Posted: Sat Feb 15, 2020 11:10pm
Hi Carole
The Brexit Withdrawal Agreement has done a reasonable job for existing legal residents in Spain, but it's a bit of a downer for ‘swallows’. Swallows being those non-residents that like to come out here in the winter for six months at a time. And for those UK citizens wishing to move here permanently after the end of transition in December 2020, if they are on modest incomes, it’s a disaster.
As Gary points out, if you just want a holiday home here then Brexit is no impediment as you can stay for up to 90 days in every 180.
I will try and respond to your various points:
“We will not be in the position to retire and live permanently in Spain for a number of years yet, but want to buy our own property, so that we can hop over for long weekends, the odd week away and let our children use it for their family holidays too.”
You will have no problem using your property for holidays - the only rule will be to ensure you don’t exceed the 90 days in every 180 period. For other family members they will have to abide by that rule themselves so no reason why your property can’t remain occupied by someone or other all the time.
1) “I have read that it is advisable now to purchase a property in Spain before December 2020 - as after that time there will be more restrictions on non EU members purchasing there”
Correct. The restrictions are as regards tax and inheritance if you buy after the Transition period ends. Consult a lawyer about this but basically whilst your property falls within U.K. inheritance law at present it won’t if you buy after 2020, also the tax rate for non- residents will be more after Transition ends.
2)If we buy a property in Spain and personally use it for less than 6 months continuously a year - i.e. long weekends / week here and there - would we have to apply for residency? If not .... would letting our children use it at different times to us make a difference / as in would it have to be a family residency or would each member of our family have to apply?”
No. Only apply for residency if you plan to spend the majority of your time here in Spain, i e 6 months + 1 or183 days. And residency is based on the individual citizen, not the family per se.
3) “If residency is obligatory .... Can anyone advise about having to prove that you can 'afford' to live there ... people have quoted different figures.... We would be purchasing with cash, so no mortgage and then fund the monthly community /utility /insurance /service charges from our UK earnings by transferring the money or is that a problem? We would be taking /asking nothing financially of Spain , but funding our lifestyle there from our UK money.”
Residency is only obligatory if you are basing yourself in Spain, spending more than 90 days in each 180 days here. If that happens - and you suggest it is s future wish - you will find that after Transition ends you will need to demonstrate to Spain that you have four times the annual income that you need to show you have now. You would also need to demonstrate that you have health care cover: anyone currently of U.K. state retirement age (in receipt of a U.K. state pension) can satisfy this and receive free Spanish health care. Others have to utilise private insurance or the Convenio Especial. This could be a more significant factor after the Transition period ends.
Good luck in your search!
Chris