Because it is a favorite destination in Spain, many tourists, particularly Europeans are seriously considering buying a property in Tenerife. The favorable weather condition, rich flora and fauna, diverse culture, and vigorous social life are major come-ons to real estate buyers. But for the same reasons, purchasing a property in the island can be very expensive.
As of the year 2000, the average interest rate for a Tenerife property is 4.95%. Those situated on the southern part of the island costs more than those located in the north. This is probably because of the location, facilities, and lifestyle in the south. On average, the rate of a 1-bedroom apartment in the southern coast start at around $57,000; when you buy a similar property in the northern coast, the price of this is almost cut to half. A 3-bedroom villa in the south runs at about $231,000, while those on the north would cost about $136,000.
Throughout the island, there are a number of old fincas or farmhouses that are for sale. Although most of them need some restoration, they can still prove to be valuable investments.
If you plan to buy a Tenerife property, real estate agents in the island would be very willing to assist you and help you with your needs.