Investing in Fuertaventura/Canary Islands

[Lolita123]

Hello everyone,

I have recently spent some time in Furtaventura Island in the Canary Islands and am thinking of investing in a beach villa in order to rent it out to tourist and spend some time there on my own.
Does anyone have any experience with purchasing property there?
I am mostly debating between buying it as a physical person/non-resident and declaring the rent income or establishing a property (Spanish or other EU) and then buying the propery through the company and having this as the company's main activity.

 

[legrant]

Canary Islands properties are on a crazy time right now, prices have skyrocketed last 5 years, rents too.
Before buying make sure you've visited the place, the price is fair and there's no squatting going around close to the property because if they get into your house, you could spend more than 6 months trying to kick them out.
When it comes to purchasing, sellers may ask for $ to be paid in cash (undeclared), however, that's more common in apartments worth 100-250k. I have someone who bought an apartment for 138k, 15k of those were paid in cash (real estate agencies play along).

Just be aware prices are generally very high right now and may not stay there forever (there's a lot of properties being put up for sale, but not actually being sold).