Buying Luxury House, Villa or Apartment In Spain
Imagining settling in a villa on the Costa del Sol or a smooth apartment or condo in Barcelona’s Ramblas? Buying a luxury home in Spain can make those dreams come true, below outlines some of the legal requirements and some of the risks to bear in mind when buying luxury property in Spain.
The Spanish property market has numerous peculiarities, and it pays to do your research before purchasing a house, apartment or villa. Issues to be conscious of when purchasing Spanish residential or commercial property consist of home scams, high capital gains tax, and fluctuations in the Spanish home market. Spain suffered throughout the international monetary crisis and ensuing residential and commercial property market crash. House costs dropped by as much as 30%. Almost years on, there are indications that the healing is finally in progress, with indices revealing year-on-year price boosts in significant cities and resorts, and a general national rise of 4% in 2017.
Homeownership levels are high in Spain, with around 80% of homeowners owning their own house, and many doing so outright, without a mortgage. Rental opportunities can be limited in some parts of Spain. One estate firm declares that rent prices in Spanish cities increased by as much as 15% in a year.
Now, some authorities in Spain are currently looking to curb this pattern, with Madrid set to generate new guidelines in 2019 to manage the vacation let sector. For those purchasing or offering in Spain, deal expenses are moderate, at around 10-15% of the residential or commercial property worth. For those considering a much shorter stay, renting could be a preferable alternative if you build in Spain’s high levels of capital gains tax, which could balance out any advantages of buying in the short-term.
Yes. There are no limitations on purchasing residential or commercial property in Spain, whether it’s business, property or land. In reality, Spain encourages investment by immigrants, both resident and non-resident. You will need a monetary number which can get by visiting a police station with your passport. This usually occurs on the day for Spanish or EU people however may take a few weeks for others.