Tenerife Bank Repossessions
Distressed Property Sales
Most people who purchased a property in Tenerife had the means to do so there has been a limited amount of Tenerife Bank repossession hitting the market. Most property acquisitions in Tenerife are second homes and being non-resident in a home means that the owner can choose to let that property out, should they need to do so.
Largely Tenerife bank repossession property in Tenerife is owned by residents, be they Canarian or Spanish. Most of the locals choose to rent their home and there has been a strong long term rental market in Tenerife for many years because of this. That means that Tenerife property owners can easily benefit from rental income, not forgetting Tenerife is also a holiday island and most properties can also be let as holiday homes.
Reflecting on the economic downturn, which has been experienced globally, it is fair to say that Tenerife has suffered very badly due to its high dependence on tourism. Unemployment levels have reached 30% and it is evident that most Tenerife bank repossession properties hit the market because of either job loss, divorce or some other sort of family distress.
Property prices generally remain high in Tenerife except when a quick sale is required and despite a lack of Bank Repossession property there is still plenty of Tenerife bargain property around.
Many of the older expats are leaving Tenerife to return home for various reasons, ill health, and yearning for the family or because they bought at low prices and have made a jolly good profit. Those in the latter category often benefit from a very favorable exchange rates when they convert that profit back into pounds.
If you speak to your local Spanish Bank Manager, most would say the lack of Bank repossession property is because of sensible lending!