Want to invest in properties in Barcelona? Read our review before.
Investment in property in Barcelona
Spain is trying to lure international buyers and investors. Global sales accounted for a remarkable 19 percent of all Spanish property transactions in 2018. Although most of these are from EU nations, others are from outside the EU, including buyers from Morocco, Russia and China. Plus British consumers don’t have anything to fear about the UK being outside the EU.
A number of financial analysts expect a spike in home prices in Spain as they agree that London properties will become less attractive to buyers. Indeed, non-EU investors are still at the property markets in Barcelona and Madrid for their possible investment prospects and as the opportunity for positive returns.
With such a healthy outlook for the Spanish economy over the coming years, it is no surprise that the Spanish Government is still keen to draw the British to come to Spain and invest in the region.
Can foreigners buy property in Barcelona, please?
Yes. There are no limits on purchasing properties for investment in Barcelona, whether it is industrial, residential or land. In addition, Spain is very inviting to foreign investment, both residential and non-residential.
You will need a financial number that can be obtained by visiting a police station with your passport. This usually happens on the day for Spanish or EU citizens, but may take a few weeks for others.
Buying your house in Barcelona: where to find your property
As it is easy for foreigners to buy property in Barcelona, there are websites and estate agents that cater to almost every language and nationality.
Many real estate websites also list Barcelona properties, with online directories offering thousands of choices. However, they mainly concentrate on holiday homes, so you may choose to use a Spanish platform, such as those mentioned below.
Since you don’t need to be a homeowner to purchase a house, you can buy a home before you arrive and move in directly. Nonetheless, this obviously comes with some risks and we highly suggest that you visit the property you are considering and do not cut corners in the process, even though this means spending a few weeks in a hotel before you move in.
Buying property in Barcelona: prices and fees
The customer normally pays the fees. They vary from one place to another. Many of these are negotiable – there are no set rates for attorneys or estate agents. Costs paid by the purchaser shall include:
- Property transfer tax 6–10 percent (existing properties)/VAT (or IVA) at 10% (new properties);
- Notary charges, title deed tax and property registration fees 1–2.5 percent;
- Judicial fees 1-2 percent (including VAT).
The purchaser typically pays commissions to the estate agent. Usually, this is their only expense. Estate agents usually charge a percentage, around 3% of the final sale price.
The infrastructure of Barcelona should also be taken into account when thinking about investment. Transport and communication links in the city are exemplary, with high-functioning airports, high-speed rail networks and busy commercial ports boosting the city’s economy. Technology is now at the center of Barcelona’s infrastructure: the city has spent millions of dollars in emerging technologies and is now one of the biggest smart cities in Europe, and was named the European Capital of Innovation in 2014.
All appears to fall into place for investment in Barcelona – house values are rising, the valuation of luxury property is rising, more construction is taking place, more visitors, political choices are made in favour of tourism, the economy is gaining momentum, and the city’s infrastructure appears resilient. All signs suggest that now is the right time to invest in the most famous city in Spain.
Investment in real estate in Barcelona: is it a smart idea?
With 8.3 million visitors in 2015, Barcelona is one of the most famous cities in Europe. In fact, the popularity of Barcelona has gradually increased since 2010 (which saw 7,13 million visitors) and the number of tourists has more than doubled since 2000.
Barcelona’s real estate market has also undergone an upswing in recent years, with home values growing rapidly across the region since 2014, due in large part to a fresh wave of foreign investment. The signs of a rise in the housing market in Barcelona were evident long before 2014: in 2013, only 11 Spanish districts reported a spike in house prices, but 9 of them were situated in central Barcelona. All signs point to the fact that the tourist hotspot has now become a property hotspot, and Barcelona is now listed as one of the most attractive investment opportunities for stable returns in Europe.