DOES INVESTING IN THE CANARY ISLANDS PAY OFF?

WHY DO MANY REAL ESTATE INVESTORS PREFER TO INVEST IN THE CANARY ISLANDS THAN IN THE REST OF THE WORLD?

There are several reasons why a real estate investor might consider investing in Gran Canaria or the Canary Islands in general. Here are some of the main reasons:

Tourism: The Canary Islands are one of the most popular tourist destinations in Europe. Every year, millions of tourists visit these islands to enjoy the subtropical climate, beaches, outdoor activities and relaxed atmosphere. This creates a strong demand for tourist accommodation, such as apartments, vacation homes and hotels, offering stable investment opportunities in tourism real estate.
Favorable climate: The Canary Islands enjoy an exceptionally pleasant climate year-round, with average temperatures ranging between 20°C and 30°C. This climate attracts many visitors during the winter, seeking warm and sunny weather. The attractiveness of a pleasant climate contributes to the stability and demand for tourist accommodation, encouraging real estate investment.
Taxes and tax incentives: The Canary Islands offer attractive tax advantages for real estate investors. For example, there is preferential taxation on Personal Income Tax (IRPF) and Corporate Income Tax (IS), as well as reduced Value Added Tax (VAT) for tourism activities. These tax incentives can make real estate investments more profitable and attractive.
Political and economic stability: Spain, of which the Canary Islands are a part, is a democratic country with a stable economy. This provides a favorable environment for real estate investment, ensuring a stable legal framework and clear rules for foreign investors.
Real estate growth: The real estate sector in the Canary Islands, and particularly in Gran Canaria, is growing steadily. There are many opportunities for real estate development, both for new construction and renovations. In addition, there are several expanding tourist and residential areas that offer attractive investment opportunities.
Quality of Life: The Canary Islands offer a high quality of life, with a unique combination of natural landscapes, beaches, outdoor activities, and modern infrastructure. People looking for a home to live there full-time or to spend their vacations can benefit from a pleasant environment and a wide range of services and recreational activities.

Of course, as with any real estate investment, it is important to conduct a careful market analysis and assess the risks and potential returns before making a decision.

Daniele Piccoli

May 15, 2023 Daniele Piccoli No Comments Real Estate Investments

INVESTING IN THE CANARY ISLANDS

In recent years, the Canary Islands have become a focus for thousands of Italian real estate investors looking for profitable opportunities. But why is investing in the Canary Islands so worthwhile? First of all, their proximity to Italy is a strong point, allowing investors to reach these islands in only a 4-hour flight. This proximity offers unique peace of mind to investors, as they can easily address any problems or needs that require their presence. Just think if you had purchased a property in the Caribbean and suddenly your presence was urgently required! Investing in the Canary Islands eliminates such worries by offering a convenient solution for real estate investment.

A crucial aspect to consider is safety: the islands offer an incredibly low crime rate, one of the lowest globally. This characteristic creates an atmosphere of serenity and tranquility that comes close to few other European destinations, providing residents and tourists with an unparalleled sense of security.

Last but not least, the climate of the Canary Islands is a key factor. Enjoying year-round sunshine, with light rainfall mainly concentrated in the northern areas and almost absent in the southern tourist areas, these islands offer ideal climatic conditions. Temperatures rarely fall below 18 degrees Celsius during the 12 months, reaching highs of 40 degrees Celsius during the summer. Thanks to this wonderful and pleasant climate, along with long golden beaches, fascinating mountain scenery, safety and affordable prices, the Canary Islands have become a destination of choice for thousands of tourists, especially from northern Europe. And where there is an influx of tourists, there is also a vibrant short-rental business. Therefore, real estate investors choose to purchase one or more properties in the Canaries to devote to tourist rentals.

“Renting an apartment in the Canary Islands to tourists offers numerous financial advantages. This form of investment ensures a continuous and profitable flow, protecting your funds from banking instabilities and financial market fluctuations. In addition, it is an opportunity to have an ideal vacation home or guesthouse for you and your family.

Investing in the short-term rental sector has many advantages over long-term rentals, especially in terms of payment security and control of the property. This choice gives you greater financial peace of mind and guaranteed returns over time.”

“Payment security is a key issue in apartments dedicated to short-term rentals for business purposes. In fact, only guests who make prepayment for their stay can enter such apartments and receive keys. This system provides owners with protection from possible non-payment, an unfortunately frequent situation in the long-term rental market that often results in legal proceedings to evict defaulting tenants. Tourist rental, on the other hand, offers a solution to all these problems: the contract is based on well-defined check-in and check-out dates and requires payment in advance.”

“In terms of control of the property, short-term rental does not imply a loss of control for the owner. In fact, the owner can continue to use the property and, when available, can also make improvements, monitor any issues, and maintain complete ownership without giving it up, unlike with long-term rentals. If you want to invest in a safe and risk-free business, short rentals in the Canary Islands are a great choice!”

April 10, 2023 Daniele Piccoli No Comments Real Estate Investments

WHY IT PAYS TO INVEST IN REAL ESTATE IN GRAN CANARIA

Investing in Real Estate always offers greater stability than other types of investments, such as stocks and mutual funds.

Investing in real estate can be one of the most important decisions in a person’s life. However, finding the right place to invest can be a difficult and challenging task. Investors are always looking for ways to secure their savings and get a good return, but with bank interest becoming lower and lower, the search for alternatives becomes more and more urgent. Gran Canaria could be the answer for those looking to invest in real estate outside of Italy, especially in the short-term rental business.

Gran Canaria is one of the eight islands that make up the Canary Islands archipelago, located in the Atlantic Ocean off the northwest coast of Africa. This island is a popular tourist destination that attracts millions of visitors from around the world each year. The island offers a mild year-round climate, white sandy beaches, crystal clear waters, and a variety of leisure activities, such as hiking, water sports, and nightlife.

Because of these characteristics, Gran Canaria has become an ideal investment location for those seeking to make money in the short-rental sector. This is due to the high demand for tourist accommodation, which allows investors to generate a stable and consistent income throughout the year. In addition, investors who decide to invest in real estate in Gran Canaria can benefit from favorable taxation compared to other European countries.

In addition, investors can benefit from rising property prices in Gran Canaria, which continue to rise in recent years. The growth of the island’s real estate market has been boosted by strong demand for short and residential rental properties. This means that investors can gain not only through rental income, but also through the appreciation of property value over time.

Finally, investing in Gran Canaria also offers the opportunity to diversify one’s investment portfolio. Investors can use this opportunity to protect their savings from unforeseen events in the Italian or European markets. In addition, real estate investment in Gran Canaria can offer greater stability than other types of investments, such as stocks and mutual funds.

In conclusion, investing in Gran Canaria’s short-term rental business can be an attractive option for Italian investors. The island offers a mild climate, white sandy beaches and strong demand for tourist accommodation. In addition, property prices in Gran Canaria continue to rise, offering the opportunity to make money through appreciation in property value over time. Finally, investors can use real estate investment in Gran Canaria as a form of diversification of their investment portfolio.