Should Brexit stop you from buying a property in Spain? The result of the referendum hasn’t yet stopped those looking, even with a reduced budget.
As far as Spain is concerned, with its great access from UK airports, all-year-round sun, beautiful beaches, friendly culture and tasty cuisine, it remains a top destination for British buyers.
Property prices across Spain are still competitive and it is a buyers’ market. Don’t be afraid of offering below the asking price to offset the lower exchange rate. When it comes to the crucial moment in the negotiation process, specialists in real estate law always recommend that you effectively negotiate and achieve discounts, which range from 5% to 20% of the initial price.
Calculate your budget including the purchase price, taxes and costs. Depending on the region you buy in, the property transfer tax varies. In the Costa Blanca, it is 10% on second-hand properties. New properties are also subject to stamp duty, up to 1.5%. Professional lawyers can always breakdown the total purchase cost for you.
Did you know that if you use an established currency company, you can save up to 5% on transfers of sterling to euro? It is also of great benefit to put in place an exchange rate watch if you are buying euros over a period of time.
As and when the UK does leave the EU, we expect that Spanish property owners who spend less than 183 days in Spain will pay slightly more annual non-resident income tax, not enough to put you off buying though. Buyers moving to Spain permanently will be more interested in finding out if they can access national healthcare. It is expected that an agreement will be reached between the EU & the UK on this subject, especially as there are more Europeans living in the UK than Brits in Europe.
Post-Brexit life continues as normal in Spain. If you are currently deciding on whether to buy a property in Spain, why not contact our real estate specialists, who will be happy to give you that peace of mind.