Property in Spain for entrepreneurs
You can buy privately or through your company. With new-builds, VAT is a factor. If you work partly from Spain, your tax residence comes into play. We will outline these choices with your accountant before you make an offer.
Structure first, property second
Three questions determine the purchase. The order is different from a private purchase.
Private or via a limited company. Private is simpler, and the property falls under box 3. Using a company raises other questions: business use, compensation for personal stays, and the associated administration. The outcome depends on your plans for the property, not on a rule of thumb.
VAT on new-builds. VAT is levied on new-build properties in Spain. For a private buyer, this is part of the closing costs. If you are buying for a Spanish rental business, the situation changes. Calculate this before you reserve, as it is rarely possible to correct it afterwards.
Working from Spain. A single working week here changes nothing. If your business is effectively managed from Spain, the company's place of residence comes into play. This should be a conversation with your accountant, not an assumption.
The property as an item on your balance sheet
A property in Spain is an asset with its own set of rules. Valuation, local taxes and an annual tax return in two countries. Those who set this up correctly from day one keep things clear and prevent their accountant from having to fix issues later.
Client testimonials
The best validation of our work comes from the people we have had the pleasure of assisting.
From a first investment in Spain to the purchase of a dream villa: every client has different wishes and objectives.
What remains the same is our personal approach and commitment throughout the entire process.
Property developer and estate agent on the Costa del Sol.
We guide clients through the buying and selling of property, develop our own projects, and provide access to a carefully selected range of new-build, existing, and exclusive properties.
Behind every transaction is a local team of property consultants, project developers, and operational specialists. Together, we support clients with a wide range of property decisions: from a second home on the Costa del Sol to an exclusive villa or a complete property portfolio.
Property purchases managed
2023 - 2026
Clients assisted
Own projects launched
Officially registered as an estate agent in Spain
Years of local experience on the Costa del Sol
Frequently asked questions
On structure, VAT, financing and tax returns in two countries
That depends on what you do with the property. Private ownership is straightforward: the property falls under box 3 and its use is your own business. Through a company, there is more administration involved, and consideration is given to the business nature of the property and the fee you pay if you stay there yourself. Both routes are common. We will lay out the figures for you, and you can decide with your accountant. We do not provide tax or investment advice ourselves.
For new-build properties, VAT is charged plus stamp duty. For existing properties, transfer tax applies instead. Expect closing costs of approximately 14 per cent for new builds and approximately 10 per cent for existing properties. Whether that VAT is deductible for you depends on your activities in Spain. Have this assessed before you make a reservation.
Yes. Spanish banks provide up to approximately 70 per cent and, for business owners, look at the average income over the last two to three years. Expect to need at least 100,000 euros in equity, or approximately 30 per cent of the purchase price, plus closing costs. We work with banks that are familiar with Dutch business owners.
Practically speaking, it is possible. From a tax perspective, it requires attention. If you spend more than 183 days a year in Spain, you are considered a tax resident here. If your business is effectively managed from Spain, the company's place of residence becomes a factor. This is not a reason not to do it; it is a reason to discuss it with your accountant beforehand.
You will need a rental licence and must declare your rental income in Spain. In principle, costs associated with the rental are deductible there and will reduce your taxable rental income. We handle the licence, management and administration through our own team in Estepona. Tax matters are handled by a tax specialist.
Ready for your next step on the Costa del Sol?
Whether you are looking for a second home, an attractive investment or a place under the Spanish sun: we are happy to help you make the right choice. Book a free introductory call and discover which options match your wishes.