Accommodation Spain

Renting accommodation in Spain can be a straightforward and convenient process if you know the basic steps and requirements.

 

Long-term rental

 

1. Searching for housing:

- Use specialized sites like Idealista, Fotocasa, and Kyero to find rental offers.

- Contact local real estate agents who can offer options in the areas you are interested in.

 

2. Required documents:

- Passport or ID card.

- Tax identification number.

- Proof of solvency (bank statements, income certificate, employment contract).

- References from previous places of residence (sometimes).

 

3. Contract conclusion:

- The rental contract can be either written or oral, but a written form is preferable.

- The agreement is usually concluded for a period of one year with the possibility of extension up to five years. The tenant has the right to extend the contract up to five years unless otherwise provided by the agreement. At the same time, the landlord can increase the rent only within the limits established by the agreement.

- Make sure the agreement specifies all rental conditions, including monthly rent, deposit, repair obligations, and utility expenses.

- The landlord is required to register the rental agreement with local authorities. This provides the tenant with additional legal guarantees and protection.

 

 

4. Deposit:

- By law, the deposit is one month's rent. In some cases, landlords may request a larger deposit, especially for furnished apartments or expensive housing.

- It is best to pay the deposit by bank transfer for transparency and security.

- The return of the deposit can become an issue if the landlord and tenant disagree on the condition of the housing upon move-out. It is recommended to negotiate deposit return conditions in advance and to document all damages in the housing handover report.

 

5. Rights and Obligations:

- The tenant has the right to reside in the property without interference from the landlord, unless specified in the contract.

- The tenant must maintain the property in proper condition and pay rent and utility bills on time.

- Typically, the landlord is responsible for major repairs and maintenance of the property. The tenant should keep the property in good condition and promptly report necessary repairs.

 

Short-term Rental

 

1. Finding Accommodation:

- Popular platforms for short-term rentals include Airbnb, Booking.com, and Vrbo.

- You can also use specialized sites for short-term rentals, such as Spotahome and Homelike.

 

2. Agreement and Conditions:

- Short-term rental is usually concluded for a period of up to 11 months and does not require the same level of formalities as long-term rental.

- Ensure the agreement includes all necessary details, such as the rental period, monthly or weekly fee, cleaning and repair obligations.

 

3. Payment and Deposits:

- A deposit may not be required for short-term rentals, but landlords may request advance payment for several weeks or months.

- Utilities are often included in the rent, but this should be confirmed in advance.

 

Useful tips

 

- Contract translation to your native language: If you are not proficient in Spanish, it is recommended to translate the contract into your native language to avoid misunderstandings.

- Checking the condition of the property: Before moving in, be sure to take photos of the property’s condition and create an inventory to avoid disputes upon departure.

- Communication with the landlord: Maintain a good relationship with the landlord, promptly report issues, and comply with the contract terms.

A rental or purchase contract for housing in Spain provides legal protection for both the tenant/buyer and the landlord/seller. A written contract helps to avoid misunderstandings and disputes, as all the terms of the deal are documented.

 

The contract clearly outlines all important conditions of the rental or purchase: contract duration, rental amount, payment terms, responsibilities for repairs and maintenance, deposit return procedure, and other crucial aspects.

 

A rental or purchase contract may be required for various official procedures:

 

1. Municipal authorities:

- To register at your place of residence, you will need to provide a rental contract. This is necessary to access local social services and healthcare systems.

 

2. Immigration authorities:

- When applying for residency or extending a visa in Spain, proof of housing is often required. The rental or purchase contract serves as such proof.

 

3. Banks:

- To open a bank account in Spain, you may need a rental or purchase contract. This confirms your permanent residence and financial stability.

 

4. Employers:

- When getting a job, the employer may request a rental contract to verify your residential address. This is necessary for processing various documents and ensuring tax accounting.

 

Features of Lease/Purchase Contracts

 

Long-term Lease Contracts:

- Usually concluded for a period of one year with the option to extend up to five years. Include terms on rent, deposits, and responsibilities of the parties.

 

Short-term Lease Contracts:

- Common for leases up to 11 months. Often include all utilities and more flexible terms regarding payment and contract termination.

 

Contracts with Purchase Option:

- Combine lease conditions with the option to purchase the property in the future. This allows the tenant to save funds for the purchase and get to know the property better before making a final decision to buy.

Main features of housing rental in Spain

 

1. Furniture:

- Furnished and Unfurnished Apartments: In Spain, both furnished and unfurnished apartments are available. Furnished apartments include basic furniture and appliances, such as beds, wardrobes, tables, chairs, a refrigerator, and a stove. Unfurnished apartments may be completely empty or include only major appliances.

- Advantages and Disadvantages: Furnished apartments are convenient for those planning a short-term stay or who do not want to spend time and money on purchasing furniture. Unfurnished apartments may be more cost-effective in the long run and allow the tenant to decorate the home to their liking.

 

2. Parking:

- Availability of Parking: In major cities in Spain, such as Madrid and Barcelona, the availability of parking can be an important factor when choosing a home. Many apartment buildings have underground or above-ground parking spaces, which may be included in the rent or paid separately.

- Features of Rental with Parking: When renting a home with a parking space, it is important to clarify all usage conditions, including cost and parking rules. In some cases, parking spaces may be rented separately, requiring a separate contract.

 

3. Utilities and Responsibility:

- Utilities: In most cases, the tenant pays for utilities such as electricity, water, gas, and internet. It is important to clarify in advance which services are included in the rent and which are paid separately.

- Responsibility for repair and maintenance: Typically, the landlord is responsible for major repairs and maintenance of the dwelling. The tenant is obliged to keep the property in good condition and report necessary repairs in a timely manner.

 

4. Renting in rural areas:

- In rural areas, it is often possible to find spacious houses with large land plots, gardens, and orchards. In rural regions, there may be limited access to public transportation, medical facilities, and entertainment venues. Residents often have to use personal transport to get around. In rural areas, tenants may encounter the need to independently address issues with heating (e.g., using wood or gas), water supply, and internet. In some cases, the quality of these services may be lower than in cities.

Buying property in Spain by foreigners is a process that requires completing several steps and considering various legal and financial aspects.

 

1. Obtaining NIE

- NIE is a foreigner identification number required for any financial transactions in Spain, including property purchase. You can obtain it at the Spanish consulate in your country or at a police station in Spain.

 

2. Opening a bank account

- An account in a Spanish bank is needed to conduct financial transactions related to property purchase. It will also simplify the payment of utilities and taxes.

 

3. Searching for property

- Use online platforms such as Idealista, Fotocasa, and Pisos.com to find suitable property. Pay attention to the location, condition, and legal status of the property.

 

4. Preliminary agreement and deposit

- After choosing the property and agreeing on terms with the seller, a preliminary agreement is signed with a deposit payment, usually about 10% of the property's cost. If the deal fails due to the buyer's fault, the deposit is not returned. If the deal is canceled due to the seller's fault, the buyer receives double the deposit.

 

5. Mortgage

- Foreigners can obtain a mortgage loan from Spanish banks. Usually, an initial deposit from 20% to 40% of the property's cost is required. Mortgage interest rates vary, so it's advisable to conduct a simulation of loan conditions in several banks.

 

6. Contract Execution and Signing

- The final sale agreement is signed in the presence of a notary. The notary certifies the transaction and submits the documents for registration with the land registry.

 

7. Property Registration

- After signing the agreement, the property must be registered with the land registry, which may take up to three months. You will receive an extract from the register confirming your ownership rights.

 

Taxes and Additional Costs

 

- Property transfer tax: 6-10% for secondary housing.

- VAT: 10% for new housing.

- Documentation tax: 1-1.5% for new housing.

- Notary fees: 0.1-0.4% of the property's value.

- Registration fees: 0.2-2% of the property's value.

- Legal fees: 1-2% of the property's value.

- Real estate agency commission: usually paid by the seller and amounts to 3-5% of the property's value.

 

For additional assistance and consultations, it is recommended to contact local lawyers and realtors specializing in transactions with foreigners.

In Spain, property insurance is not a mandatory legal requirement, however, in some cases, it may be necessary or highly recommended.

 

Mandatory Insurance

 

1. Mortgage:

- If you purchase a property using a mortgage, your bank may require mandatory building insurance. This insurance covers damage to the building's structure and ensures protection of the bank's investment.

 

Recommended Insurance

 

1. Building and Contents Insurance:

- Building insurance protects against damage to the structural elements of the property, such as walls, roof, and foundation.

- Contents insurance covers personal belongings, furniture, and appliances within the home. These types of insurance are often combined into one policy, which can be economical.

 

2. Liability Insurance:

- This insurance covers damages that may be caused to third parties resulting from accidents related to your property. It may include coverage of legal and medical expenses in case of incidents.

 

3. Additional Coverage:

- Additional options such as insurance against natural disasters, theft, damage to household appliances, and electronic devices can provide an extra layer of protection for your real estate and property.

 

Benefits of Property Insurance

 

- Financial Protection: Insurance helps cover the costs of repairing or replacing damaged property, which can significantly reduce the financial burden in case of unforeseen circumstances.

- Peace of Mind and Confidence: Knowing that your property is insured allows you to feel more secure and confident, especially if the property is used as a second residence or rented out.

Paying utilities in Spain can vary depending on the type of property, its location, and the service provider.

 

Electricity

 

Average Cost:

- The average monthly electricity bill in Spain is around 80-113 euros, but this amount can vary depending on the season and consumption. Costs might increase in winter due to heating and in summer due to air conditioning.

 

Rates and Providers:

- In Spain, the electricity market is liberalized, allowing you to choose your provider. Major companies include Endesa, Iberdrola, and Naturgy. You can choose between fixed rates and rates with variable prices depending on the time of day.

 

Water

 

Average Cost:

- The average monthly water cost is about 30-60 euros, but this can vary significantly depending on the region and consumption. For example, in Murcia, water can be much more expensive than in Castile and León.

 

Consumption:

- Average water consumption per person is about 133 liters per day. Water bills include the cost of consumption and maintenance of water supply systems.

 

Gas

 

Average Cost:

- The cost of gas depends on whether it is used for heating. In homes without gas heating, the average cost is about 25 euros per month, whereas with heating, it is about 60-95 euros per month.

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Suppliers and tariffs:

- As with electricity, there are several gas suppliers, including Naturgy and Endesa. Tariffs can be fixed or variable depending on market conditions.

 

Internet and Communication

 

Average cost:

- The cost of packages that include internet, mobile, and landline services is about 50 euros per month. Cheaper tariffs are also available if only internet is needed, starting from 20-30 euros per month.

 

Service providers:

- The main internet providers include Movistar, Vodafone, Orange, and MasMovil. It's important to choose a tariff that fits usage volume and connection speed.

 

Bill payment

 

Payment methods:

- Most often bills are paid by direct debit from a bank account. This is the most convenient method that helps avoid missed payments and penalties.

 

Savings tips:

- Regularly check your bills and compare the rates of different providers to find the best deals. Install energy-efficient appliances and follow resource-saving rules.

Main rules

 

Responsible use of common areas:

- Communal areas such as entrances, staircases, elevators, parking lots, pools, and gardens must be used respectfully towards other residents. Do not leave trash, bicycles, or other items in common areas.

Payment of service charges:

- Owners and tenants are required to pay service charges on time, which are used for building maintenance and common areas, including cleaning, technical maintenance, and repairs.

Observance of silence:

- Apartment buildings have rules to maintain silence, usually from 10:00 PM to 8:00 AM. This includes prohibiting loud music, repairs, and other noisy activities at night.

Respect for building property:

- Residents cannot make changes to the external and internal structures of the building without the consent of the management company or homeowners' association. This includes installing air conditioners, altering the facade, and placing advertising materials.

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Guest registration:

- If you have guests staying for an extended period, they must be registered with the appropriate authorities, such as the local police. This often applies to rental properties for tourists.

Informing neighbors:

- When moving in or hosting large events, it is recommended to inform nearby neighbors in advance to avoid misunderstandings and conflicts.

 

Additional features

Homeowners associations: In apartment buildings, homeowners associations are often created to establish internal rules and ensure their compliance. They also hold meetings to discuss important issues and make decisions on repairs and improvements.

Utility fees and expenses: Utility fees include costs for cleaning, maintenance, security, and other services. These fees are mandatory for all residents, regardless of whether they use the corresponding services or not.

Rental features: Tenants should understand their rights and obligations specified in the lease agreement. In case of disputes with the landlord or other residents, it is important to know where to seek help, such as from a lawyer or the homeowners association.

Current trends and forecasts

 

Increase in prices and demand:

- Despite a slowdown in sales in 2023, real estate prices in Spain continue to rise. This is due to high demand and limited supply, especially in popular areas. In 2024, it is expected that housing prices will increase by 2-6%, particularly in coastal regions and large cities.

 

Popular regions:

- Costa del Sol, Costa Blanca, and the Balearic Islands remain attractive to foreign buyers. These regions are experiencing stable price growth, driven by high demand for secondary housing and investment properties.

 

Impact of remote work:

- The COVID-19 pandemic has changed buyer preferences, increasing the demand for housing in suburbs and rural areas. Many buyers are looking for homes with more space and access to nature, making these regions more attractive.

 

Environmental Sustainability and Energy Efficiency:

- In 2024, there is growing interest in environmentally sustainable and energy-efficient buildings. Buyers are increasingly paying attention to "green" certifications and eco-friendly materials when choosing real estate.

 

Economic and Financial Factors

 

Interest Rates: High interest rates make it difficult to obtain mortgage loans, which restrains demand for home purchases. However, it is expected that rates will begin to decrease in 2025, which could stimulate the market.

 

Foreign Investment: Foreign buyers continue to play an important role in the Spanish real estate market. Economic stability and attractive living conditions attract investors from around the world.

 

Risks and Challenges

 

Lack of Supply: The main problem remains the limited supply of housing, especially in major cities. This leads to rising prices and reduced housing affordability for local residents.

 

Regulatory Uncertainty: Changes in legislation and tax reforms can affect the real estate market. It is important to monitor current regulatory changes to make informed decisions when buying or investing.

 

For more detailed information, it is recommended to contact professional realtors and keep an eye on current analytical reports and forecasts.

The cost of living in Spain can vary significantly depending on the city or region. Below are the main aspects that will help you understand what to expect when planning a budget for living in this country.

 

Major Expenses

 

Housing

- Rent: In large cities such as Madrid and Barcelona, renting an apartment in the city center can cost from 1,000 to 1,700 euros for a one-bedroom apartment. In smaller cities, such as Valencia or Malaga, renting a similar apartment will cost 700-1,200 euros per month.

- Purchase: Property prices also vary depending on the region. On average, the cost per square meter of housing in major cities is about 3,000 euros.

 

Utility Services

- The average cost of utilities (electricity, heating, water, and garbage disposal) for an 85 m² apartment is about 117 euros per month. The internet will cost an average of 26 euros per month.

 

Food Products

- Food Products: Average prices for basic food items include 2.99 euros for a dozen eggs, 3.84 euros for a pound of chicken fillet, and 1.05 euros for a liter of milk.

- Dining Out: A meal in an inexpensive restaurant costs about 12-13 euros, while a dinner for two in a mid-range restaurant will cost 50 euros.

 

Transport

- Public Transport: A single fare ticket costs around 1.50 euros, and a monthly pass is about 30-39 euros. The cost of a liter of gasoline is around 1.66 euros.

 

Healthcare

- Spain offers both public and private healthcare services. The average cost of private health insurance is 100-200 euros per year for a middle-aged expat.

 

Entertainment and Leisure

- A cinema ticket costs around 8-10 euros, and a dinner for two in a restaurant is about 30-50 euros depending on the level of the establishment.

 

Average Monthly Expenses

 

For a family of four, excluding rent, expenses may amount to around 2500 euros per month. For one person — around 700 euros per month, also excluding rent.

 

Thus, Spain offers diverse living conditions with relatively low living costs compared to other Western European countries. Prices for housing and basic services make the country attractive to expats and retirees, while the high quality of life and mild climate add appeal to choosing Spain as a new place of residence.

Spain offers a variety of government support programs and subsidies aimed at assisting different categories of citizens, including low-income families, small business owners, and those striving for an environmentally sustainable lifestyle.

 

Social Subsidies and Benefits

 

A 200-euro subsidy for low-income families:

- Families with an annual income of up to 27,000 euros can receive a one-time subsidy of 200 euros to reduce economic vulnerability not covered by other social benefits. This assistance is aimed at supporting the most vulnerable segments of the population during inflationary conditions.

 

Child Benefits:

- Low-income families can receive a subsidy of 100 euros for each child under 3 years old, 70 euros for children aged 3 to 6, and 50 euros for children aged 6 to 18. These payments are aimed at supporting families with children in difficult economic situations.

 

Support for Sustainable Mobility and Energy Savings

 

MOVES III Program:

- The program encourages the purchase of electric and hybrid vehicles, as well as the installation of charging stations. Individuals and self-employed persons can receive up to 7,000 euros for purchasing an electric vehicle when scrapping an old vehicle. Subsidies for the installation of charging stations are also provided.

 

Subsidies for Heat Pump Installation:

- Households can receive up to 3,000 euros for installing heat pumps. This measure is aimed at reducing energy costs and promoting the use of renewable energy sources.

 

Support for Agriculture and Business

 

Direct Subsidies for Farmers:

- Subsidies totaling 660 million euros are provided to compensate for the increase in fertilizer and fuel prices. This helps reduce the costs of running agriculture and supports the agricultural sector in the face of rising prices.

 

Subsidies for Gas-Intensive Industries:

- The government provides financial assistance of 450 million euros to support gas-intensive industries, such as ceramics production, to prevent job losses and maintain industry viability.

 

Transportation and Public Services

 

Subsidies for Public Transport:

- In 2024, subsidies for public transport will continue, including a 30% discount on urban and intercity transport fares, and free rides on Cercanías and Rodalies trains for regular passengers. This promotes the support of environmentally friendly transport and reduces transportation expenses for citizens.

 

These measures aim to improve citizens' economic stability, support environmentally sustainable solutions, and develop small and medium-sized enterprises in Spain. For more information and application for subsidies, it is recommended to contact the relevant government bodies and official websites.