Brits with a dream to buy property in Spain may have their plans shattered if a new law is introduced. This week Spain announced plans to introduce a tax of up to 100% on properties bought by non-EU residents, including those in the UK.
There are currently over half a million (284,000) Brits living in Spain, but those with plans to buy a Spanish property in the future may need to reconsider and look for an alternative destination to call home.
The move is one of many laws and financial regulations introduced by the Spanish authorities to reduce over-tourism in the country and make it easier for local residents to buy properties. However, whilst travel experts don’t think the law will impact tourism figures drastically, they are advising Brits to consider buying property in alternative destinations.
Laura Evans-Fisk, head of digital and engagement at eurochange, said: “The introduction of a large tax for properties in Spain bought by non-EU residents is not surprising, given the current housing crisis in Spain. Whilst this is unlikely to impact tourism numbers significantly, it is going to make relocating to Spain very difficult for Brits.
“For anyone who has a dream of living in Spain one day, it might be time to start researching alternative destinations that have much lower tax restrictions and, in many cases, fewer tourists.”
Malta
“Malta is a fantastic destination for any Brits looking to relocate to a warmer climate.
“English is an official language in Malta, making the logistics of moving a whole lot easier. There are also favourable tax regimes for expats and a well-established expat community – with 13,000 Brits currently living there.
“Malta’s relaxed, Mediterranean island lifestyle makes it a mean contender for those who love to visit Spain.”
Montenegro
“Montenegro is an up-and-coming destination with a stunning coastline, boasting bright blue waters, white sandy beaches, and breathtaking mountain ranges on the Adriatic coast.
“With a very similar climate to southern Spain, it’s a great option for expats looking for a more secluded but equally beautiful place to live. Montenegro offers a very affordable cost of living, with total bills equating to around €107.00 for a city centre apartment.
“For those who might even consider starting up a business as an expat, there are plenty of investment opportunities due to its growing tourism sector too.”
Portugal
“Being in such close proximity to Spain, Portugal’s climate is virtually the same, with warm sunshine all year round, beautiful beaches, and vibrant, bustling cities to explore.
“Portugal is generally cheaper to live in than Spain too, with lower food, groceries, and transportation costs. The country also has a Golden Visa programme for non-EU citizens, giving investors the right to live, work, and study in Portugal, which can lead to citizenship after five years.”
Croatia
“Croatia is another emerging country when it comes to tourism. With a beautiful coastline along the Adriatic, a rich cultural heritage, and an excellent food scene, this country has a lot to offer expats.
“There is also a growing expat community in its major cities, including Zagreb, Split, and Dubrovnik. Though there are less than 15,000 British expats living in Croatia at the moment4, this number is likely to increase as many look for alternatives to Spain.”