Best Areas to Invest in South Tenerife

May 19, 2025
Practicante


🌴South Tenerife remains a top-tier destination for real estate investment in 2025, thanks to its year-round sunshine, strong tourism demand, and a well-established property market. Below are the most reliable and high-performing areas to consider for a safe and strategic investment.


📍 Costa Adeje – High-End and in High Demand

Costa Adeje is the most prestigious area in the south of Tenerife. Its development is well-regulated, making it a secure environment for investors looking for long-term value, high-end clientele, and consistent demand.


Why it’s reliable: mature, well-structured market with international appeal


Property types: luxury villas, modern residences, exclusive apartments


Target buyers: families, retirees, high-end investors



📍 Playa de las Américas – Short-Term Rental Powerhouse

Playa de las Américas is the beating heart of the island’s tourism industry. It offers some of the highest rental yields in Tenerife and benefits from excellent year-round occupancy, especially for short-term holiday lets.


Why it’s reliable: high turnover, constant tourist flow, strong returns


Property types: studios, 1–2 bedroom apartments in tourist complexes


Target buyers: rental investors, second-home buyers, Airbnb hosts


📍 Los Cristianos – Balance Between Tourism and Local Life

Los Cristianos offers a balanced lifestyle with both local character and robust tourist infrastructure. Its active port, accessible beaches, and variety of amenities make it one of the most stable areas to invest.


Why it’s reliable: steady demand all year, attractive price-quality ratio


Property types: 2–3 bedroom apartments, duplexes, well-located units


Target buyers: families, semi-retired residents, long-term investors


📍 El Médano – Authentic and Growing

El Médano is popular among water sports enthusiasts, digital nomads, and Northern Europeans seeking a more authentic, relaxed environment. It continues to grow, yet retains its charm thanks to controlled urban expansion.


Why it’s reliable: low market saturation, sustainable growth, loyal rental base


Property types: modern apartments, small townhouses, penthouses with sea views


Target buyers: sports lovers, eco-conscious families, young professionals


📍 Golf del Sur & Amarilla Golf – Peaceful and Residential

Located in a quieter part of the island, these golfside communities attract a loyal expat base and long-term residents. These areas offer a secure setting with well-maintained properties and beautiful views.


Why it’s reliable: low turnover, safe and quiet environment, consistent occupancy


Property types: apartments in gated complexes, bungalows, villas with golf views


Target buyers: retirees, couples, lifestyle-focused investors



📝 Conclusion
For investors seeking stability, rental income, and legal clarity, these areas in South Tenerife represent some of the island’s most secure real estate opportunities. Each one offers a distinct character and investment profile, allowing you to tailor your purchase to your strategy.

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