Determining whether the price of a property in Fuerteventura is fair requires a detailed analysis of the market and the characteristics of the property.
If you are looking to buy or sell a property on the island, at DestinyHome we will advise you every step of the way to make the best decision.
Whether it is a villa overlooking the Atlantic, an apartment in Corralejo or a rural house in the interior of the island, this investment not only involves a considerable sum of money, but also expectations and illusions.
However, determining the right price for a property can generate uncertainty and stress. Is the property overpriced? Is it selling below market? Is it a profitable investment?
At DestinyHome, experts in the Fuerteventura real estate market, we help you answer these questions.
Factors influencing the price of a property in Fuerteventura
The selling price of a property on the island depends on several internal and external factors:
Internal factors: characteristics of the property
- Location: A front line beach property in El Cotillo or Corralejo will be priced significantly higher than one in the interior of the island.
- Square footage and layout: Square footage, number of bedrooms and bathrooms, and layout influence value.
- State of conservation: Recent renovations, quality materials or if the property needs renovation.
- Extras and services: Swimming pool, garden, garage, terrace with sea views, elevator, among others.
External factors: the local real estate market
- Average price per square meter in the area: It is important to know the average price of housing in towns like Morro Jable, Puerto del Rosario or Corralejo (La Oliva). Check the Fuerteventura real estate market report.
- Market trend: Analyze historical prices to see if they are rising or falling on the island.
- Demand and supply: In tourist destinations such as Fuerteventura, the demand for holiday homes can have an impact on prices, so there are areas that distort the average values.
Methods to know the value of a property in Fuerteventura
Comparison with similar properties
The first step is to analyze the market and compare the property with other similar properties in the area.
Real estate portals such as Idealista, Fotocasa or DestinyHome’s own real estate website, such as DestinyHome’s own real estate website can help you get references on current prices.
Professional appraisal
An expert appraisal will certify the real value of the property.
In Fuerteventura, real estate appraisals have these factors as essential:
- Location and surroundings
- Nearby infrastructures and services
- Condition of the property (new, good condition, to renovate,…)
- Comparison with recent home sales in the area
Do you want to know how much is your property worth in Fuerteventura?
Request a free appraisal with our experts – we are here to help you find the best price for your home or real estate investment!
The housing profitability indicator
The Price Earnings Ratio is a useful calculation for investors, which relates the selling price to the rental yield. rental profitability. It is calculated by dividing the selling price of the property by the expected annual rent.
Example: If you buy an apartment in Corralejo for 200,000 euros and rent it for 1,500 euros per month(18,000 euros per year), the PER would be:
- 200,000 / 18,000 = 11.1 → It would take approximately 11 years to recover the investment.
A ratio below 15 indicates that the purchase may be a good investment, while a P/E above 20 may mean that the selling price is high.
Tools to evaluate the price of a house
There are different ways to obtain an estimated value of a property:
✅ Cadastral value: It is the value assigned by the tax administration, but it is usually below the market value.
✅ Market value: Based on supply and demand, as well as economic and urbanistic trends.
✅ Online appraisal: At DestinyHome, we offer a free online free online valuation service where you can get an estimate based on the characteristics of your property and the current market.
✅ Fuerteventura real estate market reports: Destiny Home real estate agency publishes reports on the evolution of housing prices housing price evolution in Fuerteventura. in Fuerteventura.
