Home Lifestyle 5 Essential Tips For Buying The Perfect Luxury Property In Tenerife

5 Essential Tips For Buying The Perfect Luxury Property In Tenerife

by luxirare

Tenerife is a beautiful island offering sandy beaches, pine forests and mountains; more people than ever are interested in buying luxury property to live in full time or use as holiday homes. Tenerife offers a fantastic lifestyle for every type of person in its beautiful sub-tropical climate. In our guide, we can help you understand why Tenerife property is on-demand and how you can find your dream home in the sun.

Why Tenerife? 

The Canary Isles are a popular destination for millions, and Tenerife is the largest island. Many visitors to the Canary Isles refer to Tenerife as their favourite, and it’s easy to see why. Boating a comfortable and sunny 28ºC during the summer makes it the perfect climate to escape the cold, wet weather in the UK. Offering a wide variety of stunningly beautiful scenery across the whole island from gorgeous beaches lined with palm trees to the lush forests of pine trees and volcanic landscapes in Las Cañadas, also known as The Devil’s Cauldron, at the base of El Teide, the tallest mountain in Spain.  

The property market in Tenerife caters to everyone with rural country homes, extravagant villas, apartments, Canarian cottages, private communities with secret beaches, and luxury property for sale in Guia de Isora such as Abama’s Luxury Residences. Busy tourist resorts for family fun, quite idyllic villages, exclusive golf resorts surrounded by beautiful homes and modern developments can be found across the island for every type of holiday goer or ex-pats looking for a permanent home in the sun. You can also find a wide range of fantastic activities in Tenerife such as horse riding, tennis, windsurfing, scuba diving, boat trips and cycling if lounging by the pool or on a sandy beach isn’t for you.

Tenerife is home to a mix of cultures and people from all over the world and is one of the safest places to visit in Europe, with a very low crime rate. However, like with any tourist destination, you still need to be wary of petty crimes such as pickpocketing. People feel safe in Tenerife at all hours of the day or night, with many taking long walks on the promenade in the late evenings to enjoy a cool sea breeze after dinner. 

The Buying Process

The buying process in Tenerife is surprisingly straightforward when using a professional estate agent or property developer; doing things on your own can become quite confusing as you need to be up to date on the local laws and other regulations that might come up. A professional will guide you through the process and will suggest a qualified legal advisor, giving you reassurance when it might seem a little scary, complicated or overwhelming. 

Before you begin the process, you need to make sure you have the funds in a Spanish bank account and have an NIE number. Suppose you require a mortgage to purchase your Tenerife property. In that case, it is recommended that you talk to a financial advisor or a bank before you look at properties to get an accurate understanding of what properties are in your price range.

Typically, you need to pay a deposit, which is non-refundable, and sign a private sales agreement when you find a property. Completion should be within 60 days of signing the sales agreement. During the completion, you will need to sign the title deeds, usually referred to as the escritura by your legal representative, in front of a notary and make the final payment. Once you have completed, your legal representative will register the property in your name, and you can expect to receive a copy of the escritura within 45 days.

Research What Is Right For You

Buying any property is a big decision. Before you buy overseas, it is essential that you do proper research before determining if purchasing a property abroad is suitable for you.

The first question you should ask yourself is, ‘what do you want this property for?’ Is it going to be a holiday home, retirement property, investment opportunity or any other personal use? Once you know what you want to use it for, you need to research what type of property will suit your needs; for example, you might choose a villa on a golf resort or an apartment in a development complex overlooking a gorgeous private beach.

The more time you spend researching the best options for you, the more time you will save when you come to view properties, as you will be able to look at the ones perfect for you the first time around without having to revisit your options later.

Legal Advisors

When buying a property at home, you wouldn’t do so without legal help, which is the same when you purchase property abroad. Ensure you find a local advisor that you can visit in Tenerife to discuss the services they can provide. Don’t worry if you’re new to this; the first consultation is usually free to provide you with the opportunity to get to know their company and if they are suitable for your needs. If you don’t speak Spanish, be sure to check that the legal advisors can speak your language to avoid any communication issues from having a language barrier.

Once you have completed on a property, your legal representative will ensure that the property has been registered correctly and that there are no outstanding debts or legal issues attached to the property. They will also ensure that local taxes are paid before you purchase the property and transfer the utilities into your name once you have completed.

Opening A Spanish Bank Account

Before you can buy a property in Tenerife, you need to open a Spanish bank account; this is so that you can transfer the funds for the purchase and set up standing orders for future bills such as utilities, insurance and property rates. Your legal advisor can recommend which bank to use and walk you through the process of setting up an account. Choose a bank that has a branch near the property you wish to buy so that if you ever need to speak to them directly, you can easily walk to the branch to discuss any issues or changes you need to make.

When setting up your bank account, you will need certain documentation, this can vary depending on the bank you use, but typically you will need: a passport, ID card, proof you can legally open an account, and proof of income. If you do not speak Spanish and you cannot find a bank with staff that speak your language, your legal representative can help you communicate with the bank, or you can use an online registration process if the bank you’re using has that option. 

Once your bank is set up, it is imperative that you keep the account well funded at all times to cover the various bills for your property. It can be costly to reconnect utilities if they get cut off due to a lack of funds, and you could be charged a compounding interest rate if you miss any tax payments.

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