Hi, first time posting...
Me (Len) and my wife Shaz currently both live in UK are looking to move to Spain and enjoy a new way of life. I have just taken early retirement (55) and my wife (44) may want to work however work is not a necessity.
We do not know where we want to reside as yet so are planning to rent for a while and move around.
What i am wondering is, are there any things we need to do or have in place if we rented for 6, 12 months or even longer before we make any decisions?
For instance could i rent in the Canaries for a year then move to Malaga for 6 months then up to Murcia for a year?
If we wanted to get a car in Spain is this easy (cheaper) for long term rental or is it easier (and allowed) to purchase one or could i bring one over from the UK?
Any help or pointers would be most welcome.
Thanks
Len

Hi and a warm welcome to the Spanish forum on BE. Myself and Fred James are the moderators for the Spanish forums whilst BEVS moderates Europe. Moderators are there to ensure that the site runs smoothly within the rules of BE. This is so that members gain the information that they are looking for and find their experiences on the forums to be friendly and worthwhile.

Problems and complaints should always be addressed to a moderator who will look into the matter and deal with it efficiently and fairly. Our members who post in the Spain Forums are usually friendly and helpful with a wealth of knowledge about the issues of living in Spain. I hope that you enjoy your time participating in the forums.

Please let me know if you need any further help.

Rosemary

Long term rental is usually for at least 6 months, and you can move areas as many times as you want, I would always suggest that to ensure that the area you settle on is right for you. I would NOT purchase a car in the canaries but rent there, in Spain then it's up to you, second hand cars are much more expensive than in the UK, however they do hold their value much better. Bringing one from the UK would mean changing it onto Spanish plates if you were in Spain for a long time, and before then it would have to be street legal in it's country of registratoion, therefore taxed and tested in the UK. Changing onto Spanish plates is usually quite simple as long as the car has not been modified, but does cost several hundred Euros.
You would have to consider healthcare costs as well as you would need private cover unless one of you is working with a legal contract or classed as self employes and paying 'autonomo'

Car: You'll need to have an NIE number and proof of a permanent-ish address to buy one. A rental contract is sufficient for the address requirement and it's quick and cheap to get an NIE. I chose to buy a new car rather than rent or go second hand, simply because I couldn't find a second hand car at a reasonable price.

The only very major thing to consider, IMO, is one particular asset you might have in the UK - your house.

If this is a one way trip, i.e. if you are sure that somewhere in Spain is going to be right for you and you won't be returning to the UK, then you should plan what you will do with your home, if you own one.

Once resident in Spain your UK property is no longer considered your primary residence. If you sell it after qualifying as resident in Spain any profit you make will be subject to capital gains tax. It's a biggie, that one, so work it out before you leave.

Hi, thanks for the replies so far; We do own a home in the UK and plan to rent this out whilst looking then when we have decided what to do probably will sell up so on the last point re capital gains tax, if i get an NEI number am i then classed as as resident of Spain?
Thanks
Len

Be aware that you would automatically become a tax resident if you spend more than a total of 6 months in Spain in any one year (that's total not consecutive) so plan you exploratory stay carefully.

If you want a LHD car on Spanish plates you could buy in the UK - if you google you will find a number of specialists car companies - also some Spanish plated cars can be found on ebay (although you need to sure there is no outstanding debt with the car).

As to your UK house - one way to avoid the capital gain tax would be to sell before you become tax resident in Spain. Although then the capital released would be subject to Spanish taxes. You probably need specialist advice from an accountant familiar with the new Spanish Tax regime. It is really burnt bridges time then.

But now is the time to buy in Spain as it is a buyer's market so some really good deals can be made - have a look at some of bank sites where they are selling off repossessed properties at silly prices. Especially if you don't need to work. But there is a saying:- "if you want to become a millionaire in Spain, start with 2 million"

The one thing you must consider is health care. The Spanish medical services are pretty good but they are very differently organised to the UK. There is very little welfare support - the Spanish system is predicated on the extended family cultural model where family members are expected and do look after their relatives in hospital etc. It can come as quite a shock to nuclear family Brits who are expecting the same amount of nursing care as the NHS. Nurses are primarily medical and not care assistants. You would probably need private insurance as a top up.

Thanks all; things look more complicated than i thought. The GOV.UK site states the following:
Residency requirements
From 28 March 2007, Royal Decree 240/07 requires that all EU citizens planning to reside in Spain for more than 3 months should register in person at the Oficina de Extranjeros in their province of residence or at designated Police stations. You will be issued an A4 printed Residence Certificate stating your name, address, nationality, NIE number (Número de Identificación Extranjeros) and date of registration.
Question: does this mean i will have to register even though just renting and would i have to register only once or in all the places i would rent?
Thanks again for the help

It is to do with residing in the country and nothing to do with whether you have bought or are renting so yes you would need to register.

Rosemary

Thanks all, so if i read this right:

• I can rent for up to 3 months without doing anything more than any other holiday visitor to Spain
• However if i stay more than 3 months i have to register
• And if i stay more than 6 months (in any one year) i automatically become liable for Tax in Spain on any assets i may hold whether in Spain or the UK

• When I register I would then receive documents including an NIE number allowing me to do certain things you wouldn't normally have to do as a holiday maker i.e. purchase a car

• Question: When you have an NIE number are you then recognised by Spain and the UK as a resident of Spain or is the NIE just the first step?

Sorry if i am missing something but i don't want to set off on the wrong foot or find myself doing something that may cause issues back in the UK before I have even started....
Thanks so much for all the input, as this, even though bringing up more questions is so important.
Len

Not quite. The NIE is as it suggests a national id number for foreigners. It does not confer or infer residency but is required for a lot of bureaucratic services, including buying cars or property etc, and indeed to apply for formal residency. You will be deemed to be resident for tax purposes if you exceed 6 months (183 days).

Thanks MikeJ et al. thats cleared that up. Looks as though we will have to rethink our plans to rent, which was the original question.
Just quick questions, do the 183 days per year start from 01 Jan or is it counted as 183 days out of any 365 days and how does anyone know?
Thanks
Len

Strictly speaking it is 183 out of any 365 starting when you first arrive although subsequently, in practical terms, it is within the tax year - as that is what the tax authorities are interested in and check - so in the UK you are asked in your tax assessment if you have lived outside the UK for more than 183 days in the last (tax) year. However for non-tax purposes the clock starts as soon as you step off the ferry or plane,(eg registering an imported car) which is why many will advise you to keep your tickets/boarding cards as evidence of your arrival and various departure and re-arrivals.

Thank you for that we will make sure we keep the tickets/ boarding cards etc. just in case. Talking to my wife we will look at renting for a month or two at a time and keep the overall time in Spain within the 183 days.

We are in the Murcia area in September for a couple of weeks with friends on holiday (property booked for 2 weeks) and we want to use the time to look around and then stay on for another 2 or 3 weeks; would it be easy to find another rental property whilst in Spain or would it be better to book something before we arrive?

Also we have not booked any flights back to UK yet; is it easy to book flights from Spain to UK or should we again sort these before we arrive?

Thanks agin for all the help.
Len

Hi Len,

Re flights, I rarely have the return journey booked before I get to Spain. Just as easy to do it nearer the time, when you know exactly when you want to travel. Of course, with the budget airlines the prices do tend to rise nearer the time, there is money to be saved using their sales... those emails announcing the really cheap flights.

You should be fine finding rentals for a month in all but the peak season, but short term is going to cost you more than long term. Look for properties on the letting sites popular with UK owners and give them a call to discuss prices, as out of season there is always a deal to be done.

A 6 month rental would give you continuity to work out what it would be like to live in a particular place, but until you have narrowed down your prefered places, and given the 183 day rule, I think your plan for a few shorter term visits sounds sensible.

Thank you all so much for your help and comments they have helped us to make a plan. Looking forward to our next adventure....

Len & Shaz