Good time to buy in lanzarote?

[lyonsa3]

Hi,
I've found a few properties in lanzarote that interest me. I just want to see what people thing of the idea of buying here at the moment. Has the market bottomed out or is there still a bit to go.
I would be buying a 2 bed apartment and need a mortgage of €50k. I'll be able to cover the other costs and the rest of the money for the purchase.

I have about 5 properties lined up and would bid low on whichever one i liked the look of best and see what happens.

I currently spend about 6 or 7 weeks a year over there with family and pay about €2k for rental property. I would therefore try and let it out on short term lets for the periods I'm not there.

Also can anybody tell what the interest rates in lanzarote are (fixed and variable)?

 

[Graham_07]

I can't help on interest rates but the locals suggest the market is recovering, however many agents are apparently still quoting way over for properties by as much as 30%-40% in some cases. Also note that the buyer is expected to pay the agent. There are some good threads on the residents corner section of www.gazettelanzarote.com. You will also get good recommendations on that forum agents from ex-pats who've dealt with them. 2 bed would have better rental potential alright for when you're not there. If you find one that looks interesting the rent-to-buy option is becoming more popular there and might be something to keep in mind. Good luck hunting.

 

[PiedPiper]

In spain they fix the rates once a year so you can be lucky, lots of small print eg minimum of 4%. I would try to buy from an owner there are plenty for sale on buyand sell gumtree and lots of other sites.

 

[niceoneted]

I thought about this but an now looking at the south of spain instead as I am worried about flights long term to the canaries and feel at least if I am in Spain I can drive across land. I know the weather isn't as good in the winter but it'll still be better than here.