Property investment in Spain
Property sale
Investment in real estate such as a villa or apartment in Spain on Costa del Sol can give a high return.
Prices – is the sky the limit?
Certainly not, but the property prices are still far behind those found on the French Riviera and living expenses are still quite low in Spain, so there is room for increase. House prices in the Marbella area are quite high, and have not seen the same rate of increase as many other areas. The last many years prices have sky rocketed at a rate compareable to or higher than found in the UK. With unstable share prices, property investment in Spain is a low risk investment.
If you are not in a hurry, then buying a good offer off-plan is traditionally an extremely good investment returning 20 – 30% p.a. Many properties that are bought off-plan are sold just before or at completion for maximum returns.
New opportunities
New areas in Costa de la Luz and Cádiz area are expected to be developed in next few years, and prices will follow.
Also the “New Golden Mile” between Estepona and Gibraltar is currently being developed.
The areas East of Málaga has huge growth potential, and a villa with pool and ocean views are available a prices much lower than the established areas of Mjias, Fuengirola, Marbella etc.
Taxes – how to avoid taxes in Spain
Somehow we would all like to avoid paying taxes. Of course we all have to pay the taxes needed to run the public services, but we should never pay more taxes than we have to.
Inheritance tax
Many property buyers in Spain are 40 – 60 years old, and come to Spain to enjoy “the 3rd age”. It is important that you draw up a will. Consider that in the grief of loosing a loved one, the Spanish government will take a whopping 45% inheritance tax from non-residents.
Buying the property through a life insurance
International company owns the property
Disclaimer
Spain Property is not a legal advisor and can not be held liable for anything written on these pages. The texts on these pages should taken as inspiration for a talk with your legal advisor.
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