Cost of living in Spain compared to the UK
How much money do you need to live comfortably in Spain? What are the average prices, expenses and taxes in Spain compared to the UK? Average costs of main products and services in Madrid, Barcelona, Valencia, Alicante, Malaga and other cities. Prices in restaurants, cost of food and transport, utilities and housing. Updated in 2021.
Contents
- How much does it cost to live in Spain compared to UK?
- What are the running property costs in Spain?
- Cost of living in different cities of Spain
- Owning vs. renting
- Property taxes
- Other expenses of property running
- Running costs of property compared to UK
- How much does it cost to live in Spain?
- Cost of living in Spain vs. UK
1. How much does it cost to live in Spain compared to UK?
Moving to another country is a complex and sometimes painful process. In addition to documents and other arrangements, you need to think about how it will be to live in a new place and, of course, how much it will cost. We are sure, you will be interested to find out housing prices (rent and utilities), insurance, food and other amenities. This article is a complete guide on how much does living in Spain cost, including large cities and islands. We compare the cost of living in Spain with the UK.
Spain's economy ranks 5th in the EU. However, salaries in Spain cannot be called high: according to this indicator, it is located in Europe at the 20th position. If we estimate how much life in Spain costs per month as national average gross salary of around 2000 EUR, then the approximate expenses of a family of 3 with two employees look like this:
Taxes: 30%;
Utility bills: 4-5%;
Food: 10-15%;
Medical insurance - from 1 to 5% depending on the type of policy.
On average it will cost you around 1200 EUR to live in Spain, including all the running expenses, food and rent. While the average net salary in England in 2021 around 2800 EUR/month, they say you will need around 2400 EUR/month per person to live in the UK comfortably.
Let's take a closer look at how much it costs to live and maintain housing in Spain, both on average and in popular cities among expats.
Spain's economy ranks 5th in the EU. However, salaries in Spain cannot be called high: according to this indicator, it is located in Europe at the 20th position. If we estimate how much life in Spain costs per month as national average gross salary of around 2000 EUR, then the approximate expenses of a family of 3 with two employees look like this:
Taxes: 30%;
Utility bills: 4-5%;
Food: 10-15%;
Medical insurance - from 1 to 5% depending on the type of policy.
On average it will cost you around 1200 EUR to live in Spain, including all the running expenses, food and rent. While the average net salary in England in 2021 around 2800 EUR/month, they say you will need around 2400 EUR/month per person to live in the UK comfortably.
Let's take a closer look at how much it costs to live and maintain housing in Spain, both on average and in popular cities among expats.
2. What are the running property costs in Spain?
The maintenance of property in Spain is an important aspect that you should pay attention to before buying. Although Spain can hardly be called an expensive country with regard to housing and running costs, they will still make up a considerable part of your monthly spending.
All expenses are divided into two parts. Firstly, fixed payments that will have to be paid even for vacant housing: taxes, insurance, maintenance of the house and the adjoining territory (cleaning, garbage etc.). Secondly, variable payments, depending on the services and the level of consumption: utility bills (water, electricity, gas) and communication (Internet, telephone, television). For example, in old houses a community fee can be 40 EUR per month, and in new large residences – 150 and more!
All in all, the bills depend on the level of energy efficiency of the building, on the prestige of the residential complex and services it offers, on the number of inhabitants and the level of water and electricity consumption. In order not to be unfounded, let's look at examples of the villa and apartment annual running costs in Spain.
All expenses are divided into two parts. Firstly, fixed payments that will have to be paid even for vacant housing: taxes, insurance, maintenance of the house and the adjoining territory (cleaning, garbage etc.). Secondly, variable payments, depending on the services and the level of consumption: utility bills (water, electricity, gas) and communication (Internet, telephone, television). For example, in old houses a community fee can be 40 EUR per month, and in new large residences – 150 and more!
All in all, the bills depend on the level of energy efficiency of the building, on the prestige of the residential complex and services it offers, on the number of inhabitants and the level of water and electricity consumption. In order not to be unfounded, let's look at examples of the villa and apartment annual running costs in Spain.
Apartment/bungalow/townhouse
Villa
The costs of maintaining real estate in Spain can be significant, but they can always be reduced by smart consumption, as well as if you live only in the high season and do not use optional services. You can read more on maintenance costs of Spanish properties here.
3. Cost of living in different cities of Spain
The most expensive city in Spain is San Sebastian. The cost of life here is 30% higher than the national average. Next is Madrid, and the top 3 closes Barcelona. The cheapest city in Spain is Ceuta. The cost of living in this city is below the average by 30%. Among the most affordable places on Spain are Teruel and Palencia. Accordingly, prices in these cities differ in the same range. Let's analyze how much it costs to live in the most popular cities and islands of Spain.
Cost of living in Madrid
The cost of living in Madrid is lower than that in other European capitals, although it is true that in recent years prices have increased significantly.
One of the main expenses you will face when living in Madrid is accommodation. You can choose to rent a whole home, or a room. Until not long ago those who rented rooms in the city were mainly students. However, the demand on rooms is increasing among people of all ages.
Cost of the rent depends on a district of the city. That is why we recommend that before looking for a flat or room for rent in Madrid, you learn about the districts and neighborhoods of the city. Focus on the one that best suits you (proximity to work, etc.) and your financial opportunities.
The cheapest homes, usually studios for one or two, are around 700-800 EUR. If you want to live in exclusive areas, such as Paseo de la Castellana or El Retiro Park, the average price of rent here is between 2,000-4,000 EUR. Of course, you may also go for luxury villas with a price higher than 12,000 EUR per month! As for the rental of the room, in Madrid it costs around 400-600 EUR. You will also have to add the water, electricity and gas bill to the rental expense.
If you are looking for a property to buy, Madrid is the third most expensive place to buy property after Barcelona and San Sebastian. 1 square meter in Madrid costs on average 2852 EUR. Let's have a look at the examples of the property prices in Madrid by neighborhoods.
One of the main expenses you will face when living in Madrid is accommodation. You can choose to rent a whole home, or a room. Until not long ago those who rented rooms in the city were mainly students. However, the demand on rooms is increasing among people of all ages.
Cost of the rent depends on a district of the city. That is why we recommend that before looking for a flat or room for rent in Madrid, you learn about the districts and neighborhoods of the city. Focus on the one that best suits you (proximity to work, etc.) and your financial opportunities.
The cheapest homes, usually studios for one or two, are around 700-800 EUR. If you want to live in exclusive areas, such as Paseo de la Castellana or El Retiro Park, the average price of rent here is between 2,000-4,000 EUR. Of course, you may also go for luxury villas with a price higher than 12,000 EUR per month! As for the rental of the room, in Madrid it costs around 400-600 EUR. You will also have to add the water, electricity and gas bill to the rental expense.
If you are looking for a property to buy, Madrid is the third most expensive place to buy property after Barcelona and San Sebastian. 1 square meter in Madrid costs on average 2852 EUR. Let's have a look at the examples of the property prices in Madrid by neighborhoods.
Madrid offers all its districts a convenient public transport service. For 50 EUR per month you can use the subway, tram or bus. If you are under 26 this price is reduced to €20. The taxi in Madrid is relatively cheap compared to other cities in Spain. The average price of the ride within the city is between 10-20 EUR.
Restaurants in Madrid are quite expensive and can cost you 60-70 EUR for dinner per person in a decent restaurant. We suggest that if you do not want to break the bank, try cooking at home as much as possible. An adult can spend around 250-300 EUR for food for one if preparing meal on your own.
Of course, you should also assess the prices of different leisure activities in the city. If you want to go out to eat at a restaurant, a price per diner can exceed even € 200. If you are into fast food, the meal will cost you around €5-10 EUR. There are restaurants that offer menus of the day for 10-15 EUR that are worth it. If you feel like going to the cinema, the ticket costs around €8.
Restaurants in Madrid are quite expensive and can cost you 60-70 EUR for dinner per person in a decent restaurant. We suggest that if you do not want to break the bank, try cooking at home as much as possible. An adult can spend around 250-300 EUR for food for one if preparing meal on your own.
Of course, you should also assess the prices of different leisure activities in the city. If you want to go out to eat at a restaurant, a price per diner can exceed even € 200. If you are into fast food, the meal will cost you around €5-10 EUR. There are restaurants that offer menus of the day for 10-15 EUR that are worth it. If you feel like going to the cinema, the ticket costs around €8.
Cost of living in Barcelona
Barcelona and the cities an hour away from it are the most popular places to buy luxury real estate both for your family and for the purpose of investing.
Barcelona is definitely not a cheap place; in fact, it is the second most expensive one in Spain after San Sebastian. Renting a studio in Barcelona will cost you around 600-700 EUR per month. Depending on the condition of the property and a district, prices on rental apartments vary from 800 to 2000 EUR per month. The price per square meter of property is 2725 EUR. In the suburbs of Barcelona, prices may be lower in some places, but in prestigious urbanizations such as San Andres de Llevaneras, you will find only elite properties. The most popular resort and the most valuable real estate in the country are located here.
It is interesting to learn about the most popular properties for purchase in Barcelona, which is a resale apartment – the same as in Madrid.
Barcelona is definitely not a cheap place; in fact, it is the second most expensive one in Spain after San Sebastian. Renting a studio in Barcelona will cost you around 600-700 EUR per month. Depending on the condition of the property and a district, prices on rental apartments vary from 800 to 2000 EUR per month. The price per square meter of property is 2725 EUR. In the suburbs of Barcelona, prices may be lower in some places, but in prestigious urbanizations such as San Andres de Llevaneras, you will find only elite properties. The most popular resort and the most valuable real estate in the country are located here.
It is interesting to learn about the most popular properties for purchase in Barcelona, which is a resale apartment – the same as in Madrid.
Barcelona is a city with a great transport connection and offers all the means of public transport available. If you are under 25, you can buy T-Jove card, which costs around 80 EUR, with it you can use the tram, subway or bus for 90 days. If you are over 25 years, you can purchase the T-month card (50 EUR), which is valid for 30 days for any public transport.
If you cook at home you will spend about 50 EUR per week, which comes to be around 250 EUR per month for a person. Eating out in Barcelona is quite expensive. At the very least you will have to spend 25 EUR every time you have a dinner at a restaurant.
You will also have to allocate some money for your leisure. Having a coffee with a desert, going out for tapas or for beers with friends can cost you at least 10 EUR. Dinner in a restaurant for two may be around 60-80 EUR. Cinema tickets are worth 9 EUR or so. At the entrance of a night club you will have to pay around 15 EUR.
If you cook at home you will spend about 50 EUR per week, which comes to be around 250 EUR per month for a person. Eating out in Barcelona is quite expensive. At the very least you will have to spend 25 EUR every time you have a dinner at a restaurant.
You will also have to allocate some money for your leisure. Having a coffee with a desert, going out for tapas or for beers with friends can cost you at least 10 EUR. Dinner in a restaurant for two may be around 60-80 EUR. Cinema tickets are worth 9 EUR or so. At the entrance of a night club you will have to pay around 15 EUR.
Cost of living in Valencia
600 EUR is a cost of rent for a one-bedroom apartment in Valencia. If you are looking for a flat with 2-3 bedrooms, be ready to spend 1000-1500 EUR, depending on a district. For those who want to buy an apartment: an average price of the square meter in Valencia is 1240 EUR. Have a look at the examples of the most demanded properties in this city:
Valencia is a city with a very good transport system. The subway is the most popular transport among Valencians. The single trip costs € 1.50, while a 10-trip voucher will cost you € 7.60. If you are into a taxi, you should know that a 10-minute trip can cost you about 11 EUR. 1L of gasoline in Valencia costs on average € 1.30.
Although the Valencian cuisine is of a high standard, prices in restaurants and bars are not very high. For example, there are cheap places where you can eat for a 10-euro bill. However, dinner in a restaurant of a higher class may cost you around 20 EUR for a person. With about 8 euros or even less you can eat at a McDonald's or Burger King. In case you prefer eating in, you will have to spend around 200-250 EUR per person a month.
In Valencia there are many cheap gyms that on average cost 35 EUR/month. If you go to a cinema located in the center of the city, they will ask you to pay 9 EUR, plus another 6-7 for a menu with soft drinks and popcorn. In case you are a football fan, a ticket to see Valencia CF will cost you from €20.
Although the Valencian cuisine is of a high standard, prices in restaurants and bars are not very high. For example, there are cheap places where you can eat for a 10-euro bill. However, dinner in a restaurant of a higher class may cost you around 20 EUR for a person. With about 8 euros or even less you can eat at a McDonald's or Burger King. In case you prefer eating in, you will have to spend around 200-250 EUR per person a month.
In Valencia there are many cheap gyms that on average cost 35 EUR/month. If you go to a cinema located in the center of the city, they will ask you to pay 9 EUR, plus another 6-7 for a menu with soft drinks and popcorn. In case you are a football fan, a ticket to see Valencia CF will cost you from €20.
Cost of living in Alicante
If you want to change your place of residence, there is no doubt that Alicante is one of the best options to move to. It is not surprising that both the city and the province are full of "aliens", since you can enjoy good weather and excellent cuisine here.
400 EUR is the medium price to rent a one-bedroom apartment in Alicante. On the other hand, the minimum price for 2-bedroom apartment rentals is 600 EUR. The average price of a square meter in Alicante is 1612 EUR. Most popular real estate in Alicante in a resale apartment that costs between 70,000 and 130,000 EUR with a 10-15-minute distance to the beach on foot.
400 EUR is the medium price to rent a one-bedroom apartment in Alicante. On the other hand, the minimum price for 2-bedroom apartment rentals is 600 EUR. The average price of a square meter in Alicante is 1612 EUR. Most popular real estate in Alicante in a resale apartment that costs between 70,000 and 130,000 EUR with a 10-15-minute distance to the beach on foot.
In Alicante real estate market consist mostly of the resale apartments. Most often in the city of Alicante people purchase apartments from 90 to 120 sq.m. that cost 75,000 - 200,000 EUR, depending on the district. Usually these flats have 3 bedrooms and 2 bathrooms.
If you decide to visit a restaurant with friends or family, you will spend on average 15-25 EUR per person. In McDonald's or a Burger King, you can eat for only € 7-8. When eating at home and buying food on a local market, you may not exceed 200 EUR per person a month.
In case you use public transport frequently, you may have to spend between 40 and 50 EUR each month. Also, if you have a car you should know that the price of a liter of gasoline in Alicante is just like in Valencia – around €1.30. On a taxi ride you can spend between 7 and 15 EUR, depending on the distance to travel.
With regard to leisure, we can say that a ticket to a club cost 10-20 EUR. Although it should be noted that on dates indicated as New Year's Eve, the price of the entrance can be multiplied. If you have more than quiet plans, you should keep in mind that the average price of a ticket to the cinema is €9.
If you decide to visit a restaurant with friends or family, you will spend on average 15-25 EUR per person. In McDonald's or a Burger King, you can eat for only € 7-8. When eating at home and buying food on a local market, you may not exceed 200 EUR per person a month.
In case you use public transport frequently, you may have to spend between 40 and 50 EUR each month. Also, if you have a car you should know that the price of a liter of gasoline in Alicante is just like in Valencia – around €1.30. On a taxi ride you can spend between 7 and 15 EUR, depending on the distance to travel.
With regard to leisure, we can say that a ticket to a club cost 10-20 EUR. Although it should be noted that on dates indicated as New Year's Eve, the price of the entrance can be multiplied. If you have more than quiet plans, you should keep in mind that the average price of a ticket to the cinema is €9.
Cost of living in Malaga and Marbella
In Malaga the price of renting will not affect your pocket much, since renting a furnished single-bedroom apartment has an average cost between 450 and 700 EUR, a difference is marked in accordance with the location of the property. The cost of services such as water, gas and electricity is around €100 per month for an apartment of 80 square meters.
If your plan to buy a home here, you should know that the square meter ranges between 2000 and 2500 euros, depending on factors such as the area, design and location of the property. With regards to Marbella and its surroundings, the famous resorts on the Costa del Sol, the square meter here is no less than 3000 EUR with an average around 3150 EUR.
Marbella property prices:
If your plan to buy a home here, you should know that the square meter ranges between 2000 and 2500 euros, depending on factors such as the area, design and location of the property. With regards to Marbella and its surroundings, the famous resorts on the Costa del Sol, the square meter here is no less than 3000 EUR with an average around 3150 EUR.
Marbella property prices:
Malaga property prices:
In some restaurants of a higher category, which are the most popular there, the expense of a dinner rises up to €30 per guest. Coca Cola or Pepsi in a bar costs € 1.7; In case of beer, the price is around € 2.5 per 0.5L of a national brand. Also, in Marbella, Golden Mile and Puerto Banus there are many fancy places that are very expensive and may cost you around 100 EUR per person. Public transport in Malaga is one of the cheapest in Spain, with a cost of € 1.35 per ticket. A monthly pass is €40.
Although the minimum rate for a taxi is € 3.70, which may seem somewhat expensive, this is compensated by the low cost per kilometer, which is € 0.95 during the day and € 1.15 at night. The price of gasoline in this part of Spain is just like anywhere else, around € 1.3 per liter.
Although the minimum rate for a taxi is € 3.70, which may seem somewhat expensive, this is compensated by the low cost per kilometer, which is € 0.95 during the day and € 1.15 at night. The price of gasoline in this part of Spain is just like anywhere else, around € 1.3 per liter.
Cost of living on Tenerife
Despite being an important tourist destination, the price of rentals on Tenerife remains at an acceptable level. Renting a one-bedroom apartment on average costs between 500 and 650 EUR per month. Tenerife is one of the cities where less is paid for services associated with housing throughout Spain, since the cost of water, electricity, gas and garbage is only €90 per month for an apartment of 80m2.
In case you are interested in buying a property, square meter on Tenerife ranges from 1,600 to 2,200 EUR. Property price in Santa Cruz de Tenerife is 1795 EUR per square meter.
Real estate prices on Tenerife:
In case you are interested in buying a property, square meter on Tenerife ranges from 1,600 to 2,200 EUR. Property price in Santa Cruz de Tenerife is 1795 EUR per square meter.
Real estate prices on Tenerife:
With €10 you can try the dishes of the Canarian cuisine in one of the many bars and restaurants. If eating in a higher category restaurant, you should be able to pay from € 25 per person. On Tenerife it is always possible to save time and money eating in street food stalls (a good arepa kebab is barely worth €3). You can also opt for the menu of the day in fast food chains such as McDonald's and the like with just spending € 7.5. If you want to enjoy some beer in a bar, it will cost you 1.6 EUR for 0.5 liters of local production. You will pay € 1.10 for drinks like Coca Cola or Pepsi of 33 cl.
The cost of the one-way ticket on the island is € 1.5. Meanwhile, the cost of a monthly pass is around €40. The taxi costs from 3.25 euros, €0.71 per kilometer traveled in daylight hours. Petrol stations of Tenerife usually compete in fuel prices, so you get a liter of 95 octane gasoline for between 0.90 and 1.15 euros.
Staying fit can cost you up to €40, which is the price of a monthly pass in the gyms of Tenerife. For just € 15 you can buy a couple of tickets in most cinemas in the city. € 43 is enough to cover the cost of the internet for a month.
The cost of the one-way ticket on the island is € 1.5. Meanwhile, the cost of a monthly pass is around €40. The taxi costs from 3.25 euros, €0.71 per kilometer traveled in daylight hours. Petrol stations of Tenerife usually compete in fuel prices, so you get a liter of 95 octane gasoline for between 0.90 and 1.15 euros.
Staying fit can cost you up to €40, which is the price of a monthly pass in the gyms of Tenerife. For just € 15 you can buy a couple of tickets in most cinemas in the city. € 43 is enough to cover the cost of the internet for a month.
Cost of living on Mallorca
Between 600 and 800 EUR is what it costs to rent an apartment on Mallorca. These figures are for a one bedroom flat, in case of the house with 3 bedrooms the price rises to between 800 - 1,100 EUR per month.
If you want to buy a property you should know that the price of the square meter of new construction can be up to a whopping 3,200 euros. But on average, one square meter on Mallorca costs 2096 EUR. Some examples of properties with prices:
If you want to buy a property you should know that the price of the square meter of new construction can be up to a whopping 3,200 euros. But on average, one square meter on Mallorca costs 2096 EUR. Some examples of properties with prices:
The numerous foreigners on Mallorca make bars and restaurants located in the city wealthy. For less than €13 it will be very difficult to dine at any restaurant in Mallorca. You will need around 25 EUR to have a dinner in a restaurant with a name. However, to order a menu in a KFC or McDonald's you will only need 9 EUR.
On Mallorca you can travel by metro for € 1.60. In case you are going to use public transport frequently, go for a monthly pass that is 40 EUR. Taxis on the island are expensive due to a large number of tourists. You will be charged more than 10 EUR for a 20-minute ride.
If you like to spend the afternoon in a movie, you should know that the tickets are priced at approximately €9. Also, if you ask for popcorn and soda, prepare another 6 EUR. The gyms have an average cost of 50 EUR for a monthly fee in a gym with contemporary facilities.
On Mallorca you can travel by metro for € 1.60. In case you are going to use public transport frequently, go for a monthly pass that is 40 EUR. Taxis on the island are expensive due to a large number of tourists. You will be charged more than 10 EUR for a 20-minute ride.
If you like to spend the afternoon in a movie, you should know that the tickets are priced at approximately €9. Also, if you ask for popcorn and soda, prepare another 6 EUR. The gyms have an average cost of 50 EUR for a monthly fee in a gym with contemporary facilities.
4. Owning vs. renting
A foreigner may easily purchase a house or an apartment in Spain or rent a suitable property. Depending on the option, the costs will be different. Let's consider them in more detail. The largest cities, such as Madrid, Barcelona, Vitoria, Seville, San Sebastian and Bilbao, are definitely very comfortable for living, but the cost of renting housing there is much higher than the national average.
Therefore, the Spaniards themselves choose settling in the suburbs of these megacities. Spain has a well-developed public transport system, and the journey from home to office in the city center by train or bus will take about 30 minutes.
Renting an apartment with one bedroom will cost about 450-650 EUR, with two - 600-100. Do not forget that in large cities an apartment of 60-90 square meters may cost more than a thousand euros. The average monthly rental price for the most demanded types of properties is around 700 euros. The room can be rented for 200-450 euros. You should add the cost of utilities: electricity, water, gas and Internet. Please note that for heating you will also have to pay a rather impressive amount: from 50 to 150 EUR per month.
The cost of renting an apartment on average in Spain is 9 euros per square meter of housing. All homeowners in Spain need to consider that under the laws of the country, the tenant is more protected than the landlord. The initial long-term lease agreement is usually drawn up for a period of one year, but the tenant has the right to annually renew the lease term until it is five years. During these five years, rental price can only be raised in accordance with the inflation index.
Therefore, the Spaniards themselves choose settling in the suburbs of these megacities. Spain has a well-developed public transport system, and the journey from home to office in the city center by train or bus will take about 30 minutes.
Renting an apartment with one bedroom will cost about 450-650 EUR, with two - 600-100. Do not forget that in large cities an apartment of 60-90 square meters may cost more than a thousand euros. The average monthly rental price for the most demanded types of properties is around 700 euros. The room can be rented for 200-450 euros. You should add the cost of utilities: electricity, water, gas and Internet. Please note that for heating you will also have to pay a rather impressive amount: from 50 to 150 EUR per month.
The cost of renting an apartment on average in Spain is 9 euros per square meter of housing. All homeowners in Spain need to consider that under the laws of the country, the tenant is more protected than the landlord. The initial long-term lease agreement is usually drawn up for a period of one year, but the tenant has the right to annually renew the lease term until it is five years. During these five years, rental price can only be raised in accordance with the inflation index.
Good to know: the average profitability of real estate in Spain is about 6% per annum. Current mortgage rate in Spain is around 2,25%.
In order to learn the numbers for rental housing in the Spanish kingdom, we list some examples for the most popular regions among foreigners:
Let's compare average purchase and rental price in Spain:
- In Malaga you can rent an apartment with a total area of 85 sq. m. with 1 bathroom and 2 bedrooms for 750 EUR/month.
- In Torrevieja an apartment with a total area of 120 square meters with 4 bedrooms is 400 EUR per week.
- In Las Palmas de Gran Canaria, it is possible to find an apartment with a total area of 80 square meters with 3 bedrooms and 2 bathrooms for 600 EUR per month.
Let's compare average purchase and rental price in Spain:
How much you may spend on a property in Spain? Well, it depends on a chosen coast, your budget and preferences. The most popular, affordable and the warmest one is Costa Blanca. You may learn some prices on a highly demanded Spanish cities from this table:
Important points to understand about buying a property in Spain:
1) You can easily take a mortgage in Spain (the lowest percentage in Europe!) if you have a stable income.
2) Remember, that housing in Spain is not only a purchase, but also a maintenance. Utility bills and unforeseen expenses can amount to 2,000-5,000 and even 7,000 euros, depending on the location and type of a property. But at least you can always purchase an insurance that covers accidents.
3) The option of "buy and rent out" may work or not, because the competition is high enough - for this we advise you to contact the agency that will rent out your apartment for a fee.
4) Renting for a season or a couple of years is a reasonable choice, but if you plan to reside in Spain, we advise you to consider buying your own home. Especially in case of a new property in big cities or in resort area, where the price significantly rises when the construction is finished so you may obviously profit from it.
2) Remember, that housing in Spain is not only a purchase, but also a maintenance. Utility bills and unforeseen expenses can amount to 2,000-5,000 and even 7,000 euros, depending on the location and type of a property. But at least you can always purchase an insurance that covers accidents.
3) The option of "buy and rent out" may work or not, because the competition is high enough - for this we advise you to contact the agency that will rent out your apartment for a fee.
4) Renting for a season or a couple of years is a reasonable choice, but if you plan to reside in Spain, we advise you to consider buying your own home. Especially in case of a new property in big cities or in resort area, where the price significantly rises when the construction is finished so you may obviously profit from it.
5. Property taxes
When owning the property, one cannot forget about the taxes to pay. There are three main property taxes that you need to consider.
1) Municipal property tax (Impuesto Sobre Bienes Inmuebles or IBI) - from 0.4 to 1.1% of the cadastral value of the property, which is a couple times less than its market price.
2) Personal income tax (Impuesto Sobre la Renta de las Personas Fisicas or IRPF) in case a property is your second home, not the main place of residence. It is 0.48% or 0.265% of inventory. If the cadastral value has changed since 1994 then the lower rate applies.
3) Wealth tax – if your wealth is more than 700,000 EUR you are obliged to pay 0.2 to 2.5% depending on the rates in a region of your residency.
You can read more about taxes and running costs here.
1) Municipal property tax (Impuesto Sobre Bienes Inmuebles or IBI) - from 0.4 to 1.1% of the cadastral value of the property, which is a couple times less than its market price.
2) Personal income tax (Impuesto Sobre la Renta de las Personas Fisicas or IRPF) in case a property is your second home, not the main place of residence. It is 0.48% or 0.265% of inventory. If the cadastral value has changed since 1994 then the lower rate applies.
3) Wealth tax – if your wealth is more than 700,000 EUR you are obliged to pay 0.2 to 2.5% depending on the rates in a region of your residency.
You can read more about taxes and running costs here.
6. Other expenses of property running
Community fee, known as comunidad, is a popular service in residential complexes.
Owners of apartments with a communal zone (pool, garden, secure parking, common stairwell, basement, yard) will have to pay €1000-2000 per year for the maintenance of the territory in case of a new or luxury residential complexes. For individual houses, this amount depends on the degree of urbanization (garbage collection, security, cleaning of the surrounding area, road lighting) and ranges from € 500 to € 1,500 per year. In elite complexes with developed infrastructure (tennis courts, sauna, gym, restaurant, pool) the annual fee can be several times higher.
The weekly work of the gardener will cost the owner of a private house € 80-200 per month (depending on the size of the plot), cleaning the pool (once a week) - € 50-120 per month; house cleaning - € 7-10 per hour.
Owners of apartments with a communal zone (pool, garden, secure parking, common stairwell, basement, yard) will have to pay €1000-2000 per year for the maintenance of the territory in case of a new or luxury residential complexes. For individual houses, this amount depends on the degree of urbanization (garbage collection, security, cleaning of the surrounding area, road lighting) and ranges from € 500 to € 1,500 per year. In elite complexes with developed infrastructure (tennis courts, sauna, gym, restaurant, pool) the annual fee can be several times higher.
The weekly work of the gardener will cost the owner of a private house € 80-200 per month (depending on the size of the plot), cleaning the pool (once a week) - € 50-120 per month; house cleaning - € 7-10 per hour.
If the owner cannot be permanently in Spain, he or she should use the services of a management company. Management companies pay bills, look after the property and clean the common areas. When buying an apartment in a modern complex, it will be easy to find such a company, as they are often created by the developer himself. In Spain, the services of a management company are cheaper than in the rest of Europe. Often the fee is not taken per square meter, but per unit of housing and is € 1 per day (€ 365 annualy).
There are companies that calculate the cost of their services based on the area, but then the cost per square meter decreases depending on the area. Per year, it goes from € 6 to € 15 (an average of € 8.4) per square meter. m. For this amount, management companies provide security and support for the entire complex, including cleaning of common areas (at the same time, it is possible to agree on cleaning a private apartment for extra money).
Home insurance is optional if your property is not purchased with a mortgage from a bank. Depending on what you want to insure, the size of insurance varies. The minimum amount starts from € 80. And the most comprehensive insurance, including possible damage to third parties, costs € 460 per year.
There are companies that calculate the cost of their services based on the area, but then the cost per square meter decreases depending on the area. Per year, it goes from € 6 to € 15 (an average of € 8.4) per square meter. m. For this amount, management companies provide security and support for the entire complex, including cleaning of common areas (at the same time, it is possible to agree on cleaning a private apartment for extra money).
Home insurance is optional if your property is not purchased with a mortgage from a bank. Depending on what you want to insure, the size of insurance varies. The minimum amount starts from € 80. And the most comprehensive insurance, including possible damage to third parties, costs € 460 per year.
7. Running costs of property compared to UK
Let's look at the average price of annual running costs for a 2-bedroom apartment in the UK.
If we take into account that in Spain, on average, the maintenance of an apartment costs 3,100 euros, then almost double difference is obvious. By the way, home insurance in England costs an average of 200 to 700 euros per year, which is not significantly more expensive than in Spain.
Renting a studio in England on average costs from 700 to 1600 euros, an apartment / townhouse with two bedrooms is from 1000 to 3000 euros, and an apartment, house or townhouse with three bedrooms will cost you from 1200 to 5000 euros. The price range is very wide, as the cost of living in London, and for example in Birmingham, is significantly different. In London or Manchester, it would definitely be on an expensive side.
Renting a studio in England on average costs from 700 to 1600 euros, an apartment / townhouse with two bedrooms is from 1000 to 3000 euros, and an apartment, house or townhouse with three bedrooms will cost you from 1200 to 5000 euros. The price range is very wide, as the cost of living in London, and for example in Birmingham, is significantly different. In London or Manchester, it would definitely be on an expensive side.
On average, rental price is 37% higher in the UK than in Spain, while the purchase price is about 70% higher in the UK!
8. How much does it cost to live in Spain?
We have already discussed the cost of maintaining housing, and now let's look at other important expenditures, the costs of which may surprise you, hopefully in a good way.
Cost of public transport in Spain
Despite the fact that there is more than one car in every family in Spain, transportation costs here include not only the cost of gasoline (about € 1.1-1.3 per 1 liter) and the maintenance of the car, but also the cost of public transport.
A bus ride costs € 1.4. You can save money by buying a travel card that is valid for month. It will cost you € 45-55. The advantage of using it is that transfers from route to route within an hour and a half are not considered separate trips. In cities where there is a metro, a pass allows you to use both the metro and ground public transport (buses, trams, some funiculars and even the railway within the city).
If you want to travel, for example, from Barcelona to Valencia or Madrid by train, then such a trip can cost €50-€ 80 per person. (The closer to the voyage date, the higher the cost, sale of tickets starts 60 days before).
If traveling long distances with family, the Spaniards prefer to use a car - it is more affordable. By the way, personal car insurance will cost you about € 400-500 per year, and tax is € 100-150 annually.
A bus ride costs € 1.4. You can save money by buying a travel card that is valid for month. It will cost you € 45-55. The advantage of using it is that transfers from route to route within an hour and a half are not considered separate trips. In cities where there is a metro, a pass allows you to use both the metro and ground public transport (buses, trams, some funiculars and even the railway within the city).
If you want to travel, for example, from Barcelona to Valencia or Madrid by train, then such a trip can cost €50-€ 80 per person. (The closer to the voyage date, the higher the cost, sale of tickets starts 60 days before).
If traveling long distances with family, the Spaniards prefer to use a car - it is more affordable. By the way, personal car insurance will cost you about € 400-500 per year, and tax is € 100-150 annually.
Cost of food in Spain
Of course, we all have our own ideas about what it means to be "expensive" or "cheap". Someone eats only in restaurants, and someone visit them only on special occasions; someone spends €30 a week on food per person, while others spend hundreds. Let's have a look at average prices for food in Spanish supermarkets.
Locals prefer to buy vegetables and fruits in food markets, because the choice is wider and the price is lover, while other products they usually purchase in supermarkets by their homes.
As for the restaurants, the average cost of a meal plus drinks varies from €12 to 50 per person, depending on the category of a place and a menu. The price is also influenced by the location of the restaurant. For example, if you decide to have lunch in the tourist center of Barcelona or Valencia, you are likely to spend more than €15 per person, even just for a piece of pizza and a glass of beer.
If you step off tourist zones, you may find a three-course lunch for less than €15. There are buffets where you can eat anything you want for €15-20.
Eating in fast food is much cheaper: € 4 for a local paella in a cafe; about € 8 for a lunch in American fast-food place.
As for the restaurants, the average cost of a meal plus drinks varies from €12 to 50 per person, depending on the category of a place and a menu. The price is also influenced by the location of the restaurant. For example, if you decide to have lunch in the tourist center of Barcelona or Valencia, you are likely to spend more than €15 per person, even just for a piece of pizza and a glass of beer.
If you step off tourist zones, you may find a three-course lunch for less than €15. There are buffets where you can eat anything you want for €15-20.
Eating in fast food is much cheaper: € 4 for a local paella in a cafe; about € 8 for a lunch in American fast-food place.
It's interesting: in Barcelona a glass of cold beer in a restaurant will cost you € 6, in a bar on the Costa Blanca - € 1,5-2.
Depending on your preferences, food costs can range from €200 to several hundred euros per month. Of course, cooking for a family significantly reduces the cost of food per person, while frequent visits to restaurants can increase the total spending significantly.
Cost of education in Spain
Concerning the primary and secondary education, there are 3 types of school in Spain: state, private and Catholic. In private or international schools, they teach in English following the British programs (or others, for example, Montessori). It is believed that after graduating from such an institution it will not be difficult for a child to enter prestigious universities around the world. The cost of studies there is from 500 to 1000 EUR per month. It happens more, but as an exception. The amount includes the whole range of "services" - sports, elective courses, meals, transport, etc.
Most children in Spain attend public schools which are free of charge. In some municipal schools, parents only pay for books, depending on the age of the child, it may vary from 100 to 350 EUR per year.
Catholic schools devote a lot of time to religion. Unlike public and private, Catholic schools not only teach, but also discipline children.
Studying in Spanish universities is rather economically profitable, especially comparing to the UK. In spite of everything, the public university remains in general a much cheaper option than the private universities. Depending on a level of university, the cost of studying at a state university is from 1,000 euros per year, in private the cost varies from 7,000 to 22,000 euros per year. The possibility of obtaining a scholarship or study aid must also be taken into account. The price for MBA program is from 7,000 to 40,000 euros. You will also have to take into account the cost of the books; every September you will spend about 500 EUR in the bookstore.
Most children in Spain attend public schools which are free of charge. In some municipal schools, parents only pay for books, depending on the age of the child, it may vary from 100 to 350 EUR per year.
Catholic schools devote a lot of time to religion. Unlike public and private, Catholic schools not only teach, but also discipline children.
Studying in Spanish universities is rather economically profitable, especially comparing to the UK. In spite of everything, the public university remains in general a much cheaper option than the private universities. Depending on a level of university, the cost of studying at a state university is from 1,000 euros per year, in private the cost varies from 7,000 to 22,000 euros per year. The possibility of obtaining a scholarship or study aid must also be taken into account. The price for MBA program is from 7,000 to 40,000 euros. You will also have to take into account the cost of the books; every September you will spend about 500 EUR in the bookstore.
To get an idea, take a look at what it costs to study medicine in private universities that offer this degree: 17,000 euros per year!
Cost of healthcare in Spain
Medical insurance in another one among the mandatory expenses. In Spain, if a person is officially registered at the place of residence, he or she is entitled to free medical care. But not all services can be obtained free of charge, and the length of the appointment queue is sometimes is very long: the wait time with insurance is rather short.
Health insurance can cost between €30-80 per month, depending on your needs and age. But the visit to a doctor, if you do not have insurance and there or right to free medical care, may cost you around €100-300.
Who are entitled to free medical care in state medical hospitals?
Tourists who come from other countries, in case of lack of any documents allowing to receive free medical services in Spain, will have to contact private or state medical centers on a paid basis, even in case of emergency.
Health insurance can cost between €30-80 per month, depending on your needs and age. But the visit to a doctor, if you do not have insurance and there or right to free medical care, may cost you around €100-300.
Who are entitled to free medical care in state medical hospitals?
- Spanish citizens
- Citizens of the EU (European Health Insurance Card) or citizens of countries with which Spain has certain agreements. Citizens of Switzerland, Norway, Iceland and Liechtenstein, according to the agreement, are entitled to free medical care in Spain in case of illness or in case of accident. Residents of countries such as Andorra, Brazil, Chile, Ecuador, Peru and Paraguay, through a bilateral agreement with Spain, are also entitled to free emergency medical services or reimbursement of expenses.
- Those who have a travel insurance or an international insurance valid in Spain;
- In emergency cases, children under 18 years and pregnant women (Ley Orgánica 4/2000). According to the law, minor foreigners, as well as women during pregnancy, childbirth and the postpartum period, are entitled to emergency medical care, regardless of their legal status in Spain.
Tourists who come from other countries, in case of lack of any documents allowing to receive free medical services in Spain, will have to contact private or state medical centers on a paid basis, even in case of emergency.
Cost of childcare in Spain
The expenses of childcare centers are rather expensive. Based on the cost published by the Autonomous Communities for nurseries, the monthly fee is between 350-400 EUR for a couple who does not have another alternative to care for the baby during working hours. In public nurseries the rates are different in each case. They are calculated based on income and family situation. Most pay a monthly fee that includes full-time and dining. In this sense, in the Community of Madrid prices range between €60 for the lowest income and €200 for the highest income. Usually, nurseries are available for babies from 3 months to 3 years. Maternity leave in Spain is up to 4 months, so it is quite common to leave toddlers in a nursery after returning to work.
Those, who are 3-6 years, may go to infant schools or kindergartens in Spain. They cost around 200-600 EUR. Though pre-school is not a compulsory, almost everyone attends them.
Those, who are 3-6 years, may go to infant schools or kindergartens in Spain. They cost around 200-600 EUR. Though pre-school is not a compulsory, almost everyone attends them.
42,600 euros – average expenditures on a baby during the first three years of life in Spain. The cost of a childcare from birth to age 18 is at a minimum of 120,000 and a maximum of 350,000 euros in Spain. Raising a baby up to three years is one of the most expensive stages. On average, a child carries an expenditure of 1,183 euros per month during the first three years, which represents 81% of the average monthly net salary of a worker in Spain.
9. Cost of living in Spain vs. UK
The cost of living in the United Kingdom is generally much higher than in Spain. However, this difference mainly affects tourists visiting this country or the unemployed, since the average salary in the UK is almost 60% higher if compare to Spain. For clarity, we analyzed and compared the cost of food, real estate and other expenses in Spain and England. Prices are in euro.
Most of the students choose state universities in Spain.
The shopping cart and restaurant visit is generally much more expensive in Britain. Consumer prices in the UK are on average 30% higher than in Spain, whereas restaurants in Spain are 40% more affordable. The UK prices are expected to rise on at least 10% due to BREXIT.
Public transport is half more expensive in the United Kingdom than in Spain. Spain holds the second place after Italy in Europe in terms of the most affordable fare - an average of 45 euros per monthly pass. Unfortunately, the price of one kilometer in taxi is on average twice as higher as in Spain. All in all, cost of living in Spain is 20-30% cheaper than in UK, depending on a city, and a rent price is on average 30-40% lower.
The rent of a type apartment of up to two rooms, located in the center of a city, moves in fairly standard scales, around 650 EUR. For its part, the United Kingdom is the least affordable option if you look at its real estate market. The country is the most expensive if you want to rent an apartment: a month's rent with bills is over 1000 EUR. The cost of monthly utilities in Spain is among the cheapest in Europe.
If you add year-round sunny weather, warm sea to affordable prices in Spain, the UK does not withstand this competition! That is why Spain is still the number 1 destination for British retirees. We definitely recommend you visiting Spain and experience its leisurely lifestyle.
Public transport is half more expensive in the United Kingdom than in Spain. Spain holds the second place after Italy in Europe in terms of the most affordable fare - an average of 45 euros per monthly pass. Unfortunately, the price of one kilometer in taxi is on average twice as higher as in Spain. All in all, cost of living in Spain is 20-30% cheaper than in UK, depending on a city, and a rent price is on average 30-40% lower.
The rent of a type apartment of up to two rooms, located in the center of a city, moves in fairly standard scales, around 650 EUR. For its part, the United Kingdom is the least affordable option if you look at its real estate market. The country is the most expensive if you want to rent an apartment: a month's rent with bills is over 1000 EUR. The cost of monthly utilities in Spain is among the cheapest in Europe.
If you add year-round sunny weather, warm sea to affordable prices in Spain, the UK does not withstand this competition! That is why Spain is still the number 1 destination for British retirees. We definitely recommend you visiting Spain and experience its leisurely lifestyle.
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