Brexit And Buying Property In Spain – What’s changed?

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You want to know what’s changed when it comes to buying property in Spain after Brexit? The good, and quick, answer is…nothing much really. There are a few little caveats that have cropped up as a result but nothing major or bank-breaking.

If the question was simply, Can I buy property in Spain after Brexit? The straightforward answer would be yes. The reason being that the right to buy property in Spain is not restricted to EU citizens and basically anyone who can afford to pay the asking price is legally entitled to buy it.

According to Euro weekly news ‘You will still be able to buy property in Spain after Brexit. ‘If you are able to pay the total price then you are able to buy’.

They further clarify by adding that the ‘main change in purchasing a property in Spain will be certain taxes. ‘Although obligatory taxes will stay the same. ‘You will still be able to rent out no matter where you are’.

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The article stresses that ‘purchasing property in Spain after Brexit will not mean any higher costs than before Brexit’, thus ‘eliminating the factor that the property market is very inconsistent.

‘The costs are all the same, no matter what your nationality or residency is,’ they said.

The question of renting out a property you have purchased was also covered: ‘Renting out in Spain will remain the same, whether it is long-term or short-term, you will still be able to do this after Brexit, the slight difference is that UK citizens may have you pay a little more for rental tax,’ they explained.

The article additionally states that ‘there are many taxes in Spain when buying a property’. ‘The obligatory ones include; purchase tax, IBI and VAT (called IVA in Spain), which are all the same price no matter your nationality, or where you are living’.

What You Need To Know About Buying Property In Spain After Brexit

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The British Government offers plenty of advice on buying or renting property in Spain which includes ‘information on legal requirements and advice for British nationals buying or renting property in Spain’. As we have just finished the transition period, a time buffer to implement any logistical changes, on January 31, any post-Brexit changes between the UK and Spain should be clear on the website’s advice.

Within that advice you will find that now Brits trying to buy in the EU will be treated just the same as other non-EU countries like America and Australia.

With one notable, and easily explainable, exception. The Canary islands. ‘In some parts of Spain, the peripheral land surrounding a military base is considered ‘restricted’ under Spanish law,’ says the Government advice, ‘and specific rules may apply when buying, selling or carrying out construction work on properties located in these areas.

‘Our current understanding is that, from 1 January 2024, UK nationals who wish to buy property in these areas will be required to meet third country national requirements and request a military permit from the Spanish Ministry of Defence prior to purchase’.

This news was recently reported in the Canary News, which stated that Brits ‘wanting to buy a property in the Canary Islands must now get specific permission from Spain’s Ministry of Defence, since January 1, following Brexit, when British subjects officially went from being EU citizens to being considered foreigners’.

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‘Under Spanish law, Third Country Nationals, like the British, who wish to purchase a house, or any other rustic or urban property, in areas and facilities designated of interest for national defence must get prior military authorisations before any sale can be completed,’ they added.

‘The simple fact is that the two Spanish archipelagos —The Balearics and The Canaries— are areas declared of interest for national defence, and as such, access to property is limited in the case of all foreigners who are not EU citizens.

‘Brits wanting to buy here on the islands will have to apply to the Ministry of Defence, including a full plan of the property and also a certificate that the buyer does not have a criminal record, which is seen as fundamental when it comes to dealing with issues of national defence’.

The news site recognizes that ‘the British are among most prolific foreign buyers of houses in the region’ but whether these additional requirements are enough to make any change in that fact remains to be seen.

Buying In Spain. Business As Usual?

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Thankfully, very little has changed when it comes to Brits buying property in Spain after Brexit. Yes, we may be subjected to a few extra taxes the same way that other non-EU residents have to when buying property there. And yes, in some special circumstances, a few extra hurdles may have to be jumped. But overall, the changes are not too bad or anything to overtly worry about.

However, due to the complex and seemingly fluctuating nature of Brexit when it comes to Britain’s dealings with the EU it is always best to check for the most up-to-date information available when you are looking to purchase a property there.

It is always advised that the best way to deal with all the legal requirements involved as a non-EU citizen looking to purchase a property in the EU is to find someone who knows them. A good lawyer will know the specific issues you may encounter or have to deal with. They’ll know exactly which taxes you’ll have to pay or any current requirements you will have to fulfil.

With your plan in action and an awareness of your property purchasing obligations in place all that’s then left to do is get house hunting and start browsing the many delightful properties Spain has to offer.. One of the most recommended websites we have been told about is the TheJaveaEstateAgent , a local agency situated on the North Costa Blanca region of Spain

For years we have moved to Spain in our hundreds of thousands, if not millions. And Brexit shows no signs of stopping that. Especially since its announcement which has seen a steady rise of people enquiring about moving abroad.