Can The British Still Buy Property In Spain?

Brexit is an abbreviated form of Britain + Exit. It refers to the withdrawal of Britain as a member of the European Union. It was voted in the 2016 June referendum. Former lawyer Peter Wilding coined this word. European Union (EU) is a union of 28 European nations formed after the remains of WW2. 

Here economic integration was made among the member states. The major objectives were to trade and permit the EU citizens to move freely between nations. Since joining the EU in 1973, the UK has remained distant from major integration and maintained its unique currency, “Pounds.” 

In 2012, David Cameron who was the then Prime Minister pledged of holding a referendum for the United Kingdom if it should continue or exit EU. Bexit was signed on 24 January 2020 and effective from 1 February 2020. The United Kingdom also stayed away from the Schengen agreement, which permitted the internal removal of the EU’s border control.

Although Britain has exited from the European Union, a British still buying in Spain is possible. A citizen of Britain can relocate to Spain to work or even start his own business. But, while some things have changed, others have not. The cost of the property depends on the direction of the real estate market and not the nationality of the buyer. 

The real estate taxes and costs associated with it do not vary according to the buyer’s nationality. 

1. Stamp Duty
2. VAT
3. Expenses on Notary defined on the number of clauses in the deed
4. Registration Fees

The British citizens, however, may experience an indirect effect due to the fluctuation of the Euro and Sterling. It has been noticed that after Brexit, the volatility due to currency movement is very high. So, the purchasing power may affect the cost indirectly.

Spain doesn’t offer any social or financial benefits to foreign nationals.

Another factor may be medical assistance when coming to live in Spain. The UK pays for the health care of its citizens when required in Spain. There has been an agreement of reciprocal between the two nations, the United Kingdom and Spain, for providing the best healthcare services to citizens of either country, particularly pensioners relocating to reside in Spain.

The British holiday homeowners have primary healthcare in their home country and maybe treated in Spain during emergency circumstances. Your medical insurance documents remain the same as before.

If you want to shift to this EU nation – Spain, work full-time or become an entrepreneur there, you need to get a SIPS card, which refers to the “Spanish National Healthcare Card.” You will then be eligible to pay tax and become a permanent resident in Spain. 

Conclusion!

It is simple and clear to buy a Spanish property without paying anything extra because Britain has exited the EU. Of course, the fluctuation in currency may impact the process. People of the UK love to settle in Spain; thereby, a few extra bucks are just worth the investment.