Home Insurance

If you own a property and have a mortgage, then your bank will have insisted that you take out an insurance policy to cover the building in case of damage, or even destruction.  In many cases these policies will include contents insurance as well.  These are not necessarily the most comprehensive, nor the best value for money and an independant quote is worth getting.  When dealing with an insurance agent, communication is vital, espacially when it comes to making a claim.

Bank Repossession in Tenerife

This article describes the actions that a bank will take when they repossess your property, but it is best to try to negotiate with your bank first.  Even during the course of this process, you may be able to reach an out of court settlement with your bank such as a dacion en pago, which creates a clean break with your outstanding debt.

Bank deposit guarantees rise

Spain has increased its bank deposit guarantee from the previous 20,000 Euros to the new, higher level, of 100,000 Euros.  Bank deposits in Tenerife are protected by this system.

Banks in Tenerife

Tenerife Lifeline helps you choose the most suitable bank to open an account, as well as using your bank account.  Search for your closest ATM machine below and see a list of all banks with branches in Tenerife.

Choosing an Advisor in Tenerife

Most expats who register into the system will use a gestor or professional advisor to help them do so.  This tends to be the most practical way to get settled, as there are so many things to think about and do when you first arrive, that you may not have time to stand in queues, waiting for hours.  Using a good advisor will ensure that you have not missed anything out – crucial for your own peace of mind, and security against future surprises.  There are all sorts of people who would be willing to help you with your basic paperwork, for a fee.  You must ensure that they are qualified to do so, or else you may find yourself having to pay someone else later to rectify their mistakes. 

Dealing with Mortgage Problems in Tenerife

In the current economic climate some both residents and non residents of Tenerife may face problems in repaying their mortgage.  It can be a scary position.  Although resident in Tenerife, you may not be confident enough speaking Spanish, and this can make you feel isolated.  Finding out what options are available to you can be difficult if there is a language barrier.  There may be many people willing to help you, but in most cases this will involve a fee.  When times are hard, the last thing you want is an extra bill from an ‘advisor’.  Therefore, it is a good idea to know what your options are.

The Easy Guide to Non-resident Tax in Tenerife

Most people baulk at the idea of taxes and having to fill in a long form in Spanish can turn even the most muscle bound Adonis into a quivering lump of jelly.  Non resident tax returns are due by the end of December, so to avoid seeing grown men cry, we have put together a simple guide to non resident taxes for Tenerife Property owners. 

Electricity Bills in Tenerife overcharged

Since the change to monthly billing for Electricity in December, expats in Tenerife and all over Spain have been baffled by the amounts taken from their accounts.  One elderly couple from Marbella were horrified to find that their latest monthly electricity bill quoted the sum of 169,340 Euros – enough to heat 200 homes in the depths of the winter!

However, the confusion is not restricted to expats, as electrical companies are being investigated because have been overcharged for electricity  following a change in the billing system in Spain. 

Getting a mortgage in Tenerife

Knowing exactly what you can afford, before you start searching for a property in Tenerife, can save time, money and even heartache. Tenerife Lifeline will show you how to calculate how much you can borrow and how much you should budget for.  There are a wide variety of mortgage products and Tenerife lifeline looks at how to get the best mortgage to suit you.

Handing back the keys of your Tenerife Property

If your property is not in negative equity, then there are a variety of solutions that you may be able to negotiate with your bank, and one of these is called a dacion en pago.  A dacion en pago means returning the keys to the mortgage lender and in exchange the bank will not hold you liable for the remaining mortgage debt.

Managing your money in Tenerife

Planning for taxes on savings, receiving foreign pensions in Tenerife, UK Pension entitlements, contributing to Spanish pensions, receiving the Spanish state pension, combining your UK and Spanish pensions, life assurance, succession planning

Marketing in Tenerife

If you run a local business theres a great new resource to help you improve your marketing in Tenerife and the Canary Islands.  Leslie Beeson, the author of Tenerife Lifeline has started a new blog based on his professional marketing experiences so expect a constant stream of valuable content.

Minimum Wage in Spain Rises

The minimum wage is to rise from €600 per month to €624 in 2009. 

Money

Financial problems have forced many expats to turn tail, and unwillingly go home.  Tenerife lifeline is an essential guide and information resource to find out more about moving currencies, pensions, savings, banks, loans, mortgages, working in Tenerife, paying tax and social security.

Mortgage Help for Borrowers in Spain

If you own a home in Tenerife and you are having problems repaying your mortgage, then you may qualify for a moratorium on half your mortgage payments under a Spain wide government scheme.  The measures, designed to help homeowners, allow for the deferment of mortgage payments, reducing their monthly costs by up to 500 Euros. 

Outstanding mortgage debt

It is a common misconception amongst expatriates that handing over the keys for your property in Tenerife will settle the matter with the bank.  This is not the case unless a dacion en pago has been signed at a notary between borrower and bank. 

Owning a home in Tenerife

It is a dream of many people to own a home in Tenerife.  But with the joy of home ownership come responsibilities. Tenerife  Lifeline has information you will need about  local taxes such as the Impuesto de Bienes Inmuebles, the catastral, income tax and the Patrimonio tax.  You can also find out more about communities of owners in Tenerife.

Patrimonio Tax Abolished?

As a pre-election pledge in December 2007, Zapatero promised that he would do away with Patrimonio tax.  He confirmed that he would again when the socialists acceded to power earlier this year and again in August.  However people received conflicting advice from Tenerife tax consultants, lawyers and even tax officials. Many of them said that the abolition was not confirmed.

Transferring Currencies in Tenerife

In the last few years it has become much cheaper to move money from one currency to another because of the emergence of specialist currency companies.  These cost savings do not just apply to large movements and currency exchanges, such as transferring money to buy a property.  If, for instance, you receive a pension from the UK or any other form of income, then using these companies can save large amounts over time.

Spanish Tax Reclaim

Almost a billion Euros of Spanish Tax reclaim is waiting for foreigners who sold their property in Spain, have you claimed yours?  If you sold a property in Spain 1997-2006 and you were not a Spanish resident, then the European Court have ruled that you qualify to reclaim a large chunk of the tax you paid.  You can now reclaim this at the best no win no fee rates!

Tax and social security in Tenerife

Tenerife Lifeline gives information about paying Social Security in Tenerife, employed and self employed social security contributions, claiming unemployment benefit, claiming maternity benefit, claiming Retirement benefit, income tax in Tenerife, filing a tax return, deadlines for tax returns, income tax rates, documents required for a tax return, self employed tax obligation and the Beckham law.

Tax Rebates for Renters

From 1st January 2008, you can deduct 10.05% of the rent paid if renting your main home in Tenerife.

The Hipoteca Joven Canaria

If you are a Tenerife resident between 18 and 35 with two years of provable income, and you are buying your first property, then you may qualify for the advantageous mortgage terms of a Hipoteca Joven Canaria, subsidised by the Canarian Government.  Terms are very advantageous.

Tips for negotiating your problem mortgage in Tenerife

As the recession bites in Tenerife, the biggest monthly bill that man expats need to face is their mortgage.  If you are having problems repaying your Tenerife mortgage, then the following tips may prove useful when dealing with your bank: