Finding Accommodation in Lanzarote

According to the most recent official census over 5,000 British expats now live on Lanzarote.  Along with many thousands more from other sun starved Northern European nations such as Germany, Ireland and Holland. 

Whilst some émigrés choose to rent a property initially in order to get a feel for the island and seek out job opportunities many take the plunge into buying property in Lanzarote straight away.  A process that is surprisingly simple and straightforward in relation to say the system in the UK, with its sealed bids, sellers packs and gazumping.

Any EU citizen has the right to live on the island and buy property here.  And getting a mortgage in Lanzarote is again a straightforward process.  With most local banks and institutions prepared to lend 70% of the valuation price – which can of course be a different figure to the property’s asking price.

Despite the fact that the Euribor – the central European banks base lending rate – has continued to rise, so making mortgage borrowing more expensive, mortgages here are still a good couple of percentage points below current UK rates.  Making it far better value to arrange a mortgage on the island.

And one of the most reassuring aspects of the Spanish system is that buyers are required to lodge a 10% deposit.  If the vendor then reneges on the agreement they are then liable to reimburse this 10%, plus a pay a further 10% on top.  Which effectively gives buyers here a much greater level of security and protection.

Compared to even five years ago it is now much easier for non-Spanish speakers to find rental property on the island.  And there´s no shortage of estate agents here either – with around 170 vying to help prospective property purchasers.

This article was kindly donated by Nick Ball, editor of the tourist guide Lanzarote Guidebook

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