Buying Guide Costa Blanca

NEW ND FO A R R B 2018 Buying Guide to Costa Blanca Spain Buying Guide Costa Blanca

Contents

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03 Welcome to the Costa Blanca 22 Why are you buying? 04 Brexit and buying in Spain 23 Buying on a Spanish urbanization – or not? 04 A snapshot of the property market 24 To buy old or new? ------WHERE & WHAT TO BUY HOW TO BUY

05 Jasmine Harman filming on the Costa Blanca 26 Buying process 05 North or South – finding bargain properties 28 Legal 06 Denia (north) 29 Purchase tax 07 Benidorm (north) 30 Mortgages 08 Javea (north) 31 Mortgage conditions 09 Moraira (north) 33 Building surveys 10 Orba and Jalon (north) 34 Transferring your money abroad 11 Orba case study 36 Ongoing cost of ownership 12 Orihuela Costa (south) ----- 13 Torrevieja (south) & case study LIVING OVERSEAS 14 Villamartin (south) 15 La Zenia (south) 39 Shipping your belongings 16 Playa Flamenca (south) 40 Healthcare 17 Playa Flamenca & case study 40 Schools & education 18 Ciudad Quesada (south) 41 Tax & residency 19 Pinoso (south) 41 Inheritance tax 20 Hidden gem: Benissa (north) 41 Wills 21 Viewing trips on the Costa Blanca 42 Retiring

WHERE TO BUY AND WHAT HOW TO BUY PROPERTY IN COSTA BLANCA LIVING IN COSTA BLANCA TYPE OF PROPERTY TO CHOOSE

aplaceinthesun.com | 2 Buying Guide Costa Blanca

Welcome to the Costa Blanca

he Costa Blanca is the single mountainous, with pine forests leading and most striking residential tower T most popular place for British down to attractive bays and beaches set block, the Intempo Tower, 47 storeys property hunters. Why do around old fishing villages. high. we love it so? Firstly, the weather is The more northerly towns, such as South of Alicante the Costa Blanca simply superb. You can expect sun Javéa and Denia are just far enough is flatter and hotter, but also more on at least 320 days each year, frost from the airport to turn off the affordable. Resorts like Torrevieja and virtually never, yet with the edge taken long-weekenders, appealing more to Orihuela Costa continue to be a hit off summer temperatures by the sea permanent residents and retirees. But with British investors. The beaches are breeze. In practical terms, it’s never while we may think of this as prime as perfect as you would imagine, but too hot or too cold for a round of golf! holiday-home territory, these are also there are also numerous affordable The Costa Blanca is an affordable busy Spanish towns with the traditional golf courses, marinas, waterparks and choice for property, enabling many way of life intact. family entertainment. of us to buy a holiday home here as When people drive up from Alicante If you want the kind of retirement well as retain a base in the UK. If you and first see the tower blocks of where you can sit outside sunny cafés want to pop down for a long weekend, Benidorm shimmering in the heat all morning, then head out to the golf Alicante airport has flights all year haze, some feel a surge of excitement course in the afternoon, maybe have even from the quietest regional airports and others just shudder. There’s a a sail or go fishing from your kayak, in the UK. reason why Benidorm has remained before joining your friends at a local There’s wide variety within its 200 so popular for 60 years – its bold club in the evening, all while looking kilometres, appealing to different and energetic local authorities keep forward to your grandchildren popping sorts of house-hunters. The Costa the quality high and the atmosphere down for half-term, then this is the Blanca North, above Alicante, is more buzzing – it now boasts Spain’s tallest coast for you. ¤

WHERE TO BUY AND WHAT HOW TO BUY PROPERTY IN COSTA BLANCA LIVING IN COSTA BLANCA TYPE OF PROPERTY TO CHOOSE

aplaceinthesun.com | 3 Buying Guide Costa Blanca

Spain & Brexit

he UK is still a fully paid-up member of T the EU so if you are planning to move to Spain permanently there is a very good argument to do so before we leave. Under international law, you will have been deemed to have acquired rights by simply being resident in Spain and it is highly likely you will retain these rights once we leave. While the host country is under no obligation to provide services such as healthcare, it is again likely the UK will reach an agreement with other EU countries for a reciprocal arrangement as it would be in the interests of the EU to look after their citizens given the 3 million EU nationals in the UK. If you’re buying a holiday home and not planning to live in Spain permanently then very little changes. Once the UK leaves the EU it would be possible for Spain to impose additional or higher taxes on British owners, for example on a house sale, because the basic right for a Brit in the Costa Blanca to enjoy the same tax treatment as a Spanish national will have been lost. What is unlikely however is that Spain would impose anything overly-draconian to deter British buyers, given we account for a substantial A Snapshot of the Property proportion of Spanish property purchases by overseas buyers. Market in Costa Blanca Watch this space. ¤

ne of few destinations Tourism levels there are hitting T that consistently offers new highs too. the complete second- A record number of passengers home package, the Costa Blanca is passed through Alicante airport in spearheading the recovery of Spain’s 2016, which was 16 per cent up on the coastal property market. The number previous year. Boasting resorts and of homes sold in Alicante, home to the property to suit all tastes, countless Costa Blanca, rose by 39 per cent in Blue Flag beaches and easy access from March 2017 compared with the same the UK, the Costa Blanca divides into period the year before, according to two distinct halves. Spain’s Office for National Statistics, The northern section tends to be making it one of Spain’s busiest more expensive than the southern provinces in terms of sales. stretch, with fewer large-scale new While British buyers are thinner on developments, but every location is the ground post the Brexit vote, they different and each section has its own remain key: during the second half of hotspots. From north to south, you’re last year, Britons accounted for more never far from the convenient AP-7 property purchases in the Valencia motorway: we outline the key buying community, which includes Alicante, areas in this guide, and what to expect than any other group of foreigners. when purchasing a property in Spain. ¤

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Jasmine Harman on the Costa Blanca

Northern or Southern asmine and what the future holds Costa Blanca? Where to J our TV crew for this popular area get a bargain have been of Spain. busy this summer with If you’re thinking of several sets of property- heading out there with With beach resorts to suit all tastes, a huge hunters seeking homes in the a mind to purchase a home, choice of affordable homes and excellent air Costa Blanca. What would they find? you might find it useful doing the links with the UK and wider Europe, the How far would their budgets go? Here same - research is so important, and Costa Blanca vies with the Costa del Sol for Jasmine picks out some highlights. remember that the various parts of the the title of Spain’s most popular second The Costa Blanca is certainly Costa Blanca differ quite dramatically, home destination. It’s especially popular in favour now with our property- both in scenery, language, ambience with Brits, including retirees, who currently hunters and it’s not hard to see why. and of course, cost. You may notice buy more property there than any other Could it be the 120 miles of gorgeous some road signs are confusingly in two foreign nation. Mediterranean coastline with 160 Blue languages, with Javea for example, also The Costa Blanca splits neatly into Flag beaches? Or maybe the 300+ known as Xabia: there are two official northern and southern parts, linked days of sunshine each year? But add to languages in the area: Castellano conveniently by the AP-7 motorway. Central that the property that is amazing value (Spanish) and Valenciano, spoken by to both is the main gateway to the region, for money and we have the answer. the Valencian community. Alicante Airport, although the north can also Two million British tourists flock However, it may come as a surprise be reached by flying to Valencia and the to the Costa Blanca each year, and to you that prices are no longer falling south by flights into Murcia-San Javier. I’m lucky enough to have spent a lot and the market has bottomed out. Here are the key places to search for of time there over the past decade so After falling 50 percent in some areas Spanish property bargains along this famous have really noticed the changes the after 2008, they have been stable for stretch of coastline. area has gone through. a while, and in some areas, are even Take the infamous resort of gradually beginning to rise again for Benidorm, which despite its reputation the first time since the market crashed for being a bit tacky and full of in 2008. high-rises, seems to be experiencing Properties are priced far more Dénia a resurgence in popularity - perhaps realistically now; gone are the days NORTH Jávea because of investment into the area but when you could knock 50 percent off Moraira also perhaps because of a certain hit the asking price. Most agents now say Altea Calpe TV sitcom! 5-10 per cent below is what constitutes SOUTH Benidorm No, the Costa Blanca never stops a good offer these days. Alicante evolving and right now it is an However, there are plenty of Benijófar Guardamar Quesada Orihuela interesting time to look at the property investment opportunities to be had in Cabo Roig Pilar de la Horadada market there. I’ve been on the ground the Costa Blanca for aspiring overseas Murcia La Manga in Spain filming looking at what’s homeowners, with property prices available, talking to agents, vendors starting as low as £55,000 in this and locals and getting the lowdown on simply stunning region of Spain. ¤

WHERE TO BUY AND WHAT HOW TO BUY PROPERTY IN COSTA BLANCA LIVING IN COSTA BLANCA TYPE OF PROPERTY TO CHOOSE

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North Costa Blanca - Denia

osta Blanca North continues of terrain, the Macizo del Montgó C to attract people from diff erent Natural Park is only 5 km away from backgrounds and provides a Dénia city centre, and these areas of perfect blend of natural and man-made high relief allow for activities such as beauty, meaning that there is something hiking and mountain biking. truly here for everyone. Situated on the marina is the ferry Whilst Dénia itself is a city with a port, which connects the city to the population of over 40,000 (although Balearic Islands to the east, including the this increases to over 200,000 in the party island of Ibiza, to which crossings summer with tourism), properties can be take around 3 ½ hours. Also nearby is obtained in vastly diff erent areas. The the La Sella golf course in addition to urban area is situated directly on the areas of historical interest such as the coastline, and as such properties here Moorish castle, meaning that you’ll never are ideal for those who are enticed by be short of things to do. the sea air and marina restaurants. In this particular city, the foreign In terms of property for sale in population is less than many other Denia, apartments set you back areas in the Costa Blanca, but there are anywhere from €70,000 to almost still 5,000 permanent EU-born expat €300,000 for comfortable properties residents. This is something which located conveniently only a stone’s should be taken into account when throw from the sea. Meanwhile, considering this area as a place to live; major roads within a journey time the rural nature of the surrounding it enjoys an advantage for many in this of approximately 1 ¼ hours. Of mountainous area may suit many way as there will be a large number of course, the geographical location also who are looking for a more secluded Brits, but not enough to infl uence the means a comfortable climate all year residence. Apartments start at around traditional Spanish culture. round, with temperatures reaching a €100,000, although these more Indeed, festivals typical of the maximum of around 30°C and not traditional dwellings range hugely and country form a major part of life here, tending to drop below a minimum of some available are valued at millions. with the annual bonfi re celebrations in 8°C even in winter. Dénia is an area The modern and expansive marina March and the Bous a lar Mar (bulls in which combines natural beauty and contains many restaurants from various the sea) fi esta attracting visitors from the bustle of the city to produce an cultures. Along the coastline, of which around the world. impressive quality of life. ¤ Dénia has 20 km, the beaches of The location is also a major benefi t Las Rotas and Las Marinas are very in that the airports of Alicante and popular, not least for the range of water Valencia, both among the 10 busiest sports on off er. As a result of the variety in Spain, are both accessible via DENIA QUICK FACTS:

Beach

NEAREST AIRPORT: NEAREST BEACH: Alicante (103km) <1km DID YOU KNOW? Dénia one of the region’s most impressive marinas as SUITABLE FOR: well as a fi shing and ferry port, off ering services Families, retirees, golfers directly to the Balearic Islands.

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North Costa Blanca - Benidorm

enidorm. Where to start? This almost certainly most famous for its B former tiny fi shing village is thriving nightlife scene. There are many sometimes referred to as the bars and nightclubs in the area, and in birthplace of package tourism, mainly particular, the resort is renowned for its due to its massive growth from the cabaret shows, not least at Benidorm 1960s onwards. Now, it is a large resort Palace in the centre of the resort. north of Alicante, with thousands of Furthermore, the large range of shops, property opportunities available for including many designer names, makes aspiring overseas homeowners. Benidorm a prime shopping location. Mainly because this is now an The famed Tapas Alley is typical of the established market area due to the range of cuisine readily available and is growth in the late 20th century, the located in Benidorm’s old town, where economic downturn has not aff ected the narrow streets and more tranquil prices here as signifi cantly as further nature allow for some respite from life in south. As a result, properties for sale the newer area. in Benidorm are generally quite high, Benidorm is served generally by with one-bedroom apartments starting Alicante airport, a drive of around 45 around the £100,000 mark. Villas, minutes, although Valencia, at around meanwhile, can start from around twice the distance, is also an option. €250,000, with more luxury options on The climate is generally favourable, off er for upwards of €500,000. with temperatures exceeding 29°C on The twin beaches of Playa de occasion in summer, although in winter Levante and Playa de Poniente are they may drop to less than 7-8°C. lined with bars and promenades, with Benidorm, in terms of an area to live, this 5km stretch of sand home to water would certainly suit some more than sports and other activities. There is also others. It is far from remote, and despite a selection of water and theme parks the real elements of Spanish culture, on the outskirts of the city; making it can feel very tourist-orientated in many an ideal location for families. Although places. The nightlife is also a danger, than others. It is far from remote, and many Brits arrive in the summer, and as as many newcomers see the facilities as despite the real elements of Spanish such the permanent population here is an invitation to enjoy one long holiday. culture, can feel very tourist-orientated two-thirds Spanish, there are still 5,000 Despite this, it is an area with plenty to in many places. Despite this, it is an Brits, which means the general culture is do, with a very exciting lifestyle on off er. area with plenty to do, with a very fairly diverse. Benidorm, in terms of an area to exciting lifestyle on off er for overseas Of course, however, Benidorm is live, would certainly suit some more property buyers. ¤

DENIA QUICK FACTS: DID YOU KNOW? Beach Benidorm was the fi rst package holiday resort in Spain. In the 1950s the NEAREST AIRPORT: NEAREST BEACH: mayor Pedro Zaragoza Alicante (58km) <1km had a vision to turn the sleepy fi shing village into a vibrant tourist town SUITABLE FOR: Couples, families, night owls, golfers, retirees

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North Costa Blanca - Javea

nce a sleepy fi shing village, - a nougat ice-cream, made from local best views in the Costa Blanca. Walking O Javea has grown into a almonds. along the coastline also reveals secluded thriving town, with a happy The area around Arenal beach is bays, long-deserted by the pirates. mix of old and new. Known as Xabia another popular area, with busy shops Javea is 84km from Alicante airport, in Valencian, the town has its own and varied bars and restaurants. which is well served by fl ights from marina and a beautiful white sandy A two-bed apartment on the seafront around the UK. Typical fl ying time is beach at Arenal Bay. This and the will cost just shy of €130,000. two and a half hours. Typical journey pebbly beach, La Grava, are Blue Flag Cap de San Antoni and Cap de La time for the drive to the town is an rated and are fl anked with restaurants Nao, the rocky headlands that shelter hour and a quarter. The town is also and bars. On a clear day, you can see the bay, are topped by lighthouses, within easy reach of Valencia with only across to the island of Ibiza. and are home to some of the stunning a slightly longer drive from there. Faced with the real threat of villas that are dotted around the cliff s. The idyllic lifestyle off ered by Javea marauding pirates, the original Hollywood couple Michael Douglas comes at a cost. The areas of Cap inhabitants of Javea built their town and Catherine Zeta Jones own Marti and Absubia are popular because a little inland from the coast. Here, property here, as does celebrity chef of their proximity to Arenal beach. narrow, winding streets weave their Nigella Lawson. A three-bed “fi nca” style villa here way towards the 14th Century church It is worth noting, however, that costs €475,000 - with similarly sized of San Bartolemé, which was fortifi ed many of the outer lying villas are used apartments are considerably cheaper at to protect against attack. Gothic as second homes, and may be quiet around €140,000. architecture is also evident in the old in the low season. The best places Exclusive villas can be found in the town’s bay windows protected by for year-round occupation tend to be Puerta Fenicia area but are not for the wrought iron railings and balconies. around the Arenal beach, in the port budget-challenged either. In the foothills Development began in earnest area or in the old town. of the Montgo Mountain you can pick in Javea in the 1970s and continues Montgo Mountain is mostly given up a three-bedroom villa surrounded by today, but is guided by planning laws over to a natural park and is frequented forests for around €400,000. which prevent high rise construction. by walkers enjoying the cooling Better bargains can be found in The port area, with its fi shing fl eet breezes. Climbing the mountain itself the towns and villages surrounding and yachts, feels very Spanish and is takes about three hours, but you can Javea. In the Jalon valley, famous for popular with local residents. stop and see the famous cave paintings its vineyards, for example, you can The landmark church, Mare de Déu along the way. buy a four-bed villa for €180,000 or a de Loreto’s roof is built to look like the Tantalising views of Javea can be 3-bedroomed townhouse for €135,000. hull of fi shing boat surging through the had from the many walking trails in the The village of Orba is also close by. ¤ waves. There are plenty of bars and surrounding cliff s. The 27km-trail linking restaurants here where you can enjoy 15 iconic viewpoints, known as the the catch of the day or sample “Jijona” Miradors of Javea, promises some of the JAVEA QUICK FACTS:

Beach

NEAREST AIRPORT: NEAREST BEACH: Alicante (98km) <1km DID YOU KNOW? On the other side of Jávea’s southern headland is SUITABLE FOR: Granadella beach, a real gem and regarded as one of Retirees and young families the Costa Blanca’s prettiest.

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North Costa Blanca - Moraira

ituated between the mountains lined with palm trees. Designer clothes the castle – and numerous small coves. S and the sea, it’s easy to see shops and the vibrant cafes and bars Just 1km along the coast, El Portet’s why Moraira is a sought- draw city slickers from Madrid, as well as sheltered bay boasts the best of the after destination for savvy property European families in the summer. town’s beaches and a pretty promenade hunters. Once a sleepy fi shing village, The Friday morning market, held lined with bars and restaurants. In the the town now draws an international in the town square, off ers an array of valley, just inland, vineyards fl ourish in crowd seeking an authentic Spanish fresh produce as well as clothes and the sheltered conditions, yielding Muscat experience. jewellery and there’s a regular fi sh grapes, perfect for the sweet dessert wine, Strict planning laws mean there are no market for the locally caught seafood. Muscatel. enormous hotel complexes blighting the Those who prefer their meals cooked Moraira is easy to reach by air with landscape – most of the properties are for them are spoilt for choice with bars fl ights from multiple UK locations, detached two-storey villas with private and restaurants to suit all budgets and taking between two-and-a-half and pools nestling in the trees along the coast, styles, ranging from tapas to Michelin- three hours to fl y to Alicante. Moraira or Spanish “pueblo-style” developments starred restaurants. is about an hour’s drive to the north. with communal pools. Moraira has four main beaches – the Alternatively, you can fl y to Valencia The town itself is a mix of narrow largest Playa la Ampolla is within walking in two hours and 15 minutes, and then cobbled alleys and wide modern avenues distance of the town, located just below drive the 150km to the town. ¤

MORAIRA QUICK FACTS: DID YOU KNOW? Beach Strict planning laws that limit building land, protect the surrounding NEAREST AIRPORT: NEAREST BEACH: pine forests and restrict Alicante (93km) <1km the height of buildings, have made Moraira one of the most unspoilt SUITABLE FOR: resorts on the Retirees and families Costa Blanca.

WHERE TO BUY AND WHAT HOW TO BUY PROPERTY IN COSTA BLANCA LIVING IN COSTA BLANCA TYPE OF PROPERTY TO CHOOSE

aplaceinthesun.com | 9 Buying Guide Costa Blanca

North Costa Blanca - Orba and Jalon

rices drop - and life gets more P tranquil and rustic - when you head into the Orba and Jalón Valleys, located 15-20 minutes inland from the resorts of the north Costa Blanca. Properties cost 10-20 per cent less than equivalents on the coast, so with a €100,000-€150,000 budget, you’ll have a great choice of townhouses, both traditional and modern, while €200,000 should comfortably bag you a three-bed detached villa with a pool and country views. In the Jalón Valley, which is known for wine-growing, areas popular with British and other foreign buyers include Jalón town, as well as Murla, Gata de Gorgos, Parcent, Alcalalí and Lliber. In the slightly warmer Orba Valley, more suited to citrus trees, British buyers favour Orba town, Tormos, Sagra, Benidoleig and Pedreguer. ¤

ORBA QUICK FACTS: DID YOU KNOW? Beach The villages of the Orba and Jalón Valleys are refreshingly un-commercialized and off er a taste of real Spain, where the traditional NEAREST AIRPORT: NEAREST BEACH: Spanish lifestyle prevails and fruit growing, Alicante (106km) 18km wine production and local markets remain integral to daily life. SUITABLE FOR: Golfers, couples, retirees and families JALON QUICK FACTS:

Beach

NEAREST AIRPORT: NEAREST BEACH: Alicante (92km) 14km

SUITABLE FOR: Golfers, families and retirees

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aplaceinthesun.com | 10 Buying Guide Costa Blanca

Orba case study

CASE Jeremy and Janet Duffield from Devizes STUDY found their perfect second home in Orba, a town just inland from the Costa Blanca.

They bought a three-bedroom, both Alicante and Valencia airports, “But our offer was accepted in Orba two-bath villa in the town of Orba, both with routes to Bristol, our most and that was it.” 20 minutes inland from the pretty convenient airport.” “Apart from photos and videos that beach resort of Dénia on the “Plus, we knew we wanted to be were sent back to my husband at the northern Costa Blanca, two years somewhere that was a working end of the day, he hadn’t physically ago. They paid €225,000 for the Spanish town, rather than a tourist seen the property we bought, so it was property, which is part of a small destination that closes down in winter. a bit nerve-racking when we urbanisation, plus buying costs of We can walk into Orba, which has a completed and got the keys in case he around 9%. lovely traditional feel, where there are didn’t like it - luckily he did!” The couple, who have two bars, restaurants and shops.” The Duffields’ property, which they children, George aged 21 and Jack, The Duffields found their villa during bought furnished includes a private 18, are looking forward to family Janet’s second trip out to the northern pool, low maintenance gardens, holidays there in the short term, but Costa Blanca, when she was traditional features, such as beamed hope to retire to Spain a few years accompanied by son George (pictured ceilings and arched windows, and, of down the line. here with girlfriend Alice) and together course, fantastic views. Good access from the UK they viewed properties. There was only one thing combined with the charm of an They ended up being spoilt for missing, which they soon put right: inland town that’s a short drive choice: “In the end I had a list of about “We decided to add a hot spa in from the beach led the Duffields to five properties, each of which I would December as we found the heated search in the northern Costa Blanca. have been happy to buy,” said Janet. pool too cold!” ¤ “We didn’t know the area at all and had originally looked at buying in Fuerteventura,” said Janet. “But when we went to the A Place in the Sun Live exhibition in London, there were very few exhibitors that covered the Canary Islands so we started to look at the Spanish stands and quickly realised that you could get a lot more for your money.” “We also realised when we were doing some more online research that the flight schedules to Fuerteventura would not allow us to visit for long weekends and were fairly restrictive. Spain, on the other hand, is really accessible with a wide choice of flights.” “Our villa is within an hour of

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South Costa Blanca - Orihuela Costa

string of adjoining beach and you’ll never struggle to meet A resorts and residential fellow expats. communities runs south Budget from €80,000 for a two- from Torrevieja, forming the Orihuela bedroom apartment a short walk from Costa. Popular areas include Punta the sea, but head a five-minute drive (or Prima, Playa Flamenca, La Zenia, longer walk) inland to pay less. Expect Cabo Roig, Villamartín, Los Dolses and to pay from €100,000 for an average Campoamor. townhouse near the beach. The busiest and most densely Pilar de la Horadada is the most developed stretch of the Costa Blanca, southerly resort in the Costa Blanca and it’s home to the region’s best value combines a quiet old town with beaches beach homes, typical urbanisations and a marina at Torre de la Horadada. of apartments, duplexes, quads and It’s a more traditional, quieter option to townhouses. Here, you’re never far the other resorts in Orihuela Costa and from amenities, beaches, the popular La prices are also competitive, with resale Zenia Boulevard shopping centre and apartments near the beach from around the lively strip. English is widely spoken €90,000. ¤

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Buying Guide Costa Blanca

South Costa Blanca - Torrevieja

riginally a salt-mining centre, is not as mountainous as many parts O Torrevieja is now a bustling of the Costa Blanca, being mostly flat city, and is one of the fastest with long sandy beaches. The Playa growing places in Spain. The city has, del Cura is perhaps Torrevieja’s most however, managed to keep its character famous beach, conveniently located CASE and is much loved by Brits, Germans, in the city centre. A large promenade, STUDY Irish and Scandinavians as well as lined with restaurants and bars, links Spanish families. It’s even earned the the north and south beaches. Stop and “We bought a home in nickname “La Playa de Madrid” – enjoy a dish of “Caldero,” a hearty Torrevieja on the Costa Madrid’s beach – as so many urbanites fish stew made from the day’s catch, or Blanca for £45,000” from the capital have fallen for “Pulpo secco,” the regional appetiser its charms. of sun-dried octopus roasted on an Salt is still an important industry open fire. Dave and Debbie Chambers from Redditch, here, and you’ll pass some of the salt Torrevieja is a cosmopolitan city Worcestershire, were looking to buy a place in lakes on the drive from the airport. which both absorbs and enjoys its expat southern Spain with a view to possibly retiring The city’s name means “Old Tower” in populations. English and Irish pubs sit there one day. Within little more than six weeks Spanish and comes from the distinctive happily beside Spanish bars, providing of screentesting at the Birmingham exhibition, landmark. Tourism and fishing are also a contrast to the Mediterranean then filming a month after, in November they important to the city’s economy – but lifestyle. English-speakers are well completed on a one-bed apartment in Quesada effective planning controls limit the size catered for as Torrevieja has two for £45,000. of high rise hotels. The busy harbour international schools and numerous “Our aim was to buy an apartment in Spain area houses the fishing fleet as well as clubs and societies specifically devoted so we could get into the lifestyle before many luxury yachts. to these residents. spending more time out there,” says Debbie, 54, Coupled with its near perfect Alicante airport is well served a print finisher. “Our four children [aged climate, recognised by the World by flights from many UK locations between 30 and 37] have all left home and we Health Organisation as being one taking between two-and-a-half and were ready for something new. With our of the healthiest in the world, and three hours to get there. Torrevieja is budget we hoped for a two-bed apartment abundance of salt, Torrevieja is home about 40 minutes drive to the south. near the beach and with a sun terrace. We to numerous spas where people can Alternatively, you can fly to Murcia in didn’t really know the Southern Costa Blanca bathe in the waters. They are said about the same time, then drive the that well - we’d visited Santa Pola and San to relieve arthritis and soothe skin 25km or take a taxi (approx €40) to MIguel - but then we’d kept seeing episdoes of disorders. your destination. Regular buses run in the TV programme with Jasmine going to The area surrounding Torrevieja and around the city. ¤ Torrevieja and we though it looked really nice. We kept watching the programmes every night after work and then we thought why not? “We bought the third property on the show - a one-bedroom place but a very large one

TORREVIEJA QUICK FACTS: and it has a long shaped sun terrace. It’s in a small complex, in a block of about 42 Beach apartments. The neighbours were all so helpful whenwe moved in. They are a mix of Spanish, British and Italians. It’s been fixed up and we are NEAREST AIRPORT: NEAREST BEACH: looking forward to spending some time there. Murcia (32km) <1km We got such a lot of useful information during filming and it’s all been amazing.” You can now buy an apartment in Torrevieja SUITABLE FOR: for as low as €58,000, with more exclusive Families, retirees and golf lovers options costing you around the €500,000 mark.

WHERE TO BUY AND WHAT HOW TO BUY PROPERTY IN COSTA BLANCA LIVING IN COSTA BLANCA TYPE OF PROPERTY TO CHOOSE

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South Costa Blanca - Villamartin

uilding work at Villamartin newer Las Ramblas de Orihuela - offer times, is still made here, with fig bread B began in 1972 and today enjoyable challenges for all levels of another speciality. the resort town has over ability. If you tire of these courses, The nearby city of Orihuela is also 1,500 flats, villas and townhouses. It’s or just want to explore further afield, drenched in history – the beautiful extremely popular among English- there are plenty more to choose from Baroque church of Santo Domingo is speaking expats. The town itself is a in the surrounding area. well worth seeing and the Arabic castle little inland from the sea and enjoys Villamartin offers a self-contained will whet your appetite for exploring. average temperatures of 20°C. experience, but you are close to the Villamartin is easy to reach from While the good weather and golf historic town of Cartagena which the UK. Flights leave from many UK are the two main draws, Villamartin is dates back to the Roman Empire if locations to Murcia-San Javier airport a flourishing cosmopolitan town. The you want to discover more about the and take about two and a half hours. quiet residential areas lead to a central area’s roots. You can still see parts A 20 minute drive brings you to the square, lined with restaurants and bars, of the walls of the Amphitheatre and town. Alicante airport is a similar flying as well as banks and shops. African other archaeological treasures as you time from the UK, but has a longer ringneck parrots roost in the palm wander around the town. “Garum”, a drive, taking approximately trees here, and have achieved celebrity fermented fish sauce used since Roman 60 minutes. ¤ status because of their bright

green plumage. VILLAMARTIN QUICK FACTS: A short drive to the coast reveals beautiful sandy beaches. La Zenia, the Beach closest beach to the town is just 5km away, and is also home to the biggest outdoor shopping mall in the Alicante NEAREST AIRPORT: NEAREST BEACH: province. Orange, lemon and almond Murcia (25km) 10km trees also thrive in the climate here and beautiful groves punctuate much of the local landscape. SUITABLE FOR: The two championship golf courses Retirees and golf lovers – Club de Golf Villamartin and the

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aplaceinthesun.com | 14 We are independent Real Estate Agents specialising in property sales in and around the Villamartin area on the southern Costa Blanca.

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Off-plan New Builds Villamartin Plaza Office

Please do not hesitate to contact us Tel: (0034) 966 76 41 14 for more information or to arrange an Mobile: (0034) 603 10 76 96 appointment to view our properties. Email: [email protected] All we ask is for the opportunity to discuss your requirements & help you to find your dream home in the sun…

Office: Avenida de las Brisas, Urb Villagolf Commercial 27.2, Villamartin Plaza (behind BBVA), 03189, Orihuela Costa Buying Guide Costa Blanca

South Costa Blanca - La Zenia

lively hub of the popular A Orihuela Costa area of the southern Costa Blanca, La Zenia is if great if you like a small, easy going and Anglo-friendly tourist resort with everything on tap. It’s become especially well known since La Zenia Boulevard shopping mall opened in 2012. La Zenia is part of a string of connecting resorts and residential communities that run south from Torrevieja that include Punta Prima, Playa Flamenca, Villamartín Cabo Roig and Campoamor. Remarkably small and covering little more than a single square kilometre, La Zenia itself is within 40 minutes of Alicante airport and 20 minutes from Murcia San Javier airport, both well supplied with fl ights from the UK. Road access to La Zenia is good with the AP-7 autoroute (toll motorway) coming down from Alicante airport and going south to San Javier airport. Property is aff ordable there too. You can get two-bed apartments from around Elsewhere, La Zenia off ers beaches - with a small taste of Spanish culture” €80,000, or two-bed townhouses for Cala Bosque and Cala Cerrada are the so alongside Sky Sports bars and full €100,000, or semi-detached properties most popular - the famous Paddy’s Point English breakfasts can fi nd the local Jalon from around €150,000. bar, one of the best-known bars along valley wine and good tapas. There are concerts and fountains the Costa Blanca (for breakfast, lunch, Like its neighbouring resorts, this suits amongst its squares - on hot days these dinner, live music), three golf courses those who seek an easy, aff ordable Anglo- are great for children to play in - and within easy reach. friendly life in the sun - but especially if the centre is open until 1am in the One tourism website describes the you love shopping then La Zenia might summer months. resort as “a very English resort mixed be the place for you. ¤

LA ZENIA LA QUICK FACTS: DID YOU KNOW? Beach The Orihuela Costa has four golf courses all within 10-15 minutes, namely at Las Colinas, Campoamor, Las Ramblas and Villamartín. NEAREST AIRPORT: NEAREST BEACH: Murcia (24km) <1km

SUITABLE FOR: Families, retirees and golf lovers

WHERE TO BUY AND WHAT HOW TO BUY PROPERTY IN COSTA BLANCA LIVING IN COSTA BLANCA TYPE OF PROPERTY TO CHOOSE

aplaceinthesun.com | 15 PROPERTIES IN SPAIN PROPERTICESO INS TSPAA IBNLANCA & COSTA CÁLIDA COSTA BLANCA & COSTA CÁLIDA

MORE INFO: 07 87M4O 4R0E6 9IN17FO: 07 874 406 917 www.keysol.es - ewmwailw: [email protected] s- oel.mesail: [email protected]

Our Properties Inspection Trips

Our Properties Inspection Trips

Our Group has been selling new build properties since Is it time to make that move to a more relaxed pace of 1989, we have always prided ourselves as a company life…If so why not think about that lifelong dream of who chooses its product with care and this has made owning your own piece of tranquility and life style in us experts in the new property market always putting beautiful surroundings of south east Spain. If this our clients first is the key to our success. sounds like the life change for you why not try one of Keysol’s professional guided trips we will look after New property offers the best of the market as in 10 you, we listen to your every need, first about the loca- year building guarantee, latest sound and thermal tion and once we have that we will proceed to find insulation and ventilation, new technologies that are your ideal home in the sun. For the small fee of £99 giving your investment the maximum security, and all per person, we offer you flights, our own Hotel and a with official bank guarantees. professional guide for 3 days. Our Group has been selling new build properties since Is it time to make that move to a more relaxed pace of 1989, we have always prided ourselves as a company life…If so why not think about that lifelong dream of who chooses its product with care and this has made owning your own piece of tranquility and life style in +34 96 670 3030 (Spain) Keysol Property S.L. us experts in the new07 p 8r7o4p 4e0rt6y 9 m17a (rUkKe) t always puttAivndga. Gregorio Marbañeoanu 7t0iful surroundings of south east Spain. If this our clients first is the+3 k4e 9y6 t 5o7 o1 u79r 0s9u (cFcaxe)ss. 03185 Torrevieja, Asloicuantde s- Elsikpeañ tahe life change for you why not try one of Keysol’s professional guided trips we will look after New property offers the best of the market as in 10 you, we listen to your every need, first about the loca- year building guarantee, latest sound and thermal tion and once we have that we will proceed to find insulation and ventilation, new technologies that are your ideal home in the sun. For the small fee of £99 giving your investment the maximum security, and all per person, we offer you flights, our own Hotel and a with official bank guarantees. professional guide for 3 days.

+34 96 670 3030 (Spain) Keysol Property S.L. 07 874 406 917 (UK) Avda. Gregorio Marañon 70 +34 96 571 7909 (Fax) 03185 Torrevieja, Alicante - España Buying Guide Costa Blanca

South Costa Blanca - Playa Flamenca

small beach resort just south to freshly cooked paellas and tortillas. A of Punta Prima and north Why else should you go there? It’s of La Zenia on the southern well-situated for many other attractions Orihuela Costa Blanca, Playa Flamenca nearby and itself sits 25 minutes from is a popular spot with British visitors and Murcia San Javier airport and 45 home hunters. minutes from Alicante airport. It’s got Created in 1972 by a group of pretty much everything you need - bars, Flemish investors, the resort sits on a shops and restaurants at the Flamenca piece of coast with fi ne sandy Beach commercial centre and Via Park Blue Flag beaches, rocky coves, cliff s plus the CDM Orihuela Costa municipal and great views. It’s now a bustling sports centre. resort with a very popular market on Sportier types will also like the fact it’s a Saturday where you can pick up a starting point on the Orihuela Costa everything from clothes and shoes coastal walking route as well as having a FLAMENCA PLAYA QUICK FACTS:

Beach

DID YOU KNOW? NEAREST AIRPORT: NEAREST BEACH: Playa Flamenca is located near the lakes of La Mata Murcia (26km) <1km and Torrevieja where you can enjoy a mud bath, recommended by doctors around the world for its curative properties for a large number of rheumatic, SUITABLE FOR: dermatological, heart and respiratory complaints. Families, golfers, couples, sport enthusiasts

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aplaceinthesun.com | 16 Buying Guide Costa Blanca

South Costa Blanca - Playa Flamenca ...continued

CASE STUDY

“We bought in Playa Flamenca, range of horseriding, three golf courses despite Brexit” and water sports for which you can hire equipment along the beach. A day trip by boat to Tabarca island or just a fishing The UK’s vote for Brexit didn’t deter Duncan and Mary McLelland from trip is popular. buying in Spain in the slightest – they owned a holiday home outside the For a livelier scene, Playa Flamenca European Union for more than a decade and never had a problem. has quite a big selection of Irish bars, The McLellands, in their early sixties and from Ayrshire, south-west music bars and sports bars. English-run Scotland, completed on their Costa Blanca holiday apartment in October Legends bar in the commercial centre 2016. They had decided to buy in Spain a month before the EU Referendum is one of some local fame, but you can in June and found their property during a trip out there in August. also find tribute acts, poker nights, quiz “The UK’s vote to leave the EU made no difference to our decision to buy evenings and of course good old English in Spain,” said Duncan, who is retired but works part-time for Citizens fare. Advice. “We loved visiting our apartment in Fethiye in Turkey and never had For real party hounds, the nightclubs any issues with the country being outside the EU.” of Torrevieja are only 10 minutes drive The couple didn’t plan to buy abroad again but but Mary, who retires away. Likewise, in the unlikely event next May, is especially keen on Spain and a conversation with a friend that shopaholics get bored of nearby prompted them to look at the Costa Blanca. La Zenia Boulevard (with 150 shops), “We’d been on holiday to Torrevieja and that part of the Costa Blanca a there’s the Habanaras shopping centre number of times,” continued Duncan. “We did some research on the there too. But it’s also a family-friendly internet, saw how much you could get for your money there these days place with aquaparks, go-carting and and booked our viewing a trip with local estate agency HomeEspaña.” playgrounds. Out of the properties the couple saw with the agent, one ticked all the What can you buy there? One of the boxes and before flying home, they’d had their offer of €76,000 (excluding large and popular developments in Playa fees and taxes) accepted on a two-bedroom apartment in the Las Mimosas Flamenca is the La Florida urbanisation, area of Playa Flamenca. towards Punta Prima. There and around The McLellands’ ground-floor property comes with access to a you can get a good choice of townhouses communal pool and gardens, making it ideal for when the couple’s three or small semi-detached villas for around children and grandchildren visit. €100,000-€150,000, or a larger villa for “It’s a short drive from the seafront and we were impressed by the around €220,000. Apartments kick off at immediate local area, with supermarkets close by, as well as its proximity to around €65,000. the impressive La Zenia Boulevard mall. We don’t plan to move to Spain, but If you love the beach and also a good I can see us spending six-week stints out there when Mary has retired.” choice of bars then Playa Flamenca Unfazed by Brexit, the McLellands did see the value of sterling fall during is hard to beat amongst the smaller their Spanish purchase. “But we’ve bought for lifestyle reasons and in 10 Orihuela Costa resorts, and it’s at the years’ time that currency fluctuation will be insignificant.” heart of everything. ¤

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aplaceinthesun.com | 17 Buying Guide Costa Blanca

South Costa Blanca - Ciudad Quesada

ituated in the south part of modern and spacious living area. and Guadamar del Segura are only a S the Costa Blanca less than 50 Whilst Ciudad Quesada itself is 15 minutes drive away, whilst Ciudad km from Alicante, Ciudad mainly residential, it still contains many Quesada itself is surrounded by orange Quesada is ideally located only 6 km Spanish and international restaurants. groves and other natural beauty. from the Mediterranean Sea whilst This picture of diversity mirrors that of The cuisine is in keeping with the relatively near to cities such as Murcia, the residents – with more than half of cultural diff erences, and in particular the Alicante and Valencia, which is slightly the population born outside of Spain, history of this part of Spain. The Costa further to the north. something which may prove ideal for Blanca has historically been inhabited Befi tting its innate identity as those who are uncomfortable with the by many diff erent civilisations, and as a a modern and planned urban idea of learning Spanish. The town also result, the gastronomy takes inspiration development, Ciudad Quesada boasts a contains its own water park, in addition from many sources. range of stylish properties. In terms of to the La Marquesa golf course. The climate in the region is also property for sale in Ciudad Quesada, In terms of the scenery, Ciudad delightful, with temperatures exceeding villas with three bedrooms start at around Quesada lays claim to similar variation. 25°C in the summer months, whilst €100,000, although larger and more To the west, the mountains tower tempered by sea breezes, and not tending exclusive properties can be obtained for over the city; to the south, the salt to drop below 10°C even in winter. This, upwards of €1,000,000. Apartments and lakes of Torrevieja are within 5 km; in particular, is a far cry from the deep bungalows can be found ranging from Torrevieja is also home to many forms midwinters of Britain! €50,000 for two bedrooms to upwards of entertainment to suit people of all Ciudad Quesada can be accessed of €200,000, which buys you an ultra- ages. Meanwhile, beaches at Santa Pola via both Alicante and Murcia airports, which are both within 50km, or 30 minutes. Alicante, in particular, receives fl ights from many UK airports, and the presence of many major roads in the region means that the surrounding area can be accessed with ease. Ciudad Quesada off ers a diverse and comfortable proposition for people who want to experience the authentic Spanish way of life whilst still retaining links to home. It is also very much aff ordable and value for money. ¤ QUESADA CIUDAD QUICK FACTS:

Beach

NEAREST AIRPORT: NEAREST BEACH: DID YOU KNOW? Murcia (45km) 6km The neighbouring villages of Benijófar and Rojales off er a more traditional, less developed location but are still close to the expat scene at Quesada. Algorfa SUITABLE FOR: is another option, fi ve minutes further inland and Families, retirees and golf lovers near the La Finca Golf Club.

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aplaceinthesun.com | 18

Buying Guide Costa Blanca

South Costa Blanca - Pinoso

et a bit inland from the coloured wines typical of the area. The Try the local speciality “adria,” a rice S coast, Pinoso is perfect for Bodega Co-operative of Pinoso can store dish similar to paella often cooked those seeking a more rural 14,000,000 litres of wine so you should with rabbit. community life. The surrounding be able to sample some! The town’s population is just over mountains shelter the town and the Pinoso takes its name from the pine 7,000 but is expanding rapidly as expats fertile valleys are peppered with trees that cover the mountains – as discover there’s more to the Costa vineyards growing Mourvedre grapes. “pinos” is the Spanish for pine. Olive Blanca than beach resorts. There are These are black-skinned and high in and almond groves also fl ourish in the many walking and cycling trails through tannins and produce the deep red climate here, along with citrus trees. the mountains and national parks, with great opportunities to take in the stunning views. Photographers will relish the opportunity to capture many of the unique sights and abundant wildlife. It’s about an hour’s drive from Pinoso to the beach, so you can have the best of both worlds. Torrevieja and Alicante both have great amenities, or you can cross the border into Murcia and explore the Mar Menor with its famous La Manga strip. Pinoso has plenty of shops for your every day needs, but if you crave a major shopping expedition, head south to Murcia for the Nueva Condomina Shopping Mall – they even have Primark and IKEA. Being equidistant from Alicante and Murcia airports Pinoso is easily accessible from the UK with numerous fl ights from multiple locations to both. Flight time is approximately two and a half hours, followed by an hour’s drive to your destination. ¤ PINOSO QUICK FACTS:

Beach

NEAREST AIRPORT: NEAREST BEACH: Alicante (61km) 50km DID YOU KNOW? The countryside surrounding Pinoso is a mix of vineyards, olive and almond groves, and pine forests SUITABLE FOR: (whence the town gets its name), but it is especially Retirees and golf lovers famous for the production of marble.

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aplaceinthesun.com | 19 Buying Guide Costa Blanca

Hidden Gem: Benissa

s one of the smallest and A historic towns on the Costa Blanca, Benissa (in the province of Alicante) is becoming somewhere of a property hotspot amongst overseas buyers looking for their dose of authentic Spanish culture. Perhaps it’s Benissa’s intriguing cliff tops, 4km stretch of sandy beaches and tiny bays which continues to attract more buyers every year, or the properties, or both? Apartments in the town can start as low as £70,000, although realistically you’ll need around £120,000 to take your pick of multiple properties. Part with over four million and you’ll be able to grab yourself a luxury mansion or villa. According to the Spanish Statistical and there is also a frequent bus service which dominates the town square, is a Offi ce (or the Insituto Nacional de which can get you to Valencia for must see! Estadistica), Benissa has just over 11,000 around 15 euros. For the golf lovers out there, you’ll be inhabitants, but these aren’t all Spanish The climate is warm in Benissa, able to enjoy a round at the San Jaime residents. The town has recently been and rain falls mostly in the winter Golf Club resort which is located on the dubbed as “Little Europe” due to time, with minimal rain during the hillside not too far from the town centre. its mix of nationalities – perfect for summer months. Throughout the Benissa is also popular with scuba divers those looking to broaden their cultural year the average annual temperature too, who can enjoy a variety of marine knowledge and understanding. is a pleasant 17°C, making it ideal for life and explore the caves too. The town may be one of the oldest retirees and families. Oh and for you Brits out there, on the Costa Blanca, but it has the Whether you’re buying a holiday conveniently there’s an Iceland transport links of any other modern home or living in Benissa full time, supermarket in Benissa in Avenida town. You can get there easy from there’s plenty to see, eat and drink in de Europa, so you’re never too far either Alicante or Valencia airports town to keep you fully occupied. It’s from home! ¤ through the highway A-7 or the N332. narrow streets, churches and ironwork Benissa has its own tram station which is balconies represent the town’s medieval connected to the network via Benidorm, past, and the Cathedral of Marina Alta, PINOSO QUICK FACTS:

Beach

NEAREST AIRPORT: NEAREST BEACH: Alicante (85km) 11km DID YOU KNOW?

SUITABLE FOR: Although Benissa’s church looks Gothic, it was Families, couples, retirees actually built in the 20th century.

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aplaceinthesun.com | 20 Buying Guide Costa Blanca

Viewing trips on the Costa Blanca

onsider going on a viewing to offer and benefit from their local C trip offered by an agent or knowledge. developer but make sure Don’t feel pressurized into buying “I went out on a viewing you know what to expect and that anything there and then – you need time trip to the Costa Blanca you understand what’s involved. to reflect away from the sun and sangria! and bought two If your trip is being organised and On any type of viewing trip it is handy possibly subsidized by an agent it’s not to take records of each property so you properties” unreasonable to expect them only to can look back and compare with all the CASE show you properties on their books. information (and pictures) you need. STUDY If you prefer to do your own thing It can be useful to use a wishlist of tick and see a wider range of properties boxes, to rate properties 1-10, or list their then arrange your own trip and book in pros and cons, after seeing each one, so for a half day with agents representing you don’t confuse them. Make a note properties you have found on property of things you want to follow-up with the websites and see what else they have agent on each. ¤

Mandy Maitland owns a seafood restaurant in Whitehills, Aberdeenshire. In February 2016 Mandy flew to Alicante on a trip and bought two new properties through Sequre International near Torre de la Horadada. “I was browsing online after watching A Place in the Sun and spotted some inspection trips advertised. I like Spain as it’s so easy to get to - I can fly from Prestwick or Edinburgh and in February flights start from Aberdeen for £19. For me it was the location rather than the property type. I’ve bought a three-bedroom, two-bath apartment for €154,000 and another villa so will probably rent one out. I wanted somewhere quiet and peaceful where I can walk to the beach and town, and the price was great for the location. I haven’t driven yet, I’m a bit nervous, so it’s important I can walk everywhere. I like the fact that there’s lots of proper Spanish restaurants around, I don’t want to be just in a British area, and my neighbours are Swedish, it’s great here.”

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aplaceinthesun.com | 21 85 ince 19 hed s Establis

No one buys property online View Spanish property the right way on a one-to-one inclusive 3-4 day viewing tour! Only What will be included in your tour: £99 You will normally see 8-10 different properties PER PERSON each day; all 100% legal and within your preferred budget range. Return flightsfrom most UK airports on dates that suit you best. 3-4* hotel accommodation with en-suite services and breakfast included. Light lunch, refreshments breaks and evening dinner in different restaurants so you get the feel for the social life on offer. Informative tours of surrounding areas and facilities by one of our locally based experts. Opportunity to meet with independent English speaking Solicitors and mortgage advisers. All for just £99 per person! We’ve helped over 10,000 people find their dream home in Spain WHY WAIT? CLICK HERE TO LEARN MORE

E: [email protected] T: 01202 971614 M: 07968 421312 Visit us at www.spanishlegalhomes.com Buying Guide Costa Blanca

A key question to ask: WHY you are buying?

s with buying anywhere be within walking distance of cafes and A abroad, you must ask yourself restaurants because many people don’t WHY you are buying and want to be reliant on a car abroad. from this lots of other questions will If you are relocating full-time with a follow. Do you want somewhere family then schooling options will need for regular holidays or do you want to be investigated early on (and places somewhere as an investment to pass applied for months in advance), whilst on to the kids or do you seek a genuine retirees will need to check on medical second or semi-permanent home? facilities and pharmacies. Maybe you will need to cover your costs On the other hand if you are banking by renting it out too? on renting out your property you will Further choices include do you need to consider the ideal size and type choose Rural or urban? New or old? of property, the sort of features that Standalone home in tranquil privacy or rentals might expect (outside space, use on an urbanization? Amongst expats or of a pool?) as well as popular locations. mainly locals? You should create a brief that sets Other key considerations include out your list of requirements, from how far you want to be from an airport, number of bedrooms, type of property beaches and key amenities such as to the features you wish to have. The supermarkets and a local restaurant. At following pages outline some key areas least half of buyers we interview want to to consider ¤

Consider the practicalities of owning a home abroad and how much time and money you are prepared to spend on your property. Upkeep costs are a key consideration, especially if you are on a development with shared amenities, for which you will pay monthly service charges!

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aplaceinthesun.com | 22 Buying Guide Costa Blanca

Buying on an urbanization – or not?

uying on an urbanization You need also need to consider the urbanization, you or your lawyer should B in Spain (also referred to as other issues that might cost you money, contact the community to determine community or residential due to either a possible reduction in the the level of service charge over the past development), like anything, brings both value of your property, or an increase three years. Are there any projects being advantages and disadvantages. in those service charges that you have contemplated by the community that Whilst community life can provide budgeted for. are likely to incur a high cost, such as security, a sense of community, shared The relationships between replacing the swimming pool or repairing amenities and lack of upkeep hassles – the current property owners are balconies throughout the development? at financial cost, of course; conversely, fundamental, as are the dynamics Also, do the vendors of your property if managed badly, it can bring greater between the property owners and owe any service charges? If they do, financial headaches, stress and the people who are responsible for ensure that any outstanding service neighbourly tensions. running the development. Owners charge will be paid upon completion Whilst properties on urbanisations on a development are subject to a (either by the sellers paying that can appeal to holiday rentals for their regular service charge, managed by amount to the community or by you facilities such as communal pools a community of property owners, the retaining an equal amount from the you need to determine whether a executive committee who will have purchase monies). community permits short-term rentals annual meetings to discuss budgets and The key to finding the right (or those less than three months long, community rules. It is very important property in Spain is to recognise that for example) and what the affect will be that you attend these meetings if the property market and land law on the ambience of the development. you want to have any say in how the are markedly different from the UK. Will a daily turnover of residents be community is to be run. Indeed, whilst the vast majority of noisy and disruptive? Management and upkeep costs needs properties in Spain are safe buys we all Apart from bigger issues such as to be covered by all of the owners in the know there have been a fair few that ascertaining whether a motorway is development. If a high proportion of been liabilities. being built close to the development, the owners are not making payment of So, to buy safely in Spain, far more how well-located it is for those their service charge, then those funds research is needed than in Britain. prospective rentals (is it in the middle of will need to be raised from the others. Equally, you should always use a good, nowhere? On a bus route?) you need to The problem of unpaid fees can be independent lawyer and specialist determine what service charges you will witnessed in developments across Spain (English speaking), building surveyor be liable for every month or year. What since the global downturn – as it can be to investigate every aspect of your is included in this – home insurance or on condo developments in the USA. proposed new home, before paying just communal areas cover? So when considering buying on anything for it.¤

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To buy old or new?

uying a “tried and tested” resale property you can see how the B property works from a layout and position of the sun point of view. You might well get something that has been built in a great position that would not be available now. Equally, if a vendor is desperate You probably have a pretty to sell their home, you might get one at a great price compared to a new good idea whether you seek property of the same spec. But all said, there are several defi nite advantages of buying new if you a charming old property or a can aff ord it: brand-new one, but whether You can choose your fi ttings from a selection of options to make you buy one that is ten your holiday home bespoke. Sometimes you can tweak the layout too, not just tiles and fi xtures. years old rather than straight from the builder raises a few Better build quality. Improved building controls mean that new homes need to meet certain standards. They have to be well insulated, for sound interesting issues. as well as heating, more eco-friendly and comply with regulations for earthquake resistance.

Modern layouts. The style will be contemporary with spacious living areas and outdoor terraces. On the minus side, the pay off for larger living areas does mean slightly smaller bedrooms.

Cherry-pick the best location. If you’re hoping to make a return on your investment, choosing the best plot, with the best view, is always going to appeal to renters and also buyers when you want to resell.

Less upkeep hassle and costs. Everything is new, you won’t need to budget for repairs – yet!

Aftersales care. Buying when building work is ongoing means you’ll have the developers team will still be onsite. Any niggles or fl aws in the property will be fi xed easily.

Ten-year warranty. New-builds come with certain guarantees so problems can be quickly solved. ¤

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aplaceinthesun.com | 24 Buying Guide Costa Blanca

How to buy a property in Spain

----- HOW TO BUY

26 Buying process

26 Legal

28 Purchase tax

29 Mortgages

30 Mortgage Conditions

32 Building surveys

26 33 Transferring your money abroad

35 Ongoing cost of ownership

----- 29

35

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The purchase process explained

nce you have found your that planning consents are in order. taxes. The Escritura is then presented O property, the purchase process Once both parties sign the main by the Notary to the Land Registry for begins with a reservation contract, it is binding. The arras registration and the property is passed to agreement. This is a contract that contract or full private contract will the new owner. Final registation of the freezes the purchase price and takes usually require a 10 to 20 per cent title deed can take several months. property off the market for, usually, deposit to be paid. The buyer is then With a new-build property, obviously 30 days on payment of a fee between committed to pay the balance of the completion can take a lot longer, and €3,000 and €12,000. The deposit is price, and the seller (once the money the payments are split over stages of the usually held by your lawyer or your has been paid) must transfer ownership build process, and the developer should agent in a client or escrow account. to the buyer.If the seller pulls out of the provide bank guarantees against each Within 10 days of signing the transaction he must return double the payment. This protects your payments reservation agreement, the full private amount of the deposit received by way in the event the developer fails to purchase contract (contrato de arras) of compensation. If the buyer pulls out complete the property or goes bust. is signed between the buyer and the he will lose the deposit paid. Finally, make sure that you have seller. This is similar to exchanging The property sale is formally insurance for your property, ensure contracts in the UK buying process. completed when the title deed (“Escritura all service contracts are in your name Within this time your lawyer should de Compraventa”) is signed before a (telephone, water, electrics etc.) complete all the searches on the public official called a Public Notary, or and register your ownership of the property - confirming that the seller Notario. This will happen at their office property with your local Town Hall own the property being sold, there are and be accompanied by the agreed final (Ayuntamiento) – all of which your no mortgages or charges and payment and all the relevant purchase lawyer or agent can help you do

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The purchase process explained... cont

Who does what in the the UK, they represent the seller. agent? They should be proactive, know purchase process? You need your own representation the local market thoroughly and be You can purchase Spanish property in the form of an independent lawyer prepared to spend extra time with you very quickly, if you are a cash buyer and that you choose. offering all sorts of general advice and you have an NIE number. Certainly, Needless to say there are many assistance. Anyone who takes ages to get it is not unknown for the Spanish (in estate agents operating in Spain, of all back to you on your first inquiry does particular) to see a property and be nationalities, with British agents or agents not bode well for the search ahead. the owner (with full access) later on the with English language ability common in Estate agency commissions vary following day. most coastal areas. So, finding an agent widely across Spain but tend to be high However, this is not the way to with whom you can communicate is as the agent does do a lot more for proceed for any foreign buyer and you rarely a problem. But finding a good one the overseas buyer than a typical UK should never rush to buy – or be rushed. is key to your success. agent, and each company will have Rather, you must always allow your Throughout many areas of Spain their own structure in place. lawyer and building surveyor ample registration of an agent is not compulsory Occasionally, you, as the buyer, time to do their proper investigations. and, even in the areas in which it is may be asked to pay a fee to the agent Indeed, never lose sight of the fact obligatory, the industry is considered who shows you a property and this is that it is far better to miss out on an unreliable. Does the agent belong to a normally a percentage of the sale price amazing bargain than buy a defective professional association such as the AIPP (for example 3%) and is sometimes property you’ll always live to regret. (aipp.org)? Don’t take anything that called a ‘buyer’s premium’. As such agents tell you at face value. Equally, ‘premiums’ can be a lot of money, you Estate agents under no circumstances should you should always carefully look at any A good estate agent will help you in ever sign any document from an agent contract between yourself and an estate your search for a property but it is without your lawyer present. agent (and get it specifically approved important to remember that just like in So what should you expect of your by your lawyer before signing it). ¤

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Legal

Independent legal advice What your lawyer If you are seriously considering buying should do a property in Spain it is never too First of all you need to agree your early to start looking for a lawyer to lawyer’s fees, typically around 1% of represent your interests throughout the the purchase price, and understand the transaction, even before you have found associated costs with buying property the ideal property. If you have a lawyer in Spain (see page 36). Once you have in place – and of course the funds to commissioned the lawyer to act on your buy or an agreement in principle for behalf they will advise what to do next, a mortgage then an estate agent will but the issues they will look into include: consider you a serious buyer which If required, your lawyer will usually be may also help you when negotiating • Check the property is registered at able to help you in other areas such as the fi nal price. When you do have an the Land Registry and obtain a copy arrange a survey or valuation, open off er accepted you certainly require of the land search or ‘nota simple’ a local bank account, obtain an NIE an independent lawyer in place just • Ensure the property has a license number (a foreigner’s identifi cation as you would when buying a property of fi rst occupation, this confi rms number), assist with setting up a Spanish in the UK and should never sign the property has been built as per will and power of attorney. any documentation before having it the planning permission, and check examined by your legal professional. that the boundaries are clearly Finding the right lawyer While an estate agent in Spain identifi ed When looking for a lawyer you should will do a lot more for you than the • Check the property is registered check they are fl uent in English, a equivalent in the UK and can be a for local rates known as specialist in conveyancing, independent valuable source of local information, ‘impuesto do bienes inmuebles’ of the seller/ developer and your estate ultimately they represent the seller and • Ask to see recent utility bills and agent and fully insured to a public the seller’s interests. It is not unusual check what individual meters are liability premium well above the value for an estate agent to recommend a in place eg water and electric of your purchase. lawyer they know, this lawyer may be • Assess the taxable value of the Always insist that any advice from particularly expert in the local area or property, the level at which the your lawyer is put in writing, this have previously acted for buyers on a tax authorities will accept for concentrates the mind of any lawyer development you’re interested in and transfer taxes and helps to ensure a high standard of so be considered a good option for you. • Ensure there are no outstanding professionalism. However it is advisable to source an charges or mortgage against the There are several Spanish legal independent lawyer who you feel will property or that any in place will be specialists advertising their services at protect your interests. satisfi ed by the sale aplaceinthesun.com/advice/lawyers. ¤

Furthermore, always insist that all advice from your lawyer is put in writing, something that many Spanish lawyers are reluctant to do. This concentrates the mind of any lawyer and helps to ensure a higher standard of professionalism.

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Purchase taxes

What are the costs of gains tax is set at a rate considerably buying a property in higher than purchase tax, a buyer Spain? who pays part of the price in cash is Spain’s autonomous regions It’s typically 11 to 14 per cent for the increasing his future capital gain and so purchase or closing costs, depending is increasing the capital gains tax that on the region of Spain, and the type will be paid upon sale of the property. of property. If you have a Spanish It is a “lose lose” scenario for the buyer 9 3 4 16 mortgage you need to add an additional and so highly inadvisable. 15 cost of 2 to 4 per cent. There will also 12 2 7 be costs for obtaining an NIE number Paying purchase tax on a 5 and connecting utilities. low property value 13 But the ballpark above includes Before the crash in Spanish property 6 17 Transfer tax (ITP), equivalent to prices in 2008 the market price of 8 10 stamp duty, calculated on the property property was inflated far beyond what purchase price and between 6.5 and 10 the Spanish tax authorities expected the 14 per cent, depending on the region. value of property to be. Throughout 1 It also includes the Notario’s fee of that time, in addition to the market price around 0.5 per cent of the purchase of property there was an official value price, and tends to range from €300 and established by the Spanish tax authorities €1200. Land Registry fees in Spain tend and purchase tax had to be paid based 11 to be between €400 and €600 – or 0.4 on the minimum official value at the per cent of the purchase price. very least, in order for a purchaser to be 1. Andalusia 10. Islas Baleares Legal fees are usually a percentage of certain that penalties were not imposed. 2. Aragón 11. Islas Canarias the purchase price – generally 1 per cent Subsequent to the crash and the 3. Asturias 12. La Rioja plus VAT– but with a minimum fee. drastic drop in market values, the 4. Cantabria 13. Madrid Typically this might be €1,000 to €2,000. official value of property was, and still 5. Castilla y León 14. Murcia VAT on new-build properties in is, often higher than the market value. 6. Castilla-La Mancha 15. Navarra Spain is 10 per cent and stamp duty Hence, it is essential to make certain 7. Cataluña 16. País Vasco on new-build is 1.5 per cent of the that whatever the purchase price, one is 8. Extremadura 17. Comunidad Valenciana purchase price. paying purchase tax on no less than the 9. Galicia lowest current official value established Purchase tax issues when by the Spanish tax authorities. Failure buying in Spain - beware to do so may result in the tax authorities The Spanish nation has devolved some of its power Under-declaring the reassessing the value of your purchase to its 17 autonomous communities, who exercise purchase price and issuing a demand for tax payable their right to self-government within the limits of the Capital gains tax is payable by the based on an inflated value, sometimes 1978 constitution. Over the last thirty years, the seller on the difference between the greater than the lowest official value. funding system of Spanish regional government has acquisition value and the selling price of The appeal system is long-winded and evolved to one based on shared taxes, but with an a property. If a seller wants to reduce can be expensive, so taking steps to increasing degree of tax autonomy. Until recently, the capital gains tax payable he may avoid it is certainly the best policy. regional governments made little use of their tax insist upon a part of the price being paid Finally, do not think that Spanish freedoms, but the economic crash of 2008, led to a in cash. This is unlawful, because it is transfer tax, whether upon a sale, a gift, huge increase in regional tax changes, and there are tax evasion. If the buyer agrees to make or inheritance of a Spanish asset, can be now regional variations in tax rates, reliefs and a cash payment he is assisting with that avoided by transferring ownership of the allowances. Apart from the differences in ITP tax tax evasion. Further, by declaring to asset into a limited company, whether a mentioned above, there are considerable differences the Spanish tax authorities that he is Spanish company, an English registered in wealth tax - very expensive additional layer of paying a reduced amount the buyer company, or a company registered annual taxation for property owners - so consult is paying less purchase tax and so is anywhere else in the world. This is your financial advisor on this. evading tax himself. Given that capital fraudulent as a form of tax evasion. ¤

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Getting your finance in place: mortgages

ou need to know exactly how offer the same conditions to clients, broadly-speaking you can potentially Y much you can afford to spend even if they have similar profiles. The borrow 60-70% of the land and and how you will finance your mortgage market in Spain is quite construction costs combined. property. Many agents recommend traditional in the sense that having the you have your finance in place before right contacts is crucial if you want to Commercial - If you are buying a you go and view properties, so you get the best deals. property for commercial use, such as a won’t lose out because the process is not restaurant or a shop, for example, the always as quick one. Non-resident mortgages (60-70%) maximum mortgage is 50% of the price Bear in mind that the purchase taxes – for non-residents who pay their taxes (or valuation if lower). on property need to be included in your outside Spain, the maximum mortgage budgeting. They are hefty in Spain and amount is 70% of the purchase price (or If you intend to run a business the also vary widely between autonomous valuation if lower), but some banks have lenders will ask for business plans regions - SEE section on Taxes. a maximum amount of 60%. For fiscal and, where applicable, accounts for For financing: will you re-mortgage residents who pay Spanish taxes, the any previous business operating at your UK home to release equity, use maximum mortgage is 80%. the premises, as well as what previous savings and/or pension funds, or try to experience you have had running a get a mortgage. You must also factor in Mortgages for retirees - If you are similar business. ¤ buying costs – quite high in Spain - and over age 60 and in receipt of a pension, running costs. you can still have the mortgage in your own name. It is also possible to appoint Getting a Spanish a guarantor such as a family member to mortgage secure the borrowing, which can have Arranging any mortgage abroad can potential inheritance tax benefits if they be a daunting prospect and Spain are also a part-owner in the property. is certainly no exception. For the uninitiated, it’s difficult to know where Construction mortgages – for those to start and whether information you wishing to build their own homes, banks see or receive is correct. offer construction mortgages. These This is complicated by the fact that are complicated to explain and you banks lending in Spain do not always should definitely speak to a broker, but

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Mortgage Conditions

Interest rates especially now that the Euribor is at its 30-35%, so here is a very basic example Most lenders use the annual Euribor as lowest ever level. A typical fixed rate of how the calculation works for an the base rate and then add their own for a 20-year term could be 2.99%, employed applicant whose only debt is margin to this, for example, “Euribor depending on the bank. the repayment mortgage on their main plus 2%”. Generally speaking, they Interest-only – this is only offered for residence: require that you contract different construction mortgages in Spain and, --- products with them and they give where offered, it is only for 1 or 2 years Applicant earns £3,000 discounts to the rate for taking each at the start of the term. after tax per month product. Term of mortgage – most mortgages --- Compulsory products are usually a can be arranged with terms of 25 years 30% of £3,000 = £900 bank account with the bank offering the (for non-residents) and 30 years (for --- mortgage and home insurance with that residents), usually up to a maximum age less UK mortgage of £500 = £400 bank’s chosen insurer. In many cases, of 75. For non-residents, some banks --- life insurance with the bank’s chosen have a maximum 20-year term. So, they have the equivalent of £400 insurer is also compulsory. per month they can “afford” for the By using one of our recommended Qualifying Criteria new mortgage in Spain. brokers they can secure a much lower The lenders all use what is known as rate than if you go direct to a bank. a debt-to-income calculation as the There are many other variables to Where a bank may offer rates as high basis for deciding whether applicants take into account, but this gives a very as Euribor + 3.5% if you go direct, our will qualify for a mortgage. In basic basic idea of how the banks assess the brokers can achieve Euribor + 1.5 - terms, this means that your monthly applicants for the mortgage. Again, 2.5%. debt commitments, including the new we strongly advise working with one Although the vast majority of mortgage, must not exceed a given of our brokers, as they have an in- mortgages are variable rate in Spain, percentage of your net monthly income. depth understanding how each bank fixed rates are becoming more popular, The typical percentage is between works.

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Mortgage Conditions... cont

The Application Process funds necessary for completion, which 1. Initial, no obligation, must be transferred as soon as possible assessment - speak to a brokers or to your account with the lender. Once complete an online form and they will the funds are in the account, the lender advise you on whether a mortgage will prepare everything and you can approval is likely and what conditions decide on a completion date at the could be possible. notary.

2. Mortgage quote – following the 9. Completion day – the lender will initial assessment, your broker will aim draw up all the necessary cheques and to send a full mortgage quote within arrange payment of the property and 24-48 hours. mortgage taxes from these funds. Once the property and mortgage deeds are 3. Sign up - if you wish to proceed, signed, you become the owner of the your broker will ask you to sign the property. terms and conditions and arrange payment of a fee of €495, which comes Timescales with a money back guarantee, so if the The process from start to finish someone (normally your lawyer) to act mortgage is declined the fee if refunded usually takes 6-8 weeks, but there can on your behalf with regard to your legal (subject to the terms and conditions). sometimes be delays that are outside of matters in Spain. This is often wise, as the control of the broker or the lender. travelling to Spain to sign documents 4. Submit application form – your Your broker can advise on sensible can become inconvenient or mean broker will assist you with completing timescales for payment of deposits and that you miss an essential signing date the relevant application form and they timing of completion, as well as deal through ill-health or travel disruption. will submit this on your behalf with with any delays if they arise. A Power of Attorney can be either the appropriate supporting documents, This mortgage information was general or limited to a specific function which they will request once you have produced in partnership with Mortgages (for example, the signing on your behalf agreed to proceed with the application. Direct, you can contact them on (robin of the escritura (Deeds) to your intended to confirm this is the right partner/we property. ¤ 5. Decision from lender – if the can use this). mortgage is approved, the broker will confirm the conditions and ask if you NIE number wish to proceed. You cannot buy a property in Spain GETTING A without a NIE number (Numero de MORTGAGE 6. Set up bank account and Identificación de Extranjero), which is IN SPAIN? instruct valuation – a bank account an identity/fiscal number for non- will be set up and you will be asked Spaniards. So, apply for this as soon as to deposit enough funds to cover the you start looking for a property. A Place in the Sun partners with Mortgage Direct who valuation fee. Currently, you must apply for your offer products from all the leading banks in Spain. NIE number in person (although the 7. Valuation report – if the valuation rules on this tend to change from time For expert advice or a mortgage quote, complete is no lower than the agreed purchase to time; your estate agent or lawyer, our online enquiry form by visiting price and the property has no legal who should help you). A NIE number www.aplaceinthesun.com/spain/advice/mortgages issues, the completion arrangements can is obtained from the Policia Nacional, be made. who have offices in all major towns and ciies throughout Spain. 8. Completion arrangements – the broker will work with the bank and Power of Attorney your lawyer and they will confirm the Just as in the UK, you can authorise

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Building surveys in Spain

Why a Survey? Which is the diff erence A bargain is never worth it if there As is standard in the UK, it is between a Condition is structural damage to the property recommended to obtain a survey Report and Building or needs refurbishment. The Building when buying your Spanish home, as it Survey and which one Survey report provides you a budget will reduce the chance of discovering should I choose? with the necessary repairs, maybe any defects or nasty surprises about Both condition report and building an important information to take in the property’s condition after you’ve survey (even structural report), do not account previously to the deal. bought and will help you assure the include market valuation due to it being safety and suitability of the property. a technical report. Do the Surveys include If through the survey there are any So, if we understood our need as a Valuation of the structural problems, this will help you technical report focused on pathology Property? to negotiate the price or insist certain expertise, you can choose between No, both condition report and building works be carried out before the house “Condition Report” and “Building survey (even structural report), do not is purchased. Survey”. include market valuation due to it being In both cases, an expert will visit a technical report. The valuation and Which Types of Surveys the property, will check its condition, the pathology expertise are diff erent, are there? spaces, parking lot, storages and and imply diff erent technicians. Decide which type of survey you need surroundings. Both reports will tell - Condition Reports, Building Survey you about the problems that may be How long does it take to and Structural Reports. The scope hazardous and show potential issues deliver a report? of the survey the client needs mostly and defects. And, of course, both will It varies depending on who delivers the depends on the issues are concerned defi ne things that will need further report but as an average it could be said about previous to the deal. Seek advice investigation to prevent serious damages that between three and fi ve working on this. to the fabric of the building. days since the visit of the property. A Structural Report is the most Defi ned the shared characteristics of comprehensive report and includes both reports, with the Building Survey Which is the cost of a defects, repair and maintenance you can take advantage of knowing: an Survey? options. You will usually need this type estimate of costs for identifi ed repairs The cost depends. The average cost is of survey if, for example, the property and recommendations as to any further approximately €450. Several companies is more than 50 years old, unusually actions or advice which need to be off er surveys in English language built or run-down, if the property has obtained before committing to purchase. according to RICS standards from €350 been extended or altered, or if you That is why we recommended the onwards. In any case depending on the are planning a major conversion Condition Report option if you are sure specifi c needs of the client the property or renovation this survey will be about the condition of the apartment survey cost could be higher.¤ the most helpful. The Structural and you only need the professional Report is usually only necessary advice of an expert. This could be the Thanks to Grupo Sociedad de Tasación for this if the building is old or suspected logical choice if you assume as a buyer information on surveys, they can be contacted at of being unsound or if you are the needed repairs in the property have Tel: (+34) 677440373 planning major works. been discounted in the asking price. e: [email protected] Please be careful with these aspects. www.spanishpropertysurvey.com

As a former surveyor, I’d certainly recommend getting a survey on any property I was planning to buy.

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Transferring your money abroad

Why is currency Lower fees exchange important? The average high street bank charges Currency exchange is something that a fee for each transaction they make buyers often leave as one of the last for you, no matter how much you things they organise when they purchase are transferring. A currency specialist an overseas property. Buying abroad usually only charges a fee on smaller will almost always involve a transfer transactions, so are able to save you of money between currencies, and if money that way. Typically expect you skip your research and arrange the to pay around £5 - £10 for smaller transfer through your bank, you could transactions (e.g. under £30,000) and end up paying way over the odds in fees then free once you’re transferring larger and poor exchange rates. amounts. A currency specialist can also ensure Why use a specialist you do not encounter any bank charges currency exchange when your money is received in Spain. service? Using the wrong type of transfer Support and information, through your bank, could result in expertise “receiving charges” in Spain of around As their name suggests, currency 0.5% of the amount transferred; specialists hold expertise in currency another nasty charge that can be and how to handle international avoided. payments effectively and minimise risks. Once registered with a specialist, you’ll be assigned your own personal contact who will be on hand to provide support and advice throughout the buying process.

Better exchange rates You could save up to 4% on a transaction, as a specialist firm will be able to offer better rates of exchange than a bank can. This is because, as well as operating with much lower margins, they have access to the live currency markets, so if the rate picks up during the day you can benefit from that with a higher rate. Banks tend to fix their rate of the day each morning so you wouldn’t benefit from any increases that happen after that point. 4% might not sound much, but when talking about a £150,000 transfer for a property, it’s a saving of up to £6,000.

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SAVE MONEY ON YOUR Using forward contracts A Place in the Sun Currency. SPANISH As the exchange rate fluctuates constantly, HOME it can be tricky to budget correctly. As the Safety, security – and savings! exchange rate rises and falls, so does the cost of your dream property. A forward contract The good news is, you can avoid the excessive charges applied by the offers peace of mind as it allows you to set an high-street banks and save money every time you transfer abroad, using exchange rate for up to two years. the A Place in the Sun international money transfer service, provided in --- partnership with Currency Index. As an example, let’s say you agreed to purchase a property for €250,000. Currency Index has been providing international payment services since --- 2008 and are authorised by the Financial Conduct Authority (FCA) for the On the 4th Dec 2016 when the rate was £1 / provision of payment services. A Place in the Sun has chosen to partner €1.19 this property would have cost £210,084. with Currency Index because of their knowledge of the overseas property --- market, their expertise in achieving the most competitive rates, and their On the 16th Jan 2017, when the rate had commitment to exceptional customer service. dropped down to £1 / €1.13 the same property would have cost £221,239. Three simple steps to making a safe overseas payment: --- 1. Speak to an account manager, there’s no obligation to proceed. A saving of £11,155 could have been made 2. Discuss your requirements and receive a quote for your transfer. if a forward contract had been used to lock 3. Transfer your payment safely and securely. in December’s higher exchange rate. This measure allows you to be able to budget to Once you’ve registered for an account, then you’ll have the support of one the exact penny, just as you can when you are of our overseas payment specialists to help with the planning of your buying a UK property. purchase. They’ll be able to keep you up to date with the exchange rate --- and how the changes will affect your budget.

Is it safe? You will have a trader on hand who you can speak to during the different When buying a property abroad, the funds stages of your purchase, to make sure you are always keeping on track, that are being used are nearly always your hard doing things in the right way and making the most of changes in the earned money, pension or even your whole exchange rate. life-savings. We understand how important the safety and protection of your funds is, so here If you have been in touch with your trader from the start of your journey, are our key tips on research to do: your final stages of the purchase (making the payment) will be easier and less stressful. • Make sure you choose a specialist who are authorised by the Financial Conduct You can find more information and sign-up for your free account online Authority (FCA). by visiting www.aplaceinthesun.com/advice/currency or email us • Go with a specialist that uses segregated directly [email protected] and an account manager will client accounts. In short, this ensures that contact you to discuss your requirements further. your money goes into a ‘client’ bank account rather than the company’s own, therefore your money would be safe at all times, no matter what happened. • Find out how long the company has been around – this will indicate how many years Important information: A Place in the Sun Currency is provided by Currency Index, who are of experience they have in helping their authorised by the Financial Conduct Authority under the Payment Services Regulations 2009, clients make overseas payments safely. ¤ registration 504353, for the provision of payment services. Currency Index is also a registered MSB with HM Revenue & Customs. Registration number 12358614. Currency Index is a limited company registered in England and Wales. Registered number: 06586857. Registered office: 49 The Drive, Rickmansworth, Herts WD3 4EA

WHERE TO BUY AND WHAT HOW TO BUY PROPERTY IN COSTA BLANCA LIVING IN COSTA BLANCA TYPE OF PROPERTY TO CHOOSE

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The ongoing costs of ownership

hat many people fail to for the maintenance of the estate or the asking for assistance from your W consider in the excitement of care and maintenance of the common adviser with this step. buying their dream home in parts of a block of flats. As in the UK you can expect to the sun are the costs of being a property If you are non-tax resident in Spain be charged for the usage of water owner. The key to avoiding surprises then you will have to pay an annual tax and electricity, but you may also pay is to make sure that your independent (Renta) on your property, as if you had a separate standing charge. Utility Spanish lawyer advises you of the made a profit from renting it out (even if companies in Spain will not take estimated running costs before you you have not). This is a nominal tax but payment from an overseas account and commit to purchasing a property. must be paid annually. so you will need to set up a Spanish The running costs of your Spanish Of course, you will also have all bank account to make sure your bills property will depend upon the type the normal running costs associated are paid on time. of property that you buy and whether with any property, such as: water Even if you do not use the property or not you become a fiscal resident of and electricity, building and contents all year round you will be obliged by Spain. However, all properties are insurance and general maintenance. the utility companies to set up payment liable to council tax, which is known as Don’t forget TV/cable/satellite costs, directly from your bank account. By IBI (Impuestos de Bienes Inmuebles). broadband. maintaining sufficient funds in your IBI is normally considerably cheaper bank account you will ensure that in Spain than it is in the UK for a Keep on top of utilities the supply is not disconnected while comparable property. The most difficult aspect of paying the property is not in use. Arranging If you buy on some estates or your utility bills in Spain can be for reconnection can be very time urbanisations you will be liable arranging for the accounts to be set up consuming and costly, as failure to for Community Charges (Cuota in your name. Unless you have good pay utility bills ultimately results in the Comunidad de Propietarios), which are conversational Spanish we recommend meters being removed altogether.

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fees will be found in the documentation that was signed when you purchased the property, and the timing of such payments depends upon the community: monthly, annual or quarterly. It is important to note that in communities with a large number of long term debtors, the other community members will eventually pay a higher fee. You should ensure that your adviser considers the minutes of the most recent annual general meeting of the community in order to receive a clear picture of the community’s finances, and issues that are affecting the development. If you do not pay your community fees it is possible that the community could take legal action to recover the debt that could result in a charge being registered against your property and you may be refused access to facilities. Arrange for the payments to be made automatically from your bank account to avoid falling behind.

Non-resident’s income tax IBI: annual local taxes penalties and register a charge against As the owner of a property in Spain but IBI is a local charge in Spain that your property in respect of the debt you as a non-resident of Spain, you will be is similar to council tax in the UK. owe. It is therefore advisable that you liable to pay non-resident’s income tax. The letters I.B.I. stand for Impuesto make arrangements for the payments to Even if you do not rent it out you will sobre Bienes Inmuebles, literally an be debited directly from your Spanish be required to submit an annual return. immovable property tax. Depending bank account in order to avoid missing You can expect to pay an annual tax upon where in Spain your property payments. that is calculated on the basis of the is located you can expect to pay this rateable value (valor catastral) of the expense either once or twice per year. Community fees on property. The tax payable will usually IBI is based upon the rateable value developments be very low, based on a taxable amount of your property and is paid to the If you own a property in Spain that is of 1.1 per cent of the rateable value, local town hall. In some areas the cost part of a development then you will taxed at the rate of 19 per cent. of refuse collection (basura) will be be obliged to pay community fees. If you do rent out the property included with the IBI, in others it is a Community fees are paid by all property then you will be required to submit small separate charge. owners within the development towards quarterly returns declaring the income You will receive a bill for IBI the maintenance of the communal areas received and the expenses you have followed by a payment document, and - swimming pools and gardens, or maybe incurred in each quarter. You can usually you will be provided with a an access road. Owners of properties expect to pay quarterly tax upon the timescale in which payment must be with more extensive facilities - such as net income earned at a rate of 19 made. If you do not make payment of golf courses or spas - can expect to pay per cent, taking into consideration your IBI then the town hall may charge higher community fees. Details of such deductible expenses. ¤

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Living in Spain

----- LIVING OVERSEAS

39 Shipping your belongings

40 Healthcare

40 Schools & Education

41 Tax & Residency

42 Inheritance Tax

42 Wills

40 42 Retiring

-----

40 42

Moving to Spain may seem a little daunting at times and require a lot of planning, but life in Spain is good on so many fronts and it’s not far from the UK for those family visits.

WHERE TO BUY AND WHAT HOW TO BUY PROPERTY IN COSTA BLANCA LIVING IN COSTA BLANCA TYPE OF PROPERTY TO CHOOSE

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Shipping your belongings to Spain

ransporting belongings, from belongings yourself or whether you’d standard liability T large pieces of furniture to like the removals company staff to pack • Purchase receipts (only applicable if delicate sentimental items, can your belongings for you. Usually with you are importing any newly be a stressful business. The information both options some packaging materials purchased goods) below talks you through the process of will be provided. shipping items from the UK to Spain. If you are coming from an EU country What happens to my you will need the following details: Is it easy to ship my belongings once they’ve • Passport household belongings to been packed up? • Certificate of residency confirming Spain? This will be dependent upon your they have been working and living It is easy to ship your personal destination or what kind of service. for more than 12 months in the belongings to Spain but you need to European destinations can be serviced country of origin. make sure that you pick a fully accredited either via road freight or sea freight. If • European Certificate or international removals company. you’ve commissioned a full household N.I.E number. A removals company should have the removal via road freight there will be a • Removal inventory in Spanish following accreditations: dedicated vehicle at your home to take • Valuation form for Shipment • FAIM Accreditation, which is the your goods away and delivered to your Protection cover only independent Quality Assurance destination. • Purchase receipts (only applicable if standard for the International The sea freight service sees goods you are importing any newly Moving Industry loaded directly onto the containers, purchased goods) • Membership of the FIDI Global with a customs seal placed upon it. This Alliance, which sets a quality will then be loaded onto the vessel and How long does it take for benchmark for its members delivered to your new home. In both my goods to be shipped • Membership of the British instances you will be given an inventory to Spain? Association of Removers Overseas of what has been packed. The transit time between removals in Group - BAR OVERSEAS is the UK to the arrival of your goods in covered by the I.M.M.I. Advance Do I need any special Spain is approximately 3 to 7 days for payment guarantee scheme for paperwork for the move dedicated loads and 1-3 weeks for part your financial protection to Spain? load shipments. There are a number of requirements How do I go about when moving to Spain and it will What happens on the day arranging shipping? dependent upon whether you are a of arrival? Gather a number of quotes from Spanish citizen or coming from an EU Delivery will be arranged in advance. international removal companies and country. Depending on the type of shipment then decide on what service is best for If you are a Spanish Citizen you will and ease of access to your new property you. Companies will often offer you need the following details: your belongings will be arrive in a one of two options; packing that can • Passport dedicated vehicle or a sea freight be completed by their staff or you can • Fiscal Identification number (N.I.F) container. Once your delivery reaches choose to pack your goods yourself. • Certificate of change of residence its destination the unloading crew will Both options will see the use of expert issued by the Spanish Consulate at help unpack your goods and place them packing materials. You will usually be origin confirming that they have in the correct rooms. ¤ given a move co-ordinator who can help been working and living for more every step of the way. than 12 months in the country. This shipping guide was produced in Companies will often offer you • Registration certificate at the partnership with PSS Removals one of two options and depending Town Hall in Spain Tel: 0800 988 3711 on your budget you will be able to • Removal inventory in Spanish Email: [email protected] choose whether you’d like to pack your • Valuation form for transit cover/ www.pssremovals.com

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We’ll get you there, no matter whether you’re taking your whole house contents or just a few boxes.

“It’s been a pleasure! A-class service, people know “Fast, efficient, happy! I am absolutely what they’re doing, quality but quick and efficient. sure PSS is the best overseas removal And very accommodating!” company out there.” Nico Suzie

From anywhere in the UK to anywhere in Spain

Request Your Free Guide - “Your Dream Move: 17 Essential Tips To Ensure Your Move Overseas Goes Smoothly Tel: 0800 988 3711 Tel: +44 (0)20 8686 7733 Email: [email protected] www.pssremovals.com Buying Guide Costa Blanca

Healthcare Schools and education

pain is a ‘healthy’ country in which to live, with an n Spain, education for children is compulsory S average life expectancy of 82.6 years – fifth highest I from the ages of six to sixteen. Primary in the world. education (primaria) lasts six years followed by Spain has an extensive network of state hospitals and four years of compulsory secondary education (ESO), at health care centres (centros de salud). Almost every village the end of which a certificate of education is received. has a doctor (medico) who will attend his medical centre The academically demanding Bachillerato takes two daily. Normally a nurse (enfermera) will be in attendance and years and is roughly equivalent to the UK’s A Levels. often a patient can see his doctor the same day. Meanwhile, State education is free and there are primary schools there is a network of hospitals across Spain with accident and (escuelas) in virtually every village with secondary emergency (A&E) departments (urgencias). schools (institutos) in most towns. Children under 14 must be seen by a paediatrician (médico Great care needs to be taken when moving a child de paediatrica), rather than a GP (médico de familia). There to a Spanish school (when not fluent). Experience are, therefore, medical clinics specifically for children. suggests that a child older than twelve or thirteen will Spain also has private healthcare, to which a significant have great difficulty learning a new language (Spanish) minority of the Spanish population subscribes. Healthcare is and successfully undertaking their academic work at the free for pensioners (over 65) and for those who pay into the same time. Spanish social security system. If one adult pays into the There are a number of private international schools system then this will ensure cover for all the family (spouse in Spain, some of which teach the English curriculum and children). (in English). These are usually located along the If you are eligible for Spanish state healthcare, you will coastline or close to the big cities and are favoured need to apply for a SIP (Sistema de Informacion Poblacional) by wealthy Spanish families. However bear in mind card. This is like a credit card and displays your details and with these that your child might not emerge fluent NIE number. You must show this card whenever you attend a in Spanish if they are being taught in English, with medical centre, whether for an appointment or treatment. You English-speaking peers - so if your children are set to will also need it when you go to a pharmacy to obtain your live in Spain for the future, a Spanish school may be prescription. ¤ preferable. ¤

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Tax and tax residency Inheritance Tax

t is essential that you fully understand the difference panish inheritance tax is very complicated and, I between being resident in Spain and being tax S like wealth tax, differs depending upon which resident in Spain. The two things are quite different autonomous region you live in. and can have a profound impact upon you and your family, However, of one matter you can be certain: as a non-tax particularly with regard to inheritance tax. resident of Spain (see above) you will not be entitled to any If you intend to reside in Spain for longer than three Spanish inheritance tax exemptions. This means that the months then you must apply to go on the National Foreigner’s full, unmitigated force of Spanish inheritance tax will be Registry (Registro Central de Extranjeros, which can be done unleashed on the assets you own in Spain should you die. This when you apply for your NIE number. However, registration can mean: on the National Foreigner’s Registry does not mean that you Your assets in Spain have Spanish inheritance tax applied are tax resident. without (effectively) a nil rate tax band. In the UK, by To be tax resident in Spain you must make an annual tax comparison, you will not be taxed on the first £325,000 of declaration to the Spanish tax office. This will be deemed as your assets. mandatory according to a number of factors such as: if you There is no such thing as nil rate inheritance tax on the live in Spain for 183 days a year or longer or if your main and disposition of your Spanish assets between you and your primary residence is in Spain or if your spouse and children spouse upon the death of either. live in Spain or your main economic interest is in Spain. By comparison, if you are tax resident in Spain then in the The vital point is that you must actually make a tax return Comunidad de Valencia, inheritance between husbands and to the Spanish tax authorities (even if it amounts to a nil wives has a tax exemption available of up to 99%. ¤ return) to be designated as tax resident and thereby eligible for free healthcare (see below) and tax exemptions on inheritance tax. Importantly, if you are deemed to have been tax resident and you have not made an annual tax return then you will not be eligible for tax exemptions. ¤

Wills

f you die intestate then any assets in Spain will be I taxed at the full rate. So, making a Will is essential. Indeed, it makes sense to have a Will in Spain for your Spanish assets (lodged at the Wills Registry in Madrid) and a Will in the UK for your UK assets. However, care must be taken to ensure that the terms of one Will do not revoke the other Will and this requires the attention of a lawyer specialising in probate matters. Spanish law defines to whom you must leave your assets. However, as a foreigner, you can leave your assets to whomsoever you wish. To ensure this, a term in your Will must state that the personal law of your country (the UK) allows for free disposition of property left by testament. ¤

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Retiring to Spain: extra considerations

Pensions should be able to refer you to a reliable your internet connection, so you can stay Retirees living in Spain who are in plumber, electrician, builder or whatever in contact with friends and family easily. receipt of a UK State Pension can opt to tradesperson you need. have their monthly payments paid into In terms of meeting people, if you’re Healthcare their bank or building society account in retiring to one of the popular Spanish As mentioned above, British people the UK or their bank account in Spain. Costas, such as the Costa Blanca or in receipt of a UK State Pension For the second option, you’ll need the Costa del Sol, or islands, such as Tenerife are entitled to the same level of state international bank account number or Mallorca, you should have little healthcare as a Spaniard under the (IBAN) and bank identification code trouble befriending other British people, national insurance scheme. This is (BIC) numbers for your Spanish account. as well as other foreign residents. You’ll thanks to Spain and the UK being But remember, having your pension paid quickly discover where the English bars, members of the European Economic directly into your Spanish euro account restaurants and meeting points are, and Area (EEA), meaning certain benefits are means you will have no control over the there are all types of expat societies and transferrable between the two countries. exchange rate used for the transfer. clubs available to you. How much you Pensioners should start the process Many expats prefer to have their wish to get involved with other British before leaving the UK, by applying pension paid into their UK account in people is down to you, but it’s reassuring for an S1 form from the International Sterling, and then use a currency transfer to know there are fellow Brits around if Pension Centre. Once in Spain, register specialist to send euros to their Spanish you need them. your S1 at your local Instituto Nacional account. Exchange rates offered by Reassuringly for expats, the World de la Seguridad Social (INSS) office to currency specialists are better than those Health Organisation consistently ranks receive an accreditation letter, which will you would receive if your pension was Spain as one of the healthiest places to enable you to register with a doctor at sent direct to Spain through a UK bank, live in the world, with one of the highest your local medical centre. as would be the case if the Government life expectancies. This is thanks largely to To do this, you’ll need your passport, sent it direct for you. Currency specialists its balmy climate, healthy Mediterranean NIE and certificates of local and national also allow you to fix an exchange rate for diet, stress-free lifestyle and quality residency. In due course you will future transfers. healthcare. The Costas offer retirees receive a health card (tarjeta sanitaria), As well as your State Pension, you plenty of opportunities to keep active and which you present when you use the may have one or more personal or fit, helping your overall well-being. health service. It’s a similar process workplace pension plans in place. If By default, you spend more time for recipients of long-term benefits in this applies to you, it is highly advisable outside in Spain, and both swimming the UK - just be sure to check with to talk through these with a financial and walking, often along pretty seafront the relevant UK office whether your advisor before leaving the UK. They will promenades, soon become daily activities healthcare entitlements are transferrable look at your various pension funds and (that cost nothing). Otherwise, the leisure to Spain with an S1. investments as a whole and offer various facilities on offer to help you stay in Two things to note: a UK pensioner tax efficient options for structuring all shape are endless – you’re never far from in Spain (who has registered an S1 your assets and funds. a quality golf course, water sports are form) can return to the UK and receive endless, and you’ll find expat clubs for NHS treatment for free, just like a Settling in all types of activities, including bowling, UK resident; pensioners in Spain can Most people who move abroad says yoga, rambling or doing day trips to new register a dependent to receive state it takes around six months to feel places. healthcare. ¤ settled but for some it is much lesss. In the first few days in Spain, make Most English-speaking estate agents a point of learning how to contact each in Spain will help you get settled of the emergency services, and where in your new home and assist with your town hall and nearest health centre, administrative things like getting all hospital and police station are. Introduce the utilities transferred into your name. yourself to your neighbours – they can be It’s likely you’ll need some kind of useful sources of local information. job done around your new house at Make life easier by getting a Spanish some point – again, your estate agent mobile as soon as possible and setting up

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Buying Guide to Costa Blanca, Spain

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