Buying after BRExit

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This topic contains 2 replies, has 3 voices, and was last updated by Profile photo of Ptt Ptt 5 months, 2 weeks ago.

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  • #191404
    Profile photo of JX81
    JX81
    Participant

    Hi,

    We’ve been living in Barcelona (Sant Cugat) for two years and have started thinking about buying a property here as we will be staying for another 4 years due to a work assignment. I guess this is more a open ended question and to get some perspective from other buyers in the current market as to what your plans are ?

    Do you think the property prices will take a hit and is it worth taking a step back ?

    Do you think the Spanish property market will continue the recovery at a slightly slower pace ?

    Hard to tell what will happen but would be good to get some of the post-BrExit sentiment.

     

  • #191406
    Profile photo of Mark Stücklin
    Mark Stücklin
    Keymaster

    Hi,

    British buyers aren’t important to the market in Sant Cugat so there will be little or no direct impact. The question is how much impact will a Brexit have on the wider economy and confidence. It’s still too early to tell. The Spanish elections on Sunday will have a more immediate impact. From what I can tell the market in SC has been doing okay recently, with new developments selling off-plan quite quickly. On balance I wouldn’t worry about the Brexit impact when looking at SC, unlike places like the Costa Blanca and Costa del Sol where the British are the biggest group of foreign buyers.

  • #191409
    Profile photo of Ptt
    Ptt
    Participant

    The question many people now ask is what is the position generally for people wishing to buy in Spanish territory who wants live there permanently 365 days a year? Should you risk your money? Maybe in the future you might be limited to 3 months then have to go to the border and re-enter for another 3 months or it may be possible to go to the Police Office sign  the form and get another 3 months and then have to go to the border and re -enter to start again. That could happen in the future. So if you are No Residente in Spain and you use it as a second home for less than 183 days a year no  problem and no tax problem either. But if you want to live there permanently 365 days a year it might be an issue unless you live there ‘illegally’! Before the Eu I am sure many people did and nobody bothered – possibly it happens still now and if you keep a low profile you can survive – if you don’t own a property just rent somewhere then you take less risk because you can just leave when you wish unless you are on Haciendas wanted list and get stopped at the border and asked to pay taxes before you go ! More importantly though at the present time NOTHING HAS CHANGED. We are still in the EU and the treaties we have signed are still in place and in force. In order for a change to take place our country has to Notify the EU Commission that we are leaving under Article 50 of the Lisbon Treaty. Before that treaty was inaugurated there was no procedure to leave once in it was forever! David Cameron has intelligently avoided this happening just yet. But it might happen later in the year when we might get a new Conservative Prime Minister If we were to have a General Election resulting in a Scottish supported Labour Government they might not do it and furthermore the Referendum is not legally binding. It might not be done anyway just a negotiation which might not achieve anything better than what we have if  we want to stay in the Single Market. At what point we lose the protection of the EU treaties I am not sure whether Notification will trigger that or whether it comes when after negotiations we get a new agreement that the European Parliament has to approve by a 72 per cent vote and there are other hurdles too. It might take 2 years and for the reasons fore said IT MAY NEVER HAPPEN. But meanwhile if you are thinking of buying – will it be more difficult to sell because you will be restricted to people wanting a holiday home or to other EU nationals who can use it year round or to other foreigners who buy using one of the special schemes whereby you get residence if you spend a minimum amount on a property like the Russians and Chinese have been doing. It may affect prices – it may be cheaper to buy but equally when you sell. Where there is a will there is usually a way but it will be uncertain until all these issues are clearer.

    • This reply was modified 5 months, 2 weeks ago by Profile photo of Ptt Ptt.
    • This reply was modified 5 months, 2 weeks ago by Profile photo of Ptt Ptt. Reason: errors!

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