In order to provide more information for the buyers who are interested in Spain Market, GoHome.com.hk has interviewed with José Ribes Bas, Owner & CEO, Rimontgó; to provide the latest investment details in Spain for the Hong Kong Buyer.
Real estate investment performance data indicate that the property market in Spain is booming. One indicator is that in the first trimester of 2013, the percentage of property sales in Spain to foreign investors represented 8.63% of the total (since 2009 this percentage has continued to increase); a proportion close to percentages before the economic crisis (in 2006 the percentage was 8.97%). Another fact that proves the rising international interest in the Spanish market is that so far this year, the figure of investment in non-residential real estate assets has already surpassed that of 2012. Leveling of current property prices in Spain provide a unique opportunity for return on investment, as economic recovery causes an upturn in prices.
For the first time investor, we would suggest an apartment in some of the finest areas in cities such as Madrid, Barcelona, Valencia or La Coruña, and high quality villas by the sea along the exquisite Costa Blanca in Alicante. For the frequent buyers, we would offer our portfolio of commercial buildings and retail stores.
There are no restrictions on foreign investment, besides the necessary legal requirements: investors must be able to provide evidence as to the origins of the funds to prove that they come from clean sources and that they are not involved in any criminal or illicit activities. As for the taxes related to purchasing a property, we can list the tax on property transfer (approx. 10% of the total purchase), property tax (per year), notary and registry taxes, and, if the owner of the property is a non-resident taxpayer, the Non-resident income tax.
The best advice we can give is that for any type of real estate transaction, it is essential to receive consultancy throughout the buying process by a company who specializes in the field. An experienced company like Rimontgó provides a range of services to interested investors including: legal consultancy and contract preparation (this means that the investor doesn’t need to use a private lawyer), a revision of both legal documents and those pertaining to the town and a full post-sale service.
This is the right time for property investment in Spain, since according to some indicators (such as the study by La Caixa, Spanish bank), housing prices will start to rise from 2015 on. This interest in the Spanish real estate market will continue to grow over the coming years. A good example is a recent study indicating that international funds have plans to invest €14,000 million in 2014, with office buildings and hotels as prime targets.
The Spanish government has recently approved a new law directly linked to property investment. Through an investment equal to or over €500.000, foreign investors as well as their spouse and children, will be able to obtain a one-year visa. With this visa, they can then apply for a renewable residence permit. The visa or residence permit in Spain allows free movement within the remaining 26 countries signed in the Schengen agreement.
One advantage of joining the Expo is that it enables us to showcase an exceptional portfolio of real estate properties intended for commercial or residential investment to a wide spectrum of potential clients. Attending a prestigious fair of this caliber allows us to actively introduce real estate assets that perfectly suit the investment needs of visitors attending the SMART Investment & International Property Expo.