The cost of housing in Adeje and Arona, municipalities in the south of Tenerife, would decrease by over 40% on average if declared stressed areas. The State System of Reference Prices for Rental Housing, published by the central government, estimates that a penthouse rented in Adeje for €2,500 could cost a maximum of €961. The measure must be requested by the corresponding city council and processed by the Autonomous Community.
On portals like Idealista, rentals offered in the southern municipalities below €800 are very scarce. After analysing the prices of several properties in the area, all above €850 monthly, a significant difference has been noted between the current figures and those offered by the tool. Specifically, the range offered by the Ministry of Housing and Urban Agenda ranges from €346 minimum to €961 maximum, for properties currently offered between €850 and €2,500. The situation is similar in the capital of Tenerife.
The digital tool establishes maximum and minimum prices by geographical areas. The goal of this provision of the Housing Law is to reduce the financial strain on households located in areas that have experienced a sustained increase in rental prices in recent years. If implemented, large property owners would be obliged to adhere to the price range of the State System or, alternatively, the figure of the previous tenant, if more favourable. For those who own less than ten properties, it would only be recommended.
From €900 to €350 in Playa de las Américas
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The monthly rent for a 34-square-metre apartment on Rafael Puig Lluvina Avenue in Playa de las Américas is €900. It is furnished but does not have bedrooms or a garage. If Arona were declared a stressed area, its price would range between €346 and €514. For an apartment in the urban area of Adeje, offered for €1,100, its cost would decrease by approximately 50%.
The exorbitant prices are compounded by another inconvenience: the often-imposed time limitation by landlords. Frequently, and especially in the southern area, property owners clearly state that they only rent for a short period of months, usually less than six months.
Adeje and Arona, with 56% and 51% foreign population respectively, are the only two Canarian municipalities with more foreign residents than Spaniards. in the last two decades, the population has skyrocketed exponentially in these areas. Adeje is home to over 122 nationalities, attracted by the good weather and quality of life. In general, the foreign population is more adaptable to current prices. Canarians, however, as the second region with the most people at risk of exclusion and poverty, find it difficult to find affordable housing in the south.
