Spain’s Prime Minister Pedro Sanchez is set to introduce a 100% tax on non-EU citizens buying homes in the country, aiming to curb the rising prices and make it harder for wealthy expats to inflate the property market. The new tax will apply to anyone outside of the EU who purchases a home, effectively closing the Spanish market to foreigners.
The move is expected to have significant consequences, making it difficult for those dreaming of buying a small place on the Costa del Sol or in Catalonia to achieve their goal. The additional tax rate will not only increase costs but also make it impossible for buyers to recoup their investment when selling the property.
This drastic measure aims to address the pressing issue of rising housing prices and limit the impact of foreign investments on the market. However, some critics might argue that this move could have unintended consequences and price Spain’s tourism industry significantly higher.
Source: https://www.spectator.co.uk/article/spain-will-regret-its-100-per-cent-expat-property-tax