Thinking of buying a holiday home in Spain?

Rexthedog

If there is anyone thinking of buying a property in Spain then be cautious. Some authorities are demolishing properties, even though buyers have gone through what they thought were legal process. There are also other pitfalls. For instance, anyone living in Spain for longer than six months must declare all their worldwide assets. Furthermore, if a partner owning a property dies then the remaining person is liable to pay inheritance tax on the property and also any money in the bank and on other assets. Finally, the property cannot be sold until the inheritance tax is paid. However, when it is, then capital gains tax kicks in when the property is sold. Finally, unless customers have a regular monthly income into a bank, some banks charge a maintenance fee and also charge for other services as well which are free in the UK.

bryanb

There are many pitfalls to living/buying in Spain. Not the least is that a solicitor you employ has no obligation to explain Spanish law to you.

traineepensioner

Not sure this is in the right section but...
We also looked at buying a Spanish property.However, we decided that renting was a better option. Restrictive Inheritance laws, higher capital gains tax, lower personal tax allowances, tax on worldwide assets and the (approx 20%) buying & selling costs put us off owning a property in Spain. Better to buy & rent out a property in the UK to fund a rental in Spain.:o

(1)Renting is far cheaper & easier.
(2)If you get fed up of a place/neighbours you can move on.
(3) you can move back to the UK anytime you like.
(4) No property maintenance (in Spain)

You have to be aware that you can't stay longer than 6 months or drive your UK registered car over for longer than 6 months.....but I'm not sure how this is monitored :cool: