Own a home in Spain? What will Brexit mean for you?
There’s been plenty of talk about how Brexit will impact Britons’ ability to go on holiday within the EU from 1 January 2021 onwards but what about those who own property there? Brexit tasks are, of course, ongoing, but in response to a wide range of queries from anxious British owners of property in Spain, the experts at CostaLuz Lawyers have shared their insights into what Brexit will and won’t affect, based on what we know so far.
Will the property purchase process change as a result of Brexit?
No. Britons who buy property in Spain will still have to follow the same purchase process.
I own property in Spain – will Brexit affect my rights as a homeowner?
No, it won’t. Property rights are never linked to residency status. All owners of property in Spain have the same rights and obligations, regardless of where they are from.
Are there any tax implications?
There aren’t any tax implications in relation to property ownership. However, the rate of non-resident income tax that British nationals have to pay will increase from 19% to 24% from 1 January 2021. This is because Spain, along with other EU countries, distinguishes between EEA and non-EEA nationals.
How long can I stay in my Spanish property after Brexit?
From 1 January 2021, rules regarding the length of your stay in Spain will change. You will no longer be allowed to stay for more than 90 days at a time in a 180-day period.
Note that the 90 days starts as soon as you enter the Schengen Area. This means that if you travel to Spain via France, for example, the time you spend in France counts towards your tally of 90 days.
What if I want to stay for longer – can I join two periods of 90 days?
No. At present you can only spend up to 90 days in Spain, then you must leave the country. You will then not be able to return to the Schengen Area until 180 days have passed since your date of entry into Spain (or elsewhere in the Schengen Area).
You can, however, divide the 90-day period into smaller chunks, for example by spending two periods of 45 days each in Spain.
Does the 90-day rule apply even if I own property in Spain?
Yes, it does. Spain may, of course, introduce new legislation to favour British property owners and allow them to spend longer periods of time in the country. However, at present the government has not announced any new rules.
