From Larraín Nesbitt Abogados, we wish all our clients and friends a Merry Christmas and a Happy New Year!

The law firm will now remain closed for the holiday season and will reopen for business on the 7th of January 2026.

                                                                            ---

Desde Larraín Nesbitt Abogados, deseamos a todos nuestros clientes y amigos unas muy Felices Fiestas y un próspero Año Nuevo.

El despacho permanecerá cerrado por vacaciones y nos reincorporaremos el 7 de enero 2026.

Marbella-based Larrain Nesbitt Abogados has over 22 year’s taxation & conveyancing experience at your service. Our team of native English-speaking lawyers and economists have a long track record successfully assisting expats all over Spain. You can review here our client’s testimonials.

Blog post copyrighted © 2025. Plagiarism will be criminally prosecuted.

By Raymundo Larraín Nesbitt
Lawyer – Abogado
16^th of December 2025

Spain heads for an unprecedented housing crisis induced by the ruling administration.

Despite repeated warnings from experts, from all sides of the political spectrum, which have gone unheeded by the Spanish government, as predicted, property and rental prices continue escalating, having surpassed the maximums of the 2008 property bubble. According to the latest figures, property prices have increased 12.8% over the last year.

The governments' continued market interventionism, both in the housing and rental markets, has stifled offer, strangling it. As a result of an induced housing and rental shortage, prices are spiralling out of control nationwide.  

Whilst this may sound good at first glance, because everyone feels richer on paper, it’s actually very bad news.

A moderate growth in house prices (3 to 5%) is almost always the desired goal. A sharp rise of two digits year-on-year is causing serious issues. The vulnerable collectives this administration allegedly vowed to protect, by passing draconian rental laws such as Spain's Housing Act, are the first ones to be excluded from the market by the soaring increase in house and rental prices. But what's even more concerning is that large parts of Spain's middle class are also being priced out, which is unprecedented, and takes the housing problem to a whole new level. In effect, as a result of these misguided housing policies, we are witnessing a destruction of the middle class, which can only lead to political instability in the future. The dramatic increase in house prices is also giving wings to the squatter movement, which is at historic record levels. 

On top of this, a new phenomenon is taking place, which is the emergence of shanty towns overnight that sprout like mushrooms all over Spain and are associated with a rise in crime. They trap young children, often unschooled, in a poverty and criminal spiral. The unbridled rise of shanty towns and mobile caravan parks is the biggest red flag, showing something is seriously wrong with the government’s housing policy. And when you think the government would stop dead on its tracks and realise the shortcomings of its failed housing policy, they actually double down on it, enacting new laws which further compound and exacerbate existing problems and even create new ones! It beggars belief.

I don’t want to go into detail, but the gist of the matter is that under 100,000 properties are being built every year when the actual need is well over 500,000 units a year. If to this, you add an open immigration policy which welcomes everyone - both legal and illegal - we are brewing a perfect storm. To put this into perspective, in 2015 Spain’s population was 46 million people. Now, in 2025, a decade later, we have almost 50 million people. That’s a 9% increase in under 10 years. Despite all this, the government has openly admitted it wants 3.5 million more immigrants by 2030.

The government is adding fuel to an ongoing dumpster fire by allowing millions of people to come freely into Spain, almost unchecked, whilst building a (very) low amount of housing units a year (mostly out of ideological reasons). Consequently, if few homes are built, and simultaneously there is a massive population influx in a short span of time, rental and housing prices will boom following the laws of demand and supply. It’s basic economics.

The Spanish government has irresponsibly chosen to plough ahead and disregard the fundamentals of how Economics works, and as a result, both the native population, and all new immigrants, will suffer over the next years and pay the price for its blind ideological hubris.

Maths, cornerstone of Economics, doesn’t understand about ideologies.

“Two things are infinite: the universe and human stupidity; and I’m not sure about the universe.” – Albert Einstein

Larraín Nesbitt Lawyers, small on fees, big on service.

Larraín Nesbitt Lawyers is a law firm specialized in taxation, conveyance, immigration & residency, inheritance, and litigation. We will be very pleased to discuss your matter with you. You can contact us by e-mail at info@larrainnesbitt.com, by telephone on our UK line: (+44) 07543 838 218, or our Spanish line: (+34) 952 19 22 88, or by completing our contact form.

Legal & tax services available from Larraín Nesbitt Abogados (LNA):

• Conveyancing in Spain – Buying
• Conveyancing in Spain – Selling

Please note the information provided in this blog post is of general interest only and is not to be construed or intended as substitute for professional legal advice. This article may be posted freely in websites or other social media so long as the author is duly credited. Plagiarizing, whether in whole or in part, this article without crediting the author may result in criminal prosecution. VOV.

2.025 © Raymundo Larraín Nesbitt. All Rights Reserved.

By Larraín Nesbitt Abogados

Introduction

Forbes Magazine chose Valencia as the number one city to live in the world, replacing Malaga from the top spot it held the previous year. Alicante occupies the third spot, Madrid the seventh, and finally, Barcelona occupies the 21st spot.

Spain dominates, for another consecutive year, by filling again the top three spots!

Laura Begley Bloom, a Forbes journalist, explains that this year’s report is based on data from over 12,500 expats living in 53 cities across 35 countries. The report evaluates cities on five key indices: quality of life, ease of settling in, personal finance and more. The ranking provides invaluable insight into what it’s like to live abroad, from cost of living to job satisfaction to how easy it is to make friends in a new place.

Spain, governed by a progressive administration, is the second most visited country in the world, with over 94 million tourists every year. It’s a beautiful country to visit or live in. Gorgeous weather, delicious food, affordable prices, great amenities, friendly natives, and ultra-low taxation (in some regions) appeal to foreigners at large. Many of these tourists decide to settle down and buy a property in Spain.

If you plan to move to Spain in 2026, you should know the government introduced a new immigration scheme with significant tax advantages associated with those who qualify: the Digital Nomad Visa. DNV holders can benefit from all the tax advantages that Beckham’s Rule has to offer, paying little to no tax! The only downside is that these tax benefits are time-gated to only six years.

DNVs allow you to live anywhere in Spain; you will be spoilt for choice: Barcelona, Costa del Sol, Granada, Madrid, Malaga, Mallorca, Valencia, Santiago de Compostela, Seville and Sotogrande. 

At LNA, our friendly team can assist you in buying (or selling) your property anywhere in Spain. We can also get you any residence visa in Spain. Give us a call!

At Larrain Nesbitt Abogados (LNA) we have over 22 years of experience specialising in property conveyance and taxation all over Spain. We also assist clients with immigration & residency visas, and inheritance procedures (probate). You can contact us by email at info@larrainnesbitt.com, by telephone on our UK line (+44) 0754 3838 218, or Spanish line (+34) 952 19 22 88, or by completing our contact form.

Please note the information provided in this article is of general interest only and is not to be construed or intended as substitute for professional legal advice. This article may be posted freely in websites or other social media so long as the author is duly credited. Plagiarising, whether in whole or in part, this article without crediting the author may result in criminal prosecution. Ní neart go cur le chéile. VOV.

Larraín Nesbitt Abogados, small on fees, BIG on service.
2025© Raymundo Larraín Nesbitt. All Rights Reserved.

Marbella-based Larraín Nesbitt Lawyers has over 22 years' taxation & conveyancing experience at your service. We offer a wide range of over 60 legal and corporate services. Our team of native English-speaking lawyers and economists have a long track record successfully assisting expats all over Spain. You can review here our client’s testimonials.

Copyrighted © 2025. Plagiarism will be criminally prosecuted.

By Raymundo Larraín Nesbitt
3^rd of November 2025

Introduction

Lately, there has been a lot of talk and hype in the media regarding a Spanish ruling that opens the way to end tax discrimination against non-residents on filing the annual Non-Resident Imputed Income Tax (NRIIT).

I’m going to start by explaining a bit the ruling, without going into much detail, and its legal impact, but more fundamentally, why people need to hold back their horses and not open a champagne bottle, at least yet.

Last 28^th of July 2025, a Spanish high court ruled against the tax discrimination of non-residents on filing the Non-Resident Imputed Income Tax Returns. A disgruntled US taxpayer filed a case against Spain on grounds that Spanish nationals can offset their maintenance expenses, slashing their tax bill by 70%, or more, on filing income tax returns, whereas non-residents are barred from doing so. This, in effect, creates an unfair tax discrimination against non-residents which is incompatible with the tenets enshrined in the EU’s Foundational Treaty of Rome, and others, on which the whole Union is grounded. Concretely, it goes against Art. 63 of the TFEU (which prohibits restrictions on the free flow of capital between EU Member States and between Member States and non-EU countries). The Union (or The United States of Europe, as Churchill fondly called it), at its core, is a supranational entity that was devised to mimic the successful US model, which in effect allows the unrestricted movement of capital within the member states of the Republic (E pluribus unum). From union comes strength.

I really don't fancy overextending myself explaining the core EU Principles and how they shape Spanish taxes, as I have already covered them extensively in previous articles:

• Inheritance tax in Spain: regional tax reliefs to benefit ALL non-residents in the future (even outwith EU/EEA)
• Spain’s 100% tax on non-EUs: why it cannot be done
• Draft bill to double property prices for non-EU buyers
• The Union opens a legal procedure against Spain for discriminatory tax treatment of non-resident taxpayers

In plain English, what this ruling means is that non-residents may now offset maintenance expenses (not improvements, which are offset on selling the property against their Capital Gains Tax) on equal footing with Spanish nationals, significantly bringing down their tax bill.

However, whilst all this sounds hunky-dory, in practice it makes no difference. I’m sorry to throw a spanner in the works.

The reason is because the court that issued the ruling is not the highest in the land, and the Spanish government can and will appeal said ruling. Until we have a final ruling, which cannot be appealed, and which foreseeably will take several years from now, all this talk is just wishful thinking with no practical impact on non-residents’ tax returns.

Ultimately, the Spanish government can and will file an appeal before Spain’s Supreme Court, which is the highest court in the land. The Supreme Court, mercifully, is not under government control and is fairly unbiased. I honestly cannot see any other way out for this court other than to uphold the ruling by a lower court unless they fancy the public ridicule of being overruled – yet again – by the European Court of Justice. I honestly hope our high magistrates spare us the opprobrium of being shamed, time and time again, by the ECJ for not knowing, or more likely blatantly disregarding, the core European principles on which the whole Union is built. Moreover, Spain’s Supreme Court has extensive jurisprudence on this matter, and the ruling from the lower court falls neatly in line with said line of jurisprudence.

So, in practice, in the short term, this ruling changes nada. Because you can bet your bottom dollar that the Spanish Tax Office will not change its tax returns one iota this year, or even the following years, until we have a final ruling. It will not accept non-resident taxpayers offsetting expenses on filing their end-of-year non-resident tax returns. 

However, in the long run, many years from now, the significance of this ruling cannot be understated and will indeed leave a mark. Once Spain’s Supreme Court has its arm twisted to uphold it, the Spanish Tax Office will reluctantly be forced to accept non-residents claiming maintenance expenses to mitigate their property tax bills, thus significantly slashing their end-of-year tax returns. But, as I write, we are still several years away from this happening, so hold your horses.

Another matter, which this ruling does not address directly, is the discrimination on the tax rate; 19% for all EU nationals and 24% for the rest of the world. I’m aware there is another ruling in the works that will rule on this point, and will most likely leave a single flat tax rate of 19% for both EU and non-EU nationals alike, ending the fiscal discrimination for good.

In a nutshell, although July’s ruling is good news and a positive step in the right direction, it must be tempered by the knowledge that we need to wait many years from now for this tax change to come to fruition. Once this landmark ruling is upheld by Spain’s Supreme Court and becomes firm, it will be binding, and the Spanish Tax Office will be forced to abide it, even retroactively, which will open a new can of worms; meaning taxpayers will be able to file tax rebates, plus legal interest on top, on the overpaid tax of the previous 4 tax years (the statute of limitations does not allow to go back on tax claims further than four years). It will indeed save thousands of euros for American, Australian, British, Canadian, New Zealanders and all other non-EU property owners in Spain.

But right now, you can ignore all the hype around it and watch the grass grow.

LNA has a 100% track record of attaining Spanish visa & residency permits since 2013. We have assisted over one thousand satisfied visa clients and their families.

At Larrain Nesbitt Abogados (LNA) we have over 22 years of experience specialising in taxation, and property conveyance. We also assist clients with immigration & residency visas and inheritance procedures (probate). You can contact us by e-mail at info@larrainnesbitt.com, by telephone on our UK line (+44) 0754 3838 218 or Spanish line (+34) 952 19 22 88, or by completing our contact form.

Please note the information provided in this article is of general interest only and is not to be construed or intended as substitute for professional legal advice. This article may be posted freely in websites or other social media so long as the author is duly credited. Plagiarizing, whether in whole or in part, this article without crediting the author may result in criminal prosecution. Ní neart go cur le chéile. VOV.

Larraín Nesbitt Abogados, small on fees, BIG on service.
2025© Raymundo Larraín Nesbitt. All Rights Reserved.

Anál nathrach, orth' bháis's bethad, do chél dénmha

Galicia combines nature and spirituality 

16^th of September 2025

I continue today with my running series on top places to buy and live in Spain. You can find older entries on this series scrolling down below. These impromptu light-hearted guides are not meant to be exhaustive; they are just there as a lighthouse to shed light on an area’s main highlights and landmarks.

Introduction

Long before the shadow of Rome, and the advent of Christianity, Galicia was a mysterious verdant land, shrouded in mist, home to the fabled Keltoi, or Celts as we know them today. It is in fact the seventh Celtic nation alongside the traditional six Celtic nations of Ireland, Scotland, Wales, Brittany, Cornwall, and the Isle of Man. The Celts inhabited fortified hills known as castros. Despite Christianity, and the latter Roman influence, the spiritual Celts left an indelible mark on the land and its people, which is still apparent to this very day, including the musicality of its language (Galician).

Celts were skilled and resourceful warriors, who adapted fusing their own pagan beliefs with Christian ones, as can be gleaned from the cross with Celtic motifs which illustrates this very article. It is said druids still roam the land, preserving forests and Celtic traditions to this day. Your best chance is to look for them during the Autumn Equinox or the Samhain, when the barriers between our realm and the next are at their weakest; just try not to wander too closely to any druidic stone circles which dot the countryside at twilight (which allegedly harness natural energy from earth and sky). You really don’t fancy being transported to the otherworldly Fade; well, at least just yet!

Santiago de Compostela is much more than a pilgrimage centre; it has become a symbol. Nestled in the lush hills of northwest Spain, this Galician gem is more than just the end of the Camino de Santiago — it’s a place where history, faith, art, and daily life converge, creating a unique rhythm that draws visitors and inhabitants alike. The scallop shell is the symbol of the Camino de Santiago, the pilgrimage to Santiago.

Pilgrim following St. James's Way, notice the scallop shell

Camino de Santiago – St. James's Way

For over one thousand years, Christian pilgrims travelled from every corner of Christian Europe to, what was then, the far edge of the world: The Road to Santiago. It is a long and winding road, not so much a physical journey, albeit a spiritual one. The long journey tests a pilgrim’s mettle, who is rewarded with peace and insight. You will meet plenty of like-minded Christians from all walks of life, from all over the world, who will share your same beliefs and family values. Some of the friendships you’ll make will last for life. St. James's Way is not so much about the final destination; it’s about the journey itself and the people you will meet along the way. Much like life itself.

Celtic castro at Santa Trega, A Guarda, Galicia. Devised as a large maze for defence reasons.

The Roots: History & Legend

Santiago’s story is shrouded in legend. The remains of the Apostle Saint James are said to have been carried from Jerusalem to this lush land for its final resting place. This led to the foundation of Santiago's Cathedral in 1075 in his honour. It would take over two centuries, and multiple family generations, to complete this daunting task. Over the centuries, Santiago grew from a modest pilgrimage site to the capital of Galicia, weaving together Romanesque, Gothic, Baroque, and Renaissance artistry in its streets, plazas, and sacred buildings.

Walking through the Old Town (a UNESCO World Heritage site), you’ll see evidence of Santiago’s layered history: cobblestone alleys, majestic porticos, ancient cloisters, and façades showing every architectural chapter of Spain's North-West. The Cathedral of Santiago, with its Portico de la Gloria (Portico of Glory), is the star: spiritual, artistic, and an anchor for the pilgrim’s journey, and for the local community alike.

Young pilgrim looks up in wonder at Santiago's Cathedral

Landmarks & Must-Sees

• The Cathedral: Not just the pilgrimage’s endpoint, but an architectural wonder. Climb its towers (or the roof, for many) for sweeping views over the city and the verdant Galician hills.
• Praza do Obradoiro: The grand square in front of the Cathedral; where pilgrims arrive, where locals pass by, where festivals are celebrated, where tourists marvel.
• Monastery of San Martín Pinario: One of the largest monasteries in Spain; ornate, solemn, full of history.
• Museo do Pobo Galego: Galicia’s soul is laid bare here — its people, language, art, urban traditions, farming, music etc.
• Parque da Alameda: For fresh air, views over the old city and the distant cathedral spires, perfect for a sunset walk with Galician skies.

Galicia: Cradle of artists and intellectuals

Over the centuries, Galicia has been the birthplace of several renowned men and women:

María Mayor Fernández de Cámara y Pita (epic soldier, courageous war heroine who bravely rallied the city troops in the defence of La Coruña against foreign sea raiders when all hope was lost; she single-handedly snatched victory from the jaws of defeat, turning the tide of battle and ensuring success through sheer force of will alone), Amancio Ortega Gaona (ingenious entrepreneur, businessman, billionaire, generous philanthropist), Manuel Fraga Iribarne (statesman, lawyer, elite civil servant, university professor at the Complutense de Madrid, ambassador, minister, creator of Spain’s Tourism Industry, founder of a political party), Adolfo Domínguez Fernández (fashion designer and businessman), José Calvo Sotelo (jurist and politician, his assassination sparked the outbreak of the Spanish Civil War), Ramón Menéndez Pidal (eminent historian and philologist), Rosalía de Castro (poet and novelist), Concepción Arenal (writer, activist and defender of feminism), Emilia Pardo Bazán (countess, novelist, journalist, literary critic, poet, playwright, translator, editor and professor), Camilo José Cela (writer, Nobel Prize laureate 1989), Ramón María del Valle-Inclán (dramatist and novelist, member of the Spanish Generation of 1898), Maruja Mallo (painter and artist), Luis Tosar (actor), Ramón G. Antonio Estévez (AKA Martin Sheen, US actor), Mario Casas (actor), Fernando Rey (actor), María Casares (actress), Luz Casal (singer), Carlos Núñez (musician), Xosé Manuel Budiño (musician), Jesús Vázquez (model and tv host), Paula Vázquez (model and tv hostess), Pablo Antonio Franco Otero (lawyer, youtuber, political activist, and bodyguard), Begoña Gerpe Álvarez (youtuber, political activist, exiled and lawyer).

The always glamorous Paula Vázquez

Foreign writers on Santiago de Compostela

Edith Wharton. She wrote about her 1920s pilgrimage to Santiago de Compostela in a travel diary that was later published as part of the book Return to Compostela. Her diary details the ancient Way of St. James and her pilgrimage through Spain.

“We were resolved to miss no stage of the ancient way, and from Jaca we went to Eunate, Logrono, Estella, Puenta de la Reina and Burgos, and thence, by way of Fromista, Carrion de los Condes and Sahagun, to Leon, and across the Cantabrian Mountains to Oviedo.” Making “pious pauses,” she writes in her journal, they stopped “again and again, to pick up and follow the tired foot-prints of medieval early travellers.”

Ernest Hemingway. Hemingway visited Santiago in 1923. He only referenced the city indirectly in his famous novel The Old Man and the Sea. The Camino de Santiago represents a challenging path that leads to profound insights, mirroring the complex relationship between struggle and purpose in the lives of characters like Santiago in The Old Man and the Sea. The Nobel Prize in Literature 1954 was awarded to Hemingway "for his mastery of the art of narrative, most recently demonstrated in The Old Man and the Sea, and for the influence that he has exerted on contemporary style." 

"It is good to have an end to journey toward; but it is the journey that matters in the end."

Paulo Coelho. Walked the Camino de Santiago in 1986. This pivotal experience led to his spiritual awakening and was the basis for his first book, The Pilgrimage, published in 1987. It is a guide to self-discovery and finding one's own path, laying the foundation for the philosophical themes in his later, and more famous work, The Alchemist.

"Santiago is not the end of the Camino, but the beginning."

Life, Culture & Atmosphere

Santiago de Compostela is lively but doesn’t rush you. The pace is more “meandering walk through cobblestones” than “rush hour grind.” Café terraces spill into streets; street musicians, especially Celtic bagpipers, add soundtrack to your walks; and the sound of Galician (the local language with roots in Celtic) mingles with Spanish and a smattering of other tongues.

Festivals are woven into life: Feast of Saint James on July 25th is the big one, with processions, fireworks, music, and pilgrims from all over. Local fiestas, music nights, and gastronomic fairs happen throughout the year, bringing old and young together.

A group of three Galician musicians. One of them is playing the traditional bagpipe (gaita) 

The Tarta de Santiago is the most typical sweet of Galician cuisine

Gastronomy

Food here has soul. Think pulpo a la gallega (octopus with paprika), empanada gallega (Galician pie), hearty stews, and cheeses. You need to try the Pimientos del Padrón (grilled spicy green peppers). If you enjoy seafood, order a Mariscada Gallega, you can thank me later. And as a dessert, you can order Filloas (sweet crepes), but I heartily recommend a slice of a Tarta de Santiago (roasted almond cake, worth bargaining your soul for). The vineyards aren’t far; Albariño from nearby Rías Baixas finds its way into many tables, and local markets brim with fresh produce. Cafés are good spots to linger, chat, watch people, sometimes read, sometimes simply enjoy. Although Santiago is landlocked, the sea is only a 40 minute drive away. Galicia is world-renowned for its fresh seafood, second to none.

Galician-style octopus

Modernity & Everyday Life

Although Santiago is steeped in tradition, it balances it well with modernity. Good infrastructures, universities (including the University of Santiago de Compostela, one of the oldest in Spain), vibrant cultural scene, decent public transit, well-preserved but lively neighbourhoods, and a constant flow of visitors and students.

The Atlantic weather is greener than most: frequent rain, temperate summers, mild winters. The surrounding landscapes are lush; walking outside the city is often rewarded with lavish forests dating back centuries, small rural villages, rivers, brooks, and tranquil spots (locus amoenus) dot the landscape. For those who love nature, the proximity to the Atlantic and Galicia’s wild rocky coast is a big plus. Here, nature rules unleashed.

Housing tends to be far more affordable than in major Spanish cities like Madrid, Barcelona, Valencia or Malaga. Though some parts of the old town are pricier (for their views, charm, and centrality). For many, the trade-off is worth it: heritage, community feel, greenery, and pace.

What makes Santiago special

• It still retains a sense of pilgrimage: people from all over the world arrive on foot — this gives the city a spiritual (and human) dimension that’s hard to replicate elsewhere.
• A strong Galician identity: language (Galician), music (gaita / bagpipes), folklore, cuisine, are seamlessly integrated.
• Arts and festivals. A city that cherishes its past while staying alive: festivals, arts, the university, students, tunos (wandering university student musicians dressed in ancient costumes, each badge on their cape marks a love interest), tourists — all blending together with locals to create a vibrant, bustling city. Clearly, the Celtic volkgeist of its forefathers remains very much alive today.
• Unspoilt natural beauty all year round. 

Who might love living (or visiting) Santiago

• Those seeking atonement, for God is merciful, or who wish to give back to our Lord through sacrifice.
• Lovers of history, architecture, and spiritual journeys.
• People who prefer a slower pace, quality of life, and meaningful community ties over dehumanised fast-paced city hustle. Wifi and mobiles are best left at home. Santiago is all about human connection.
• Students or academics (the university).
• Nature lovers who don’t want to be isolated — Santiago combines access to its lush countryside and coast with modern city amenities.
• Foodies who appreciate fresh produce, regional, seasonal cuisine, especially seafood.
• Writers assailed by writer’s block who shy away from the mundane. If anything, the majestic land and historic sites will overflood your senses and inspire you. Who knows? You may even pull a Pulitzer or a Nobel Prize. It sure worked for Edith Wharton and Hemingway. Santiago is not the end, it's the beginning.

Galicia: terra das meigas – land of witches

It is rumoured that Galicia acted as a refuge in old times, inhabited by the descendants of the social outcasts who escaped unjust persecution throughout Europe during the Middle Ages and were burned at the stake. Witches, by nature, are deceitful and manipulative creatures burning with ambition. Whilst surely this can be chalked down to nothing more than old superstitions and folklore, I have long harboured lingering doubts about the nature of an ex-Spanish Minister of Economy, born in Galicia, now hiding at the heart of the EIB. She certainly does fit the bill. Eu non creo nas meigas, mais habelas hainas.

The Future

Santiago continues to evolve and thrive. Efforts in sustainable tourism, heritage preservation, improving public services, and balancing the influx of visitors are key. Local policies are increasingly embracing green spaces, pedestrian-friendly zones, and supporting local arts, language and gastronomy. The challenge is maintaining the authenticity while welcoming growth.

Playa de las Catedrales on a foggy day, Galicia

In conclusion

Santiago de Compostela is far more than another worldly destination in your checklist; it’s a spiritual journey. The Camino de Santiago is an inner journey to know oneself. Its winding cobbled streets echo the footsteps of pilgrims over a millennium, but also resonate with the amalgamated culture and sense of community. For those seeking a place to rest their weary soul, with roots, beauty, purpose and charm, you’ll be hard pressed to find any better. Whether you visit for a weekend, stay for a term, or settle in for a lifetime, Santiago and its people will replenish your battered soul with their magic.

Galicia, terra de meigas
Galicia, land of magic

«No tengo miedo a fracasar, tengo miedo a no intentarlo.» – Amancio Ortega
I'm not afraid to fail, I'm afraid of not trying

Amancio Ortega Gaona (1936). Born in Busdongo de Arbas (Leon) to a humble working-class family (his father was a rail worker). He dropped out of school at age 14. After working for many years for other people, in 1975 he opened his first Zara store. He would go on to create INDITEX, a holding company which included several known brands such as Zara, Massimo Dutti, Zara Home, Pull and Bear, and Bershka. Today, the group has over 6,000 stores open worldwide, employing over 160,000 workers, and with an annual turnover of €40 billion. He is a generous philanthropist who has donated several times cutting-edge medical equipment to the Spanish government, among many other charity works that remain undisclosed. Amancio is the greatest Galician ever, and one of Spain’s greatest sons.

Other entries in this running series:

• Costa del Sol: your dream home in paradise – 8^th April 2022
• Sotogrande, the pearl of Cadiz – 3^rd June 2022
• Barcelona, the beautiful – 8^th November 2022
• Madrid, capital splendour – 21^st March 2023
• Mallorca: Heaven on Earth – 8^th June 2023
• Granada, the Last Kingdom – 12^th October 2023
• Seville, a dream city – 21^st March 2024
• Malaga, passion for life – 16^th September 2024
• Valencia, land of the brave – 21^st March 2025
• Santiago de Compostela: The road to God – 16^th September 2025

Please note the information provided in this article is of general interest only and is not to be construed or intended as substitute for professional legal advice. This article may be posted freely in websites or other social media so long as the author is duly credited. Plagiarizing, whether in whole or in part, this article without crediting the author may result in criminal prosecution. Ní neart go cur le chéile. Voluntas omnia vincit.

2.025 © Raymundo Larraín Nesbitt. All Rights Reserved.

Marbella-based Larraín Nesbitt Lawyers has over 22 years' taxation & conveyancing experience at your service. We offer a wide range of over 60 legal and corporate services. Our team of native English-speaking lawyers and economists have a long track record successfully assisting expats all over Spain. You can review here our client’s testimonials.

Copyrighted © 2025. Plagiarism will be criminally prosecuted.

By Raymundo Larraín Nesbitt
10^th of September  2025

Property prices continue to mount in Spain.

This last quarter, ending on July, marks the 45^th quarter, or 11 straight years, of continued growth in Spanish property prices.

Moreover, as explained in previous articles, Spanish property prices have reached an all-time high with no signs of abatement.

As highlighted previously, there is a supply crunch in new build property (off-plan) which causes property prices on new construction to appreciate by two digits all over Spain. However, the novelty this last quarter is that buyers are now turning their eyes to resale property due to the chronic shortage of new construction.

Before, resale property was growing at a healthy national average of 8%, whereas off the plan was appreciating by two digits. Now, because buyers are locked out of buying new build property, the demand for resale property has increased dramatically, leading to a sharp increase in resale prices of 12.8% year-on-year, which is bonkers.

In plain English, because so few new build properties are being built in Spain (for all the reasons highlighted in a previous article) this has led to a massive price spike; frustrated property buyers are now looking with renewed interest towards resales, as they are much cheaper and abundant when compared to their off-plan counterparts (by as much as 44% cheaper per m²).

The ongoing off-plan supply crunch goes on to explain why, according to the latest sales figures published by Spain’s Bureau of Statistics (INE), resale property has officially overtaken off-plan in price rises.

It’s not magic, it's economics; the law of demand and supply at work.

Source: Newspaper La Razon

At Larrain Nesbitt Abogados (LNA) we have over 22 years of experience specialising in taxation, and property conveyance. We also assist clients with immigration & residency visas and inheritance procedures (probate). You can contact us by e-mail at info@larrainnesbitt.com, by telephone on our UK line (+44) 0754 3838 218 or Spanish line (+34) 952 19 22 88, or by completing our contact form.

Please note the information provided in this article is of general interest only and is not to be construed or intended as substitute for professional legal advice. This article may be posted freely in websites or other social media so long as the author is duly credited. Plagiarizing, whether in whole or in part, this article without crediting the author may result in criminal prosecution. Ní neart go cur le chéile. Voluntas omnia vincit.

Larraín Nesbitt Abogados, small on fees, BIG on service.
2025© Raymundo Larraín Nesbitt. All Rights Reserved.

Marbella-based Larraín Nesbitt Abogados (LNA) has over 22 years of experience at your service. We offer a wide range of 60 legal and corporate services. Our team of native English-speaking lawyers and economists have a long track record of successfully assisting expats all over Spain.

You can review here our client’s testimonials.

Article copyrighted © 2025. Plagiarism will be criminally prosecuted

By Raymundo Larraín Nesbitt
Director of Larraín Nesbitt Abogados
1^st of September 2025

Unbeknownst to most non-resident property owners, on buying property in Spain, you automatically become liable to pay IBI and rubbish tax on the following year. No one will give you the heads up on these taxes, so it is up to you to find out how much you owe and comply with the Spanish Tax Authorities.

IBI tax is of crucial importance because it has associated a valuation for tax purposes of your home known as 'cadastral value' (valor catastral, in Spanish) which is used as the benchmark to calculate any, and all, property-related taxes.

1. IBI Tax - Definition
2. Cadastral Value - Definition
3. Importance
4. When are these taxes due?
5. Severe consequences of non-payment of IBI tax

IBI Tax - Definition

The Impuesto sobre Bienes Inmuebles (IBI, for short) is a tax that applies to both residents and non-residents. In some parts of Spain it is known as SUMA. All property owners must pay this tax every year.

This is a local tax levied by the town hall where your property is located. It is paid once a year (normally due in August through to November). This is Spain’s equivalent of the United Kingdom’s Council Tax. It varies from one town hall to the next. It is based on the rateable value of your property (0.4 – 1.1% of cadastral value per annum); for cheap properties (think rural land) it can be as low as a few euros whereas posh pads, in sought-after prime locations such as Marbella and Mallorca, command several thousand euros/year.

Cadastral Value - Definition

Is the assessed value local Tax Authorities give to a property. It is usually well below the market value. This rateable value is used as the taxable base to calculate a series of taxes. You will find the cadastral value of your property in one of your local tax bills (i.e. IBI). Be aware that a storage room or parking may be regarded legally as a distinct separate entity from your main home and therefore subject to their own individual cadastral values. A cadastral value, in general terms, is 30 to 40% below the current market price of a property. So, it does not equate to a property's true market value, it is actually well below it (which is good news).

Importance

• IBI tax is used as the benchmark to calculate all property-related taxes.
• On selling, a buyer’s lawyer will demand copies of IBI and rubbish tax invoices to prove a seller is up to date. 

When are these taxes due?

Town halls are empowered to rule on this, so it varies. Normally, it is payable once a year, typically from August through to September.

Whoever owns the property on the 1st of January is liable to pay these taxes, by law.

Severe consequences of non-payment of IBI tax

• It may lead to your property being impounded and sold off in a public auction by local authorities. Spanish town halls, besieged by falling revenue, are becoming increasingly adept at pursuing aggressively this local tax post-credit-crunch; particularly for high-end property.
• It is not possible to file and pay NRIT and NRIIT taxes, as it requires for its calculation IBI tax. This in turn attracts fines, delay interests, and surcharges.
• On selling, a buyer’s lawyer will practice a huge retention to safeguard against any unpaid IBI tax.
• As a seller, you may forfeit the 3% sales proceeds tax rebate (plus legal interests). On selling, when a seller is non-resident in Spain, buyers must withhold 3% of the sales proceeds by law and pay it into the Spanish Tax Office. Non-resident sellers are entitled to a tax rebate on the 3% (subject to criteria).

Larraín Nesbitt Abogados can assist you domiciling both taxes wherever your property is located in Spain. Give us a call. We offer this one-time service:

IBI tax (town hall rates) and refuse collection (basura)

At Larrain Nesbitt Abogados (LNA) we have over 20 years’ experience assisting clients buying, selling, or renting properties. We can also offer you a competitively priced accounting service to file your landlord taxes every tax quarter nationwide. We are also specialized in immigration & residency visas. You can contact us by e-mail at info@larrainnesbitt.com, by telephone on (+34) 952 19 22 88, or by completing our contact form to book an appointment.

Larraín Nesbitt Abogados, small on fees, BIG on service.
2023 © Raymundo Larraín Nesbitt. All Rights Reserved.

Marbella-based Larraín Nesbitt Abogados (LNA) has over 22 years of experience at your service. We offer a wide range of 60 legal and corporate services. Our team of native English-speaking lawyers and economists have a long track record of successfully assisting expats all over Spain.

You can review here our client’s testimonials.

Article copyrighted © 2025. Plagiarism will be criminally prosecuted

By Raymundo Larraín Nesbitt
Director of Larraín Nesbitt Abogados
30^th of July 2025

Summer has arrived, and with it the holiday season is at its peak.  

Scammers are also at their peak, as a new rental season is upon us to fleece unsuspecting punters.

The best way to avoid falling for a scam is to be aware of it.

I have collated below eight tips that may help you avoid being scammed on renting a holiday home in Spain.

1. Fake listings. Scammers use enticing photos from legit sites for their phoney property listings. When you arrive at the property, it's either not up for rental or it's occupied by someone else.
2. Bait and switch. The property shown in the photos is not the same one when you arrive.
3. Property is listed below the market rate As they say, if it sounds too good to be true it probably is. You know that €2,000 a month villa in Ibiza you are being offered? Yep, it’s a scam.
4. The person you are dealing with is not the owner. This is normally a telltale sign you are being scammed. Excuses given will be that they have been left in charge of the property as the owners live abroad, etc. Always ensure the person you are dealing with is the owner, realtor, or property manager.
5. You are asked to pay in cash or by other exotic means which are not traceable (i.e. Bitcoin).
6. You are asked to make overseas payments to a country other than Spain.
7. Always in a rush. Pay up or give up. They typically give you under 24 hours to pay them as they have “a long waiting list”.
8. You are asked to pay in advance the full rental price without meeting them in person or physically touring the place yourself. Virtual property tours are a huge red flag.
   

Available services from LNA:

• Holiday Rental Accounting Service (HRAS)
• Rentals (contract drafting)
• Contracts (read & review)

At Larrain Nesbitt Abogados (LNA) we have over 22 years’ experience assisting clients buying, selling, or renting properties. We can also offer you a competitively priced accounting service to file your landlord taxes every tax quarter nationwide. We are also specialized in immigration & residency visas. You can contact us by e-mail at info@larrainnesbitt.com, by telephone on our UK line (+44) 0754 3838 218, or Spanish line  (+34) 952 19 22 88, or by completing our contact form to book an appointment.

Larraín Nesbitt Abogados, small on fees, BIG on service.
2024 © Raymundo Larraín Nesbitt. All Rights Reserved.