The 35-year-old enjoyed a promising debut campaign as Spurs manager last term, guiding his side to fifth-place in the Premier League, and reportedly attracted the interest of Paris Saint-Germain and Real Madrid during the close-season.
But Villas-Boas – who is yet to complete two consecutive seasons at the same club – has revealed that he preferred to stay at Tottenham to establish continuity rather than seek a move elsewhere.
| SPURS LATEST
|11/13||Tottenham are 11/13 with BetVictor to beat Crystal Palace on Sunday
"[It is] my first opportunity to start a second year in the same club. I think that can give me an advantage and is something I want to try.
"I have been very welcomed. I have an excellent group of players and the conditions and structures we have at Tottenham are fantastic, and the arrival of Franco Baldini takes us to another level so these are things I had to measure."
Villas-Boas went on to criticise the exaggerated prices of English players in the modern market, suggesting that the likes of Nacer Chadli and Etienne Capoue provide better value for money.
"There is one problem with English players in the English Premier League," he said.
"It's the price. This is something that has been happening on another level with Chelsea and Wayne Rooney and Man United and Rooney.
"I think players in England cost you a lot more than what you can get out of Europe particularly in the case of Nacer Chadli and Etienne Capoue so at the moment it is a market we have been looking at with players that we have been following.
"The other two [Soldado and Paulinho] are renowned internationals that we had to pay a very high price for but I think it is the right price for players of that level."