Over the past four years, the average price of housing in Lanzarote has gone up by 40%, reaching €2,655 per square metre. This increase has impacted a wide range of residents, from workers and small business owners to public sector employees whose salaries are no longer sufficient to buy somewhere to live.
In Lanzarote, living in a converted van, campervan, or caravan in a car park in a tourist area has become a necessity for some, as the island’s severe housing shortage and skyrocketing rental prices leave many with no other options. A recent survey conducted by Lanzarote’s Data Centre, which is operated by the cabildo, revealed that housing is now the “main concern” among its residents.
Since January 2021, property prices have risen dramatically, forcing people from many different backgrounds into alternative living arrangements. One affected resident, originally from England but raised in Lanzarote, returned to the island last year to establish a business as a DJ and event organiser. Despite earning €1,600 a month, he has been unable to find a rental property for less than €1,200 per month.
After spending a month in an Airbnb at €70 per night, he resorted to purchasing and converting a van into a living space. His self-sufficient home includes a kitchen, shower, a 140-litre water tank, and 400-watt solar panels. He has now been living in a car park for six months.
The Impact of Tourism on Housing
Lanzarote’s rising cost of living is further exacerbated by the island’s booming tourism sector. The latest data from the Canary Islands’ Tourism Rental Survey indicates that there are currently 36,384 beds in holiday rental properties available on the island, an increase of 11,000 over the past four years. In 2024, Lanzarote also recorded a historic high of 3.2 million tourists. Meanwhile, the last social housing development on the island was built in 1994.
Authorities have responded by implementing new regulations, such as banning caravans from certain areas. In Puerto del Carmen’s Playa de Los Pocillos car park, once home to more than 20 parked caravans, the local council has installed signs restricting access to private cars and motorcycles only. As a result, the vans have dispersed, but their residents remain on the island.
The Human Cost of the Housing Crisis
Among those affected is a pensioner who has lived in his van for three and a half years in Costa Teguise. Formerly a head pastry chef in a well-known hotel, he moved from Jerez to Lanzarote over 40 years ago. Following a divorce and struggles with depression, he found himself without stable housing. Despite his challenges, he says that swimming at a local sports centre has helped him regain a sense of purpose: “Now, I want to live again.”
Others continue to struggle with the rising costs of housing. One hotel worker is renting a large caravan for €800 per month, while some locals have even started renting out caravans to tourists as alternative holiday accommodations.
A New Way of Life
In various locations across Lanzarote, the number of people turning to vehicle-based living continues to grow. At Costa Teguise’s Las Cucharas beach car park, Antonio, a 64-year-old pensioner, has lived in his Renault Kangoo for several years. Nearby, a yoga instructor has chosen to live in a caravan after her landlord more than doubled her rent from €350 to €800 following the COVID-19 pandemic. “I choose not to waste my money on rent,” she says.
Similarly, a water supply company employee, facing the realities of the current housing market, opted to buy a caravan rather than rent a home. With monthly payments of €650 for the next seven years, he cannot afford additional housing costs.
For many in Lanzarote, adapting to van life is no longer a choice but a necessity, as the island’s housing crisis continues to push residents towards unconventional solutions.
