A Place in The Sun Buying Guide Spain 2021

Buying Guide
Spain
Buying Guide to
Spain
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Buying Guide
Spain
Introduction to Spain Spain & Brexit
rexit or no Brexit, Spain despite the pandemic. he UK has now left the EU. For
B remains in the sights of more Mallorca actually offers something T anyone who wants to buy a holiday
British property hunters than to suit all budgets, from a new- home there, little has changed.
any other location. build apartment from €200,000 There is no difference to the process or cost
Spain keeps its top spot in our 10 to multimillion-euro villas in the of buying a property in Spain.
Best Places to Buy in 2021 index and its fashionable hub of the south-west – But there are now limits on how long you
dominance has got even stronger in the around Puerto Andratx and Palma. A might spend there. Unless you have a visa/
past year. In an extensive online survey nice two-bed renovation apartment in Spanish residency you can spend a maximum
at the beginning of 2021, 61 per cent of the increasingly fashionable Palma Old of 90 days in each 180 in Spain every year.
respondents looking to buy abroad said Town kicks off at €300,000 whilst you If you earn rental income from a property
they wanted to buy in Spain. can get a two-bed apartment in popular you will be liable for a higher rate of tax - 24
It’s not hard to see why Spain is so Santa Ponsa for around €250,000. Over per cent, not 19 per cent.
popular for both holiday makers and in the north-east in the fashionable If you want to stay longer than 90 days at
property buyers. It receives over 60 little enclave of Pollensa, a three-bed one time, or move to Spain, you will need to
million international tourists a year apartment costs around €275,000. get a visa. For retirees, The Non-Lucrative
- more than the whole population of Meanwhile, the dramatic northern Visa allows people not working in Spain to
Spain, which is around 47 million. coast, where the mountains so loved stay there for more than 90 days. You must
Why? Its various international by cyclists, drop down into the apply to the Spanish Consulates in the UK
airports are easy to get to from the UK, sea, is also very popular. Hot spots before you go, meet certain income criteria
served by plenty of low-cost airlines, around arty Deia and Valdemossa and have private medical insurance.
it’s got a great climate, that much- are where celebrities such as Andrew If one of a married couple has an EU
loved Anglo-friendly Mediterranean Lloyd Webber Michael Douglas and passport then the process can be easier: the
lifestyle and the superb infrastructure. Catherine Zeta Jones have long owned British citizen can piggyback on the EU
Spain has bounced back from its homes. citizen’s application for residency.
worst property crash in living memory, Ibiza gets ever-more trendy and If you are hoping to work in Spain you
but yet in most areas it still property prices reflect this as the must apply for a different type of visa - a
Mallorca by far the big favourite. island has evolved a minimalist, work permit - providing a business plan for
Prices keep on rising in Mallorca, contemporary style of luxury villa all approval; or your employer applies.
its own. Expect to pay €1.5m for a new The Golden Visa is available to those
high-spec villa around Ibiza Town in who buy a property (or properties) in Spain
the south-west, but you can buy new worth at least €500,000 (or have done so
apartments in the centre from around since 2013). You can work in Spain and there
€275,000. Hotspots outside the main is no limit on days spent there. Each family
hub of Ibiza Town include Cala Tarida member needs to apply.
and Playa d’en Bossa whilst full-time If you live in Spain for more than 183
relocators favour Santa Eulalia or days a year, you have a legal obligation to
Santa Gertrudis. Famous owners have apply for Spanish residency and submit a tax
included James Blunt and Jade Jagger. return on worldwide assets and income the
Menorca is the most family-friendly year after you become a resident. Holding
and laid-back island, and with the a Spanish residency card will permit British
property market remaining sluggish nationals to travel freely across Spain and
there, there’s a lot of stock at reduced access their healthcare system.
prices, although the French have Britons over the age of 65 can still access the
returned to the market with some healthcare system. They must obtain an S1
enthusiasm. Decent apartments kick form from the UK social security department.
off around €70,000 whilst those around But note not everything is free in the Spanish
the island’s main hotspot of Mahon healthcare system, and many people top up
will typically be nearer €110,000. ¤ with private healthcare cover. ¤
WHERE TO BUY AND WHAT

HOW TO BUY PROPERTY IN SPAIN LIVING IN SPAIN
TYPE OF PROPERTY TO CHOOSE
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Buying Guide
Spain
Contents
WHERE TO BUY AND WHAT TYPE OF

PROPERTY TO CHOOSE?
4 Popular regions of Spain
5 Costa del Sol
9 Costa Blanca
11 Murcia/Costa Calida
13 Almeria
14 Costa de la Luz
15 Costa Brava
16 The Balearics
17 Canary Islands
19 The Spanish property market: a snapshot
4 20 Why are you buying?
21 To buy old or new?
22 Urbanization or not?
23 Viewing Trips explained
-----
5 HOW TO BUY PROPERTY IN SPAIN
25 Buying Process
27 Legal
28 Purchase Tax
29 Mortgages
9 30 Building Surveys
33 Transferring your money abroad
35 Ongoing costs of ownership
-----
13 LIVING IN SPAIN
38 Shipping your belongings to Spain
39 Healthcare
40 Schools & Education
40 Tax & Residency
18 40
40
Inheritance Tax
Wills
41 Retiring to Spain

Buying Guide
Spain
Popular regions of Spain
Most people seeking to buy property in Spain 5 Costa del Sol

M naturally head for the Mediterranean coastline.
7 Costa Blanca
However, the Balearic Islands are also very popular,
together with the lovely sub-tropical climate provided by the 9 Murcia/Costa Calida
Canary Islands, a favourite winter sun destination. Far fewer
people tend to buy property in the interior of Spain or the big 10 Almeria
inland cities such as Madrid, Zaragoza, Seville or Granada.
Spain is a vast country that is blessed with variety both 11 Costa de la Luz
geographically and culturally. One way or another, Spain has
everything you could wish for including stunning medieval 12 Costa Brava
cities, a great restaurant scene, top-class golf courses,
sophisticated shopping, tremendous beaches and large areas 13 The Balearics
of completely unspoilt countryside.
So, where to look? Here are the most popular locations. ¤ 14 Canary Islands

Buying Guide
Spain
Costa del Sol
he best-known of all the Mediterranean with a true 12-month

T Costas in Spain with season and offers one of Spain’s largest
towns such as Marbella, shopping centres, 15 golf courses,
Torremolinos, Benalmádena, four marinas, over 600 restaurants,
Fuengirola, Mijas, Marbella, San numerous clinics and hospitals, 10
Pedro de Alcántara and Estepona that international schools, 16 miles of
are virtually household names in the beaches…
UK. Malaga is the main city and has You can get a resale apartment on a
an international airport that services complex for €125,000, or a new one for
the coastline, which has seen massive €180,000 but a spacious apartment in
development over the past twenty years. a good, gated community in a sought-
Glitzy Marbella has bounced back after location typically tends to be
(again) with new developments back in nearer €300,000. Popular areas include
vogue and great demand for holiday Estepona, San Pedro - where our own
rentals. It’s also a great cultural melting presenter Laura Hamilton bought in
pot, with nearly 40,000 of the 142,000 2012 - Nueva Andalusia, Mijas Costa
inhabitants foreigners (from 137 and Benahavis.
different nationalities with a British The Anglo-friendly resort of
majority) and this number gets bigger Benalmadena is popular with tourists
every year. and expats and you can get a two-bed
So why are we so fond of “Marbs”? apartment there for €115,000, or a
Top of everyone’s list has to be the three-bed villa from around €400,000.
weather – 320 plus days of sunshine Your money can also go further in the
a year appeal to anyone – and of marina resort of La Duquesa, with one-
course, the outdoor lifestyle that goes bed apartments from around €85,000.
with it. It’s the only resort city on the There’s a reasonable choice of
As a family we have always loved Marbella and San Pedro

has a lovely authentic Spanish feel yet is so close to Marbella,
yet with a lower price tag. When we bought it, it was being
improved (the road diversion made a huge difference) so
we could also see the massive investment potential.
Prices have been going up there for the past two three years.
Favourite restaurant: I love Nuevo Reino in San Pedro - it’s

family run, on the beach and been around for over 60 years.

Buying Guide
Spain
Costa del Sol... cont
“We’d never been to Malaga until

CA S E
S T UDY the TV show - but we bought a
home for £69,000”
apartments in the €180k-250k bracket

and in good locations such as Nueva
Andalucía with its proximity to Puerto
Banús. Pricier locations include La
Zagaleta and Sierra Blanca.
The upmarket residential enclave of
Sotogrande towards Gibraltar offers
golf courses and a marina and attracts Having travelled the world, competing martial arts experts Sally and Dan
both holiday homeowners and full-time Ferreti from Bristol appeared on the A Place in the Sun’s Winter Sun TV
residents. Apartments start at around series looking for a home around Malaga for £80,000.
€250,000, new-build four-bed villas “We’d been to Spain and knew we wanted to buy there but didn’t know
weigh in at around €700,000. which region. At the Olympia exhibition [May 2016] we did a screen test as
Right at the eastern end of the Costa we love the TV show and wondered if our budget would be big enough.
are the two large resorts of Torre del We had never been to Malaga yet we put our faith in the A Place in the Sun
Mar and Nerja, while inland is the research team and the first time we set foot there was during filming! It was
Axarquia area that includes the Lake them that suggested looking east of Mijas to get more for our money -
Vinuela area. All three are popular with rather than west. During filming we stayed in Torre del Mar.
UK buyers. “We just wanted somewhere within an hour of Malaga airport, near the
Torre del Mar is a handy 30 minutes beach, with two bedrooms and some outdoor space. We have two children
from Malaga airport offers beachfront - aged 17 and 20 - and with a sofabed in the lounge we’d be able to sleep
development three-bed apartments for five or six people. At the moment we are both still working - Dan’s going to
around €150,000 -€180,000. Nerja, have his 50th in Spain in May - but after taking some family holidays, the
once a sleepy fishing village but now a plan was that maybe to retire there - this was the first step on that journey.
lively town of 22,000 people that has “We went out in October and by November we’d completed - it was
retained much of its authentic charm. very fast. We bought a property for €75,000 - £69,000 at the time - so
Property ranges from budget to high way under our budget. It is a two-bed, two-bath townhouse in a village,
end; a one-bed apartment might cost with lots of character in Rio Gordo.
€120,000, but in a frontline area, it It was within an old Spanish building and the British vendor had
might be €275,000. renovated and extended it and it had a very homely feel with stunning
For villas, also check out Frigiliana views over the mountains. When we were there there was all that flooding
(a Moorish pueblo blanco 6km from around Malaga but on a rainy day we bumped into a British couple who we
Nerja) where a four to five bedroom then went to lunch with and they introduced us to some other Britons -
villa with a pool is around €650,000 – and a plumber we needed! - so it was fate. We felt at home there instantly.
down considerably since the slowdown.
In Lake Vinuela area – 25 minutes
inland – you can buy a three-bed villa NEXT LOCATION: COSTA BLANCA 
for around €180,000. ¤

Buying Guide
Spain
C AS E “We found our place in

S TUDY Mijas on the Costa del Sol”
“We’d been looking to buy a view as many properties as

property in Spain for many possible before hopefully
years! My brother’s wife’s deciding to buy.
parents own an apartment in They also put us in touch
La Cala Mijas on the Costa del with a solicitor and organised
Sol and we have holidayed for us to have a meeting at the
there on many occasions and Notary office to arrange Power
on each visit, we always spent of Attorney with the solicitor
more time looking in estate and organise our NIE numbers
agents for properties for (Tax Identification Number).
ourselves.” This meant that things could
happen while we were back in The plan was to make a areas for the children, perfect!
We’ve always liked the idea of the UK with our solicitor being shortlist of our favourite We already know that our
having a home from home able to sign on our behalf. This properties on Saturday night property will serve us well for
where we could leave our is one of the big tips I would and then have the second the years to come and
things and just head out to give anybody looking to buy viewings on Sunday, but as ultimately play a major part of
whenever we wanted. We abroad is to get this in place we’d already decided where we our retirement plans. A Place in
came close to buying in 2012 because it puts you in a wanted to buy we thought the the Sun started us on our
but decided to have children stronger position as you can’t time was better spent going journey and we now have an
instead which would prove to put in an offer on any property back to our number one apartment that not only us but
be the much more expensive without having your NIE choice. Once the decision was other members of our family
option. We registered on the A numbers. made we instructed our agent can enjoy for years to come!
Place in the Sun website and to put our offer forward and it
received emails which provided Viewing trips was thankfully accepted. What advice
us with hot properties weekly, We travelled out to Spain in Chesterton’s were great would you give
and it was one of those emails early March and met with our managing the entire process to other aspiring
which kickstarted our property estate agent who met us at for us as was our solicitor. We homeowners?
adventure in early 2017. Malaga Airport and took us first finally exchanged in late April, My advice to anyone who has
to the solicitors, followed by less than 6 weeks after having been thinking of buying abroad
Estate Agents the Notary before starting with our offer accepted, something is, once you know the area you
We spotted an apartment and the property search. We saw unheard of in the UK! want to buy, don’t hesitate as
made online enquiries about about 12 different properties on We travelled out to it’ll be the best thing you will
availability which then put us in the Saturday in different areas Spain in May 2017 to furnish ever do!
touch with Chestertons Affinity, around Mijas Costa, which gave the apartment then had our
one of the bigger estate agents us a feel for what was available first proper holiday in June. Three words to
on the Costa Del Sol. After in our price range and homed The property we bought sum up the overall
discussing our needs with them in on what we felt was was a two-bedroom, experience?
they then put together a list of important for us in terms of two-bathroom apartment The three words that would
properties for us to consider location, the size of the overlooking a golf course in sum up our experience would
and arranged for a weekend apartment, proximity to coast La Calla, with two swimming be, exciting, scary and
visit where we could go out and and restaurants etc. pools, gardens and play rewarding!”

Buying Guide
Spain
CA S E
“We found our place in San Pedro on the Costa del Sol” S T UDY
has massively improved my condition! I Who knew you could be two and a half
feel so lucky that I can now experience the hours away from utter paradise?
best of both worlds; I can see my family in When we know we’re not going to be
the UK during the summer months and using the apartment for a while, perhaps
escape to Spain to enjoy some much- whilst seeing the family, we try to rent the
needed winter sun.” apartment out. The excellent rental income
we receive helps pay the communal fees
Why did you choose to and provides a great secondary income.”
buy a property on the
Costa del Sol? What advice would you give
Neida and her husband Rob recently “Bob and I had holidayed in the Sol many to others who are thinking
bought a two-bedroom apartment in San times with some of our favourite of moving to Spain?
Pedro, on the Costa del Sol. We recently destinations being Marbella, Estepona and “Firstly, just do it! If you know you want to
caught up with Neida who explains why Malaga. We love the lifestyle, pace of life, buy, don’t wait around. Some of the
moving to Spain has been the best stunning cuisine and friendly locals. properties we planned to see were
decision that she’s ever made! You’re pretty much guaranteed sun all year snapped up within days of coming onto
round and there are so many places to the market.
What were your main enjoy a leisurely walk, have a bite to eat I recommend doing your research on
motivations for buying a or even a few drinks with friends. the areas you want to live in. For example,
property in Spain? As I’m not getting any younger (sad San Pedro and Marbella are only 10
“I don’t want to start with some sad story, truth!), I wanted to make sure our minutes from each other but have hugely
but in the past, I’ve suffered from apartment was close to shops, restaurants varying property prices and amenities
depression and didn’t know why. After and with hope, the beach. In San Pedro, to offer.
meeting my husband Bob, we travelled there are regular buses to all the best areas If you can, get out to Spain via a viewing
abroad a lot and in warmer, sunny climates in the Costa del Sol and airport transfers trip, this way you get to see lots of
and I somehow began to feel much better! to and from Malaga are affordable and properties and experience the local areas
However, when returning home to the easy to book. all in 3-4 days. Some estate agents offer
UK in the autumn or winter my mental Our lovely apartment has a lift, great viewing trip packages and we got
well-being suffered again. With no logical communal pool and is walking distance to ours for only £99 per person with Spanish
explanation available, I consulted my GP the centre of town and a gorgeous beach Legal Homes – bargain!
who concluded that I was suffering from with a well maintained, level promenade.” The trip meant we didn’t have to worry
S.A.D (Seasonal Affective Disorder), which is about booking property viewings, dinner,
a type of depression that comes and goes Are you glad that you made hotels or transfers. They looked after us
in seasonal patterns and is sometimes the choice to buy? and showed us multiple properties that
referred to as ‘winter depression’. Following “In short, yes! We love our apartment and were suitable, introduced us to UK
my diagnosis, Bob said it was time to act having improved my condition, Bob and I speaking solicitors and assisted us through
and told me there and then we should buy can enjoy life as we planned to. We can fly the entire buying process.”
a property abroad. out last minute at a cheap price, plus the
Having now bought our apartment in short flight is a massive bonus. Sometimes I Three words to sum up the
San Pedro on the Costa del Sol, I am able fly out a couple of days earlier to get some overall experience?
to spend the winter months in Spain which peace and quiet and just lay on the beach. “Life-changing, exciting and revitalizing.”

Buying Guide
Spain
Costa Blanca
he Costa Blanca extends from quaint cobbled alleyways and palm

T roughly the middle of Spain’s fringed avenues. Its most desirable areas
eastern coastline close to the to live are El Portet, Pla del Mar, Pinar
wonderful city of Valencia to south of de L’Avocat and La Cometa. A three-
Alicante. This is a varied coastline of bed villa with a pool will cost €400,000-
sandy beaches and rugged coves, which 600,000 in the prime parts.
has a temperate climate with warm Alternatively in nearby Benitachell
winters and not too hot summers. you might get a four or five bedroom
It tends to be a Costa of two halves, villa for €250,000. Benissa Costa is CASE
with the northern sector a little less another popular area – there you might STUDY
developed and more expensive – as a pick up a small detached villa with a “We bought a home in
general rule. Over the years, well known pool for €295,000. Torrevieja on the Costa
towns such as Moraira, Denia, Calpe, Javea is a classy, low-rise town that Blanca for £45,000”
Javea and Benidorm have attracted has been likened to a Spanish version
many British property buyers for both of Dartmouth in Devon, and it’s got
holiday and permanent homes. a marina, stunning Arenal beach, Dave and Debbie Chambers from Redditch,
In the north, the buzzy little beach golf and also a lovely hinterland, the Worcestershire, were looking to buy a place in
town of Denia has been riding a wave Jalon and Orba valleys. A three-bed southern Spain with a view to possibly retiring
of popularity but upmarket Moraira is villa with a pool might cost €350,000- there one day. Within little more than six weeks
a perennially popular spot. Tagged by 400,000 in Javea, whilst a three-bed of screentesting at the Birmingham exhibition,
some the “St Tropez of Spain” it’s a villa with a pool might cost €160,00- then filming a month after, in November they
small coastal town backed by mountains 200,000 in Jalon/Orba, a townhouse completed on a one-bed apartment in Quesada
and vineyards, and now has plenty of €140,000. These valleys are increasing for £45,000.
good-quality restaurants around its in popularity for buyers seeking a more “Our aim was to buy an apartment in Spain
so we could get into the lifestyle before
spending more time out there,” says Debbie, 54,
a print finisher. “Our four children [aged
between 30 and 37] have all left home and we
were ready for something new. With our
budget we hoped for a two-bed apartment
near the beach and with a sun terrace. We
didn’t really know the Southern Costa Blanca
that well - we’d visited Santa Pola and San
MIguel - but then we’d kept seeing episdoes of
the TV programme with Jasmine going to
Torrevieja and we though it looked really nice.
We kept watching the programmes every night
after work and then we thought why not?
“We bought the third property on the show
- a one-bedroom place but a very large one
and it has a long shaped sun terrace. It’s in a
small complex, in a block of about 42
apartments. The neighbours were all so helpful
when we moved in. They are a mix of Spanish,
British and Italians. It’s been fixed up and we are
looking forward to spending some time there.
We got such a lot of useful information during
filming and it’s all been amazing.”

Buying Guide
Spain
Costa Blanca... cont
tranquil location than the coastal resorts;

CA S E
not just because you get more bang for S T UDY
their buck.
Heading south of Alicante, the lively
resort of Torrevieja reportedly boasts
the highest proportion of British expats
in Spain, and it is highly popular for
rentals. according to HomeAway. “We bought in
co.uk). That’s because it’s got a lot to
Playa Flamenca,
offer: two salt-water lagoons, five golf
courses nearby, Blue Flag beaches, a despite Brexit”
thriving market, family friendly facilities
and plenty of nightlife. What’s more
you can get a two-bed bungalow for The UK’s vote for Brexit didn’t deter Duncan and Mary McLelland from
around €60,000. Around Torrevieja the buying in Spain in the slightest – they owned a holiday home outside the
locations of Benijofar, Los Montesinos, European Union for more than a decade and never had a problem.
Cuidad Quesada, Los Altos and The McLellands, in their early sixties and from Ayrshire, south-west
Guardamar del Segura attract interest Scotland, completed on their Costa Blanca holiday apartment in October
and offer some affordable yet cutting- 2016. They had decided to buy in Spain a month before the EU Referendum
edge new-build properties. in June and found their property during a trip out there in August.
Another area currently very popular “The UK’s vote to leave the EU made no difference to our decision to buy
is that of Orihuela Costa - south of in Spain,” said Duncan, who is retired but works part-time for Citizens
Torrevieja, down to around Campoamor Advice. “We loved visiting our apartment in Fethiye in Turkey and never had
– for offering a large selection of any issues with the country being outside the EU.”
affordable property, new and old. Whilst The couple didn’t plan to buy abroad again but but Mary, who retires
the Orihuela Costa Resort Complex next May, is especially keen on Spain and a conversation with a friend
offers top sporting facilities) La Zenia prompted them to look at the Costa Blanca.
Boulevard is a massive shopping mall. “We’d been on holiday to Torrevieja and that part of the Costa Blanca a
Inland, Villamartin is very popular number of times,” continued Duncan. “We did some research on the
with its prestigious Club de Golf internet, saw how much you could get for your money there these days
Villamartin and quality restaurants and booked our viewing a trip with local estate agency HomeEspaña.”
offered at Villamartin Plaza. Not Out of the properties the couple saw with the agent, one ticked all the
surprisingly there’s a vibrant boxes and before flying home, they’d had their offer of €76,000 (excluding
international community of owners and fees and taxes) accepted on a two-bedroom apartment in the Las Mimosas
expats and demand for property remains area of Playa Flamenca.
strong. Two-bed townhouses cost from The McLellands’ ground-floor property comes with access to a
around €80,000 whilst three-bed villas communal pool and gardens, making it ideal for when the couple’s three
start at around €150k. At the nearby children and grandchildren visit.
gated residential community of Los “It’s a short drive from the seafront and we were impressed by the
Dolses, prices are a little higher. immediate local area, with supermarkets close by, as well as its proximity to
The three coastal hotspots of Playa the impressive La Zenia Boulevard mall. We don’t plan to move to Spain,
Flamenca, La Zenia and Cabo Roig but I can see us spending six-week stints out there when Mary has retired.”
are all handy for both Murcia and Unfazed by Brexit, the McLellands did see the value of sterling fall during
Alicante airports (less than 45 minutes their Spanish purchase. “But we’ve bought for lifestyle reasons and in 10
and offer many two- and even three- years’ time that currency fluctuation it’ll be insignificant.”
bed apartments around the €90-100k
mark. Inland a little, in the village of
Algorfa popular with expats, comparable NEXT LOCATION: MURCIA / COSTA CALIDA 
properties might be €75-85,000. ¤

Buying Guide
Spain
Murcia/Costa Calida
ituated in the hottest and largest of them, La Torre, you can get is the village of Mar de Cristal with its
S driest corner of Spain, one-bed apartments for sub €70,000 little marina, good sandy beach backed
Murcia is a region that is but repossessions have now mostly by an attractive promenade.
more affordable and less developed dried up. South of the Mar Menor, there’s
than the Costa del Sol. However, Alternatively, the small inland the Gulf of Mazarron, with 35km of
the new Corvera airport promises to village of Sucina that has become beaches backed by the foothills of the
become a major gateway to southeast popular with the British market, partly Sierra de la Almenara, with the port,
Spain and is giving the region of because it also close to another golf or Puerto de Mazarron its sea-faring
Murcia the lift it needs after years of course resort, La Peraleja. A small hub. Heavily discounted property
waiting for its arrival. resale three-bed villa in Sucina centre options include the Mazarron Country
Close by is the region’s best-known can be bought for €100k. Club (villas from around €100k mark),
resort is the La Manga Club, a well- Other hotspots around the Mar and also Camposol golf resort where
established and prestigious sporting Menor include the lively tourist centre you can get a two-bed terraced home
destination where one can buy a new of San Pedro del Pinatar where two- from around €45,000.
two-bed apartment for €225k or a new bed apartments cost around €90,000; Much less inventory is on the
detached four-bed villa for €550k plus. the popular sailing resort of Santiago market in the attractive Roman port
But Polaris World is another big name de la Ribera; the watersports centre of city of Aguilas, a popular resort area
in Murcia, with several golf resorts Los Alcazares or the “old world” little with great scuba-diving where a
offering homes at prices drastically town of Los Urrutias with its famous four-bed townhouse in the centre
reduced from their 2007 peak. At the weekly market. Also worth a mention might cost €180k. ¤
NEXT LOCATION: ALMERIA 

Buying Guide
Spain
Costa Calida... cont
“We found our dream property in CA S E

Puerto de Mazarron, Costa Calida” S T UDY
it can be quiet. We knew that in winter we

would travel around Spain and explore
more of the country’s delights.
How did A Place

in the Sun help?
‘A Place in the Sun’ was so useful to us as
we had only done research on our chosen
area via the internet so had limited
knowledge. The programme gave us
valuable information and advice and was
good in making you think what is
important and what you can compromise
on. For example, we wanted a rooftop
Gill and Paul Clarke from Stockport but we looked beyond the for-sale sign terrace but having stood on one we
bought their dream property in Puerto and envisaged how we could transform decided against it and ruled it out.
de Mazarron, Costa Calida in June 2015. the apartment and make it home. We We cannot thank the programme and
Below, they tell us all about how they purchased in June 2015 and on return in Jonnie Irwin enough for helping us see the
bought their property in Spain, and August we had furniture delivered and positives and negatives and then making
provide their top tips on doing so. painted throughout. However, that wasn’t us think hard and evaluate it all!
our best idea as it was very hot, but we We were also lucky that our estate
“We have always had a long-held dream of wanted to put our stamp on it so we spent agents Villaquest were very helpful
owning our own place in the sun since we a fortnight doing it up - only stopping for especially Paul who had plenty of
met 18 years ago. We wanted to be close liquid refreshment and an evening meal! information and a constant source of
to a Spanish working town and It’s worth considering what you advice during the sale and beyond. We also
community, near to the sea and the purchase size wise because if you’re like us, used an English speaking legal firm in the
mountains for walks and to immerse enjoying life more outside than inside, we Port who was very attentive. Things may
ourselves in the Spanish culture. For both just wanted a property that was not happen quickly too, so be prepared to
of us we also wanted the added benefit of manageable and homely. wait for your dream home!
nightlife too so we could dance the night Our advice to people is do your research Nothing really went wrong for us
away and generally feel healthier, eat well thoroughly and ask yourselves if you can although there is learning as you go and
and lead fulfilling lives after long careers. picture your new lives here. Talk to each we are still learning two years on.
We purchased a two-bedroom other openly and frequently, and test your Speaking some Spanish is a must and
apartment which has a three-quarter commitment. Gill and I talked about how helps you to integrate. We visit our
balcony on the top floor where we can see we would integrate, how we needed to apartment frequently in all seasons and
the mountains and people watch from our brush up on our Spanish and keep in touch as said on the programme we intend to
vantage point. We are in an urbanisation with family, which are all important “move lock, stock and barrel” in the
yet only a seven-minute stroll away from considerations. near future.
one of the many accessible beaches. The reality is that the sun does not Three words that sum it all perfectly are
When we viewed the property, it was always shine, although most of the time! nerve-racking, exciting and the right thing
very traditional and needed modernising, There are different seasons and sometimes to do”.

Buying Guide
Spain
Almeria
he nearby Costa Almeria, a in the olive and almond grove dotted British people own quality properties or
T stretch of unspoilt coastline foothills of the Sierra Cabrera mountain the lively resort of Roquetas de Mar.
between Murcia and range. Meanwhile Mojácar Playa offers Inland of Mojacar, the village of Los
Granada, is not as developed as the 17 km of uncrowded shoreline. You Gallardos is also popular: you get more
Costa del Sol, perhaps not as well- have plenty of choice of one or two-bed space and property for your money
known by the British, yet its fans like apartments with a budget of €100,000; in from the coast. A few years ago,
the fact its villages retain much of their villas range from €200k. Arboleas and Albox in the Almanzora
Spanish identity – it’s the “real Spain” Vera is another hotspot – also divided valley were popular with British buyers
still. Its hot and dry climate suits some Pueblo and Playa areas. Here there is but there have been widespread issues
more than others. a larger number of new developments, of properties having been built illegally
Mojacar remains a popular spot, less as well as distressed properties on the on agricultural land so be careful. Prices
than one hour’s drive from the airport, market and it’s cheaper than Mojacar: are low there as a result so don’t forget
and a central location for getting two-bed apartments cost from €65k. your due diligence starting with an
around Almeria as well as a traditional Properties rent well to the Spanish. independent lawyer to check everything
holiday destination - ideal for families Other nearby towns are Garrucha out for you.
and couples in its own right. The town’s – a working port with a new harbour
dual identity: part quiet hillside village that is not quite as popular with British
(Pueblo) and part lively beach (Playa) buyers; and the scuba-diving centre of
resort gives overseas property buyers the Villaricos where there are some good
‘best of both worlds’. developments but low supply so prices
Mojácar Pueblo is a picture book are a little higher: €75k-80k for an
village of little whitewashed houses and apartment. Golfers may head to the
Moorish-style “cortijo” farmhouses well-known resort of Desert Springs
flanking narrow winding streets, nestled where Ian Botham and many other
NEXT LOCATION: COSTA DE LA LUZ 

Buying Guide
Spain
Costa de la Luz
ádiz and its neighbouring America) and Arcos de la Frontera have

C province of Huelva are often proved popular with a niche of British
referred to as the Costa de la buyers opening boutique hotels in the
Luz – “Coast of Light” because of the lovely Moorish townhouses.
crystal clarity of the blue skies in the In the latter you can find a studio
region. Famed for white sandy beaches apartment for around €50,000, a
along a relatively unspoilt Atlantic- three-bed townhouse with change from
facing coastline, the Costa is a popular €150,000 or a rural finca property for
destination for tourists - still, it has around €500,000, although there a few
managed to avoid the built-up resort around for much less.
infrastructure and busy excesses of some The coastline between Tarifa and
of Spain’s other Costas. That said, it still Sanlucár de Barrameda is particularly
remains off the radar for many British breathtaking, and the kite-surfing
buyers and does seem to be heavily mecca of Tarifa is fashionable with
marketed outside Spain. weekenders. You can buy an apartment
The countryside around the town of in the old town for less than €100,000 or
Jerez de la Frontera is beautiful, with luxury villas or fincas for around
typically Andalucían white villages €1 million.
scattered among its palm tree-lined Or, close to the Portuguese border
horizon – there frontier towns including there’s the intriguing area of Ayamonte
Chiclana de la Frontera, Palos de la that includes Isla Canela, a beach and
Frontera (renowned departure site for golfing resort around the River Guadiana
Christopher Columbus’ journey to that forms the country divide. ¤
NEXT LOCATION: COSTA BRAVA 

Buying Guide
Spain
Costa Brava
he Costa Brava is situated to voted the best in Spain) with a property resale apartments are over €120k but
T the north of Spain’s second developer with a stellar history — Denis nearer €250k when stylishly renovated);
largest city, Barcelona, and O’Brien, who owns the Algarve’s and also the urban beach district of
is notable for its rugged and pretty Quinta do Lago resort. Diagonal Mar.
coastline. Its proximity to France has Among the coast’s most popular The surrounding area remains
meant that it has been an easy place locations with foreign buyers — for popular too. A three-bed villa in the
to drive to from the UK; however obvious reasons, given its charming fashionable resort of Sitges kicks off at
although the summers are truly old town and beautiful beaches within €700,000, quality apartments north of
Mediterranean, the winters can be hard walking distance — is Begur. Another €300,000.¤
and it’s comparatively expensive for of the coast’s upmarket seaside
property. villages is Llafranc, loved by Dali and
With buzzy Barcelona down the road Hemingway. Few properties come
— now reached by a fast train link from on the market here, and even small
Girona that takes 36 minutes — and seafront houses can cost millions, but
a landscape of pine forests leading to expect to pay €600,000 plus for a
quiet coves and unspoilt fishing villages, well-located villa, and similar prices for
it’s idyllic, upmarket Spain that appeals popular Tamariu and Palafrugell.
to lovers of Mallorca or France’s The Barcelona market has been
Languedoc region. Near Girona, the picking up fast, with interest centred
PGA Catalunya Resort combines a on renovation projects in both the
solid-gold name in golf (the course is Old Town or Barrio Gotic (entry level
NEXT LOCATION: THE BALEARICS 

Buying Guide
Spain
The Balearics
are where celebrities such as Andrew

Lloyd Webber Michael Douglas and
Catherine Zeta Jones have long owned
homes.
Ibiza gets every more trendy and
property prices reflect this as the island
has evolved a minimalist, contemporary
style of luxury villa all its own. Expect
to pay €1.5m for a new high-spec villa
around Ibiza Town in the south-west,
he Balearic Islands of but you can buy new apartments in the
T Majorca, Minorca, Ibiza centre from around €275,000. Hotspots
and Formentera have long outside the main hub of Ibiza Town
been known as fine places to holiday include Cala Tarida and Playa d’en
for the mainland Spanish – especially Bossa whilst full-time relocators favour
from Barcelona - and have had a long Santa Eulalia or Santa Gertrudis.
history of Britons living there. They Famous owners have included James
are however very different propositions Blunt and Jade Jagger.
for property hunters, with Mallorca by Menorca is the most family-friendly
far the big favourite. Prices have risen and laid-back island, and with the
by 10-15 per cent at the high end since Santa Ponsa for around €230,000. Over property market remaining sluggish
2015 in both Ibiza and Majorca – in in the north-east in the fashionable there, there’s a lot of stock at reduced
Menorca prices are static. little enclave of Pollensa, a three-bed prices, although the French have
Mallorca actually offers something apartment costs around €275,000. recently returned to the market with
to suit all budgets, from a new-build Meanwhile, the dramatic northern some enthusiasm. Decent apartments
apartment from €200,000 to multi- coast, where the mountains so loved kick off around €60,000 whilst those
million euro villas in the fashionable by cyclists, drop down into the around the island’s main hotspot
hub of the south-west – around sea, is also very popular. Hot spots of Mahon will typically be nearer
Puerto Andratx and Palma. A nice around arty Deia and Valdemossa €100,000. ¤
two-bed renovation apartment in the
increasingly fashionable Palma Old
Town kicks off at €275,000 whilst you NEXT LOCATION: THE CANARY ISLANDS 
can get a two-bed apartment in popular

Buying Guide
Spain
The Canary Islands
ver popular are the Canary for a high-spec one with a sea view. Las Lanzarote
E Islands, of which there are Americas merges with Los Cristianos The most volcanic of the Canaries,
seven main islands, including and contains rows of holiday apartment but don’t let that put you off, it is
Tenerife, Fuerteventura, Gran Canaria complexes behind the beach that reap also (arguably) the classiest and most
and Lanzarote. Amazingly, these the richest rental rewards. expensive. Most of the houses are built
islands normally attract some 14 Further up the coast, the popular in a white cubist form, to a maximum of
million tourists a year - many drawn and increasingly high-end area of Costa three storeys.
to the islands as much for their winter Adeje stretches from the resort of Playa The three main resorts on Lanzarote
sun and warm temperatures as for the Fanabe with its golden beaches through are all located along the southern coast:
spectacular scenery. the pretty fishing village of Caleta Puerto del Carmen, Costa Teguise and
An archipelago of islands with and north to Playa Paraiso. Fañabe Playa Blanca. If you’re looking for a
varying size and geography: sand dunes is an upmarket area where you’ll pay property that you can rent out, then
for some, tropical forests for another, €200,000–225,000 for a good-quality
waterfalls for the next, others with all one-bed apartment.
three. Available all year-round, four Another popular location is going
hours from the UK and with no jet lag! north up to Los Gigantes, a lively resort
The British have been buying area at the foot of huge cliffs that is
property in the Canary Islands for popular with snow-birds and retirees.
decades, and now they are firmly back You can get studios for around €60,000,
in fashion. Political unrest and terrorism two-bedders can vary between €150,000
have drawn planeloads of Northern and €250,000.
Europeans looking for safe winter
sunshine.
Of the 2.1 million population, one in six
was not born here, and many of those
are British. Tenerife is the largest, with
900,000 people, then Gran Canaria
with 850,000. Lanzarote has 140,000
and then down to Fuerteventura, La
Palma, La Gomera and finally El
Hierro with 11,000.
How to choose
your island?
Tenerife
Tenerife is the largest of the Canary
Islands and also the most easily
accessible with regular flights from
most UK airports making Tenerife
very popular. If you’re looking for a
property with rental potential, Tenerife
is the main player. But do beware of
legislation regarding holiday rentals.
Playa de las Americas is very popular
- crammed with bars and restaurants,
water sports and a marina for fishing
trips and excursions. Prices here start at
€80,000 for a studio flat with swimming
pool, but you can pay €150,000 plus

Buying Guide
Spain
The Canary Islands... cont
bear in mind that the rentals marketing villas can be found for €130,000. In
is firmly focussed on two major resorts, Caleta de Fuste you can get a small
Puerto del Carmen for apartments bungalow for €100,000.
and Playa Blanca for villas. But, again,
seek legal advice with regard to holiday Gran Canaria
rental licences. Very diverse, this island offers small
The well-known Puerto del Carmen coves, long sandy beaches, British
is the island’s oldest – and most breakfasts and Spanish beach bars in
expensive - resort, with an attractive amongst five-star hotels and lovely old
old town starting with a fishing harbour fincas amid lemon tree groves. Expats,
and lively strip that extends to 6 km of in the majority, live in the more arid
beachfront. For a property investment, south of the island. You can now
it’s probably the best; it’s the biggest pick up an apartment from as little as
and is only 10 minutes from the airport, €100,000.
with the best of the weather and
beaches. Las Palmas
The quieter but more expensive Capital of Gran Canaria and the biggest
resort of Playa Blanca at the southern city in the Canary Islands, this is a
tip of the island offers a good choice thriving metropolis and an important options/villas are around €300,000.
of restaurants and beaches, with the trading hub for both this island and its There’s also Meloneras, which claims a
well-known Papagayo beach a short neighbours. City apartments start from greater concentration of five-star hotels
drive away watersports and diving €75,000 for one bedroom, or €130,000 than anywhere else on the island. Head
options. In Playa Blanca you can buy a for two. to the mountains for larger chalets and
two-bedroom apartment for €85,000, or The mega-resort of Maspalomas villas. This is the Beverly Hills of Gran
a villa from around €200,000. located on the southern tip of the island Canaria, with high-end prices reaching
is famous for its rolling sand dunes and the €1m mark, though you’ll still be able
Fuerteventura its unrivalled beaches. You can get a to buy a three-bedroom detached villa
The least commercialized of the main bungalow from €90,000 although bigger there with a pool for €450,000. ¤
Canary Islands, Fuerteventura also
offers the best beaches, with golden
sand blown over from the Sahara, great
water sports and a growing rentals
market. It boasts about 100 miles of
tropically-white sand beaches flanked
by turquoise waters. Expect to pay
as low as €75,000 for a one-bedroom
apartment or bungalow in a residential
complex.
The expat communities tend to be
concentrated in the holiday resorts
of Corralejo and Caleta de Fuste
where you’ll find a range of property,
extending from studios up to luxurious
villas backing on to the island’s two golf
courses. Corralejo, in the north is the
place to be if making a rental return
is your priority, with one-bedroom
apartments from €80,000, or two-bed NEXT: THE SPANISH PROPERTY MARKET: A SNAPHOT 

Buying Guide
Spain
The Spanish property market: a snapshot
Brexit did not deter British For many of the recent buyers we conveyancing via power of attorney.
L property buyers in Spain: in feature on aplaceinthesun.com, the TV Whichever way you ‘view’ a
2018 Britons were the biggest show or in A Place in the Sun magazine property, it’s amazing how many
buyers in Spain, at 17 per cent of the the search for a property began a good people state that they “thought” they
foreign market. Yet the coronavirus couple of years ago. Rarely these days wanted to be in once place, yet they
pandemic did prevent British and is it a spontaneous decision, rather ended up changing their mind halfway
all other foreign buyers from flying the result of several months of careful through their search process.
to Spain to buy a property for many research and watching the market. After all, not only do you need to
months, so the figures for 2020-21 will Such research may have included hone down the region – how relevant is
be a little different. visiting a property show such as A Place climate? – but then the area, and maybe
But whilst a number of British buyers in the Sun Live, or watching our buying a shortlist of villages or resorts, down to
did manage to purchase properties advice webinars, to pick up tips and the right part of a town for you. ¤
during the pandemic, there are signs ideas, as well as trawling the internet.
that there is huge pent-up demand, and Websites provide good information
an online survey by aplaceintheusn.com but rarely portray the reality of an
carried out during the first quarter of area - both in and out of season – so
2021 showed that 61 per cent of buyers fact-finding trips are vital. Yet during
were seeking Spain, rather than France, the pandemic virtual tours and ‘walk-
Portugal or Italy etc. arounds’ with agents conducted on
During the 12 months to March Facetime or Whatsapp have been a
2021, property prices per square metre great tool to enable some buyers to
in Spain fell in all the autonomous make the decision to buy without
regions aside from the Balearics, physically being there. The technology
which rose by 3.7 per cent, according has really moved on in the past
to government figures. Whilst it is year – in both property viewing and
generally agreed that the price falls will
not be as dramatic as those experienced
after the crash of 2008, the steady rise
of values since 2014 has nonetheless
been halted in many areas in the past
year. Momentum had been building
and 2019 was a very successful year
indeed for markets such as Mallorca.
Until 2020, Murcia has also been
one of the highest rising regions of
Spain and its growth may well continue
after this Covid-induced hiatus. For
aplaceintheusn.com, the Costa Blanca
and the Costa del Sol remain the
favourite choices for buyers for their
superb climate, established infrastructure
and Anglo-friendly resorts.
In the second half of 2021, a diverse
spread of nationalities that include
non-EU investors seeking “golden visas”
(and that includes British buyers now)
as well as a good range of northern
Europeans seeking to escape freezing
winters (with lockdowns) will return.

Buying Guide
Spain
A key question to ask: WHY you are buying?
s with buying anywhere be within walking distance of cafes and

A abroad, you must ask yourself restaurants because many people don’t
WHY you are buying and want to be reliant on a car abroad.
from this lots of other questions will If you are relocating full-time with a
follow. Do you want somewhere family then schooling options will need
for regular holidays or do you want to be investigated early on (and places
somewhere as an investment to pass applied for months in advance), whilst
on to the kids or do you seek a genuine retirees will need to check on medical
second or semi-permanent home? facilities and pharmacies.
Maybe you will need to cover your costs On the other hand if you are banking
by renting it out too? on renting out your property you will
Further choices include do you need to consider the ideal size and type
choose Rural or urban? New or old? of property, the sort of features that
Standalone home in tranquil privacy or rentals might expect (outside space? Use
on an urbanization? Amongst expats or of a pool?) as well as popular locations.
mainly locals? You should create a brief that sets
Other key considerations include out your list of requirements, from
how far you want to be from an airport, number of bedrooms, type of property
beaches and key amenities such as to the features you wish to have. The
supermarkets and a local restaurant. At following pages outline some key areas
least half of buyers we interview want to to consider ¤
Consider the practicalities of owning a home abroad and how

much time and money you are prepared to spend on your
property. Upkeep costs are a key consideration, especially if
you are on a development with shared amenities, for which
you will pay monthly service charges!

Buying Guide
Spain
To buy old or new?
uying a “tried and tested” resale property you can see how the
B property works from a layout and position of the sun point of
view. You might well get something that has been built in a great
position that would not be available now. Equally, if a vendor is desperate You probably have a pretty
to sell their home, you might get one at a great price compared to a new
property of the same spec.
good idea whether you seek
But all said, there are several definite advantages of buying new if you a charming old property or a
can afford it:
brand-new one, but whether
You can choose your ﬁttings from a selection of options to make you buy one that is ten
your holiday home bespoke. Sometimes you can tweak the layout too,
not just tiles and fixtures. years old rather than straight
from the builder raises a few
Better build quality. Improved building controls mean that new homes
need to meet certain standards. They have to be well insulated, for sound interesting issues.
as well as heating, more eco-friendly and comply with regulations for
earthquake resistance.
Modern layouts. The style will be contemporary with spacious living

areas and outdoor terraces. On the minus side, the pay off for larger living
areas does mean slightly smaller bedrooms.
Cherry-pick the best location. If you’re hoping to make a return on

your investment, choosing the best plot, with the best view, is always going
to appeal to renters and also buyers when you want to resell.
Less upkeep hassle and costs. Everything is new, you won’t need to
budget for repairs – yet!
Aftersales care. Buying when building work is ongoing means you’ll

have the developers team will still be onsite. Any niggles or flaws in the
property will be fixed easily.
Ten-year warranty. New-builds come with certain guarantees so

problems can be quickly solved. ¤

Buying Guide
Spain
Buying on an urbanization – or not?
uying on an urbanization You need also need to consider the urbanization, you or your lawyer should
B in Spain (also referred to as other issues that might cost you money, contact the community to determine
community or residential due to either a possible reduction in the the level of service charge over the past
development), like anything, brings both value of your property, or an increase three years. Are there any projects being
advantages and disadvantages. in those service charges that you have contemplated by the community that
Whilst community life can provide budgeted for. are likely to incur a high cost, such as
security, a sense of community, shared The relationships between replacing the swimming pool or repairing
amenities and lack of upkeep hassles – the current property owners are balconies throughout the development?
at financial cost, of course; conversely, fundamental, as are the dynamics Also, do the vendors of your property
if managed badly, it can bring greater between the property owners and owe any service charges? If they do,
financial headaches, stress and the people who are responsible for ensure that any outstanding service
neighbourly tensions. running the development. Owners charge will be paid upon completion
Whilst properties on urbanisations on a development are subject to a (either by the sellers paying that
can appeal to holiday rentals for their regular service charge, managed by amount to the community or by you
facilities such as communal pools a community of property owners, the retaining an equal amount from the
you need to determine whether a executive committee who will have purchase monies).
community permits short-term rentals annual meetings to discuss budgets and The key to finding the right
(or those less than three months long, community rules. It is very important property in Spain is to recognise that
for example) and what the affect will be that you attend these meetings if the property market and land law
on the ambience of the development. you want to have any say in how the are markedly different from the UK.
Will a daily turnover of residents be community is to be run. Indeed, whilst the vast majority of
noisy and disruptive? Management and upkeep costs needs properties in Spain are safe buys we all
Apart from bigger issues such as to be covered by all of the owners in the know there have been a fair few that
ascertaining whether a motorway is development. If a high proportion of been liabilities.
being built close to the development, the owners are not making payment of So, to buy safely in Spain, far more
how well-located it is for those their service charge, then those funds research is needed than in Britain.
prospective rentals (is it in the middle of will need to be raised from the others. Equally, you should always use a good,
nowhere? On a bus route?) you need to The problem of unpaid fees can be independent lawyer and specialist
determine what service charges you will witnessed in developments across Spain (English speaking), building surveyor
be liable for every month or year. What since the global downturn – as it can be to investigate every aspect of your
is included in this – home insurance or on condo developments in the USA. proposed new home, before paying
just communal areas cover? So when considering buying on anything for it.¤

Buying Guide
Spain
Viewing trips
onsider going on a viewing to offer and benefit from their local

C trip offered by an agent or knowledge.
developer but make sure Don’t feel pressurized into buying “I went out on a viewing
you know what to expect and that anything there and then – you need time trip to the Costa Blanca
you understand what’s involved. to reflect away from the sun and sangria!
If your trip is being organised and On any type of viewing trip it is handy
and bought two
possibly subsidized by an agent it’s not to take records of each property so you properties”
unreasonable to expect them only to can look back and compare with all the CA SE
show you properties on their books. information (and pictures) you need. S T UDY
If you prefer to do your own thing It can be useful to use a wishlist of tick
and see a wider range of properties boxes, to rate properties 1-10, or list their
then arrange your own trip and book in pros and cons, after seeing each one, so
for a half day with agents representing you don’t confuse them. Make a note
properties you have found on property of things you want to follow-up with the
websites and see what else they have agent on each. ¤
Mandy Maitland owns a seafood

restaurant in Whitehills, Aberdeenshire. In
February 2016 Mandy flew to Alicante on
a trip and bought two new properties
through Sequre International near Torre
de la Horadada. “I was browsing online
after watching A Place in the Sun and
spotted some inspection trips advertised.
I like Spain as it’s so easy to get to - I can
fly from Prestwick or Edinburgh and in
February flights start from Aberdeen for
£19. For me it was the location rather
than the property type. I’ve bought a
three-bedroom, two-bath apartment for
€154,000 and another villa so will
probably rent one out. I wanted
somewhere quiet and peaceful where I
can walk to the beach and town, and the
price was great for the location. I haven’t
driven yet, I’m a bit nervous, so it’s
important I can walk everywhere. I like
the fact that there’s lots of proper Spanish
restaurants around, I don’t want to be just
in a British area, and my neighbours are
Swedish, it’s great here.”

Buying Guide
Spain
How to buy a property in Spain
-----
HOW TO BUY PROPERTY IN SPAIN
25 Buying Process
26 Legal
28 Purchase Tax
29 Mortgages
30 Building Surveys
33 Transferring your money abroad

29 35 Ongoing costs of ownership
-----
30
35

Buying Guide
Spain
The purchase process explained
nce you have found your that planning consents are in order. taxes. The Escritura is then presented
O property, the purchase process Once both parties sign the main by the Notary to the Land Registry for
begins with a reservation contract, it is binding. The arras registration and the property is passed to
agreement. This is a contract that contract or full private contract will the new owner. Final registation of the
freezes the purchase price and takes usually require a 10 to 20 per cent title deed can take several months.
property off the market for, usually, deposit to be paid. The buyer is then With a new-build property, obviously
30 days on payment of a fee between committed to pay the balance of the completion can take a lot longer, and
€3,000 and €12,000. The deposit is price, and the seller (once the money the payments are split over stages of the
usually held by your lawyer or your has been paid) must transfer ownership build process, and the developer should
agent in a client or escrow account. to the buyer.If the seller pulls out of the provide bank guarantees against each
Within 10 days of signing the transaction he must return double the payment. This protects your payments
reservation agreement, the full private amount of the deposit received by way in the event the developer fails to
purchase contract (contrato de arras) of compensation. If the buyer pulls out complete the property or goes bust.
is signed between the buyer and the he will lose the deposit paid. Finally, make sure that you have
seller. This is similar to exchanging The property sale is formally insurance for your property, ensure
contracts in the UK buying process. completed when the title deed (“Escritura all service contracts are in your name
Within this time your lawyer should de Compraventa”) is signed before a (telephone, water, electrics etc.)
complete all the searches on the public official called a Public Notary, or and register your ownership of the
property - confirming that the seller Notario. This will happen at their office property with your local Town Hall
own the property being sold, there are and be accompanied by the agreed final (Ayuntamiento) – all of which your
no mortgages or charges and payment and all the relevant purchase lawyer or agent can help you do

Buying Guide
Spain
The purchase process explained... cont
Who does what in the independent lawyer that you choose. offering all sorts of general advice and
purchase process? Needless to say there are many assistance. Anyone who takes ages to get
You can purchase Spanish property estate agents operating in Spain, of back to you on your first inquiry does
very quickly, if you are a cash buyer and all nationalities, with British agents or not bode well for the search ahead.
you have an NIE number. Certainly, agents with English language ability Estate agency commissions vary
it is not unknown for the Spanish (in common in most coastal areas. So, widely across Spain but tend to be high
particular) to see a property and be finding an agent with whom you can as the agent does do a lot more for
the owner (with full access) later on the communicate is rarely a problem. the overseas buyer than a typical UK
following day. But finding a good one is key to your agent. In some areas it is common for
However, this is not the way to success. sellers to pay an agent 3% commission,
proceed for any foreign buyer and you Throughout many areas of whilst in others the sales commission
should never rush to buy – or be rushed. Spain registration of an agent is not can be as high as 7% or even 10%.
Rather, you must always allow your compulsory and, even in the areas in Sometimes (normally on new-build
lawyer and building surveyor ample which it is obligatory, the industry is developments) agents may earn as
time to do their proper investigations. considered unreliable. Does the agent much as 18% on a sale.
Indeed, never lose sight of the fact belong to a professional association Occasionally, you, as the buyer,
that it is far better to miss out on an such as the AIPP (aipp.org)? Don’t take may be asked to pay a fee to the agent
amazing bargain than buy a defective anything that agents tell you at face who shows you a property and this is
property you’ll always live to regret. value. Equally, under no circumstances normally a percentage of the sale price
should you ever sign any document (for example 3%) and is sometimes
Estate agents from an agent without your lawyer called a ‘buyer’s premium’. As such
A good estate agent will help you in your present. ‘premiums’ can be a lot of money, you
search for a property but it is important So what should you expect of your should always carefully look at any
to remember that just like in the UK, agent? They should be proactive, know contract between yourself and an estate
they represent the seller. You need your the local market thoroughly and be agent (and get it specifically approved
own representation in the form of an prepared to spend extra time with you by your lawyer before signing it). ¤

Buying Guide
Spain
Legal
Independent legal advice What your lawyer

If you are seriously considering buying should do
a property in Spain it is never too First of all you need to agree your
early to start looking for a lawyer to lawyer’s fees, typically around 1% of
represent your interests throughout the the purchase price, and understand the
transaction, even before you have found associated costs with buying property
the ideal property. If you have a lawyer in Spain (see page 36). Once you have
in place – and of course the funds to commissioned the lawyer to act on your
buy or an agreement in principle for behalf they will advise what to do next,
a mortgage then an estate agent will but the issues they will look into include:
consider you a serious buyer which If required, your lawyer will usually be
may also help you when negotiating • Check the property is registered at able to help you in other areas such as
the final price. When you do have an the Land Registry and obtain a copy arrange a survey or valuation, open
offer accepted you certainly require of the land search or ‘nota simple’ a local bank account, obtain an NIE
an independent lawyer in place just • Ensure the property has a license number (a foreigner’s identification
as you would when buying a property of first occupation, this confirms number), assist with setting up a Spanish
in the UK and should never sign the property has been built as per will and power of attorney.
any documentation before having it the planning permission, and check
examined by your legal professional. that the boundaries are clearly Finding the right lawyer
While an estate agent in Spain identified When looking for a lawyer you should
will do a lot more for you than the • Check the property is registered check they are fluent in English, a
equivalent in the UK and can be a for local rates known as specialist in conveyancing, independent
valuable source of local information, ‘impuesto do bienes inmuebles’ of the seller/ developer and your estate
ultimately they represent the seller and • Ask to see recent utility bills and agent and fully insured to a public
the seller’s interests. It is not unusual check what individual meters are liability premium well above the value
for an estate agent to recommend a in place eg water and electric of your purchase.
lawyer they know, this lawyer may be • Assess the taxable value of the Always insist that any advice from
particularly expert in the local area or property, the level at which the your lawyer is put in writing, this
have previously acted for buyers on a tax authorities will accept for concentrates the mind of any lawyer
development you’re interested in and transfer taxes and helps to ensure a high standard of
so be considered a good option for you. • Ensure there are no outstanding professionalism.
However it is advisable to source an charges or mortgage against the There are several Spanish legal
independent lawyer who you feel will property or that any in place will be specialists advertising their services at
protect your interests. satisfied by the sale aplaceinthesun.com/advice/lawyers. ¤
Furthermore, always insist that all advice from your lawyer

is put in writing, something that many Spanish lawyers are
reluctant to do. This concentrates the mind of any lawyer
and helps to ensure a higher standard of professionalism.

Buying Guide
Spain
Purchase taxes
What are the costs of gains tax is set at a rate considerably

buying a property in higher than purchase tax, a buyer
Spain? who pays part of the price in cash is Spain’s autonomous regions
It’s typically 11 to 14 per cent for the increasing his future capital gain and so
purchase or closing costs, depending is increasing the capital gains tax that
on the region of Spain, and the type will be paid upon sale of the property.
of property. If you have a Spanish It is a “lose lose” scenario for the buyer 3 4 16
9
mortgage you need to add an additional and so highly inadvisable. 15
cost of 2 to 4 per cent. There will also 12 2 7
be costs for obtaining an NIE number Paying purchase tax on a 5
and connecting utilities. low property value 13
But the ballpark above includes Before the crash in Spanish property
Transfer tax (ITP), equivalent to prices in 2008 the market price of 8 6 17
10
stamp duty, calculated on the property property was inflated far beyond what
purchase price and between 6.5 and 10 the Spanish tax authorities expected the 14
per cent, depending on the region. value of property to be. Throughout 1
It also includes the Notario’s fee of that time, in addition to the market price
around 0.5 per cent of the purchase of property there was an official value
price, and tends to range from €300 and established by the Spanish tax authorities
€1200. Land Registry fees in Spain tend and purchase tax had to be paid based 11
to be between €400 and €600 – or 0.4 on the minimum official value at the
per cent of the purchase price. very least, in order for a purchaser to be 1. Andalusia 10. Islas Baleares
Legal fees are usually a percentage of certain that penalties were not imposed. 2. Aragón 11. Islas Canarias
the purchase price – generally 1 per cent Subsequent to the crash and the 3. Asturias 12. La Rioja
plus VAT– but with a minimum fee. drastic drop in market values, the 4. Cantabria 13. Madrid
Typically this might be €1,000 to €2,000. official value of property was, and still 5. Castilla y León 14. Murcia
VAT on new-build properties in is, often higher than the market value. 6. Castilla-La Mancha 15. Navarra
Spain is 10 per cent and stamp duty Hence, it is essential to make certain 7. Cataluña 16. País Vasco
on new-build is 1.5 per cent of the that whatever the purchase price, one is 8. Extremadura 17. Comunidad Valenciana
purchase price. paying purchase tax on no less than the 9. Galicia
lowest current official value established
Purchase tax issues when by the Spanish tax authorities. Failure
buying in Spain - beware to do so may result in the tax authorities The Spanish nation has devolved some of its power
Under-declaring the reassessing the value of your purchase to its 17 autonomous communities, who exercise
purchase price and issuing a demand for tax payable their right to self-government within the limits of the
Capital gains tax is payable by the based on an inflated value, sometimes 1978 constitution. Over the last thirty years, the
seller on the difference between the greater than the lowest official value. funding system of Spanish regional government has
acquisition value and the selling price of The appeal system is long-winded and evolved to one based on shared taxes, but with an
a property. If a seller wants to reduce can be expensive, so taking steps to increasing degree of tax autonomy. Until recently,
the capital gains tax payable he may avoid it is certainly the best policy. regional governments made little use of their tax
insist upon a part of the price being paid Finally, do not think that Spanish freedoms, but the economic crash of 2008, led to a
in cash. This is unlawful, because it is transfer tax, whether upon a sale, a gift, huge increase in regional tax changes, and there are
tax evasion. If the buyer agrees to make or inheritance of a Spanish asset, can be now regional variations in tax rates, reliefs and
a cash payment he is assisting with that avoided by transferring ownership of the allowances. Apart from the differences in ITP tax
tax evasion. Further, by declaring to asset into a limited company, whether a mentioned above, there are considerable differences
the Spanish tax authorities that he is Spanish company, an English registered in wealth tax - very expensive additional layer of
paying a reduced amount the buyer company, or a company registered annual taxation for property owners - so consult
is paying less purchase tax and so is anywhere else in the world. This is your financial advisor on this.
evading tax himself. Given that capital fraudulent as a form of tax evasion. ¤

Buying Guide
Spain
Getting your finance in place: mortgages
ou need to know exactly how offer the same conditions to clients, broadly-speaking you can potentially
Y much you can afford to spend even if they have similar profiles. The borrow 60-70% of the land and
and how you will finance your mortgage market in Spain is quite construction costs combined.
property. Many agents recommend traditional in the sense that having the
you have your finance in place before right contacts is crucial if you want to Commercial - If you are buying a
you go and view properties, so you get the best deals. property for commercial use, such as a
won’t lose out because the process is not restaurant or a shop, for example, the
always as quick one. Non-resident mortgages (60-70%) maximum mortgage is 50% of the price
Bear in mind that the purchase taxes – for non-residents who pay their taxes (or valuation if lower).
on property need to be included in your outside Spain, the maximum mortgage
budgeting. They are hefty in Spain and amount is 70% of the purchase price (or If you intend to run a business the
also vary widely between autonomous valuation if lower), but some banks have lenders will ask for business plans
regions - SEE section on Taxes. a maximum amount of 60%. For fiscal and, where applicable, accounts for
For financing: will you re-mortgage residents who pay Spanish taxes, the any previous business operating at
your UK home to release equity, use maximum mortgage is 80%. the premises, as well as what previous
savings and/or pension funds, or try to experience you have had running a
get a mortgage. You must also factor in Mortgages for retirees - If you are similar business. ¤
buying costs – quite high in Spain - and over age 60 and in receipt of a pension,
running costs. you can still have the mortgage in your
own name. It is also possible to appoint
Getting a Spanish a guarantor such as a family member to
mortgage secure the borrowing, which can have
Arranging any mortgage abroad can potential inheritance tax benefits if they
be a daunting prospect and Spain are also a part-owner in the property.
is certainly no exception. For the
uninitiated, it’s difficult to know where Construction mortgages – for those
to start and whether information you wishing to build their own homes, banks
see or receive is correct. offer construction mortgages. These
This is complicated by the fact that are complicated to explain and you
banks lending in Spain do not always should definitely speak to a broker, but

Buying Guide
Spain
Mortgage Conditions
Interest rates especially now that the Euribor is at its 30-35%, so here is a very basic example
Most lenders use the annual Euribor as lowest ever level. A typical fixed rate of how the calculation works for an
the base rate and then add their own for a 20-year term could be 2.99%, employed applicant whose only debt is
margin to this, for example, “Euribor depending on the bank. the repayment mortgage on their main
plus 2%”. Generally speaking, they Interest-only – this is only offered for residence:
require that you contract different construction mortgages in Spain and, ---
products with them and they give where offered, it is only for 1 or 2 years Applicant earns £3,000
discounts to the rate for taking each at the start of the term. after tax per month
product. Term of mortgage – most mortgages ---
Compulsory products are usually a can be arranged with terms of 25 years 30% of £3,000 = £900
bank account with the bank offering the (for non-residents) and 30 years (for ---
mortgage and home insurance with that residents), usually up to a maximum age less UK mortgage of £500 = £400
bank’s chosen insurer. In many cases, of 75. For non-residents, some banks ---
life insurance with the bank’s chosen have a maximum 20-year term. So, they have the equivalent of £400
insurer is also compulsory. per month they can “afford” for the
By using one of our recommended Qualifying Criteria new mortgage in Spain.
brokers they can secure a much lower The lenders all use what is known as
rate than if you go direct to a bank. a debt-to-income calculation as the There are many other variables to
Where a bank may offer rates as high basis for deciding whether applicants take into account, but this gives a very
as Euribor + 3.5% if you go direct, our will qualify for a mortgage. In basic basic idea of how the banks assess the
brokers can achieve Euribor + 1.5 - terms, this means that your monthly applicants for the mortgage. Again,
2.5%. debt commitments, including the new we strongly advise working with one
Although the vast majority of mortgage, must not exceed a given of our brokers, as they have an in-
mortgages are variable rate in Spain, percentage of your net monthly income. depth understanding how each bank
fixed rates are becoming more popular, The typical percentage is between works.

Buying Guide
Spain
Mortgage Conditions... cont
The Application Process funds necessary for completion, which

1. Initial, no obligation, must be transferred as soon as possible
assessment - speak to a brokers or to your account with the lender. Once
complete an online form and they will the funds are in the account, the lender
advise you on whether a mortgage will prepare everything and you can
approval is likely and what conditions decide on a completion date at the
could be possible. notary.
2. Mortgage quote – following the 9. Completion day – the lender will

initial assessment, your broker will aim draw up all the necessary cheques and
to send a full mortgage quote within arrange payment of the property and
24-48 hours. mortgage taxes from these funds. Once
the property and mortgage deeds are
3. Sign up - if you wish to proceed, signed, you become the owner of the
your broker will ask you to sign the property.
terms and conditions and arrange
payment of a fee of €495, which comes Timescales
with a money back guarantee, so if the The process from start to finish someone (normally your lawyer) to act
mortgage is declined the fee if refunded usually takes 6-8 weeks, but there can on your behalf with regard to your legal
(subject to the terms and conditions). sometimes be delays that are outside of matters in Spain. This is often wise, as
the control of the broker or the lender. travelling to Spain to sign documents
4. Submit application form – your Your broker can advise on sensible can become inconvenient or mean
broker will assist you with completing timescales for payment of deposits and that you miss an essential signing date
the relevant application form and they timing of completion, as well as deal through ill-health or travel disruption.
will submit this on your behalf with with any delays if they arise. A Power of Attorney can be either
the appropriate supporting documents, This mortgage information was general or limited to a specific function
which they will request once you have produced in partnership with Mortgages (for example, the signing on your behalf
agreed to proceed with the application. Direct, you can contact them on (robin of the escritura (Deeds) to your intended
to confirm this is the right partner/we property. ¤
5. Decision from lender – if the can use this).
mortgage is approved, the broker will
confirm the conditions and ask if you NIE number
wish to proceed. You cannot buy a property in Spain GET T IN G A
without a NIE number (Numero de MORTGAGE
6. Set up bank account and Identificación de Extranjero), which is IN S PAIN ?
instruct valuation – a bank account an identity/fiscal number for non-
will be set up and you will be asked Spaniards. So, apply for this as soon as
to deposit enough funds to cover the you start looking for a property. A Place in the Sun partners with Mortgage Direct who
valuation fee. Currently, you must apply for your offer products from all the leading banks in Spain.
NIE number in person (although the
7. Valuation report – if the valuation rules on this tend to change from time For expert advice or a mortgage quote, complete
is no lower than the agreed purchase to time; your estate agent or lawyer, our online enquiry form by visiting
price and the property has no legal who should help you). A NIE number www.aplaceinthesun.com/spain/advice/mortgages
issues, the completion arrangements can is obtained from the Policia Nacional,
be made. who have offices in all major towns and
ciies throughout Spain.
8. Completion arrangements – the
broker will work with the bank and Power of Attorney
your lawyer and they will confirm the Just as in the UK, you can authorise

Buying Guide
Spain
Building surveys in Spain
Why a Survey? Please be careful with these aspects.

As is standard in the UK, it is Which is the difference A bargain is never worth it if there
recommended to obtain a survey between a Condition is structural damage to the property
when buying your Spanish home, as it Report and Building or needs refurbishment. The Building
will reduce the chance of discovering Survey and which one Survey report provides you a budget
any defects or nasty surprises about should I choose? with the necessary repairs, maybe
the property’s condition after you’ve Both condition report and building an important information to take in
bought and will help you assure the survey (even structural report), do not account previously to the deal.
safety and suitability of the property. include market valuation due to it being
If through the survey there are any a technical report. Do the Surveys include
structural problems, this will help you So, if we understood our need as a Valuation of the
to negotiate the price or insist certain technical report focused on pathology Property?
works be carried out before the house expertise, you can choose between No, both condition report and building
is purchased. “Condition Report” and “Building survey (even structural report), do not
Survey”. include market valuation due to it being
Which Types of Surveys In both cases, an expert will visit a technical report. The valuation and
are there? the property, will check its condition, the pathology expertise are different,
Decide which type of survey you need spaces, parking lot, storages and and imply different technicians.
- Condition Reports, Building Survey surroundings. Both reports will tell
and Structural Reports. The scope you about the problems that may be How long does it take to
of the survey the client needs mostly hazardous and show potential issues deliver a report?
depends on the issues are concerned and defects. And, of course, both will It varies depending on who delivers the
about previous to the deal. Seek advice define things that will need further report but as an average it could be said
on this. investigation to prevent serious damages that between three and five working
A Structural Report is the most to the fabric of the building. days since the visit of the property.
comprehensive report and includes Defined the shared characteristics of
defects, repair and maintenance both reports, with the Building Survey Which is the cost of a
options. You will usually need this type you can take advantage of knowing: an Survey?
of survey if, for example, the property estimate of costs for identified repairs The cost depends. The average cost is
is more than 50 years old, unusually and recommendations as to any further approximately €450. Several companies
built or run-down, if the property has actions or advice which need to be offer surveys in English language
been extended or altered, or if you obtained before committing to purchase. according to RICS standards from €350
are planning a major conversion That is why we recommended the onwards. In any case depending on the
or renovation this survey will be Condition Report option if you are sure specific needs of the client the property
the most helpful. The Structural about the condition of the apartment survey cost could be higher.¤
Report is usually only necessary and you only need the professional
if the building is old or advice of an expert. This could be the Thanks to Grupo Sociedad de Tasación for this
suspected of being unsound logical choice if you assume as a buyer information on surveys, they can be contacted at
or if you are planning the needed repairs in the property have Tel: (+34) 677440373
major works. been discounted in the asking price. e: sherreros@st-tasacion.es
www.spanishpropertysurvey.com
As a former surveyor, I’d certainly recommend getting a

survey on any property I was planning to buy.

Buying Guide
Spain
Transferring your money abroad
Why is currency 2) Lower fees

exchange important? A currency specialist will also usually
A Place in the Sun Currency
can save you money*
Currency exchange is something that charge less for the physical transfer of
buyers often leave until the last minute funds, than your bank. Payments sent Property Price €150,000 Exchange Cost to
Rate you £
when purchasing an overseas property, through a bank will typically attract a A Place in the Sun Currency 1.1605 £129,255
when in fact it should be considered charge of anything up to £40, while
Save between £1,521 and £4,435
much earlier. Buying abroad will almost a currency specialist will perform the against these high-street banks
always involve a transfer of money same transfer – usually more efficiently Barclays 1.1470 £130,776
between currencies, meaning that if you – for a small fee or no charge at all. NatWest 1.1331 £132,380
skip your research and/or arrange a At A Place in the Sun Currency, Metro 1.1279 £132,991
transfer through a high street bank, you the charge is £5 per transfer, waived Halifax 1.1220 £133,690
could end you up paying over the odds for transactions over £30,000.
High street bank exchange rates obtained 21/05/21 and compared to
in fees and poor exchange rates. In addition, a currency broker can A Place in the Sun Currency live trading rate. Different rates may be
available to different customers. Savings may fluctuate and are not guaranteed.
Using a specialist currency company, usually ensure you do not encounter
such as A Place in the Sun Currency, excessive bank charges when your
will ensure you get the support and money is received in Spain. Using the
expertise you need, as well as a wrong type of transfer could result in INTERNATIONAL PAYMENTS
competitive exchange rate. higher charges being levied for receipt AFTER BREXIT
of your funds overseas. The UK left the EU on January 1st 2021, but not a
What are the main huge amount has changed when it comes to sending
benefits of using a Is using a currency or receiving funds between the UK and Europe.
specialist currency specialist safe? The UK is still a member of the ‘SEPA’ (Single European
company? When buying a property abroad, the Payments Area) scheme, which governs cross-border
1) Better exchange rates funds that are being used are nearly Euro transfers, meaning that there should be no delays,
You could save up to 3.5% on a always your hard-earned money, paperwork or extra costs, compared to when the UK
transaction, as specialist firms typically pension or even your whole life- was a full member of the EU.
offer better rates of exchange than the savings. A Place in the Sun Currency Having said that, some banks in Europe and
high street banks. This is because, as well understands how important the safety particularly in Spain, have started to charge to receive
as operating with much lower margins, and protection of your funds is, so here payments from Britain, contrary to the rules. A Place
they have access to the live currency are our key tips on what to check: in the Sun Currency has the facility to route Euro
markets, so you can benefit from their • Make sure you choose a specialist payments through a German client bank account,
up-to-the-second access – which can help, which is authorised by the Financial which will eliminate this problem in most cases.
for example if the rate picks up during the Conduct Authority (FCA) If you choose to use A Place in the Sun Currency
day. Banks tend to fix their rate of the day • Go with a specialist that uses for your international payments, we will discuss this
each morning, and at a less competitive safeguarded & segregated bank with you at the time of your transfer, to make sure
level, to cover their bigger overheads and accounts. In short, this ensures that your funds are sent in the most efficient way.
any market movements. 3.5% might not your money is looked after correctly
sound much, but when talking about a according to the Payment Services
£150,000 transfer for a property it’s a Regulations, separately to the
saving of up to £5,000, which could be business’ own funds – safeguarded
spent better elsewhere. funds are legally protected no matter
Give A Place in the Sun Currency what happens.
a call on 0800 622 6522 to check out • Find out how long the company
today’s rates, or discuss fixing a rate for has been around – what experience
the future. do they have in helping overseas
property buyers? Check reviews
online, and most importantly, call
them for a chat and get an idea of
the people you will be dealing with.

Buying Guide
Spain
Transferring your money abroad (continued)
What types of contracts case rate in mind, you can use a ‘Stop RECEIVE a receipt for your payment
are available? Loss’ or ‘Limit Order’ to automatically and provide details for the beneficiary
Currency specialists understand that buy your currency at a specific rate if account – for instance your own bank
buyers all have different financial that rate becomes available. account abroad, third party solicitor or
needs and that’s why they offer a For example, if your target or a notary who is handling your purchase.
suite of services: budgeted exchange rate for your Your transfer will then be made
property purchase is not currently immediately (subject to bank cut-off
Spot contracts available eg it’s currently 1.15 Euros to times and internal checks) and payment
A ‘Spot’ contract is the simplest type of the Pound and you plan to wait until it will typically arrive with the beneficiary
currency contract and involves agreeing reaches 1.2 Euros, a Limit Order will the same day or next day.
a price that you are happy with before automatically buy for you should the
you transfer your selling currency market move in your favour to the rate OBTAIN an electronic proof of
(usually Pound Sterling) to the currency at which you want to buy. transfer to keep for your records, which
company’s client account, immediately You can set any rate you like, but of can be forwarded onto your property
after which your funds will be transferred course the higher you aim, the less likely agent, solicitor or notary. ¤
to your buying currency (eg Euros) and the order is to “fill”.
to the account of your choice. Conversely, if you have a budgeted For more information about A Place in
Spot contracts are agreed by phone rate in mind which is below available the Sun Currency simply head over to
or email, and once you have given levels, or a worst-case rate, you can set aplaceinthesuncurrency.com or call
instruction to buy the currency at an a Stop Loss Order to automatically buy 0800 622 6522 within the UK or
agreed exchange rate, you will be asked for you should rates move against you. +44 20 8051 8555 from overseas to
to send the agreed selling currency This protects you from rates falling any speak to a member of our team.
equivalent within a couple of working further, which might otherwise make
days – the rate won’t change in that your property more expensive than you
time, as it have been secured at the time had planned for.
of your order.
How does the process
From a deposit on a house
Forward Contracts typically work?
through to settling the balance,
A ‘Forward Contract’ is used to fix and This is how we do it at for regular monthly payments
thereby guarantee an exchange rate A Place in the Sun Currency or one-off items, A Place in
now, for a transfer in the future – in fact, REGISTER with your currency the Sun Currency ensures
up to two years ahead. specialist which is quick, easy and could your funds reach the right
Commonly used by buyers of overseas save you a small fortune. If you register destination, at the right time, at
property, a Forward Contract can be with A Place in the Sun Currency, a highly competitive rate.
secured with a deposit of 10% of the you’ll be assigned your own personal
A Place in the Sun Currency is a
selling currency (usually Pound Sterling) contact who’ll be on hand to provide
service specifically designed for
followed by the balance of the remaining support and guidance throughout overseas payments to buy, and
90% on or before a specified date in the the process. maintain, an overseas property.
future. The buying currency (eg Euros)
is then transferred by your currency PLACE your order and send your For more information go to
provider to the account(s) of your choice funds (usually Pound Sterling) through aplaceinthesuncurrency.com
(directly to your solicitor/notary or to to a UK client bank account. This can or call 0800 622 6522 in the
UK or +44 20 8051 8555
your own currency account if you prefer) typically be done through your online
from overseas.
at the rate initially agreed – no surprises. and/or telephone banking service,
or by visiting your bank in person
Stop loss and limit orders to make a transfer. For security
If you are undecided when to fix your purposes, cash, cheques or direct MAKING YOUR MONEY GO FURTHER
exchange rate but have a best or worst- debits are not accepted.

Buying Guide
Spain
The ongoing costs of ownership
hat many people fail to for the maintenance of the estate or the assistance from your adviser with this
W consider in the excitement of care and maintenance of the common step.
buying their dream home in parts of a block of flats. As in the UK you can expect to
the sun are the costs of being a property If you are non-tax resident in Spain be charged for the usage of water
owner. The key to avoiding surprises then you will have to pay an annual tax and electricity, but you may also pay
is to make sure that your independent (Renta) on your property, as if you had a separate standing charge. Utility
Spanish lawyer advises you of the made a profit from renting it out (even if companies in Spain will not take
estimated running costs before you you have not). This is a nominal tax but payment from an overseas account and
commit to purchasing a property. must be paid annually. so you will need to set up a Spanish
The running costs of your Spanish Of course, you will also have all bank account to make sure your bills are
property will depend upon the type the normal running costs associated paid on time.
of property that you buy and whether with any property, such as: water Even if you do not use the property
or not you become a fiscal resident of and electricity, building and contents all year round you will be obliged by
Spain. However, all properties are insurance and general maintenance. the utility companies to set up payment
liable to council tax, which is known as Don’t forget TV/cable/satellite costs, directly from your bank account. By
IBI (Impuestos de Bienes Inmuebles). broadband. maintaining sufficient funds in your
IBI is normally considerably cheaper bank account you will ensure that
in Spain than it is in the UK for a Keep on top of utilities the supply is not disconnected while
comparable property. The most difficult aspect of paying your the property is not in use. Arranging
If you buy on some estates or utility bills in Spain can be arranging for for reconnection can be very time
urbanisations you will be liable the accounts to be set up in your name. consuming and costly, as failure to
for Community Charges (Cuota Unless you have good conversational pay utility bills ultimately results in the
Comunidad de Propietarios), which are Spanish we recommend asking for meters being removed altogether.

Buying Guide
Spain
fees will be found in the documentation

that was signed when you purchased
the property, and the timing of such
payments depends upon the community:
monthly, annual or quarterly.
It is important to note that in
communities with a large number of
long term debtors, the other community
members will eventually pay a higher
fee. You should ensure that your
adviser considers the minutes of the
most recent annual general meeting
of the community in order to receive
a clear picture of the community’s
finances, and issues that are affecting
the development.
If you do not pay your community
fees it is possible that the community
could take legal action to recover the
debt that could result in a charge being
registered against your property and
you may be refused access to facilities.
Arrange for the payments to be made
automatically from your bank account
to avoid falling behind.
Non-resident’s
income tax
IBI: annual local taxes penalties and register a charge against As the owner of a property in Spain but
IBI is a local charge in Spain that your property in respect of the debt you as a non-resident of Spain, you will be
is similar to council tax in the UK. owe. It is therefore advisable that you liable to pay non-resident’s income tax.
The letters I.B.I. stand for Impuesto make arrangements for the payments to Even if you do not rent it out you will
sobre Bienes Inmuebles, literally an be debited directly from your Spanish be required to submit an annual return.
immovable property tax. Depending bank account in order to avoid missing You can expect to pay an annual tax
upon where in Spain your property payments. that is calculated on the basis of the
is located you can expect to pay this rateable value (valor catastral) of the
expense either once or twice per year. Community fees on property. The tax payable will usually
IBI is based upon the rateable value developments be very low, based on a taxable amount
of your property and is paid to the If you own a property in Spain that is of 1.1 per cent of the rateable value,
local town hall. In some areas the cost part of a development then you will taxed at the rate of 19 per cent.
of refuse collection (basura) will be be obliged to pay community fees. If you do rent out the property
included with the IBI, in others it is a Community fees are paid by all property then you will be required to submit
small separate charge. owners within the development towards quarterly returns declaring the income
You will receive a bill for IBI the maintenance of the communal areas received and the expenses you have
followed by a payment document, and - swimming pools and gardens, or maybe incurred in each quarter. You can
usually you will be provided with a an access road. Owners of properties expect to pay quarterly tax upon the
timescale in which payment must be with more extensive facilities - such as net income earned at a rate of 19
made. If you do not make payment of golf courses or spas - can expect to pay per cent, taking into consideration
your IBI then the town hall may charge higher community fees. Details of such deductible expenses. ¤

Buying Guide
Spain
Living in Spain
-----
LIVING IN SPAIN
38 Shipping your belongings to Spain
39 Healthcare
40 Schools & Education
40 Tax & Residency
40 Inheritance Tax
40 Wills
37 41 Retiring to Spain
-----
37 38
Moving to Spain may seem a little daunting at times and

require a lot of planning, but life in Spain is good on so many
fronts and it’s not far from the UK for those family visits.

Buying Guide
Spain
Shipping your belongings to Spain
ransporting belongings, from belongings yourself or whether you’d standard liability

T large pieces of furniture to like the removals company staff to pack • Purchase receipts (only applicable
delicate sentimental items, can your belongings for you. Usually with if you are importing any newly
be a stressful business. The information both options some packaging materials purchased goods)
below talks you through the process of will be provided. If you are coming from an EU
shipping items from the UK to Spain. country you will need the following
What happens to my details:
Is it easy to ship my belongings once they’ve • Passport
household belongings been packed up? • Certificate of residency confirming
to Spain? This will be dependent upon your they have been working and living
It is easy to ship your personal destination or what kind of service. for more than 12 months in the
belongings to Spain but you need European destinations can be serviced country of origin.
to make sure that you pick a fully either via road freight or sea freight. If • European Certificate or N.I.E
accredited international removals you’ve commissioned a full household number.
company. removal via road freight there will be • Removal inventory in Spanish
A removals company should have a dedicated vehicle at your home to take • Valuation form for Shipment
the following accreditations: your goods away and delivered to your Protection cover
• FAIM Accreditation, which is the destination. • Purchase receipts (only applicable
only independent Quality Assurance The sea freight service sees goods if you are importing any newly
standard for the International loaded directly onto the containers, purchased goods)
Moving Industry with a customs seal placed upon it. This
• Membership of the FIDI Global will then be loaded onto the vessel and How long does it take for
Alliance, which sets a quality delivered to your new home. In both my goods to be shipped
benchmark for its members instances you will be given an inventory to Spain?
• Membership of the British of what has been packed. The transit time between removals in
Association of Removers Group the UK to the arrival of your goods in
– BAR APG Scheme Trust the Do I need any special Spain is approximately 3 to 7 days for
Advance payment guarantee scheme paperwork for the move dedicated loads and 1-3 weeks for part
for your financial protection to Spain? load shipments.
There are a number of requirements
How do I go about when moving to Spain and it will What happens on the day
arranging shipping? dependent upon whether you are of arrival?
Gather a number of quotes from a Spanish citizen or coming from an Delivery will be arranged in advance.
international removal companies and EU country. Depending on the type of shipment
then decide on what service is best for If you are a Spanish Citizen you will and ease of access to your new property
you. Companies will often offer you need the following details: your belongings will be arrive in a
one of two options; packing that can • Copy Passport and visa if applicable dedicated vehicle or a sea freight
be completed by their staff or you can • Fiscal Identification number (N.I.F) container. Once your delivery reaches
choose to pack your goods yourself. • Certificate of change of residence its destination the unloading crew will
Both options will see the use of expert issued by the Spanish Consulate at help unpack your goods and place them
packing materials. You will usually be origin confirming that they have in the correct rooms. ¤
given a dedicated move coordinator been working and living for more
who can help every step of the way. than 12 months in the country. This shipping guide was produced in
Companies will often offer you • Registration certificate at the Town partnership with PSS Removals
one of two options and depending Hall in Spain Tel: 0800 988 3711
on your budget you will be able to • Removal inventory in Spanish Email: sales@pssremovals.com
choose whether you’d like to pack your • Valuation form for transit cover/ www.pssremovals.com

Buying Guide
Spain
Healthcare Schools and education
he pandemic has increased the importance of n Spain, education for children is

T having good-quality healthcare nearby, and Spain’s I compulsory from the ages of six to sixteen.
healthcare is ranked amongst the best in the world. Primary education (primaria) lasts six years
Note that not all healthcare is free of charge (even to the followed by four years of compulsory secondary
Spanish) and there are charges for certain specialist medical education (ESO), at the end of which a certificate of
procedures, and prescriptions. education is received.
But what has changed since Brexit? For short stays, the The academically demanding Bachillerato takes two
EHIC currently entitles you to state-provided medical years and is roughly equivalent to the UK’s A Levels.
treatment if you fall ill or have an accident whilst travelling in State education is free and there are primary
Spain. If your EHIC has expired (or is about to), you should schools (escuelas) in virtually every village with
apply for the new UK GHIC (Global Health Insurance Card). secondary schools (institutos) in most towns.
If you are living in Spain, you will need to take out private Great care needs to be taken when moving a child
medical insurance for at least the first year you are there if to a Spanish school (when not fluent). Experience
you are under-65. For those who go over to Spain to work suggests that a child older than twelve or thirteen will
(with a visa) and start paying directly into the public health have great difficulty learning a new language (Spanish)
insurance scheme (Convenio Especial) they after a year they and successfully undertaking their academic work at
can access Spanish state healthcare. the same time.
You should register at your local health centre with your There are a number of private international
social security number and residency permit. You can get schools in Spain, some of which teach the English
a social security number from your local National Social curriculum (in English). These are usually located
Security Institute (TGSS) office in Spain. Once you’ve along the coastline or close to the big cities and are
registered, you’ll get a health insurance card that you take favoured by wealthy Spanish families. However bear
with you when you visit a doctor. in mind with these that your child might not emerge
Over-65’s moving to Spain will continue to enjoy the same fluent in Spanish if they are being taught in English,
access to Spanish state healthcare as Spanish citizens, via the with English-speaking peers - so if your children are
UK-issued S1. This is a healthcare entitlement certificate set to live in Spain for the future, a Spanish school
available to those in receipt of a UK state pension.. ¤ may be preferable. ¤

Buying Guide
Spain
Tax and tax residency Inheritance Tax
t is essential that you fully understand the difference panish inheritance tax is very complicated and,
I between being resident in Spain and being tax S like wealth tax, differs depending upon which
resident in Spain. The two things are quite different autonomous region you live in.
and can have a profound impact upon you and your family, However, of one matter you can be certain: as a non-tax
particularly with regard to inheritance tax. resident of Spain (see above) you will not be entitled to any
If you intend to reside in Spain for longer than three Spanish inheritance tax exemptions. This means that the
months then you must apply for some sort of visa now the full, unmitigated force of Spanish inheritance tax will be
UK has left the EU. The very act of applying for a visa unleashed on the assets you own in Spain should you die. This
suggests you want to be based in Spain so the assumption can mean:
is that you will become tax resident there as well as legally Your assets in Spain have Spanish inheritance tax applied
resident (if your visa application is successful). But it is also without (effectively) a nil rate tax band. In the UK, by
easy to become accidentally tax resident in a country if you comparison, you will not be taxed on the first £325,000 of
stay longer there than intended (as has happened due to your assets.
pandemic travel restrictions, illness etc). There is no such thing as nil rate inheritance tax on the
To be tax resident in Spain you must make an annual tax disposition of your Spanish assets between you and your
declaration to the Spanish tax office. This will be deemed as spouse upon the death of either.
mandatory according to a number of factors such as: if you By comparison, if you are tax resident in Spain then in the
live in Spain for 183 days a year or longer or if your main and Comunidad de Valencia, inheritance between husbands and
primary residence is in Spain or if your spouse and children wives has a tax exemption available of up to 99%. ¤
live in Spain or your main economic interest is in Spain.
The vital point is that you must actually make a tax return
to the Spanish tax authorities (even if it amounts to a nil
return) to be designated as tax resident and thereby eligible for
free healthcare (see below) and tax exemptions on inheritance
tax. Importantly, if you are deemed to have been tax resident
and you have not made an annual tax return then you will not
be eligible for tax exemptions. ¤ Wills
f you die intestate then any assets in Spain will be
I taxed at the full rate. So, making a Will is essential.
Indeed, it makes sense to have a Will in Spain for
your Spanish assets (lodged at the Wills Registry in Madrid)
and a Will in the UK for your UK assets. However, care must
be taken to ensure that the terms of one Will do not revoke
the other Will and this requires the attention of a lawyer
specialising in probate matters.
Spanish law defines to whom you must leave your
assets. However, as a foreigner, you can leave your assets to
whomsoever you wish. To ensure this, a term in your Will
must state that the personal law of your country (the UK)
allows for free disposition of property left by testament. ¤

Buying Guide
Spain
Retiring to Spain: extra considerations
Pensions should be able to refer you to a reliable your internet connection, so you can stay
Retirees living in Spain who are in plumber, electrician, builder or whatever in contact with friends and family easily.
receipt of a UK State Pension can opt to tradesperson you need.
have their monthly payments paid into In terms of meeting people, if you’re Healthcare
their bank or building society account in retiring to one of the popular Spanish As mentioned above, British people
the UK or their bank account in Spain. Costas, such as the Costa Blanca or in receipt of a UK State Pension
For the second option, you’ll need the Costa del Sol, or islands, such as Tenerife are entitled to the same level of state
international bank account number or Mallorca, you should have little healthcare as a Spaniard under the
(IBAN) and bank identification code trouble befriending other British people, national insurance scheme.
(BIC) numbers for your Spanish account. as well as other foreign residents. You’ll Pensioners should start the process
But remember, having your pension paid quickly discover where the English bars, before leaving the UK, by applying
directly into your Spanish euro account restaurants and meeting points are, and for an S1 form from the International
means you will have no control over the there are all types of expat societies and Pension Centre. Once in Spain, register
exchange rate used for the transfer. clubs available to you. How much you your S1 at your local Instituto Nacional
Many expats prefer to have their wish to get involved with other British de la Seguridad Social (INSS) office to
pension paid into their UK account in people is down to you, but it’s reassuring receive an accreditation letter, which will
Sterling, and then use a currency transfer to know there are fellow Brits around if enable you to register with a doctor at
specialist to send euros to their Spanish you need them. your local medical centre.
account. Exchange rates offered by Reassuringly for expats, the World To do this, you’ll need your passport,
currency specialists are better than those Health Organisation consistently ranks NIE and certificates of local and national
you would receive if your pension was Spain as one of the healthiest places to residency. You will of course need to
sent direct to Spain through a UK bank, live in the world, with one of the highest prove you are in Spain on a visa – for
as would be the case if the Government life expectancies. This is thanks largely to most retirees this will be the non-lucrative
sent it direct for you. Currency specialists its balmy climate, healthy Mediterranean visa (for non-working residents).
also allow you to fix an exchange rate for diet, stress-free lifestyle and quality In due course you will receive a
future transfers. healthcare. The Costas offer retirees health card (tarjeta sanitaria), which you
As well as your State Pension, you plenty of opportunities to keep active and present when you use the health service.
may have one or more personal or fit, helping your overall well-being. It’s a similar process for recipients of
workplace pension plans in place. If By default, you spend more time long-term benefits in the UK - just be
this applies to you, it is highly advisable outside in Spain, and both swimming sure to check with the relevant UK office
to talk through these with a financial and walking, often along pretty seafront whether your healthcare entitlements are
advisor before leaving the UK. They will promenades, soon become daily activities transferrable to Spain with an S1.
look at your various pension funds and (that cost nothing). Otherwise, the leisure Something to note, after Brexit: a
investments as a whole and offer various facilities on offer to help you stay in UK pensioner in Spain cannot return
tax efficient options for structuring all shape are endless – you’re never far from to the UK and receive NHS treatment
your assets and funds. a quality golf course, water sports are for free, as used to be the case. Also,
endless, and you’ll find expat clubs for most pensioners in Spain (whether
Settling in all types of activities, including bowling, Spanish or expats) have some provision
Most people who move abroad says yoga, rambling or doing day trips to new for private healthcare, as not all
it takes around six months to feel places. treatments are free. ¤
settled but for some it is much lesss. In the first few days in Spain, make
Most English-speaking estate agents a point of learning how to contact each
in Spain will help you get settled of the emergency services, and where
in your new home and assist with your town hall and nearest health centre,
administrative things like getting all hospital and police station are. Introduce
the utilities transferred into your name. yourself to your neighbours – they can be
It’s likely you’ll need some kind of useful sources of local information.
job done around your new house at Make life easier by getting a Spanish
some point – again, your estate agent mobile as soon as possible and setting up

Buying Guide
Spain
Buying Guide to Spain
APITS Limited
Hollybush House, New Road, Croxley Green, Rickmansworth, Herdfordshire, WD3 3EJ
T +44 (0) 20 3207 2920
07.2021

A Place in The Sun Buying Guide Spain 2021

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Buying Guide

MAKING YOUR MONEY GO FURTHER

From a deposit on a house through to settling the balance, for regular

Efficient, transparent, friendly service

Register today to open your account, call our team of experts to

Introduction to Spain Spain & Brexit

WHERE TO BUY AND WHAT

Here to help you make

We offer the  Purchase of Spanish Property  Ownership advice

Call us today to discuss your Spanish property purchase:

0845 508 2395 if calling from the UK

WHERE TO BUY AND WHAT TYPE OF

WHERE TO BUY AND WHAT

Popular regions of Spain

Most people seeking to buy property in Spain 5 Costa del Sol

WHERE TO BUY AND WHAT

Costa del Sol

he best-known of all the Mediterranean with a true 12-month

As a family we have always loved Marbella and San Pedro

Favourite restaurant: I love Nuevo Reino in San Pedro - it’s

WHERE TO BUY AND WHAT

Costa del Sol... cont

“We’d never been to Malaga until

apartments in the €180k-250k bracket

WHERE TO BUY AND WHAT

Costa del Sol... cont

C AS E “We found our place in

“We’d been looking to buy a view as many properties as

WHERE TO BUY AND WHAT

Costa del Sol... cont

WHERE TO BUY AND WHAT

he Costa Blanca extends from quaint cobbled alleyways and palm

WHERE TO BUY AND WHAT

Costa Blanca... cont

tranquil location than the coastal resorts;

WHERE TO BUY AND WHAT

NEXT LOCATION: ALMERIA 

WHERE TO BUY AND WHAT

Costa Calida... cont

“We found our dream property in CA S E

it can be quiet. We knew that in winter we

How did A Place

WHERE TO BUY AND WHAT

NEXT LOCATION: COSTA DE LA LUZ 

WHERE TO BUY AND WHAT

ádiz and its neighbouring America) and Arcos de la Frontera have

NEXT LOCATION: COSTA BRAVA 

WHERE TO BUY AND WHAT

NEXT LOCATION: THE BALEARICS 

WHERE TO BUY AND WHAT

are where celebrities such as Andrew

WHERE TO BUY AND WHAT

The Canary Islands

WHERE TO BUY AND WHAT

The Canary Islands... cont

WHERE TO BUY AND WHAT

The Spanish property market: a snapshot

WHERE TO BUY AND WHAT

A key question to ask: WHY you are buying?

s with buying anywhere be within walking distance of cafes and

Consider the practicalities of owning a home abroad and how

WHERE TO BUY AND WHAT