Tenerife has always been a popular holiday destination thanks to tip-top temperatures and sunny days even through winter. The island blossomed from the package holiday boom starting in the late sixties and our love affair with the island for beach holidays has continued ever since.

One of the great things about Tenerife is that it is still incredibly good value in regards to accommodation on offer to families, couples, solo travellers and even digital nomads. Over the past few years, Tenerife has made concerted efforts to improve the quality of its hotels and resorts, and while some areas have seen price increases, there are still bargains to be had in popular spots across the island.

Whether you’re looking for a budget city bolthole, a great value family hotel, a self-catering apartment or an all-inclusive by the beach that won’t break the bank, Tenerife has you covered for cheap hotels.

Best budget hotels in Tenerife, Canary Islands

At a glance

1. H10 Tenerife Playa hotel

Puerto de La Cruz

From the outside, this might not seem like a budget option, with its enviable location on the very front of the promenade in Puerto de La Cruz next to the famous Lago Martiánez open-air swimming pools, but rates are incredibly good value. The 324 rooms are modern and comfortable, many with stellar ocean views. With multiple pools, nightly evening entertainment, multi-use sports court and three restaurants, there’s plenty to keep everyone occupied. There’s also an all-inclusive option and longer-stay discounts are available for stays of more than eight days.

Address: Av. de Cristobal Colón, 12, 38400 Puerto de la Cruz, Santa Cruz de Tenerife, Spain

Read more: The best hotels in Tenerife for family-friendly holidays and luxury stays

2. Gara Suites Golf & Spa hotel

Golf Las Américas

Cute duplexes and suites make up this hotel. It’s an ideal spot for any golf aficionados as it’s located in the middle of the Las Américas golf course in the popular south west of the island. It’s not just for those looking to swing their clubs on the fairways, as its location makes the ideal spot to experience all the exuberant life in Playa de Las Américas and the other major resorts of the area. There’s a spa, small gym outdoor pool, a games room and a children’s playground onsite.

Address: C. Landa Golf, 2, 38650 Playa de la Américas, Santa Cruz de Tenerife, Spain

Read more: Best family-friendly activities in Tenerife, from water parks to whale watching

3. AC Hotel Tenerife

Santa Cruz de Tenerife

Over the past few years, Santa Cruz de Tenerife (the island’s capital) has become much more popular with holidaymakers looking for something a little different than the beach resorts of the south. It’s meant a spate of cool new city hotels opening, including the AC Hotel right in the heart of the capital. Rooms are modern and functional as you’d expect from the AC brand with plush touches for comfort. Since opening, the rooftop bar Azotea del 31 has become one of the city’s hottest spots for cocktails and small plates, offering views over the old town and the sea.

Address: C. Candelaria, 31, 38003 Santa Cruz de Tenerife, Spain

Read more: The best beaches in Tenerife

4. Hotel Rural La Correa del Almendro

Arona

If you’re in the mood for a different sort of stay, then La Correa del Almendro might be up your street. This boutique rural hotel is made up of six large rooms housed in a 300-year-old Canarian farmhouse with original Canarian pinewood details. Alternatively, you can book into one of the hotel’s bubble rooms – transparent igloo-style glamping pods that allow you to make the most of Tenerife’s protected night skies to see the stars. There’s an outdoor pool and sun terrace and due to the hotel being 800 metres above sea level, there are spectacular views down to the coast and towards the Atlantic.

Address: Cam. Real de Altavista, 58, 38649 Arona, Santa Cruz de Tenerife, Spain

Read more: Discover the lesser-known side of Tenerife where beers are €2.50 and landscapes appear straight out of a movie

5. InnSide Santa Cruz de Tenerife hotel

Santa Cruz de Tenerife

A recent addition to the growing hotel scene in Tenerife’s capital of Santa Cruz de Tenerife, the InnSide is smack bang in the centre of town. The rooms are chic and stylish and ideal for a city break – especially as the hotel is right next to the main shopping street Calle Castillo. But don’t think you can’t have your downtime here too, as there’s an impressive rooftop sun terrace with a gravity defying infinity pool that hangs over the street, and perfect for cooling off in the summer sunshine. There’s also a rooftop bar, and a restaurant serving Latin American-inspired dishes with a Canarian twist.

Address: C. el Pilar, 3, 38002 Santa Cruz de Tenerife, Spain

Read more: I took four kids under eight to Tenerife – this is how I made it a stress-free holiday

6. La Laguna Gran Hotel

San Cristóbal de La Laguna

La Laguna is one of the most historic parts of the island and home to the island’s main university. The centre is a protected Unesco World Heritage Site, and the street layout of La Laguna was used for towns and cities across South America including Havana in Cuba. The hotel is housed in a beautiful old building in the historic centre and rooms are suitably characterful. The rooftop has a 22-metre pool and sun loungers for hot days, and a vinoteca wine library for when the weather turns chilly (or not).

Address: C. Nava y Grimon, 18, 38201 La Laguna, Santa Cruz de Tenerife, Spain

Read more: The Ritz-Carlton, Abama hotel review: Elegance, fitness and family fun in sunny Tenerife

7. Hotel Monopol

Puerto de La Cruz

This charming, traditional hotel has been run by the same family for nearly a century, and has pride of place on the seafront in Puerto de La Cruz. This resort on the island’s north coast is a little more mature than its southern counterparts but has a long promenade and plentiful shops, bars and restaurants. The hotel looks classically Canarian with pinewood balconies, shutters and interior courtyard. It has a sleek rooftop pool and sauna, and the on-site Don Carlos restaurant serves traditional Spanish food and plenty of local wines.

Address: C. Quintana, 15, 38400 Puerto de la Cruz, Santa Cruz de Tenerife, Spain

Read more: Why Tenerife is Europe’s best spot for responsible whale watching

8. Hotel La Quinta Roja Livvo Senses Collection

Garachico

In the small port town of Garachico – once the island’s main port until it was destroyed by a volcanic eruption several hundred years ago – you’ll find La Quinta Roja – a manor house transformed into a cute boutique hotel. Rooms have classic architecture with contemporary furnishings and its suites are affectionately named after native flowers of the archipelago. Chef Samuel Hernández heads up the Silogía restaurant which is distinctly Canarian with global influences – snag a seat on the interior courtyard when the sun goes down. There’s a dedicated yoga studio and nearby you’ll find the natural volcanic seawater pools of El Caletón.

Address: Gta. San Francisco, s/n, 38450 Garachico, Santa Cruz de Tenerife, Spain

Read more: The Canary Island you might not have thought of for wine – and running

9. Ona El Marqués aparthotel

Puerto de Santiago (Los Gigantes)

This aparthotel is located in Puerto de Santiago in the gaze of of the famous Los Gigantes cliffs. With well-equipped kitchens in each apartment, this is ideal for keeping costs down. All apartments come with a full-size oven (often a rarity in the Canaries), microwave, fridge, washing machine and air conditioning, plus a balcony or terrace. There’s also a good-value restaurant onsite serving Spanish plates, fresh fish and meat. The pool is sizeable and there is plenty of space for relaxing on sun loungers. You can visit the book exchange library and there are table tennis and pool tables available.

Address: C. las Rosas, 4, 38683 Puerto de Santiago, Santa Cruz de Tenerife, Spain

Read more: Why the Canary Islands should be your next holiday destination for winter sun

10. Hotel Catalonia Oro Negro

Playa de Las Américas

Well-known in mainland Spain, the Catalonia hotel group have three hotels in Tenerife, one of which is the Oro Negro near Playa de Las Américas. As with all their hotels, the rooms are smart, clean and modern with a beachy vibe. It has a beautiful pool and plenty of space for soaking up the Tenerife sunshine. There’s also a brand-new pool on the roof for guests staying in the premium rooms. It’s a good spot for all the family, as there is a children’s play area, evening entertainment and a daily activities programme featuring aquagym, billiards, pétanque, and aerobics.

Address: Av. Arquitecto Gómez Cuesta, 14, 38660 Arona, Santa Cruz de Tenerife, Spain

Read more: Spain’s warmest places for winter sun

11. Hotel Spa Villalba

Vilaflor

This rural hotel is the great choice for those looking to explore the mountainous Tenerife landscape and El Teide National Park. Located at the entrance to Corona Forestal Natural Park, it’s a world away from the frenetic resorts of the south of the island. Rooms are classic and spacious often with views of El Teide volcano. The hotel has a Teide cycling challenge, a climbing wall, yoga and hiking trails, as well as a spa. At 1,500 metres above sea level, it’s also an ideal spot to stargaze. You’ll find a restaurant onsite and there is also a finca where much of the produce used by the chefs is grown.

Address: Camino San Roque, s/n, Cam. de San Roque, s/n, 38613 Vilaflor, Santa Cruz de Tenerife

Read more: The hidden Spanish holiday hotspots where you can avoid crowds – and tourist trap prices

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