted a decline of ten per cent between January and April this year, Going against the grain was Africa and South America, which both posted increases of three per cent and 0.2 per cent respectively

The research also revealed that France remained the world’s top tourism destination last year with 79 million arrivals. The United States regained the second-place position which it lost to Spain after the September 11, 2001 attacks. With this news in mind there are bound to be many bargains in the Tenerife property market at present, so if you are considering buying that one bed apartment, or that wonderful piece of prime property in Tenerife nowcould be the best time to check with your estate agent for those once in a lifetime bargains!

By Angela | Posted in Economy, General, Health, Holiday, Inspirational, Miscellaneous Articles, Property, Tenerife, Things to Do, Uncategorized, Weather | Tagged , , , , , , , , , , , , , , | Comments (0)

How to set prices when selling property

June 13, 2009 – 6:27 pm

setting-price

Setting the correct sale price on property in Tenerife is important

The real estate market is subject to frequent fluctuations, more so when the economy is not doing too well as it is right now. In such a situation, if you’re looking to sell a property that you own, you need to ensure that the price does not go either too low so that you hardly break even, or too high that it scares away potential buyers from the scene…

There are various factors that go into setting the price of property, some of them being:

Location: This is probably the largest factor that decides the price of property. The closer it is to prime locations, the more its value.

The condition of the property: For property to fetch a top price, it must be maintained in a good condition. If your home or other asset does not have a run-down and neglected appearance, it’s going to be easier to find a buyer who will pay more for it.

Market conditions: No matter how good a property is, and how prime a location in which it is situated, if the market is down, you cannot  ask beyond a certain amount. If you do so, you may not be able to find any takers for your property, since others in your position will be offering similar property at lower prices.

The necessity to sell: If you are desperate to make a quick sale, you may be willing to settle for much less than your asking rate. However, if you don’t mind waiting for the market to look up or for a buyer who agrees to your asking rate, then you may be able to hold out long enough without reducing the price. Setting a rate depends on how soon you need the proceeds of the sale and the purpose you need it for. An emergency may make you sell at any rate rather than hold on and struggle for much-needed money.

If you’re able to sell your home with  an agent but without a lawyer, (which is easy to do in Tenerife),you would save on costs. 

 

Certainly there are some great bargains in Tenerife at present for those with cash, from one bedroom apartments, to villas complete with pool by the sea.

By Angela | Posted in Economy, General, Inspirational, Miscellaneous Articles, Property, Tenerife, Things to Do | Tagged , , , , , , , , , , , , , , , | Comments (0)

Help for Spain and Tenerife’s economy.

June 7, 2009 – 6:02 pm

Help for Tenerife and Spain's economy

Help for Tenerife and Spain's economy

In the annual state of the nation debate held last week, Spain’s President announced a package of economic measures designed to boost the Spanish economy. These included a  helping hand for Spanish tourism and by extension, property investment in Spain. Under the new Government initiative, airport taxes will be zero per cent as from the third quarter of this year.

Airlines whose passenger figures this year equal or exceed last year’s figures will be entitled to 100 per cent discount on airport taxes. To qualify for the zero tax, airlines will be required to present their passenger numbers as from July this year.

The measure applies to all Spanish mainland and island airports and is expected to boost the tourist industry considerably. Spain is one of the world’s most visited countries, but like most top tourist destinations has seen a fall in its visitor figures since mid 2008.

Spanish airport taxes are among the highest in Europe (and the world) and not surprisingly, those in the tourist sector including tour operators and hoteliers have been calling for a substantial reduction for some time. The recent Government announcement has naturally been welcomed by all sectors of the tourist and property industry.

The main airlines serving Spain and Tenerife are expected to start offering discounts and special offers on flights straightaway and this is predicted to have an immediate effect on tourist figures.

Zero airport tax is excellent news for the whole of Spain but it’s especially welcome for the tourist hot spots like Tenerife. Spain is the number one short-haul destination for holidays and at the moment when people are watching their budget, cheaper flights will be a major deciding factor on where they want to go.”

This measure will obviously have an important knock-on effect  on Spanish  and Tenerife property. Now that some areas of Spain like Tenerife are showing real promise for lifestyle investment, zero airport taxes couldn’t have come at a better time and those looking to invest in  a variety of property types be it prime property, villas with pools or one bed apartments will be delighted with the news .

By Angela | Posted in Economy, General, Holiday, Inspirational, Miscellaneous Articles, Property, Tenerife | Tagged , , , , , , , , , , , , | Comments (1)

Spanish Banks scrap swaps

May 11, 2009 – 12:54 pm

Spanish swaps ended

Spanish swaps ended

Spanish banks have announced that they intend to reduce debt-for-property swaps with developers,  according to a report in the Spanish daily El Pais.

The news will come as a further blow to developers, but great news for potential buyers of all types of property as the developers  have already  slashed  their prices in order to compete with banks selling repossessions with preferential mortgage terms.

Banks now feel that they have taken on too much - property and non-property related - bad debt, and simply can’t cope with any more homes on their books.

Developers will now be lumbered with the units they cannot shift,  given that there it is an estimated one million unsold new-build homes on the Spanish market this must be a great time for anyone looking to purchase a property in Tenerife, whether it be a one bed apartment to a villa with a pool. I suggest that you check out  the estate agents and see what bargains are on offer before the prices start to rise again.

By Angela | Posted in Economy, General, Miscellaneous Articles, Property, Tenerife, Things to Do | Tagged , , , , , , , , , , , | Comments (0)

Buying that dream home in Paradise

May 5, 2009 – 8:45 am

 

Tenerife property can supply your dream home

Tenerife's prime property can supply your dream home

Today’s economic state may mean buying a dream home in a sunny tropical paradise such as Tenerife may be more affordable but it’s still not cheap in certain other areas and when you compare the costs then Tenerife begins to look  a bargain.

Property prices on the more popular and developed islands reach over one million US dollars for a house and lot near the beach. In its latest survey of Caribbean property prices, the Global Property Guide reports that prices in highly-developed areas such as Bermuda and Bahamas exceed £4,800 per square metre. Coastal properties in Barbados are also expensive, at around £4,600 per square metre, while in the British Virgin Islands (BVI) and the US Virgin Islands (USVI), real estate prices are around £3,400 per square metre.

The cheapest Caribbean properties are found in Jamaica, Aruba and Dominican Republic, with prices ranging from £890 per square metre to £1,030 per square metre for houses near the beach.

Despite these high prices, Caribbean properties are now considerably cheaper than some coastal properties in Mediterranean Europe. Apartment prices in Barcelona are around £6,800 per square metre - more than twice the price of apartments in Bahamas or Cayman Islands.

In addition, it should be noted,  that some of these islands impose restrictions on foreigners intending to purchase properties. Licenses are required and this adds to the overall purchase cost.

When you compare the costs of high quality front line beach property  in Tenerife to these, then it is clear what  bargains can be found. In addition, the islands close proximity to the UK in terms of flying time is another bonus.
Take the time to look at the bargains available from your estate agent. Whether it is a one bed apartment, to a luxury villa with a pool overlooking the beach there are plenty of bargains available in Tenerife at this present time and without the restrictions that some of the “fashionable islands” impose .

By Angela | Posted in Economy, General, Miscellaneous Articles, Property, Tenerife, Things to Do | Tagged , , , , , , , , , , , , , , , , , | Comments (0)

Are we now over the worst?

April 24, 2009 – 11:12 am

Over the recession?

Over the recession?

If it is correct that the worst of the recession is now behind us then the UK economy should start to recover next spring, according to the influential Ernst & Young Item Club’s latest forecast… This may well mean that property hunters and investors will once more turn towards Tenerife for all types of property bargains. Just why do people from the UK and Northern Europe look to purchase in Tenerife?The prospect of year round sun,  great bargains in all areas of the property market, be it from one bed apartments to villas, or business opportunities that now abound are just a few reasons why Tenerife is looked upon as a great place to invest.  Why not take a look at the opportunities that now exist on this island?

By Angela | Posted in Economy, General, Holiday, Inspirational, Miscellaneous Articles, Property, Tenerife, Things to Do | Tagged , , , , , , , , , , , , | Comments (0)