Buying a Spanish Property in 2022 – Process, Requirements, and Pricing

The COVID-19 pandemic has drastically transformed the outlook of businesses and individuals around the world. Thousands of people are migrating to large city outskirts, luxurious apartments, and second homes to improve their quality of life.

So, if you’re planning to buy a house in Spain as a foreigner, you need to sort out some legal procedures to purchase any property. Knowing what to expect before buying and making yourself aware of several factors like high capital gains tax, property risks, price fluctuations, and growing trends can help make your buying process smooth and painless.

Whether you’re considering buying a property in a coastal region or a large city like Madrid, this guide would be very helpful for you. So, let’s get started!

ARE THERE ANY SPECIAL REQUIREMENTS TO BUY PROPERTY IN SPAIN?

The only aspect to keep in mind as a foreign investor is NIE, which is a unique number for each individual to carry out essential transactions in Spain. NIE isn’t too complicated to attain but it may take a while. Thus, it is best to consult a local real estate agent to make things easier for you and speed up the process of issuing NIE.

TAX AND BUDGET PLANNING

Though property buying procedures may vary from region to region, in general, it consists of taxes and other regulations levied by the buyer, such as:

· Property transfer tax, which is 6-10% for existing properties and VAT at 10% for new properties

· Notary costs, title deed tax, and land registration costs 1-2.5%

· Legal procedure fees, including VAT

CAN YOU PURCHASE A HOUSE IN SPAIN?

Yes, absolutely! If you’re British thinking to buy a property in Spain for retirement benefits, steady income, or whatever else the reason, you’re permitted to do so. However, you will be liable to non-EU regulations, which makes the route of buying properties in European countries a bit complicated. We suggest applying for a Spanish non-lucrative visa to simplify your property buying process.

There are no such restrictions to buy any kind of property in Spain, be it residential, commercial, or land. Spain encourages investment for everyone, both resident and non-resident buyers, just remember to apply for Golden Visa if your house is more than €500.000.

SPANISH REAL ESTATE IS ATTRACTING BUYERS OF ALL KINDS

Spain being a popular tourist destination has a lot to offer in terms of housing options, such as apartments, villas, townhouses, countryside homes, and holiday homes. Local and foreign investors are very likely to invest in Spanish property due to the Mediterranean coastline, amazing beaches, relaxed lifestyle, and low cost of living.

Although the COVID-19 pandemic had a significant impact on tourist hotspots like Madrid, Calpe, etc., these locations have become steady in the past few months and enhanced access to reliable property options. If you wish to buy Spanish property in 2022, reach out to our experts to gain better control over real estate deals for complete peace of mind.