A SMART INVESTMENT

The large coastline has attracted many construction companies to build homes to the specific needs and wants of foreign buyers. It has also started to attract investors. In the last year, the value of real estate in Spain has increased by an astounding 17.5 percent. And to further protect this great spurt of development and the interests of foreign buyers, the government has passed new laws regarding construction and sale of real estate. Buying a home in Spain is now much more secure! have made buying a home in Spain safer than ever before.

Low interest rates and a growing demand for rental property in the tourism industry also means that this real estate bubble is not going to burst anytime soon. There will be growth for many years to come.

CHOOSING A PROPERTY

Should you buy a house on the coast? It’s more expensive but is more profitable in the long run. Should you get a house in the quieter farmlands? It’s more affordable but more difficult to rent out. What kind of property should you invest in? It depends on your preferences and needs.

Look at how much you can really afford to pay and what you want to achieve and then hunt around. If you want to recover your investment through rentals but can’t afford a seaside home, then consider an apartment. If you want the peace and quiet of a rural home but want a bigger return on investment then consider buying in an up and coming area and then selling it in the future once prices increase.

TAXES CONCERNS

Good news for non residents. After extensive “encouragement” from the European Union, the Spanish government has set into motion a series of policies that will significantly remove the discriminatory practices towards property owners who are non Residents of Spain.

As from January 2007 it is planned that the effective rate of tax that will be paid by a Resident or a Non-resident on a Capital Gain made on, for example, a property sale will be equalised at 18%. This is a reduction from the current rate of 35% for a non-resident and an increase for the resident up from 15%.

Remember the best way to deal with all this foreign law is to ask! Make friends with local people and they’ll be able to guide you through the what seems like endless paperwork…Once you’re done you’ll find yourself at the agencia de viajes in no time, ready to head out to sunny skies!

Spain is the ideal place to have a vacation home. There’s no traffic and in many parts of Spain you won’t even find the usual congestion of tourists. It’s very convenient to go around the different regions with airports in Malaga, Granada, Murcia Alicante or Jerez. The country is also connected with toll free roads. The Gibraltar airport which is shared by Britain and Spain also makes it possible for more low price carriers to bring visitors into the Western Costa del Sol and the Costa de la Luz.

Spain is not just beach country. Its inland provinces are very beautiful, peaceful and rich with history and culture. The inland areas are also cheaper, both for the tourist and the person seeking to buy property. In fact, more and more people are considering buying a rural home.

However you have to be a little careful when buying land in the rural areas. You should always do your research and take the necessary steps to protect yourself from fraud, such as consulting with a lawyer and hiring a reputable real estate agent. This is true for any place in the world, after all scam artists can be found in just about any country, but remember you are at greater risk because you are a foreigner.

Here are some situations that you can avoid by having everything coursed through a lawyer. Country land does not always benefit from a local authority denomination. The outer wall of a ruined property may be the extent of permissible building line for a “reformed” property. The title to the property may be divided as a result of the death of the Registered owner. There can be a longbacklog of inheritance taxes (and if you buy it you’re liable to pay for a maximum of five years’ worth of taxes) and the need to transfer the title into the name of surviving owners before good title can be passed.

It’s clear that popular confidence in Spain may have been a little rattled in recent months but there remain many excellent opportunities to find your place in the Sun. With a little research and advice the process can be relatively stress free and the result should deliver years of pleasure.

There is just so much to love about Spain. Travel is effortless, accommodations are always available (and you’re bound to find something in your price range), you get 300 days of sunshine a year, the people are happy, and you can enjoy some of the cleanest beaches in the world. That’s why over 50 million foreigners a year visit Spain. This is really paradise!

Spain’s climate varies from region to region. The Mediterranean coast as a whole, and the Balearic Islands, get a little more rain than Madrid and the south can be even hotter in summer. The Meseta and Ebro basin have a continental climate: scorching in summer, cold in winter and dry. Barcelona’s weather is typical of the coast, milder than in inland cities, but more humid.

Valladolid on the northern meseta and Zaragoza in the Ebro basin are even drier, with only a little more rainfall per year than Alice Springs in Australia. The Pyrenees and the Cordillera Cantabrica backing the Bay of Biscay coast bear the brunt of cold northern and northwestern airstreams, which bring moderate temperatures and heavy rainfall (three or four times as much as Madrid’s) to the northern and northwestern coasts, including cities like A Coruna. Even in high summer you never know when you might get a shower.

Madrid regularly freezes in December, January and February and temperatures climb above 30′C (86F) in July and August (locals describe it as: nueve meses de invierno y tres de infierno - nine months of winter and three of hell). The Guadalquivir basin in Andalucia is only a little wetter and positively broils in high summer. This area doesn’t get as cold as the meseta in winter.

In Andalucia there are plenty of warm, sunny days right through winter. In July and August, temperatures can get unpleasant, even unbearable, anywhere inland (unless you’re high enough in the mountains). Snowfalls in the mountains start as early as October and some snow cover lasts all year on the highest peaks.

In general you can rely on pleasant or hot temperatures just about everywhere from April to early November (plus March in the south, but minus a month at either end on the northern and northwestern coasts).

The best seasons to see Spain are May, June and September (plus April and October in the south). At these times you can rely on wonderful weather, yet avoid the extreme heat - and the main crush of Spanish and foreign tourists - of July and August. However you can always go to the northwest, to beaches or high mountains anywhere to escape the heat. Some places have decent weather virtually year round. Winter along the southern and southeastern Mediterranean coasts is mild.