The UK left the EU at the start of this year and agreed a transition period of a year to allow deals to be made for life after Brexit. Negotiations are still taking place to settle trade deals on goods, services and to make important agreements on issues such as airline safety and medicine. If Britain leaves the EU with no deal, we may see higher prices in shops and some delays in import goods due to increased border checks. Deal or no deal, the way we live, work and travel will change, but probably not as much as you think. As long as you make sure you’re clued up on the following changes, Brexit shouldn’t affect those looking to relocate or buy a property in Spain, as long as you organise your paperwork and are aware of the possible changes.
Buying a property after Brexit: UK citizens can still buy property in Spain after Brexit. Buying property in Spain may be no more expensive for Brits post-Brexit, as everyone has to pay the same purchase tax, notary fee and property registration fee. It’s important to note that changes in the exchange rate after Brexit may affect what you can get for your money, so factoring in these additional fees are important to factor into the budget.
You can still rent out your Spanish property, bearing in mind that the EU citizen rental income tax is 19% and for Non-EU citizens it is 24%. The Spanish property market has been in recovery for a few years now, so although post-Brexit it may see some fluctuations, prices in general are showing promise, particularly in areas such as the Costa del Sol.
Relocating to Spain post Brexit:
After the 31 December, travel rules will likely be somewhat different. If you’re looking to visit Spain for short periods of time, you probably won’t notice any changes. Small things such as making sure you have the right documentation (a valid passport, health insurance and correct driving papers) can help your trips to Spain run as smoothly as possible.
If you want to spend more than a total of 90 days enjoying your property in Spain, you’ll need to register to become a full Spanish resident. You can do this by obtaining your NIE number, SIP (health card) and register on the padrón. Don’t worry if this sounds confusing, Perez Legal Group can guide you through the transition process with our comprehensive relocation services.
Our team of experts have over 20 years’ experience helping expats find their dream property, apply for residency, file annual tax and so much more. For more information, see our brochure by clicking this link.