Draft bill submitted for 100% tax on property..
#31
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Yes most property buyers will be EU nationals and nothing without EU law changing will affect that. I winder though if this came into being it would affect Brits who inherit property from parents who owned their property pre brexit? As for not many Brits east of Malaga there are plenty in Axarquia Torre Del Mar Nerja etc i presume not just holidaymakers either. There is as you say lots of German Dutch and recently it seems more Belgians and French.
#32
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Yes most property buyers will be EU nationals and nothing without EU law changing will affect that. I winder though if this came into being it would affect Brits who inherit property from parents who owned their property pre brexit? As for not many Brits east of Malaga there are plenty in Axarquia Torre Del Mar Nerja etc i presume not just holidaymakers either. There is as you say lots of German Dutch and recently it seems more Belgians and French.
I doubt any of these proposals will happen but it's always going to be more difficult for non EU nationals here in numerous ways be it property issues or inheritance tax etc.
#33
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Good luck trying to run those arguments by the public: "Hey people, house prices need to increase crazily and spiral out of control... only that way will all those foreigners stop buying because they won't be able to afford them!" 
You cannot stop people moving here if they have the right to move here, plain and simple. But at least you can make sure that these are NOT investment properties and that the owners will have to LIVE here along with everything that this entails. Bonus. Less ghost homes and actual residents living, buying, spending locally.
And if they're retirees then what a bonus for the treasury given that estate taxes can be collected much, much, much more frequently.
Lots more jobs in the medical and care sector too.

You cannot stop people moving here if they have the right to move here, plain and simple. But at least you can make sure that these are NOT investment properties and that the owners will have to LIVE here along with everything that this entails. Bonus. Less ghost homes and actual residents living, buying, spending locally.
And if they're retirees then what a bonus for the treasury given that estate taxes can be collected much, much, much more frequently.
Lots more jobs in the medical and care sector too.People living there permanently would also mean more traffic, more pollution, more people draining resources etc. Just because there are more pensioners doesn't mean the staff in the medical sector can afford property.
At the end of the day house prices are linked with the economy and we can't change that.
You could of course create incentives for people who sell their property to the government as long as it's guaranteed that it will be turned into affordable rental property for locals.
Last edited by Moses2013; May 28th 2025 at 1:29 am.
#34
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I never said that house prices need to increase but that a simple non resident tax will stop people moving within an area that has free movement is a myth.
People living there permanently would also mean more traffic, more pollution, more people draining resources etc. Just because there are more pensioners doesn't mean the staff in the medical sector can afford property.
At the end of the day house prices are linked with the economy and we can't change that.
You could of course create incentives for people who sell their property to the government as long as it's guaranteed that it will be turned into affordable rental property for locals.
People living there permanently would also mean more traffic, more pollution, more people draining resources etc. Just because there are more pensioners doesn't mean the staff in the medical sector can afford property.
At the end of the day house prices are linked with the economy and we can't change that.
You could of course create incentives for people who sell their property to the government as long as it's guaranteed that it will be turned into affordable rental property for locals.
#35
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There might be some British people around but nowhere near the huge numbers that were here 20-25 years ago when it was at its peak. Literally everyone we knew from 25 years ago has gone back to the UK bar one couple. Admittedly they are all very old or dead now but it stands to reason that British people will diminish in numbers because they are not being replaced due to Brexit. I can think of countless people I have met over the years who wouldn't have a cat in hell's chance of moving to Spain now because they wouldn't qualify for a visa. Losing EU freedom of movement is no small thing, it's huge and the consequences are far reaching.
I doubt any of these proposals will happen but it's always going to be more difficult for non EU nationals here in numerous ways be it property issues or inheritance tax etc.
I doubt any of these proposals will happen but it's always going to be more difficult for non EU nationals here in numerous ways be it property issues or inheritance tax etc.
#36
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#37
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Isn't it the case in Spain that if there is no one to inherit assets or if an inheritance is refused by the inheritor that the assets pass to Spanish authorities anyway?
#38
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#39
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Yes that would a good initiative for both sides especially say on inheritance. The problem I see with that though is that many of us who retired to live in Spain live either in rural village properties or some quite remote campo properties., do young Spaniards looking for a home want to live in such properties? Maybe yes the grand compo house but then their is cost of maintainable including the extensive exterior land etc to maintain. Housing situation is an issue for most countries these days because of past housing booms.in particular that applies to UK and some but not all areas of Spain.
On an island like Mallorca you will have other issues but incentives have always worked better than punishment.
I think you are right and if no family it goes to State but then it's often sold to banks, private investors etc.. As Barriej mentioned, it seems to work in Polop which looks like a far better solution.
#40
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I agree, problem with campo is often lack of jobs and things on offer for younger people rather than house prices.
On an island like Mallorca you will have other issues but incentives have always worked better than punishment.
I think you are right and if no family it goes to State but then it's often sold to banks, private investors etc.. As Barriej mentioned, it seems to work in Polop which looks like a far better solution.
On an island like Mallorca you will have other issues but incentives have always worked better than punishment.
I think you are right and if no family it goes to State but then it's often sold to banks, private investors etc.. As Barriej mentioned, it seems to work in Polop which looks like a far better solution.
#43
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I honestly cannot imagine telling non-property-owning locals that higher property prices are actually benefiting them? 
The whole idea is that if you buy a property here then you should live here permanently... or pay a substantial property tax. Take your pick. Residents contribute to the economy and they should be welcomed. Those hogging properties that are vacant most of the time (or worse yet, converted into "holiday lets") should have to contribute in a different way, namely by paying a substantial property tax.
If you're here, you're contributing to the economy, plain and simple.
#44
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You were saying that lower property prices... would be a bad thing because even more foreigners would purchase them.
I honestly cannot imagine telling non-property-owning locals that higher property prices are actually benefiting them? 
The whole idea is that if you buy a property here then you should live here permanently... or pay a substantial property tax. Take your pick. Residents contribute to the economy and they should be welcomed. Those hogging properties that are vacant most of the time (or worse yet, converted into "holiday lets") should have to contribute in a different way, namely by paying a substantial property tax.
I don't think people cherish the idea of having ghost towns here in Spain. Or seeing properties plucked and taken over by foreigners who rarely show up.
If you're here, you're contributing to the economy, plain and simple.
I honestly cannot imagine telling non-property-owning locals that higher property prices are actually benefiting them? 
The whole idea is that if you buy a property here then you should live here permanently... or pay a substantial property tax. Take your pick. Residents contribute to the economy and they should be welcomed. Those hogging properties that are vacant most of the time (or worse yet, converted into "holiday lets") should have to contribute in a different way, namely by paying a substantial property tax.
I don't think people cherish the idea of having ghost towns here in Spain. Or seeing properties plucked and taken over by foreigners who rarely show up.
If you're here, you're contributing to the economy, plain and simple.
Ive been contemplating a move in a year or so and we have been visiting places south of us (we are in Polop in the mountains inland of Benidorm) where the town has a 30 something percent foreign resident population (and possibly 10% more are second homes)
One of the places we were struck with maybe moving to, is the area around the Mar Menor. specifically Los Alcazares.
I have a cousin who owns a holiday flat on one of the urbs and we visit a couple of times a year.
In early may we headed there with our daughter and her other half who were visiting from OZ and I wanted to them to see Murcia and Cartagena and to see if they liked where we might move too.
We stayed in an apartment owned by the local hotel (wont use Air BnB out of principle) in one of the quieter areas north of the town in what is known as Narejos and it has lots of small developments.
Anyway, walking around LA in the early evening it was surprising how untidy the place actually is away from the sea front and the 525 strip. Lots of empty lots, old buildings that were in dire need of repair, overflowing bins and untidy streets.
So I checked the local council website and did some other digging.
It turns out that nearly 70% of the properties in the area are second homes or rentals, so the council doesnt get much money from central government as the padron numbers are low.
Ok they get IBI etc but I think most of that goes to the tourist areas.
This town is one that would benefit greatly from a second property tax, but one not just paid by foreigners as I found out that a large number of the empty houses were actually Spanish second homes (we witnessed that last August when we were there as the Spanish out numbered everyone else.)
But thats the problem, its always the foreigners fault. Just like it is everywhere else in the world. So I doubt nothing will actually ever be done about this except maybe price out people who may have wanted to retire here at some point in the future but wanted a holiday home for now.
And its sort of put me off moving down that way as well to be honest.
#45
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Anyway, walking around LA in the early evening it was surprising how untidy the place actually is away from the sea front and the 525 strip. Lots of empty lots, old buildings that were in dire need of repair, overflowing bins and untidy streets.
So I checked the local council website and did some other digging.
It turns out that nearly 70% of the properties in the area are second homes or rentals, so the council doesnt get much money from central government as the padron numbers are low.
Ok they get IBI etc but I think most of that goes to the tourist areas.
This town is one that would benefit greatly from a second property tax, but one not just paid by foreigners as I found out that a large number of the empty houses were actually Spanish second homes (we witnessed that last August when we were there as the Spanish out numbered everyone else.)
So I checked the local council website and did some other digging.
It turns out that nearly 70% of the properties in the area are second homes or rentals, so the council doesnt get much money from central government as the padron numbers are low.
Ok they get IBI etc but I think most of that goes to the tourist areas.
This town is one that would benefit greatly from a second property tax, but one not just paid by foreigners as I found out that a large number of the empty houses were actually Spanish second homes (we witnessed that last August when we were there as the Spanish out numbered everyone else.)
Last edited by Rosemary; Jun 2nd 2025 at 12:15 am. Reason: corrected quote




