Are you planning and saving up to Buy land in Spain? Spain is known to be the heart of Europe. The country offers a high standard of life to its residents and those looking forward to moving there.
Spanish culture and tradition go way back to the glorious days of the Roman Empire. For two millennia, the area has been the center of trade and tourism.
Spain has seen several different nations residing in its land, which is the reason behind its interesting history.
The Romans, Greeks, and Muslims have all ruled over the heart of Europe, which is why the country is also filled with historical sites and ruins from the middle ages.
Being situated mostly in the Iberian Peninsula, Spain is ranked as the second most visited country in the world, according to international statistics published by the United Nations World Tour Organization
Spain attracts so much traffic from all over the world due to its beautiful beaches, historical sites, and delicious foods.
That is why many people often consider Buying land in Spain to be their priority and preference. Buying a piece of land in any part of Spain, sepecially buying land in Barcelona is a dream of many.
Spain being on the list of top ten countries for tourists to visit, has attracted property investors from all over the world.
Owning land in Spain is an easy way to get some serious amount of cash flow. Whether you want to settle in Spain or get your property rented out by tourists, buying land in Spain has its advantages.
Many tourists that flood in Spain every year either stay in hotels or in private properties that homeowners get paid for.
However, this wasn’t the case for the last few decades. The financial crisis hit Spain hard, and it was still on its road to recovery when the Covid-19 pandemic struck earlier this year.
This led to the real estate market getting severely disturbed. All of Europe suffered in the pandemic, and thousands of businesses closed down. Tourism came to a halt as the situation grew worse.
But thankfully, the pandemic is now behind Europe, and the countries once again look forward to welcoming visitors from around the world.
As the situation got better, European countries, including Spain, will now be allowing tourism activities to continue. The economies of these countries rely majorly on tourism.
But thankfully, the pandemic is now behind Europe, and the countries once again look forward to welcoming visitors from around the world.
As the situation got better, European countries, including Spain, will now be allowing tourism activities to continue. The economies of these countries rely majorly on tourism.
READ ALSO : Buying a Property in Spain | All you need to know
Can Foreigners Buy Land in Spain?
Spain is known to be a welcoming country that allows foreigners to invest and reside freely. Foreigners can easily buy property in Spain since the procedure is very straightforward and hassle-free. The rules involve foreigners to acquire a financial number, which is obtained through a passport.
This financial number can be acquired through the Spanish consulate or from Spain directly. After getting that, Spain opens its doors to you and openly allows you to invest in their land.
A core benefit that investors can get out of investing in Spanish real estate is that they can gain permanent residency. This is another way of Spain attracting investors through its Golden Visa program.
Investors can gain Spanish citizenship if they make an investment of €500,000 or more in Spanish real estate. This program is just more proof of how welcoming Spain is to foreigners.
The Advantages of Buying Property in Spain
Buying land in Spain or already owning a property in Spain seems to be a dream and a life goal to many. The pros of investing in Spanish properties are dozens. But to give you a brief idea of the advantages you’ll get from it, below are the top five reasons to buy land in Spain.
Low Real Estate Prices
The real estate market of Spain is still on its road to recovery after the financial crisis and the coronavirus pandemic.
That is why the property prices are affordable for investors, and the market is in need of investments to get back on track.
High Standard Lifestyle
Spain is known to have a high standard of life due to its flourishing economy and affordable living. If you’re looking to buy a property in Spain to settle there, think no more and go for it! The country offers various interests to foreigners and encourages them to come to settle in their country.
Tourism
Being in the second place of top visited countries globally, Spain gets a flood of tourists every year. If you’re buying property, then getting it rented out, this investment can compensate for your property expense within a year or two.
Affordable
The cost of living in Spain is much low if compared to other European countries. The basic necessities of gas, fuel, and electricity are cheaper, making it one of the best countries to settle in.
The Places
Spain is filled with tropical islands, warm and vibrant coasts, as well as heritage sites. This makes traveling in Spain an amazing experience, especially for history lovers. The peaceful environment and the beautiful towns filled with the essence of Spanish culture are all that you can ask for!
Is Investing in Agricultural Properties of Spain a Good Idea?
One of the most frequently asked questions about Spanish property investors is the scope of agriculture in Spain. Agriculture is one of the primary sources of where the Spanish economy gets support from.
The agricultural real estate has much to offer to foreigners who are looking to invest in Spain. Spanish agriculture offers a broad variety of farmlands all across the country. It is often difficult to find agriculture land for rent in Spain. It takes a lot of effort to acquire agricultural land for sale in Spain.
The weather in Spain is moderate, and Spain is well-known for its dry fruit farms. Investing in the agriculture sector can prove out to be a better investment since you get a return of around 12%-16%.
Whereas in city business investments, you only get a return of around 5%-7%, which is far less as compared to farmland investment.
While the recovering economy of Spain plays a part too, the need for food after the pandemic has increased. This affects the agriculture sector as well as other business sectors of Spain. The demand for food has led to a much-needed boost that the farmlands of Spain are desperate for.
That is why it would be a great decision for property investors to bring their attention to the Spanish farmlands and invest there.
Road to Buying a land in Spain
The road to buying land in Spain for foreigners starts with finding a property that suits their needs. This can be done in many ways, such as browsing real estate websites or contacting real estate agents.
The recommended best practice is to arrive in Spain first and then view the property before making a transaction. This might cost you just a little more money, but this method is way better and less risky. Estate agents in Spain are bilingual and can be contacted easily to assist you in your search for Spanish property.
However, be aware of scammers and thieves that pretend to be agents on the internet and demand advance payments. After you contact an agent, keep in mind that you are not bound to choose everything your agent suggests.
The actual process of the property purchase starts when you reach out to the seller and sign a contract known as the preliminary contract. Negotiation can be done in this process between the buyer and the seller.
Note that the price of the property given by the seller is usually an indication and not a constant demand. So, you can make negotiations and seek your estate agent’s counseling about whether the price is fair or not.
It is highly recommended that you hire a lawyer to ensure your transaction goes without any unwanted authority interference. Your lawyer can give you many helpful services throughout this procedure and keep you aware of the laws of buying a property in Spain as a foreigner.
After you buy the property, the registration must be done. You can either hire a notary for this purpose or handle it yourself. We advise that you arrange a house survey to ensure that the property is free from significant defects and faults. This is not necessary but usually done just to minimize the risk of fraud.
Is Buying Land in Barcelona a Good Decision?
Most property investors look at Barcelona when deciding to invest in Spain. Whether it’s for settling in Barcelona or investing in the land, it is fair to state that buying land in Barcelona is highly beneficial. Due to its position along the Mediterranean coast, the weather in the city is quite pleasant and warm.
Barcelona has great business potential, which can prove to be rewarding for foreign investors. France is just an hour away from Barcelona. At the same time, the Pyrenees is situated closely too. The restaurants in Barcelona attract millions of tourists annually and produce heavy profit for entrepreneurs.
The city also attracts students on an international level due to a large number of universities. Other than that, healthcare is excellent, and the environment of the city is even better. All of these pros make Barcelona a great choice overall to invest in.
Taxes and Costs
The costs and taxes of buying a property in Spain vary from place to place. Many factors play a role in determining the value of the area you’re opting for. Most of the taxes are to be paid by the buyer. Some of these taxes include:
- Property Transfer Tax 6-10% (of the value of the property)
- Notary Costs 1-2.5% (of the value of the property)
- Legal Fees 1-2% (of the value of the property)
Other fees may include the estate agent’s charges, registration fee, etc. These taxes may subject to a slight change depending on the condition of the property.
If the property is completely new, then the buyer is liable to pay the VAT charges that come with these taxes. Other than this, the buyer has to deposit 10% of the purchase price at the beginning of the property transfer process.
Conclusion
Moving to Spain is a great decision in every way. With almost little to no cons, the country offers a lot more than just basic necessities to its residents. The rich traditions and customs of Spain are what make it the heart of Europe and one of the top countries of the continent.
Combine that with a high and affordable lifestyle, as well as a flourishing economy and you, get the country you always desired to move into.
Even if you plan on just investing in Spanish real estate and not moving there, we are sure the country’s beautiful beaches will attract you into moving there permanently.
That is why we will hype you up to buy land in Spain. You can do your in-depth research about how to buy land in Spain. You can even consider buying rural land and even agricultural land in Spain.
Just make sure that you go through all the procedures and ensure that whether the foreigners can buy land in Spain. We assure that you won’t regret your decision.