We have read a few articles on this subject since its announcement a few weeks ago, but feel that it is best explained by Idealista in January,
“Spain is planning to impose a tax of up to 100% on properties purchased by non-residents from countries outside the European Union, such as the United Kingdom. Prime Minister Pedro Sánchez announced this “unprecedented” measure as part of a broader strategy to address the nation’s housing crisis and improve affordability.
In 2023, non-EU residents acquired approximately 27,000 properties in Spain, often for investment purposes rather than personal occupancy, according to the government. Sánchez emphasised that, given the current housing shortage, such practices are unsustainable. The proposed tax aims to prioritise housing availability for residents and deter speculative purchases by foreign investors.
While the prime minister did not provide specific details on the implementation or timeline for this tax, his office indicated that the proposal would be finalised after thorough analysis. The measure will require parliamentary approval, where the government has previously faced challenges in securing sufficient support for legislation.
This initiative is one of twelve measures introduced by Sánchez to supposedly enhance housing affordability in Spain. Other proposals include tax exemptions for landlords who offer affordable housing, the transfer of over 3,000 homes to a new public housing entity, and stricter regulations with increased taxes on short-term tourist rentals. Sánchez highlighted the disparity in taxation between short-term rental owners and hotels, advocating for a fairer system.”
