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Sorry, this property is sold! It was an absolute bargain price – make sure you do not miss out on the next one by subscribing to repossession and bargain property alerts below and receive all our new listings as we publish them – don´t miss another Tenerife bargain!

Excellent price for this studio apartment now for sale on the Santa Maria complex in Torviscas Bajo. This studio could be yours for the knock down price of 108,000€, 99,950€, now just 95,000€ and it is worth every Euro!!!. It has very good rental income of around 250€ per week and rents out for 45 weeks per year.

There is a large lounge, a  kitchen and dining area and although it is a studio there is a good sized bedroom area which has fitted wardrobes. Plenty of space for storage and of course a bathroom and toilet.

From the lounge you have a balcony which is easily large enough for a table and chairs (no-one dines inside in Tenerife!) and from the balcony you can enjoy good views of the surrounding area including great sea views – see photos (it was a bit cloudy when we took them usually those are blue skies you would be looking at.)

The hotel complex has excellent facilities and is very well maintained. There are two communal swimming pools, a 24 hour reception, a games area and bar/restaurant. The area where the complex is situated is very popular with tourists and you are a minute from the beach – Puerto Colon is literally across the road and around the corner.

Rental income

The apartment is being sold fully furnished and is both an excellent holiday home and a very solid investment. There is an agent in place who fully manages the apartment and can provide you with plenty of clients. Looking at the numbers for rental:

45 weeks x 250€ = 11,250€ Gross per year

10% commission charge = 1,125€
35€ per week cleaning = 1,050€ (Only 1 clean on 2 week lets so price based on 1/3rd of bookings being for two weeks)
Community fees per year = 1,845€ (includes water and electricity)
IBI annual tax = 150€
Garbage collection annually = 80€

Total deductions of 4,253€ leaving a net profit per annum of 7,000€

And that leaves a full seven weeks for your own personal use. If you don´t use the seven weeks then it can be rented out for additional income.

As a leveraged investment (using a mortgage)

Purchasing with a 70% mortgage over 30 years would require a 30% deposit (28,500€) plus around 10,000€ to cover all fees, taxes and set up costs. So total cash required is around 38,500€. A 66,500€ mortgage for the balance, paid over 30 years would cost you around 308€ per month which is 3,700€ per year. So after all expenses are paid and your mortgage is paid you are still making  a 3,300€ cash profit.

Over 11 years you have back the 38,500€ initially invested, (11 x 3,300€) you will have paid 15,000€ off the mortgage and still be making 3,300€ per year after all deductions.

This property easily pays for itself. Demand for holiday accommodation far exceeds supply and you will find most good studios and apartments fully booked 12 months in advance at peak times.

You could opt to take a mortgage over a shorter term (say 12 years) instead which would cost around 575€ per month or 6,900€ per year – still fully covered by the rental income and in 12 years you would own the property outright for just the initial 38,500€ cash you put in.