Cheap Property For Sale In Tenerife

Nowadays there are great financial opportunities to be gained within the property sector in Tenerife.  Why? Because prices have not been so low for a very long time and many estate agents are now saying that ¨this is the sale of the century¨.  Combine this factor with the low interest rates and it is patently clear that there has never been a better time to invest in property in Tenerife!Why should you invest in property in Tenerife?Spain’s tourist industry has received a welcome boost from holidaymakers, unnerved by the recent turmoil in the Eastern Mediterranean and Middle East and it is unlikely that these areas will recover in the immediate future.As a result, tourism to the Canaries has shown a marked improvement this year, with Tenerife showing a year-on-year first quarter increase in visitors of over 16%.Tenerife has long been the most popular of the Canary Islands for British visitors but nowadays the spectrum of nationalities visiting ‘The Island of Eternal Spring’, is broader than ever. With millions of euros being spent on facilities including improved infrastructure, new beaches, and high-class shopping centres, Tenerife is now appealing to a far more sophisticated visitor. Combine this with the excellent choice of golf courses, and other sporting amenities and you have the perfect location to support investment growth potential.The decline in property prices in the Canary Islands since its peak in 2008 appears to be levelling off and investment in Spanish property in 2010 rose by 2.9%. Property prices are beginning to rise once more and many estate agents are experiencing an increase in activity.Political stability combined with an equable year-round climate, makes Tenerife an ideal location for the buy-to-let market. In addition, lifestyle buyers who want to buy a second home in Spain or retire to the region, are selecting the Canary Islands as their destination of choice. A recent report by Spanish mortgage specialists has suggested that Tenerife is a destination that remains the number one location for investors to find value for money.Strong demand.  Excellent rental returns.  Security and stability.With the market about to leave the current period of negative growth, there has never been a better time to invest and enjoy the excellent appreciation and rental returns that Tenerife has to offer. It is not unreasonable to expect average annual capital growth of between 8% and 12% over the next ten years and with a 10% annual rental return comfortably achievable for quality property, you could have a very secure and attractive addition to your investment portfolio. Do Your Research Before you go looking for your ideal property here in Tenerife, it helps to know what a good price is. Start with the internet visit a few of the estate agency web sites, you will quickly get a feel for the prices for your size of property and the location you desire.When seeking advice who to turn to the Estate Agent? or the Property Finder? The internet is a great place to get information, however its not the place to buy property on face value. Follow theses three steps1.    Is your advice independent, and it is vital that your adviser must not have a  vested interest in your decesion.2.     Are you seeing all the properties available in your budget and does this include distressed and repossessions  property on the island?3.    Is your estate agent or property finders established on the island?  How much experience do they have, and how many properties have they sold this year?  Many of the estate agents or property finders are purely internet based working from home - this type of service will  generally not be able to provide you with, for example, bank repossessions and will probably  not have the credibility to deal with the local lawyers who have access to distressed sales where prices are far less than estate agent valuations you see on web sites. Distressed salesDoes the agent offer the purchaser an opportunity to invest now and beat the price increases thus saving them up to 40% when compared to similar properties? These properties offer an ideal opportunity to benefit from the ever expanding buy–to-let market and can generate incomes which cover day to day running costs whilst providing investment return over a relatively short period of time.There are, without doubt, still some bargains to be bought. Distressed sales result, unfortunately, from a number of different scenarios which can vary from a change in financial circumstances, to the death of a spouse. Whatever the cause, the bargains are still out there to be purchased. The problem is finding them! Tenerife Property Investment has a team who are able to source the bargains you are looking for – often before they come onto the open market!    Repossession PropertyRepossessions are only available to the professional sector of the property market or those with an excellent reputation on the island.  Organisations such as that to be found on the website http://www.tenerifepropertyinvestment.com/ have the expertise to advise and act on your behalf. Contrary to many people´s beliefs, the Banks are very reluctant to repossess directly from an owner as this was, in all likelihood, a customer of that Bank and this reflects badly on the Bank´s image.When an owner defaults on their mortgage, the banks are legally bound to assist their client and this is normally achieved by the reduction of the mortgage to an interest only loan for a period agreed between the bank and the client.  This will involve the production of a new contract which is paid for by the client.  If then, the client fails to keep to the new contract the bank will normally pass on the property details to clients, informing them that the owners have a financial difficulty.  This then becomes a pre-repossession property.  If the client has been in default for many months then it is possible that the Court proceedings would take up to a year in order to gain permission to sell and redeem the outstanding loan or part of the outstanding loan.  This is a particularly difficult area as any shortfall in the price raised by the auction against monies outstanding can be pursued by the Bank in order to redeem their loss.The property would then have to be offered at auction and the auction is only offered to people who have lodged a guarantee by way of a certified cheque, which would be 30% of the valuation of the property. Tenerife Property Investment are, however, able to access pre-repossession properties which often represent a huge saving on market value and which are debt free with guarantees from the banks.     Tenerife Property Investment are happy to advise on any of these particular areas and offer a specialized approach in liaison with an abundance of advisors to provide an impartial and informed advice service.  There are many bargains to be bagged and there has never been a better time to invest in property in Tenerife My experience of the island is based on many, many years of both holidaying and living in Tenerife.  I have lived here for over 20 years and it is this experience which enables me to offer the best, impartial advice regarding the purchasing of property, the selling of property, investment and the buy-to-let market.

I have been involved in the buying and selling of property throughout two recessions and have achieved great success in this particular field, both through economically bad times as well as good.  Nowadays there are great financial opportunities to be gained within the property sector in Tenerife.  Why? Because prices have not been so low for a very long time and many estate agents are now saying that ¨this is the sale of the century¨  Combine this factor with the low interest rates and it is patently clear that there has never been a better time to invest in property in Tenerife!