Canary Islands real estate market — prices, rental yield and trend
- Average price: $3,867 / m²
- Gross rental yield: 5.54%
- Net rental yield: 4.49%
- Transaction cost: 15.3%
- Price basis: regional average
Residential property in Canary Islands averages $3,867 per square metre. That makes it the 21st most expensive of the 59 markets in the set.
What a buyer pays in Canary Islands
The $3,867 figure is a regional average across all residential property types, which flattens a wide spread — the most sought-after areas run well above it, the rest of the region well below. Buying costs — transfer tax or stamp duty, notary, registration and agency — come to about 15.3% of the price here. On a 100 m² apartment at the average price that is roughly $59,165 on top of the $386,700 purchase price. That is above the 9.1% median across the set — the entry cost is part of the investment case here.
What it earns
A square metre lets for about $17.9 a month. Against a purchase price of $3,867 per square metre that is 5.5% gross, before tax. Both figures come from the same source and the same period, so you can check the arithmetic yourself. It ranks 27th of 55 markets by gross yield. Rental income is taxed at 19–24% — the rate is not a single number here. That is the difference between 4.2% and 4.5% net on the same property. The 4.5% net figure we publish uses 19%.
How the tax works. 19% or 24% depending on where the owner is tax-resident, not on the rent level. Owners resident in the EU/EEA pay 19% on net income after deductible expenses (TRLIRNR arts. 24.6 and 25.1.a); owners resident outside the EU/EEA pay 24% on the gross rent with no deductions (art. 24.1). The 50–60% long-term letting relief of the resident regime does not apply to non-residents. A 2025 National Court ruling (SAN 3630/2025) would extend deductions to non-EU owners, but the tax agency has not yet accepted it. Source: agenciatributaria.gob.es.
Who can buy in Canary Islands
Freehold, no restrictions. That is the rule a foreign buyer meets first, not legal advice — check the current position locally before you commit.
How this figure is built
The price figure for Canary Islands is built from asking prices from listings. It was last refreshed on 2026-09-14. We rate our confidence in this market’s data high: the underlying series is official and current. We recompute every market the same way; a figure that fails our checks is suppressed, not guessed.
Sources: idealista sale · idealista.com · infobae.com · ecb.europa.eu. Snapshot: 2026-09-14.
Latest Canary Islands market analysis
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- Renting in Spain Now Takes 39% of Household Income, Ten Points More Than Buying — 2026-08-20
- BBVA Expects Spanish House Prices to Rise 12% in 2026 While Sales Fall 7.3% — 2026-08-14
- Spanish Home Sales Rose 1.6% in June, Ending Five Months of Decline — 2026-08-11
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