Gray Stuart – SPAIN

From our office in Costa del Sol where we have company directors on the ground we are able to help International property buyers and Investors in many ways. Some of services include the following.

Buying the Best Property in the Spain

Very simply we offer our International clients the best of both worlds in that we have proven experienced local knowledge on the ground as well as international expertise from having made many different transactions throughout the world.

If you need to buy a stunning luxury villa on the beach or just want to acquire the best real estate available for Investment our local team will be able to help you.

Golden Visa

For those of you who don’t live in the EU you can make Spain your new home simply by investing 500,000.00 Euros in Spanish real estate. This will entitle you to Permanent Residency which can eventually be turned into Citizenship.

Setting Up a Business in the Spain

Very simply our professional directors can help you with the set up your company structures in the most tax efficient manner possible. We only use the very best Lawyers, Accountants and professional advisors to make sure your company structure is 100% safe and secure and the very best you can have in the Spain

We also have the best connections to the right Government bodies to assist all your needs in relation to setting up a business in Spain.

Commercial Leasing and Rental requirements

If you’re looking for the right office premises for your business or you need to find your newly recruited Ex-Pat staff the right quality accommodation so they can focus on working 100% for you without any issues then our professional local team can help you with access to the very best residential and commercial properties available in the local market.

Asset Management

If you’re an investor and already own assets in Spain or just acquiring them then our team of professionals can offer you the complete asset management services including property management and project management here in Spain

These are just a sample of the key services that Gray Stuart Spain provides and should you need any further information do not hesitate to contact us directly.

Gray Stuart Spain


Tel:         +44 20 7558 8355

Why Invest in Spain Property?

Last updated January 2018


Spain is best known more recently for the great Spanish property recession that started in 2007 and didn’t really finish until 2016. That is now a thing of the past and now Spain offers investors some very good opportunities. In Spain.

There are two distinctive property markets the first being real professional investors who see great value in commercial and buy to let properties in the major cities of Spain especially in Madrid and Barcelona and the second being the lifestyle investor who wants to use his asset and will very likely by in one of the luxury property coastal or Island areas such as Costa Blanca, Ibiza, Mallorca, Tenerife and Costa del Sol. These investors will generally take holidays and spend time in these assets but then rent them out getting a holiday rental income from them whilst they are not using it for their own use.

The current available property market data is quite interesting with Spanish house prices increased 2.67% during the year to end-Q1 2017 (0.38% inflation-adjusted) to €1,385 per square meter (sq. m), the fifth consecutive quarter of y-o-y house price rises, according to TINSA. Quarter-on-quarter, house prices rose by 3.2% (4.1% inflation-adjusted) during the latest quarter. Spain’s housing market finally returned to growth in Q1 2016. Spanish house prices had fallen by a total of 41.9% (46.8% inflation-adjusted) from Q4 2007 to Q3 2015, based on figures from TINSA. There were 31 consecutive quarters of year on year decline but in 2016, house prices increased slightly by 1.67% (0.1% inflation-adjusted)

Demand is now rising strongly. In 2016, the total number of home sales in Spain increased 14% to 457,689 units from the previous year, according to the Institute Nacional de Statistical (INE). This rise in transactions was mainly driven by foreigners buying homes on the coast and in cities like Barcelona and on the Costa del Sol, one of the country’s most popular areas with overseas purchasers. Most foreign homebuyers are Britons, French, Germans, Belgians, Italians and Swedes. Foreclosures fell by 31.3% to 41,129 dwellings in 2016 from a year earlier, based on figures from the INE. Foreclosures dropped 33.6% for new dwellings and by 30.9% for existing dwellings. The outlook for Spain’s housing market is now upbeat, with house sales expected to rise by between 10% and 15% to reach about 520,000 to 545,000 transactions this year, according to TINSA.

We believe that a growing economy, low financing costs, good potential for rental returns and capital appreciation will continue to drive sales throughout 2017 and beyond,” said Spanish Hot Properties. Nationwide house prices are also projected to increase by about 2% in 2017. More specifically, house prices are expected to rise by 7% in Barcelona and by 4% in Madrid. The price recovery now taking place in Madrid, Barcelona, and certain tourist zones of the coast will extend to the suburbs and other parts of the country. In the first quarter of 2017, the economy advanced 0.8% from the previous quarter, the same as in the same period last year, making it as one of the fastest-growing economies in the European Union. On an annual basis, Spain’s GDP expanded by 3% in Q1 2017. The economy is expected to grow by 2.8% this year, after growth of 3.2% in 2015 and 2016, and 1.4% in 2014, and contractions of 1.7% in 2013, 2.6% in 2012 and 1% in 2011, according to the Bank of Spain.


Spain’s economy started to recover in 2014, with GDP expanding by 1.4%, according to the International Monetary Fund (IMF). In January 23, 2014, Spain became the second euro zone country to exit its international bailout program, after Ireland. The economy grew by a healthy 3.2% in both 2015 and 2016, mainly due to an increase in consumption on the back of falling unemployment, strong exports and a thriving tourism sector. In the first quarter of 2017, the economy advanced 0.8% from the previous quarter, the same as in the same period last year, making it as one of the fastest-growing economy in the European Union. It was Spain’s 14th consecutive quarter of growth since it emerged from a grueling five-year financial crisis in late 2013. In an annual basis, Spain’s GDP expanded by 3% in Q1 2017. It has been a long, hard slog.

Recession has been Spain’s normal condition for years.  The economy shrank by 1.7% in 2013, according to the IMF, by 2.6% in 2012 and by 1% in 2011. In 2010, the economy grew by a meager 0.02%, after a contraction of 3.6% in 2009. Bank of Spain expects the Spanish economy to expand by 2.8% this year, up from its previous estimate of 2.5% growth. Obviously no one knows what impact the current situation in Catalonia will have on the Spanish economy. Spain gdp inflation Spain’s economy was fueled by property during the boom decade from 1997 to 2007.

At the height of the housing boom in 2007, housing investment was no less than 7.5% of Spain’s GDP, significantly above the OECD average. The construction industry became a key employer of low-skilled workers. The increase in construction activity helped pull unemployment down from 24% in 1994, to 8.3% in 2007. With the situation reversed, Spanish unemployment now stands at 18.75% in Q1 2017, down from 21% in Q1 2016, 23.8% in Q1 2015 and 25.9% in Q1 2014, according to the INE. Despite this, Spain’s unemployment is still the second highest in the OECD, next to Greece. The country’s overall unemployment rate is expected to be 17.7% at the end of 2016 and to fall further to 16.6% in 2018.

According to the IMF.Spain narrowed its budget deficit to 4.7% of GDP in 2016, down from 5.1% in 2015, 5.9% in 2014 and 7% in 2013. The government aims to reduce the deficit further to 3.1% of GDP this year to meet the target set by the European Union. Spain’s gross public debt stood at about 99.7% of GDP in 2016, from 99.8% of GDP in 2015 and 99.3% of GDP in 2014. It is expected to increase slightly to 100% of GDP this year, according to the European Commission.


The Spanish Government is of three EU Countries along with Cyprus and Portugal to offer permanent residency via property investment of 500,000 Euros or more. This is particularly interesting for Russian and Middle East buyers and not only bring investment revenue but other spin offs to the country in income spent and potential businesses to be set up


This is very much a question if you are a lifestyle property investor or a professional property investor and there is a difference. In simple terms a Lifestyle investor is an investor who likes to get personal benefits from their investments and in relation to Spain they are more likely to want to buy a holiday home in the Mallorca or Marbella and then get a rental income whilst it is not being used. On the Opposite side of the Equation a professional investor has no interest in using his assets for personal use and in Spain these investor are investing in big numbers into Madrid and especially Barcelona where they can get upwards of 6% yields on their investments.


The only negative that Spain has compare to its neighbors and tourist based countries they are competing with is the current buying costs which can be anywhere between 9.5% and 15% of the purchase price at least double that of Portugal.

For lifestyle property purchases this is not a real problem but for professional investors buying in City centers it’s a means at least 2% growth a year is lost in the difference in the buying cost for the first few years.  In relation to lifestyle purchases the experience of Gray Stuart is that the extra costs has never made a buyer switch to another more competitive country such as Portugal. However there are many positives as to why to invest in Spanish Property and here are just a few of them

  • Spain is destination to around 50 million tourists.
  • Spain is the second most popular holiday destination in the world.
  • With more than 300 days of sun every year and numerous golf courses Spain offers year round rental possibilities.
  • Cheap and simple access from a massive range of locations via low cost airlines.
  • Diversification of your investment portfolio
  • Simply property acquisition and legal procedures with English speaking Lawyers
  • Stable economy.
  • Financing readily available with low interest rates.

Residential internet bookings are rising steeply benefiting the buy-to-let market.

The Buying Process in Spain

This guide is a simple quick go to internet guide but we would suggest you request your free Spanish Property Buyers Guide by clicking the link below which goes into much fuller detail.


Simply Spain has something for everyone and is the chosen second home or holiday home location for all of Northern Europe. Whilst UK citizens make up about half of all international property purchasers there are still plentiful buyers of Spanish property from Scandinavia, Finland, The Netherlands, Belgium, Germany and Russia (to name but a few) who are attracted to Spain for its year-round sun, stunning scenery, brilliant golf courses, excellent transport and, most importantly, the Spanish way of life.

Increasingly, more people are looking to change their lives and lifestyle. Spain is becoming not only a holiday home destination, but somewhere to emigrate to for the long-term. With the fantastic flight and Airport infrastructure you can travel directly to almost anywhere in the world from Spain at competitive prices. So, a businessman based in Malaga or Valencia could easily live there and still run a successful business in Northern Europe.


Once you have found your ideal property then you will need to place a reservation deposit which is currently 6000 Euros. Deposit payment can be made by credit card or bank transfer and will be held in your name. We don’t recommend that you carry cash in your pocket but do ensure that this sum is readily available as a delay could mean your dream becoming another person’s reality. Payment of this sum fixes the price, confirms your intention to buy and means that the property is taken off the market and reserved for you and will stop you

Getting gazumped.


Probably the most important step is to instruct a Lawyer. We recommend that you select someone with local knowledge who speaks your language. Gray Stuart believes using a Spanish Lawyer is a must. Your lawyer will carry out numerous checks to ensure that your chosen property is indeed owned by the person selling it and that it has been marketed correctly.

Your lawyer will also ensure that there are no undeclared debts owing on the property and that all service bills and taxes are paid up to date. Using a lawyer safeguards your investment and means that when you receive ownership of your property you will not inherit any outstanding debts.


The purchase taxes vary depending on whether you buy a new build property or a resale:

New Build property:

  • Stamp duty – 1.5% of the purchase price
  • No transfer tax
  • VAT, at 10%

Resale property

  • No stamp duty
  • Transfer tax – 8% of the first €400,000 and 9% on any amount over €400.000, 10% on any amount Over 700,000€


  • If buying with a mortgage besides the normal bank costs, it will also be necessary to pay stamp duty on the mortgage liability amount at 1.8%

Additional costs

  • Notary fees which may range from 300 – 1.000€ depending on the price of your property
  • Fees to register the property of about 60% of the notary charge

These amounts will be between 9% to 15% of the purchase price, please note these are the charges in the region of AndalucĂ­a and each region charges slightly differ.


A simple question but your answer should help you to determine what type of property you

Need to look for. If you are looking for a holiday home you will probably want the property to be in close proximity to amenities such as Beach, Restaurant and Shops.

If you are looking for an investment you ideally want a property that can be let all year

Round thus giving you a good return on your investment.

If you’re buying for retirement it will be important to make sure your property is within reach of high quality healthcare facilities.

Finally if you’re buying with the intention of living in Spain full-time you need to think about

What type of lifestyle you want on a daily basis. Your day-to-day requirements will differ

From the way in which you generally spend your time on holiday.

Whatever your reason for buying a home in Spain, Spanish Hot Properties can help you find

The right property.

Spain Location Guide

Spain, a country on Europe’s Iberian Peninsula, includes 17 autonomous regions with diverse geography and cultures. Capital city Madrid is home to the Royal Palace and Prado museum, housing works by European masters. Segovia has a medieval castle (the Alcazar) and an intact Roman aqueduct. Catalonia’s capital, Barcelona, is defined by Antoni Gaudi’s whimsical modernist landmarks like the Sagrada Família church.

Spain has lots to offer everyone and below is just a sample of places you could visit in the wonderful Costa del Sol.


Mijas consists mainly of three neighborhoods. The jewel is Mijas Pueblo (village), some 8km inland from Fuengirola. Mijas Pueblo has been a tourist destination for UK citizens since the 1960’s. The village itself is a typical old style white Spanish village with stunning views of the Costa del Sol, Gibraltar and Africa. Property here is very much desired by overseas property buyers the second area, La Cala de Mijas (formerly a fishing village), is in close proximity to the beach but maintains a village feel. For property buyers this area is also very desirable and property prices are higher than the third area Mijas Costa. Mijas Costa covers the Costa del Sol from Fuengirola to Calahonda. It is here that you will find some of the most economical properties on the Coast.


A Way of Life is the Marbella slogan and it’s certainly true for those lucky enough to live in Marbella or its surrounding area. Orange Square and the Old Town is Marbella’s tourist focal point. The Marbella promenade is also another major attraction which stretches all the way to Puerto Bañus. The Golden Mile which is actually about 4km is the chosen home for many overseas property buyers and is at the high end of the market. Quite simply there is nothing like Puerto Banús. Named after its creator José Banús it is hard to imagine the port as the small fishing village that it once was. Here you have all the glitz that you would associate with jet set Marina life, such as all the very best designer brand shops, stunning boats and, of course, upmarket bars and restaurants where the rich and famous hang out. Again property here is at the high end of the market