Brexit is not a barrier for UK residents looking to buy real estate in Spain. However, the legal environment regarding investing in Spain after Brexit has, without a doubt, changed. Let’s discuss the ins and outs of buying real estate in Spain after Brexit, including legalities, pitfalls to avoid, costs and the process itself.
Moving to Spain in 2021
Owning a home in Spain is a dream for many, and the EU nation makes a perfect location for real estate investors. After Brexit, British tourists, including those with holiday homes and other real estate in Spain, can no longer visit and leave as they please. They can only stay in the country for a total of 90 days in any 180 days, after which they need a visa in case they wish to stay longer.
Post-Brexit, UK nationals are required to apply for a visa to show that they have the right to reside and work in Spain. You don’t need to be a resident to purchase a property. However, on a practical level, you need a bank account, and for that, you must have a permanent address and thus a visa.
For British nationals seeking employment when they move to Spain, you can expect a working visa procedure for Spanish looking to work in the UK. As much as UK nationals cannot work in Spain without a work permit, they can own real estate.
If you are a retiree looking to move to Spain, the visa process is simple. Similarly, it is straightforward for those looking to retire in Spain who don’t need to work.
When it comes to property prices, initial prices for real estate are expected to become costlier for British nationals. Also, investors can expect limited mortgage availability.
Applying for Spanish Residency
Many British nationals who moved to Spain before Brexit have to apply for a permanent Spanish residence to legitimize their stay. Consequently, you cannot arrive in Spain as a tourist and apply for Spanish residency (unless you apply for the Golden visa). British citizens outside Spain who wish to apply for residency have to do so through the Spanish consulate in the UK.
As non-EU citizens, British citizens who wish to purchase real estate are permitted to apply for Spanish Golden Visa residency from 1 January 2021. More investors are taking advantage of the Golden Visa route to Spanish residency. SpainDesk offers valuable advice regarding applying for Spanish residency from the UK and can outline the full procedure you need to go through.
Conditions for Spanish Golden Visa
Upon getting a Golden Visa, you and your immediate family members are given residence permits that can be renewed indefinitely, provided you maintain the investment. One of the best ways to acquire a Spanish Golden Visa is by buying real estate. However, you must purchase property worth at least €500,000.
Alternatively, investing in shares in a Spanish company or bank deposits of at least €1 million makes you eligible for Spain Golden Visa. A third option is investing in Spanish public debt (at least €2 million). One of the profound benefits of the Spanish Golden Visa is that there is no minimum stay requirement. Also, you can apply for permanent residence in five years and citizenship and an EU passport in ten years.
Relevant documents when buying property in Spain
British nationals seeking to buy properties in Spain should bear in mind that the entire process can be quite lengthy and time-consuming. During the application, you are expected to present several documents including documents with the details of the property they intend to purchase.
Also, British nationals are required to provide information regarding the present owner of the property, for example, their personal information. As is the case with many other countries, the real estate buyer must present his personal history, current residence, and means of income.
Are you looking to buy real estate in Spain?
When buying real estate in Spain, we highly recommend doing your own research on your chosen market or getting an expert involved. In general, British nationals seeking to buy real estate in Spain after Brexit should hire the services of experts that are well-grounded in the existing laws. The importance of sound legal and tax advice cannot be overstated.
At SpainDesk, we are here to support you every step of the way and connect you to reputable estate agencies and developers. Also, we will help you navigate the often complex channel of paperwork and utmost due diligence.
Disclaimer: Information on this page may be incomplete or outdated. Under no circumstances should the information listed be considered professional legal advice. We highly recommend seeking guidance from a legal expert if you lack extensive knowledge or experience dealing with any of the procedures outlined in these articles.