Property Investment in Tenerife

1. If possible the best time to buy is right at the beginning of the project when you can have the property of your choice rather than what is left over, and at the lowest prices.

2. Make sure the district you are looking at are seen as the most desirable.

3. Always ask for a copy of the contract in English, not just the one page reservation agreement, but the full contract.

4. If you are using an estate agent, choose a reputable one. Building companies will pay a commission to the agent, so you get him working for you for free, compare the advice you are being given with other agents..

5. Remember, that the reservation deposit  is non-returnable.

6. If you read the contract and don’t understand it, use the services of a lawyer (abogado).

7. If your property has views but has land in front, make sure you find out if permission to build on that land has been given. Your estate agent or lawyer can check this at the town hall.

8. Even then expect the worse Town Halls change their opinion! so if the permission changes, would it be an issue?

9. If you want to make the final payment by mortgage, make sure your circumstances will enable you to get the mortgage. If you are unable to complete, you will probably forfeit your deposits.

10. Remember, one day you will want to sell it, so keep in mind what will appeal to most buyers, position, views, and size (2 bedrooms will appeal to more buyers than 1 bedroom or studio)

11. Don’t be afraid to ask questions, the seller owes it to you to provide full explanations and you owe it to yourself to know exactly what you are doing.

12. Make a list of the "must haves", "should haves" and "could haves" and see how each investment property scores.

13. Remember timescales. Property completion goes late in completion at times. Would the delay in completion affect you financially, check the builders past record on completion for previous phases or investment developments.