El blog de Maria

If you own a place in Spain (or plan to), it helps to know how a Spanish will differs from a UK/US (or other) will. A few tweaks now can save your heirs time, cost and stress later.

Key points (quick read)

• Which law applies?
  Spain has forced heirship by default. Under EU Succession Reg. 650/2012, most expats can choose their national law in a Spanish will (e.g., England & Wales, Scotland, your US State), restoring the freedom you’re used to.

• Formality
  Spain’s standard is an open notarial will (signed before a notary, recorded and traceable). UK/US wills are private documents with witnesses; no mandatory registry.

• Administration
  With a Spanish notarial will, heirs usually complete a notarial deed of acceptance in Spain faster. Without one, expect extra steps: declarations of heirs, sworn translations, apostilles, and foreign probate papers.

• Taxes (very brief)
  Spain has Inheritance Tax with rates/allowances set by each region. UK has IHT at 40% above its thresholds; the US has high federal thresholds plus some State taxes. Cross-border planning matters.

Often the smoothest setup

• Two-will approach:
  One Spanish will limited to Spanish assets + one home-country will for the rest.
  Make sure they’re harmonised (no accidental revocation) and include a clear choice-of-law if that’s your intention.

Common pitfalls

• No choice-of-law clause when you want UK/US rules.

• A new home-country will that unintentionally revokes the Spanish one.

• Heirs later lacking NIE, translations or apostilles.

Quick checklist

• Spanish notarial will (limited to Spanish assets) with choice-of-law if desired.

• Home-country will updated and consistent.

• Plan for NIE, translations, apostilles, and your region’s tax rules.

Happy to keep this non-commercial and on-thread.
Tell me which jurisdiction your will is from (E&W, Scotland, a US State, Ireland, Canada, etc.) and I’ll outline the practical differences vs a Spanish will and what your heirs would face here.

If you own a property in the Valencia region and rent it out, you’ve probably heard about the 2024 regulatory change that affects how short and medium-term stays must be managed. Many owners still feel unsure: Should I use my tourist licence for all stays? Or can I use a seasonal contract under the LAU for longer holiday lets?

The good news is that the rules are now much clearer.

Tourist Rentals (VUT) – Up to 10 Nights

• Applies to stays of 10 nights or fewer.

• Requires a tourist licence (VUT number) registered with the Generalitat Valenciana.

• Guest data must be registered with the police (SES.Hospedajes).

• Advertising is mainly through tourist platforms such as Airbnb, Booking, etc.

• Services such as bedlinen and cleaning are expected, in line with the tourism model.

Seasonal Rental Contracts (LAU) – 11 Days or More

• Applies to stays of 11 days or more, whether for holidays, study, or temporary work.

• Covered by the Ley de Arrendamientos Urbanos (LAU) as a seasonal let (uso distinto de vivienda).

• No tourist licence is needed.

• The deposit is two months’ rent, and it must be lodged with the Generalitat Valenciana within one month of signing.

• Guest registration with the police is not required.

• Should be advertised as a seasonal or medium-term rental, not as a tourist let, to avoid confusion with tourism regulations.

Why This Matters

Understanding the difference between the two regimes is essential if you want to:

• Avoid fines or the risk of losing your tourist licence.

• Maximise your rental income by legally accepting both short stays and longer bookings.

• Provide tenants with the correct contract type, protecting both you and them.

Quick Comparison

Final Thought

In short:

• Up to 10 nights = Tourist let (VUT).

• 11 days or more = Seasonal rental under the LAU.

This distinction allows property owners in Valencia to combine both systems safely — short tourist lets on licensed platforms and longer stays with proper seasonal contracts.

Have you tried offering seasonal contracts for longer holiday bookings?
Share your questions and experiences here — this is a common issue for many property owners, and your input could help others!

A landmark ruling from Spain’s Audiencia Nacional on 28 July 2025 has brought very welcome news for non-EU property owners who rent out their homes in Spain.

For years, there has been a clear disparity in how rental income was taxed depending on whether you were resident in the EU/EEA or outside it.

• EU/EEA residents could deduct all relevant expenses – such as repairs, community fees, insurance, mortgage interest – and then pay 19% tax on the net rental income.

• Non-EU residents (including British owners since Brexit, as well as Swiss, US, Canadian and many others) had no such right. They were forced to pay 24% on gross income, with no deductions allowed at all.

This system has now been declared unlawful by the Court. The judges confirmed that it violates EU law (Article 63 of the Treaty on the Functioning of the European Union) because it restricts the free movement of capital not only between EU states but also between the EU and third countries.

What does this mean in practice?
Non-EU owners who rent out property in Spain can now deduct their expenses when filing their Spanish Non-Resident Income Tax return (Modelo 210). Even more importantly, they may be entitled to claim back overpaid tax from the last four years by requesting a rectification of their returns.

The court did not yet address the issue of the different tax rates (24% vs 19%), but cases are ongoing and many lawyers expect further progress on this front too. For now, the key victory is that the door to deductions has been opened.

Why is this important?
For many non-EU landlords, the inability to deduct costs meant paying tax on money they never truly earned. For example, if you rented out your property for €10,000 a year but had €3,000 in expenses, EU landlords paid tax on €7,000, while non-EU landlords paid tax on €10,000. This could easily make the difference between profit and loss.

The ruling is therefore not only a matter of fairness, but also of financial relief for thousands of non-EU property owners.

Next steps
If you are a non-EU property owner renting in Spain, now is the time to review your situation.

• You can file future returns including deductions.

• You can consider claiming back overpaid tax for the past four years.

This is a major step towards tax equality in Spain for non-EU landlords.

Have you been affected by this rule? Do you think you will be making a claim? Share your thoughts in the comments below.

Hello dear EOS readers! 
We hope you’re enjoying a well-deserved summer break — whether that’s on the beach, exploring Spain, or simply relaxing with family.

After spending the last few years very focused on expanding our services beyond our well-known stage of off-plan property claims, this year we want to dedicate more time to this beautiful EOS community, of which we’ve proudly been a part since 2006.

And we’ve got great news: over the coming months we’ll be sharing more content than ever — not just here on the blog but also through podcasts, guides, and practical tips to make your Spanish journey smoother. So stay tuned!

Let’s begin with one of the most common questions we hear from our favorite group of readers — retirees dreaming of or already enjoying life in Spain:

“How much time can I spend outside Spain without losing my residency?”

The rules in simple terms

• No more than 6 consecutive months outside Spain in any given year.

• No more than 10 months in total outside Spain during the first 5 years of residency.

If you follow these rules, you’ll be able to renew your residency without problems and, after 5 years, apply for long-term (permanent) residency.

If you don’t — for example, by spending 7 months abroad in one go, or a total of 12 months over the first 5 years — you risk losing your residency and having to start again.

Real-life examples

• Example 1: Within the rules
  A retired couple spends 2 months every winter visiting their children in the US. After 5 years, they’ve been away for 10 months in total — perfectly fine.

• Example 2: Still okay
  One year you’re abroad for 4 months, but then just short trips in the following years. Total time away is still under 10 months in 5 years. No problem.

• Example 3: Breaking the rule
  You’re away for 7 consecutive months to help a family member. Even if the total is under 10 months, the 6-month consecutive rule is broken, so you could lose your residency.

• Example 4: Too much travel
  You love travelling and end up spending 12 months abroad in 5 years. That’s above the 10-month total limit, which could put your residency at risk.

A quick tax note

Remember that holding an NLV means Spain should be your main home. If you spend more than 183 days in Spain in a calendar year, you’re considered a Spanish tax resident and must declare your worldwide income here. For many retirees this is perfectly manageable, but it’s worth checking with a tax advisor so there are no surprises.

If you have any questions, please leave your comments below — we’d be happy to answer them.

https://www.costaluzlawyers.com/contact/
_______________________

Maria L. de Castro, JD, MA

Lawyer

Director www.costaluzlawyers.es

Hi EyeonSpain members,

I’ve been part of this community since 2006, and I know that many of us own homes in Spain that we occasionally rent out — especially during the summer. That’s why I wanted to share a quick heads-up about something that’s causing a lot of confusion: the new National Registry for Short-Term Rentals (NIU), introduced by Royal Decree 1312/2024.

Starting July 1, 2025, any property in Spain used as a tourist rental (i.e. stays of less than 30 days promoted on platforms like Airbnb or Booking.com) must be registered in this new national database.

But here’s the part many owners aren’t being told — and it’s leading to incorrect rejections and unnecessary worry.

1. The new law is not retroactive.

If you were already renting your property with a valid regional tourist licence before July 1, 2025, you do not need fresh approval from your community of owners in order to register.
Some local authorities have wrongly rejected NIU applications for this reason — but these decisions can (and should) be appealed.

2. Seasonal rentals are not tourist rentals.

This is a big one. There’s a crucial legal distinction between tourist rentals and seasonal rentals (arrendamientos de temporada) — and not everyone (including some administrators) is getting it right.

• Tourist rentals = short stays, advertised to the public, with services like cleaning or reception. These must be registered in the NIU.

• Seasonal rentals = fixed-term private contracts for holidays, studies, or temporary work. These fall under Spain’s Urban Lease Law (LAU) and do not require NIU registration.

You can rent your home legally under a seasonal contract without falling under tourism law — and many of us have done so for years with no issue.

3. What your community of owners can’t do

A community of owners (comunidad de propietarios) can vote to restrict tourist rentals, but they cannot prohibit seasonal rentals signed under the LAU. These contracts are protected by national housing law, even if they are short-term.

The bottom line? These new rules are real, but so are the limits on what they can enforce. If you’ve been renting legally so far, chances are you don’t need to change anything — but if you’re being told otherwise, it’s worth getting a second opinion.

Feel free to share any questions or thoughts below — always happy to help.

Warm regards,
María ;)

Purchasing an Off-Plan Property: Key Protections for Buyers

Acquiring a new home off-plan is a significant investment and long-term commitment. To safeguard buyers, consumer protection bodies and public authorities recommend using a model purchase contract that prioritizes transparency, legal clarity, and security.

What is the model contract?
It is a legally binding agreement tailored for the purchase of properties under construction. It sets out clear terms that protect both parties, in accordance with the General Law for the Protection of Consumers and Users.

Main Highlights:

• Parties Involved: Developer or seller and the buyer.

• Purpose: Acquisition of the future property and its annexes (garage, storage unit, etc.).

• Price and Payment Structure: Includes the full purchase price (VAT included), initial deposit, staged payments during construction, and final balance on delivery.

• Financial Guarantees: Mandatory bank guarantee or insurance policy to secure all advance payments.

• Delivery Deadlines: Maximum date for completion and delivery, with provisions for penalties or contract cancellation in case of delays.

• Required Documentation: Includes floor plans, building permits, quality specifications, insurance policies, and homeowners' association rules.

• Mortgage Subrogation: Option for the buyer to assume the developer’s mortgage loan or opt for alternative financing.

• Rights and Obligations: Covers potential modifications, payment defaults, allocation of costs, and community regulations.

• Protected Housing: If applicable, outlines specific rules for subsidized or protected housing, including use and resale restrictions.

• Legal Jurisdiction: Disputes are handled by the courts in the area where the property is located.

This recommended contract model is designed to eliminate unfair terms and provide legal certainty throughout the buying process.

Request a PDF copy of the complete model contract in English.

Buying off-plan in 2025 can be an exciting way to secure your dream home at launch prices—but the contracts we’ve reviewed from our clients often hide clauses that expose you to unnecessary risk. Here are the most common red flags we’re spotting right now:

• Power of Representation: Contracts sometimes grant the promoter excessively broad powers of attorney. It’s crucial to verify that the person signing the contract actually has the authority to do so. Insist that any power of representation be strictly limited to specific, narrow circumstances.

• Work Without Permit: Never agree to pay installments before the building permit is obtained. Until that permit is in hand, your payments aren’t legally protected.

• Exact Measurements: Ensure the contract specifies the exact usable and built square meters you’re buying—no rounding, no “approximately.”

• VAT Rate Verification: Off-plan residential properties should carry a 10 % VAT rate. Verify this in writing and prevent any higher or alternative tax from being imposed.

• Deposit Guarantee: Any sum paid in advance must be secured by a bank guarantee or insurance policy (“aval bancario” or “seguro de caución”), and should only be backed by the constructing company—since these firms are often set up ad hoc for that sole purpose—not held at your sole risk.

• Mortgage Denial Protection:

  “The effectiveness of this contract is subject to the Buyer obtaining the requested mortgage. If the lending institution denies financing or subrogation through no fault of the Buyer, the contract shall be automatically terminated and the Developer shall refund all amounts paid within 5 business days, without interest.”

  This clause must be expressly negotiated, as case law only recognizes this suspensive effect of financing failure when it is contractually stipulated.

• Fixed Delivery Date: Tie the hand-over date explicitly to the issuance of the first-occupancy license (or the start of occupancy) so you know exactly when you’ll get the keys or can enforce your guarantee.

• Costs According to Law: All expenses—notary, registry, taxes, initial community fees—must be allocated and capped in accordance with the Civil Code, not at the promoter’s whim.

• Symmetrical Penalties: If the promoter fails to deliver on time, their penalty should match the one you face—ideally set at the legal interest rate on money.

🔍 Free Initial Contract Review
As part of our educational mission, we offer a complimentary first review of our clients’  off-plan purchase contracts. Let us uncover hidden risks before you sign—contact us today!

Renting a home: principal residence, is one of the most important decisions we make, and signing a contract is a crucial step. But did you know that not all the clauses proposed to you are legal? In Spain, the Urban Leases Act (LAU) and the Civil Code protect tenants from certain abusive conditions.

It's essential that, before signing, you examine every point closely. An abusive clause can lead to unexpected problems and expenses in the future. Here are some of the most common ones to watch out for:

Clauses often considered abusive:

• Waiver of the mandatory contract extension: The LAU establishes a minimum duration for rental contracts (currently 5 years for individuals and 7 for legal entities, if the contract was signed from March 2019 onwards, with annual extensions until these terms are met). Any clause that forces you to waive this right is null and void.

• Obligation to pay for unagreed improvement works: As a tenant, you're responsible for ordinary maintenance and minor repairs. However, improvement works that haven't been expressly agreed upon or that serve to improve the habitability of the home are, generally, the landlord's responsibility.

• Demand for a security deposit higher than legally allowed: The law states that the legal security deposit is one month's rent. Although additional guarantees (such as bank guarantees or deposits) can be requested, these have limits and cannot replace the legal security deposit.

• Imposition of disproportionate penalties for early termination: If you decide to leave the property early, the LAU allows the landlord to receive compensation, but this is usually limited to one month's rent for each year remaining on the contract, prorated for shorter periods. Excessive penalties can be abusive.

• Prohibition from registering at the property (empadronamiento): It's a fundamental right of the tenant to be able to register at the property they inhabit. Any clause preventing this is null and void.

• Obligation to pay expenses that belong to the landlord: The law establishes which expenses correspond to each party (for example, IBI or community fees are usually the landlord's responsibility, unless expressly and clearly agreed otherwise). A clause that makes you pay expenses that are not legally yours can be abusive.

• Waiver of the return of the security deposit for non-payment of rent or utilities: The security deposit is intended to cover damages or losses the tenant may cause to the property, as well as unpaid rent or utilities. You cannot waive its return in advance.

What to do if you find an abusive clause?

1. Don't sign the contract as is: Negotiate with the landlord or agency to remove or modify the clause.

2. Get informed and seek advice: If you have doubts, consult with a lawyer specializing in real estate law or with a consumer association. They can tell you if the clause is truly abusive and what steps to follow.

3. If you've already signed: Not all is lost. Abusive clauses are null and void by law, meaning they are considered as if they were never written, even if they appear in the contract. You could challenge them legally.

Your peace of mind and legal security come first. Don't rush into anything, and defend your rights as a tenant!

As part of our educational outreach, our law firm will identify any abusive clauses in your contract and explain them to you free of charge. Contact us, and we’ll locate those clauses and propose amendments within 24 hours.

Have you had any experience with abusive clauses in rental contracts? Tell us your case in the comments! 👇

Hey there, everyone! If you're thinking about retiring to Spain, you're not alone—more and more people are choosing our beautiful country as their retirement destination. But before you pack your bags and start dreaming about sunny days on the beach, it’s important to understand how taxes and healthcare work here. So let’s go over the essentials!

Taxes for Retirees in Spain
Tax Residency:
You’ll be considered a tax resident in Spain if you spend more than 183 days per year here. This means you’ll pay taxes on your worldwide income, including pensions. However, Spain has double taxation agreements with many countries, which often prevents you from being taxed twice on the same income.

Pension Income Tax:
Pensions are generally taxable in Spain for tax residents, but it depends on the type:

• Private pensions (from employment or savings): taxed in Spain as earned income.
• Government pensions (e.g., from public service, military, or civil service): usually taxable only in the country of origin if a bilateral treaty so provides.

Spain also offers some tax deductions for pension income, and you may benefit from other treaty protections depending on your home country.

Non-Resident Taxation:
If you don’t spend 183 days or more in Spain and don’t become a tax resident, you generally won’t pay Spanish tax on pensions from abroad. The non-resident income tax of 24% (or 19% for EU/EEA residents) only applies to Spanish-source income, not foreign pensions.

Healthcare Access in Spain
EU/EEA Retirees:
You’re not covered for a full year just with the EHIC (European Health Insurance Card)—that’s only for short-term stays. If you're a pensioner from an EU/EEA country and receive a state pension, you can request the S1 form from your home country's health authority. Registering this in Spain gives you full access to public healthcare, free of charge.

Non-EU Retirees:
You can access public healthcare in Spain by registering and paying into the system through the Convenio Especial (Special Agreement). This allows you to pay a monthly fee (around €60–€157/month depending on age) to get full access to Spain’s high-quality public healthcare.

Bilateral Agreements:
If your home country has a social security agreement with Spain (e.g., Canada, the U.S., Australia), you may be entitled to public healthcare without additional payments, depending on your contribution record and agreement terms.

A Little Personal Note
We totally get it—moving to a new country is a big deal, and figuring out the tax and healthcare systems can feel overwhelming. But don’t worry, you’re not alone! We’ve helped many retirees make the move to Spain and understand all these details. We’re here to guide you every step of the way.

Conclusion
Taxes and healthcare in Spain are different from what you might be used to, but once you understand the basics, it's manageable. Just make sure to check whether your country has a double taxation or social security agreement with Spain to avoid surprises, and don’t forget to get properly registered for healthcare once you settle in.

Retirees are some of our favorite clients—you bring experience, wisdom, and wonderful stories. If you have any questions or need help planning your move, don’t hesitate to reach out. We’d love to help make your retirement in Spain smooth and enjoyable.

Looking forward to hearing from you soon!

Since the Brexit transition ended in December 2020, we've met many British citizens who’ve continued living in Spain without a formal residency status. Some missed the deadline to apply under the Withdrawal Agreement. Others didn’t realise they needed to. It’s more common than people think. If that’s your case, you’re not alone.

The good news is that on 20 May 2025, new immigration rules came into force in Spain that open up more realistic and accessible ways to regularise your status. We’ve gone through the details and broken them down below, focusing on what might actually work for people who’ve made their lives here.

Social Arraigo – Two Years of Residence

If you’ve lived in Spain for at least two years, are registered on the padrón, and have a job offer—or strong community ties—you could apply for a one-year residence permit (renewable for four years). This is the route we most often see used by people who’ve quietly settled into Spanish life but never formalised their situation.

Labour Arraigo – Residence Through Employment

Have a valid job contract and been here two years? You might be eligible for labour arraigo. This option recognises your contribution to the local economy and provides a legal path forward if you’re already working.

Family Arraigo – Ties to Spanish or EU Nationals

If you have a child who is a Spanish or EU citizen, or a partner who is Spanish, there may be a direct way to get a five-year residence permit. We've come across many people who didn’t realise their family situation could give them access to legal residency.

Other Legal Routes

• Arraigo for Training – If you’re enrolling in a recognised course.

• Second-Chance Arraigo – If you once had legal residency but let it lapse.

• Extraordinary Regularisation (Proposed) – There’s a proposal that could allow people who were living in Spain before 31 December 2024 to regularise their situation. We’re keeping an eye on it.

Alternative Visas

If you’re still in the UK or thinking of restarting from scratch:

• Digital Nomad Visa – For those working remotely for companies abroad.

• Non-Lucrative Visa – For those with passive income or savings who aren’t planning to work in Spain.

Final Thoughts

Choosing the right route depends on your personal circumstances. We’ve put together this summary to help people understand what’s available now—without the legal jargon. These paths aren’t theoretical. We see people using them. Some involve more paperwork than others, but if you’ve made your life here, there’s likely a way forward.

If you think one of these applies to you, take some time to look into it. And if you’re not sure, it’s worth asking. Even a short conversation can help clarify what’s realistic in your case.

www.costaluzlawyers.com