Rent a Property in Tenerife or buy one?
One of the first decisions to make when planning to relocate is whether to rent a property in Tenerife or buy one. Whereas buying used to be the preferred choice for people relocating to Tenerife, because nobody likes to throw money away on rental, the recession scared people. Because they feared that property prices would decline, they opted to rent a Tenerife property until they felt it was the right time to buy. But now the trend is reversing again.
Tenerife is undoubtedly a fabulous place to relocate to. There are all sorts of reasons why people choose Tenerife apart from the idyllic weather. But as the recession set in economic uncertainty meant that fewer people took the plunge and made the move to paradise.
In many cases, people had problems selling their homes in the UK and Ireland as those property markets ground to a halt. Despite this, some were determined to make the move to a better lifestyle and didn’t want to wait for the economy, despite the fact that they had not sold the properties that they left behind. For many of these, rental was the only option.
Now, the wheel of the economic cycle is revolving out of recession and those renters are finding that property markets all over the world are becoming more active. Those who have been renting in Tenerife with properties for sale in the UK are starting to sell those homes, or are more confident that they soon will. This has resulted in a rise in enquiries for property for sale in Tenerife.
More enquiries are also coming from those who plan to relocate to Tenerife. Now that people are starting to sell properties in the UK, more and more of these people are planning to buy a property on the island to move into. They are joined by the ranks of those who have been waiting for the economic climate to change before they make the move, and who are now starting to take their dreams out of mothballs.
Of course one of the most important factors for all these new property buyers is that the prices of Tenerife properties have become much more competitive. Prices have been slashed and there are many opportunities on the market which will clearly grow in value very soon. Not only are these new buyers are able to take advantage of some spectacular bargains in Tenerife, but they are also spoiled for choice. Tenerife Property Shop now offers a portfolio of some 1,000 properties for sale!
The net effect of all these reasons has changed the ‘rent or buy’ equation. Although there were fewer people relocating to Tenerife in the last couple of years, a greater proportion of them decided (by choice or circumstance) to rent before buying a property in Tenerife. Now that property prices are low and we are starting to move out of recession, more people are deciding to buy first and those that have been renting are also reassessing their position.