More Americans are moving to Spain — and paying high prices for real estate

More Americans are flocking to Spain for longer, whether as so-called digital nomads working abroad or to enjoy a new life in retirement.

The number of Americans living in Spain grew by 13% from 2019 to 2021, and home sales to Americans jumped 88% from the first half of 2019 to the first half of 2022, according to a report by the General Council of Notaries in Spain.

Among expat groups buying in the sun-washed country, Americans paid the second most, after the Danes, shelling out up to 2,837 euros, or $3,119, per square meter. In addition, the home prices that grew the most in the same period were paid by Americans, according to the report.

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Purchasing or living in a home abroad requires a certain level of wealth, given the cost not only of real estate but overseas travel, as well, said Alex Ingrim, a Florence, Italy-based private wealth manager and senior investment analyst at global financial services firm Chase Buchanan.

According to the General Council of Notaries report, American buyers are focusing on urban areas like Madrid — as with any big city, people are attracted to its job opportunities and amenities, said Ingrim.

While the southern coastal region of Andalusia has always been a popular location for Americans, there’s a “strong word of mouth” for the city of Valencia, an urban area on the beach farther north on the Mediterranean coast with a large expat community, among them many Americans, said Ingrim.

However, Americans who want a different retirement or remote work experience and an adventure by relocating to Spain should take a few factors into consideration.

Most tax on property purchased in Spain is paid upfront in a stamp duty, or…