Amid rising property prices in Spain’s most popular regions, Tenerife stands out with one city where real estate remains surprisingly affordable. If you’ve long dreamed of living in the Canary Islands but thought it out of reach, now is the time to reconsider.
The Most Affordable City to Buy Property
In the northwest of the island, at the foot of the Teide volcano, lies Icod de los Vinos—a city that became Tenerife’s leader in real estate affordability in 2025. Here, the average price per square meter is just €1,446. For comparison, similar properties in other parts of the island are much more expensive. Icod de los Vinos is famous not only for its vineyards and ancient dragon tree, but also for its tranquil atmosphere—a draw for those weary of big-city hustle.
The Benefits of Living Off the Tourist Trail
Moving to Icod de los Vinos means embracing a more relaxed lifestyle, free from tourist crowds and noisy parties. Traditions are valued here, and locals are known for their hospitality. The city is surrounded by green hills, and the ocean is just a stone’s throw away. Residents enjoy access to schools, medical centers, shops, and everything needed for a comfortable life. At the same time, the cost of living is significantly lower than in the island’s capital or the southern coast.
Where Else to Find Affordable Housing in Tenerife
Icod de los Vinos is not the only town where you can make a smart property purchase. Among the most affordable options are Arafo, with a price of 1,521 euros per square meter, Güímar, where the average cost is 1,714 euros, as well as La Orotava and San Cristóbal de La Laguna, where prices are slightly higher but still far from the capital’s rates. These towns offer a peaceful atmosphere, well-developed infrastructure, and the chance to live surrounded by nature.
Comparison with other regions of the Canary Islands
Overall, in the Canary Islands, the cost of living and real estate varies depending on the distance from major cities and tourist areas. In Tenerife and Gran Canaria, prices are traditionally higher, especially in the capitals. However, in smaller towns and rural areas, you’ll find deals that can pleasantly surprise even the most budget-conscious buyers. On other islands, such as La Palma or El Hierro, homes are even cheaper, though demand there is lower due to less tourist interest.
Why consider the north of Tenerife
Northern towns on the island, such as Icod de los Vinos, attract not only with affordable prices but also a unique blend of nature, traditions, and tranquility. Here you can enjoy views of Teide, stroll through vineyards, and breathe clean air. For those seeking a balance between comfort, affordability, and quality of life, this region is becoming increasingly attractive.
