Find all relevant questions and answers here.
We recommend a minimum investment of €65,000 to €70,000 for an apartment. With this amount, you can acquire a property in a good area, complete with essential infrastructure, making it appealing for long-term rentals.
The average Return on Investment for long-term rentals is between 6%-12% but can vary across different areas in the region. In Alicante, Valencia, Benidorm, and Althea, ROI is influenced by factors such as location, property type, and local market conditions. Generally, these areas can offer competitive ROIs. For more precise information tailored to your investment interests, it's recommended to consult with us directly.
There are still apartments available in so-called residential not popular neighborhoods at a low price. Currently, the status of these areas is gradually changing as the rental prices are now high, and the lower-income population is moving away. The infrastructure in these areas is at a high level, with schools, shops, educational institutions, and sports facilities. We see the prospect of transforming these areas into prosperous ones in the near future. However, property prices are rising quite rapidly due to these changes. Our client bought an apartment for 60,000 euros, whereas just three years ago, it was worth 35,000 euros.
Yes, purchasing real estate at a minimum cost of 500,000 euros qualifies for a residence permit. However, you also have the option to buy a more affordable apartment and, separately, utilize our services for residency, which would be a more cost-effective solution for you if you not ready to invest 500,000 euros right now.
Apartments in Greece or any other country of similar quality start from 100,000 euros, with rental rates comparable to Spain but lower profitability. According to Numbeo, Greece ranks 37th and Spain 38th in the cost of living among 120 countries. Spain excels in environmental conditions, ranking 6th, while Greece is at 21st place. Spain also ranks 6th for the healthiest population, with an average life expectancy of 82.2 years. In summary, Spain offers a balanced mix of optimal climate, environmental quality, and affordability, while Greece may involve higher expenses and a less developed social sector.
Yes, non-Spanish residents can generally qualify for mortgages in Spain, and the interest rate depends on the bank you choose to open an account with. Typically, rates range between 3.5% and 4.15% at the bank we are currently working with.
For the purchase of a new property on the Costa Blanca, the taxes to be paid are the Value Added Tax (VAT) which, in 2021, amounts to 10% of the deeded value of the property, and the Tax on Legal and Documented Acts (IAJD) which is 1.5%. For a used property on the Costa Blanca, instead of VAT, the Property Transfer Tax (ITP) is paid, which is also 10% in 2021.
1. Notary fees: The notary is responsible for authenticating the property transaction by witnessing the signing of the deed (escritura). Notary fees in Spain are regulated by the government and depend on the property’s value. You can expect to pay between 0.1% and 0.3% of the property’s value in notary fees. 2. Land registry fees: After the transaction is completed, you’ll need to register your new property in the Spanish Land Registry (Registro de la Propiedad). This ensures that your ownership rights are recorded and protected. Land registry fees range from 0.1% to 0.3% of the property’s value. 3. Home insurance: It’s essential to protect your new investment with home insurance, usually it depends on the bank and its around 25 -30 EUR.
1. Notary fees: The notary is responsible for authenticating the property transaction by witnessing the signing of the deed (escritura). Notary fees in Spain are regulated by the government and depend on the property’s value. You can expect to pay between 0.1% and 0.3% of the property’s value in notary fees. 2. Land registry fees: After the transaction is completed, you’ll need to register your new property in the Spanish Land Registry (Registro de la Propiedad). This ensures that your ownership rights are recorded and protected. Land registry fees range from 0.1% to 0.3% of the property’s value. 3. Home insurance: It’s essential to protect your new investment with home insurance, usually it depends on the bank and its around 25 -30 EUR.
Housing continues to be a safe value for investment and a good option for obtaining the best returns. The profitability of housing investment in Spain increased by almost two points in 10 years, according to data from the real estate portal Idealista. In the third quarter of 2022 it stood at 7.1%, while in the same period of 2012 it stood at 5.3%. Therefore, buying a home in Spain to put it on the rental market is now more profitable than it was 10 years ago. And you should not forget that you can obtain a double profitability, both with the rental and with the subsequent sale of the property.
Yes, we do! For your peace of mind, we offer maintenance services for at least the first year after your purchase. During this time, we ensure your property stays in excellent condition with regular upkeep and repairs. If you wish to continue with our maintenance services beyond the first year, we're more than happy to accommodate you for an additional fee. Our goal is to ensure your investment remains in top-notch condition for years to come.
Rest assured, we've got you covered. In the rare event that occupants refuse to vacate your property, we handle the situation swiftly and effectively. Additionally, for added peace of mind, we offer optional insurance coverage specifically tailored to protect you from such occurrences. With our comprehensive services and insurance options, you can feel secure knowing your investment is safeguarded against unexpected challenges.
