Property in Spain
More and more investors choose real estate in Spain as their future asset. Tax incentives as well as property prices in Costa Brava are the reasons for it.
Regional tax incentives
Under the regional plan, foreigners and Spaniards who are not residing in their home country for long periods will be able to deduct 20% of the value of their investments in real estate or financial assets from income tax. Benefits are allowed for 6 years.
This means that a hypothetical wealthy Latin American who bought a stake in a Spanish company for €1 million would be able to reduce his taxes by €200,000 in the corresponding fiscal year. Similarly, a Spanish expatriate who came to his home country to buy an apartment for €300,000 will have his taxes cut by €60,000.
The government of the Autonomous Community of Madrid introduces this measure due to “concern” about the possible negative impact of the new Spanish tax on “owners of large fortunes”. In particular, local authorities fear a decline in the flow of foreign investment.
Commenting on the situation, representatives of the Spanish Ministry of Finance said that “the government of the Community of Madrid is trying to divert attention from reality.” According to officials, Spain’s central “government demands more [approx. tax payments] from the owners of the largest capitals and takes measures to help the majority. At the same time, it is noted that “the government of Diaz Ayuso wants the burden of the crisis to fall on the middle class, workers and representatives of the most vulnerable segments of the population.”
Costa Brava – one of the most popular tourist and investor areas of the Spanish coast, located in the north of Catalonia, starts 60 km east of Barcelona from the city of Blanes and continues up to the border with France, creating many cozy beaches, bays, and coves.
Mountainous terrain with steep coasts, emerald sea, magnificent beaches framed by lush greenery, and real forests – an idealistic picture that will leave few indifferent. Having been here once, you want to return, and even better – to stay forever. And it is at this moment that the traveler begins to take a closer look around, noticing cozy houses scattered on the hills, small apartment buildings, and chic estates.
Beautiful nature is one of several reasons for the popularity of real estate on the Costa Brava among people who dream of their home by the sea.
The Costa Brava is located on the territory of Catalonia, one of the autonomous regions of Spain. The Catalans have their own dialect (Catalan Spanish), their own way of life and behavior, and a very rich history dating back to the 11th century. Catalonia is a little conservative, but the main thing is that it is one of the richest areas in Spain. It just so happened that the Catalans have long shown a wide variety of talents, which ultimately helped to develop the economy and the well-being of citizens. It is also believed that proximity to France has an impact on the level of the region.
With the development of transport infrastructure and the blurring of borders between European countries, the Catalans have done everything to squeeze the maximum out of their position by developing tourism in their region. Here, as they say, God, himself ordered: magnificent beaches, a temperate warm climate, and an excellent landscape. And they succeeded – today tourism is one of the most important sources of income for the region.
The Costa Brava coast began to be built up as summer houses by the Spaniards many centuries ago. And this trend has continued to this day: a successful Catalan is “supposed” to have a summer residence by the sea, and the Costa Brava is the most successful. The demand for renting and buying real estate on the Costa Brava almost never had noticeable dips, but there is relatively little land for development due to the landscape, so real estate on the Costa Brava is justifiably considered highly liquid and relatively expensive.
- The Costa Brava real estate market is formed mainly by local demand, foreigners occupy no more than 30% of the market here.
- Offers of secondary real estate significantly prevail over new buildings.
Property for sale in Spain
New real estate offers on the Costa Brava, Spain appear regularly on Spain-Real.Estate website. You can easily choose the best option for the cost and other characteristics of real estate.