Cost of living in Spain

A favorite holiday destination for the French, Spain attracts for its climate, its relaxed lifestyle, and its welcoming and warm population. This is why, whether retired or active, some of us choose to settle there, also attracted by the image of a country with a lower cost of living than that we know in France. Why do French people settle in Spain? What economic benefits do they find there? Why and how to invest in real estate in Spain? These are the questions that this article will attempt to answer.

The cost of everyday life in Spain:

Why settle in Spain? 

A European country bordering on France, living in Spain is an expatriation that does not completely change your lifestyle. The proximity to France also offers the possibility of “returning to the country” when desired, thanks to a wide choice of means of transport (road, rail, air). But when we question French expatriates, it is first of all the Spanish climate that seduced them. There is more sunshine than in France, and higher average temperatures. In Costa Brava, for example, it averages 13 degrees in winter!

The language barrier is not an obstacle, as Spanish, the Latin language, is close to French. Same sentence structure, close vocabulary, it is easy to learn Spanish, including without any particular gift for learning languages, but simply with practice and goodwill.

The Spanish sweetness of life is also found in the cuisine, as varied as it is colorful. Delicious typical dishes, such as paella, compete in taste with many regional specialties, based on fish, seafood or even cheeses and cold meats. This sweetness of life is widely conveyed through the welcome you will receive from this warm people, who loves sharing and celebrating. You will finally see this sweetness of life in the variety of landscapes that dot the Iberian Peninsula, or in the regional and cultural diversity, as long as you are curious to discover local customs and festivals.

What about the cost of living in Spain? 

For a Frenchman, whose income is on average 20% higher than that of a Spanish, the cost of living is generally more advantageous in Spain, compared to France. Food expenditure is lower, especially on fruit and vegetables, as production is mainly local. Spain is indeed the first European country in volume of vegetable productions (fruits, vegetables, olive oil and wine). On average, the price of supermarket food in Spain is 27% lower than in France.

This difference in the cost of living is visible in other areas of expenditure: transport, in particular public transport (a bus subscription costs 20% less than in France), energy (-13% for water and electricity), leisure (-20% for a cinema ticket, -25% for a restaurant meal), or even clothing (-20% on average for shopping).

Spain also has a national health system, funded, as in France, by the levy of social contributions. This health system is universal, and allows free care for those who are affiliated to Spanish Social Security, or who have a European health insurance card.

Finally, the Spanish education system is very close to the French system, with two particularities: a higher proportion of private schools, due to the strong presence of the Catholic religion in Spanish culture, and sometimes different programs depending on the region. (Spain is made up of regions, administered by political entities having more powers than in France).

Settling in Spain: the price of real estate

After a massive fall in property prices between 2008 and 2013, the price per square meter of housing has stabilized in recent years, with a slight upward trend if the outlook is confirmed. Significant disparities exist according to regions and cities: the average price per square meter is 2,820 euros in Madrid, 3,400 euros in Barcelona, and drops to 1,200 euros in Alicante.

For comparison, for an apartment, it takes an average of 10,500 euros per square meter in Paris, 4,880 euros in Lyon, 4,260 euros in Bordeaux and 4,040 euros in Nice.

In addition to the cost of housing itself, that of property taxation, which varies from region to region. It is in Barcelona that it is the highest (11% of the purchase price), while it amounts to 4% in certain localities of the Spanish Basque Country.

Everyone knows that real estate is often the purchase of a life. It is therefore important not to be mistaken, especially when this purchase is made abroad.

The Spanish property market is specific to this country, with its rules, prices, codes. The expatriation candidate therefore has every interest in using a real estate agency, to be sure to buy with complete peace of mind.

With a real estate agency, the relationship with the seller is entrusted to a professional in customer relations and negotiation. Specialist in local real estate law, the real estate agent masters all legal, financial and fiscal aspects related to real estate trading. He appreciates each property at its fair value and advises the parties on the best selling price, in complete neutrality.

A real estate agency, well established and recognized locally, has local expertise in the real estate market: knowledge of the market, value of goods ... it can answer all of the buyer's questions.

The choice of an agency is not neutral. She must immediately inspire confidence, show her knowledge of the field, be clear about the amount of her commission, be available and attentive to the needs of the buyer.

This is why, each agency now having its website, it is essential to do a search on the web, to consult these sites, check that it is regularly updated, and read the opinions of previous clients.