Some people decide to live their home country, either for a season, for a few years or forever; due to bad situations, such as social, economic or politic instability; to go for a better education, or to look for better opportunities for themselves and their families.
However, some expats move to a different country, either partially or completely, to look for investment opportunities abroad, being the decision of the country they decide to invest in based on many different factors; but usually, one common goal: Profitability, appreciation, good ROI and good passive income generation.
And for those expats in Spain, this is now an exciting time for real estate and property investment, especially considering the Golden Visa program, being Spain the second European country to attract international investors and encourage expats to buy real estate.
7 reasons for investing in Spain as an expat
You might have got to Spain as an expat looking for job and education opportunities, which many people from outside of the EU/EEA and Switzerland do. But you might also be an investor considering Spain as your new home, and of course, as your new place to operate your businesses.
No matter which position you fall in, many expats are investing in real estate in Spain thanks to the Golden Visa program; which has been successful on attracting international investment to Spain, offering an easier path to residency, with the possibility of upgrading to a permanent residency, and eventually a citizenship.
Some of the reasons for expats to decide investing in Spain are:
- Competitive property prices compared to other European countries
- Renting prices are growing
- The Spanish economy, once in crisis, is now recovering
- Spain is a highly popular country for tourists all over the world
- Most Spaniards are moving towards the entrepreneurial world
- Obtain a Golden Visa is relatively easy
- Investors don’t need to live primarily in Spain to keep their residency (Visiting Spain once a year is enough at least investor wants to get a citizenship)
These reasons, have convinced many expats to invest in Spain, but in regards to what is the best investment; the answer is usually Spanish real estate, but why?
In 2008, the prices of real estate dramatically fell, and now that economy is back in the good track, prices are slowly recovering, which makes it still very affordable to acquire a good property in a good zone in important cities.
For those wanting to generate passive income for renting, owning a property in Spain is also a great opportunity, as largest cities cannot meet the demand for houses, and many people rely on renting.
Best cities to invest in Spain
If looking to invest in Spain, its capital Madrid will probably your first option, and with good reason, as Madrid is an important economic center in Europe, but there are other cities that are great for international investors. The most popular ones, apart from Madrid, are:
- Las Palmas (Canary Islands)
Depending on your business or your target market, choosing one city or the other might have a significant impact. For areas with a lot of population, youth and people looking for renting, Madrid, Barcelona y Valencia are great Spanish cities for expats to invest in.