Buying Property in Tenerife: The Complete Expat Guide

Your Guide to Buying Property in Tenerife

Tenerife has long been a dream destination for expats looking to buy property. With year-round sunshine, affordable living costs, and a welcoming international community, it's easy to see why thousands of Europeans choose to invest here every year.

Getting Your NIE Number

Before you can buy property in Spain, you need a NIE (Número de Identificación de Extranjero) — your foreign identification number. You can apply at the local police station (Comisaría de Policía) or at a Spanish consulate in your home country. Processing takes 1-4 weeks.

Understanding the Market

Tenerife's property market varies dramatically by area. Costa Adeje and Los Cristianos command premium prices (€2,500-4,500/m²), while areas like Granadilla or Guía de Isora offer better value (€1,200-2,000/m²). Northern Tenerife, including Puerto de la Cruz, offers a middle ground with authentic Canarian charm.

The Buying Process

1. Find a property — Work with a registered estate agent (agente inmobiliario)
2. Make an offer — Negotiate the price and terms
3. Reservation contract — Pay a deposit (usually €3,000-6,000) to take the property off the market
4. Due diligence — Your lawyer checks the property's legal status, debts, and permits
5. Private contract — Sign and pay 10% of the purchase price
6. Completion — Sign at the notary and pay the remaining balance
7. Registration — Register the property at the Land Registry

Costs to Budget For

Beyond the purchase price, expect to pay:

• Transfer tax (ITP): 6.5% for resale properties
• IGIC: 7% for new-build properties
• Notary fees: €600-1,200
• Land Registry: €400-800
• Legal fees: 1-1.5% of purchase price
• Mortgage costs: If applicable, arrangement fees of 0.5-1%

Renovation After Purchase

Many expats buy properties that need updating. TruTrade connects you with verified local tradespeople who can handle everything from minor repairs to complete renovations — all with built-in translation so language is never a barrier.