Pleasant weather almost all year round, a relaxed lifestyle, a high standard of living, an efficient healthcare system, modern infrastructure, a competitive education system, and excellent cuisine are just some of the reasons why many foreigners choose to move to Spain.
Spain's popularity is growing rapidly, which is reflected in the fact that the country's foreign-born population has reached record levels.
According to official figures, 5.8 million foreigners live in Spain, 61% of whom are from the European Union or the European Economic Area.
The Mediterranean country is particularly popular with English-speaking expats. More than 300,000 Britons and 50,000 Americans have already emigrated. Many of these foreigners have chosen Spain as their retirement destination.
One of the main reasons is that retirement in Spain is relatively inexpensive. You can retire on about $2,000 to $2,200 a month, or about $25,000 to $27,000 a year. You can even retire on about $1,700 to $1,900 a month if you choose to live outside of the major cities.
In this guide, you'll find the most important information you need to know about retiring in Spain, including the cost of living, the relocation process, and ideal places to retire.
Visa requirements
EU citizens
Spain officially joined the EU in 1985 and has been part of the Schengen area since 1995. This makes it very easy for EU citizens to retire in the Iberian country. They don't need a visa.
Non-EU citizens
There are two types of visas that non-EU citizens can obtain: a long-term visa (visado nacionale) and a residence visa (visado residencia).
Long-stay visa (visado nacionale)
The long-stay visa allows for a temporary stay in Spain. Expats who've this visa can work, study, and retire in the country. This visa can be renewed annually, provided you stay in Spain for at least six months per year.
Residence visa (visado residencia)
This is the most common visa for emigrants who want to settle or retire in Spain. The procedure for obtaining this visa is simpler than the long-stay visa. However, this type of visa doesn't entitle you to work.
Golden Visa
The Golden Visa is another option for non-EU citizens who want to come to Spain through investment. This visa can eventually lead to citizenship and allows family reunification and visa-free travel in the Schengen area.
To qualify for the Golden Visa, you must transfer 1 million euros of capital to the country, invest 1 million euros in the development of a business, or invest 500,000 euros in real estate.
Transferring an international pension to Spain
You may be able to transfer your pension from your country of origin to Spain if that country has an agreement with Spain.
For example, one such program that's often used by British citizens moving abroad is the Qualifying Recognized Overseas Pension Scheme. This type of programs allows you to consolidate your pensions into a single plan. It's important that you consult with a legal professional as there may be some tax implications.
The best places to retire in Spain
Which place in Spain is the best place for you to retire depends a lot on your lifestyle. Only you can decide if you'd be better off integrating into Spanish culture in a big city, living in the countryside, or settling in a beach community.
But here are some places that are popular with foreign retirees in Spain:
Malaga
This large coastal city on the popular Costa del Sol is a paradise for those who love art, history, and beautiful beaches. Malaga has good transport links.
Torrevieja
Torrevieja, in the province of Alicante, has an excellent climate and is popular with Spaniards and expatriates alike.
Madrid
Culture, modern infrastructure and a vibrant nightlife—this is what awaits you in the sophisticated capital of Spain.
Barcelona
Famous for the modernist architecture of Gaudi, Barcelona is a mecca for international expatriates. One of the main attractions is the sunny seaport.
Alicante
This popular town on the Costa Blanca has up to 320 days of sunshine a year. Breathtaking beaches, numerous shopping and entertainment options, and a lively night scene ensure you'll never get bored in Alicante.
Javea
Javea is another Costa Blanca favorite where you can experience a traditional, laid-back atmosphere. The climate is cooler and English is spoken a lot.
Marbella
Marbella is a glamorous place where you'll find boutiques and restaurants and enjoy a mix of modernity and history.
Granada
Granada is the right place to get a feel for Moorish Spain thanks to its culture, atmosphere, and flamenco music.
Bilbao
The investments made in Bilbao in recent years have helped transform this city into a vibrant metropolis.
Where to find older expats
There's a growing English-speaking expat community throughout Spain, especially in coastal areas popular with retirees. There are local expat groups you can find online, such as on Facebook and MeetUp. Groups like Age in Spain provide information and organize events for older expats in Spain.
International clubs such as Rotary International and Mensa also offer good networking opportunities.
Healthcare for retirees
The healthcare system in Spain is very efficient and consists of both private and public healthcare. The country ranks 19th on the Euro Consumer Health Index.
Public healthcare in Spain generally applies to citizens and residents who pay into the social security system.
Many expatriates opt for private health care because it gives them access to faster and more comprehensive treatment. Private healthcare in Spain is relatively affordable, with many insurance plans costing between €50 and €200 per month.
Banking in Spain
If you plan to retire in Spain, it's better to open a bank account there. Not having to deal with exchange rates and credit card charges can make your everyday life much easier and more enjoyable.
To open a bank account in Spain, you'll need a Número de Identidad de Extranjero (NIE). The NIE is a personal and unique tax identification number. It's used to track financial and legal activities in Spain. Learn more about the NIE and the application process here.
Transportation
Spain has one of the best developed public transportation networks in Europe and is quite inexpensive. Metro lines in Madrid, Barcelona, Valencia, and Bilbao connect the city center with various neighborhoods and communities.
You can also get almost anywhere by local and intercity busses. Cabs are available everywhere.
If you live in big cities like Barcelona or Madrid, having your own car may not be necessary. It's also not a very good idea as it's usually difficult to find a parking space. Renting or owning a car is a good option for those who live in the suburbs or in the countryside.
The climate
Spain is usually sunny, but it's one of the most climatically diverse countries in Europe. You can experience hot summers and mild winters in areas along the southern Mediterranean coast or inland in Andalusia such as Malaga, Córdoba, Valencia, and Seville.
Hot desert and semi-arid climates are typical in the south of Almeria, Alicante and Murcia. Barcelona and northeastern Spain are known for a humid subtropical climate. Hot summers and cold winters characterize Madrid and the cities in the central plateau.
Higher altitudes have a higher chance of moderate snowfall, and Spain's northern Atlantic coast has a rainy climate.
If you want the best climate year-round, consider the Canary Islands where you can enjoy temperate summers and warm winters.
The pros and cons of retiring in Spain
In general, Spain is a great destination for foreign retirees. But no country is perfect. Here are some of the pros and cons of retiring in Spain.
Advantages
- There's a large expat community in Spain.
- The cuisine is fantastic and known for its variety.
- There are beautiful beaches.
- You can enjoy pleasant weather almost all year round.
- The cost of living is relatively low compared to some other European countries.
- You can experience a relaxed lifestyle.
- You can enjoy a high standard of living, healthcare, and education.
- The Spanish economy is one of the largest in the world.
- Spaniards like to party and stay up late.
- Their calendar is full of fiestas.
Disadvantages
- Spain has a complicated bureaucratic system.
- The main language spoken is Spanish, not English.
- Expats may not find the tax laws attractive.
As mentioned earlier, Spain is a very good place for foreign expats to spend their retirement. But as with any other decision involving legal processes, you need to make sure you've the necessary information.
It's always advisable to consult a financial advisor and a legal expert who can help you with your move and retirement plans. It's an investment that will pay off.
We're sure you won't want to leave Spain if you take the right steps that will allow you to retire comfortably there.
And if you want to enjoy your life in the Mediterranean country even more, you should plan to learn Spanish. Of course, you can get by with English, but learning the language will help you really participate in your new community.
