Torrid time for tenerife?

A new survey reveals some unexpected information about Tenerife property prices…

According to the Tenerife Property Price Guide, published by Value It, three regions of Tenerife - the South and South East, the North, and the Metropolitan region – have reported house price falls.

During the last six months, property prices have fallen by 3,48% in the South and South East (from Candelaria around the Coast to Santiago del Teide).

In the North, prices have fallen the least, by 2,64%, and in the Metropolitan region (Santa Cruz, La Laguna, El Rosario and Tegueste) prices have fallen by 3,27%. When general inflation is taken into account (2,1% over the last six months) the real falls are 5.6% in the South, 4,7% in the North and 5,4% in the Metropolitan region.

Greater price falls?

John Gardner of Value It commented: "Within each region there have been greater falls in some areas and for certain property types, and a few areas are level with inflation or still seeing prices rise.

“Puerto de la Cruz has seen falls below the average for example, while the falls in Adeje are consistent with the Southern region as a whole. The answer for people looking to buy in Tenerife is thorough research and knowing the pricing trends in the areas and for the property types.

“There is no substitute if you want to buy well and protect your investment. For those thinking of selling they can work out what would be a good or competitive price to ensure that they attract serious buyers".

Falling prices can only be a good thing for prospective investors, though thorough due diligence is always a necessity.