It is spring in Spain. Freed from the iron rule of an aged dictator, the country is undergoing its own renaissance in all aspects of Spanish life, culture and art.  Although still burdened with such serious challenges as the separatist movement, Spain is vibrant and alive in the 21st millennium. 

Climate in Spain | Government in Spain | Tax System in Spain | Medical Care in Spain | Real Estate in Spain | Shopping in Spain | Cost of Living in Spain

A New Life in Spain

Climate in Spain

Spain has four seasons.  It is famous for its warm summers especially along the Mediterranean coastline.  Spring is mild with occasional rain and you can visit the generally warmer central regions in comfort.  Autumn with its mild and sunny days is considered the best time to travel to all regions. Winter is best spent in the warm beaches along Costa del Sol or as an equally good alternative, the mountain ranges for skiing and other winter activities. Because of the generally mild climate, you can get by without warm clothes, except for the country’s interior where weather is more variable and quite cold during winter.  All in all the country fulfills your expectations of Sunny Spain.

Government in Spain

A former colonial power, Spain suffered the agony of civil war in the thirties, which ended in a victory for Nationalist forces under General Franco. Picasso’s famous painting of the bombing of Guernica by Franco’s forces is considered the most striking protest against the civil war’s bloody toll on the people of Spain. (About 350,000 people died as a result of the conflict).  The Franco dictatorship lasted for 35 years during which it was ostracized by the international community for widespread violations of human rights.

1975 was a crucial year for Spain.  It was the end of the Franco dictatorship and the beginning of a democratic government. Under the 1978 Spanish Constitution, King Juan Carlos I is head of state in Spain’s system of a parliamentary monarchy. The king is a respected figure who facilitated the transition to democracy and helped to defeat a 1981 coup attempt  by the Spanish military. Spain is now composed of 17 regions with varying degrees of autonomy. The Catalan region for instance is considered a Spanish “nation.”  ETA separatists continued to launch armed attacks  in pursuit of  independence for the Basque region although it announced a ceasefire in December 2006.

The present Prime Minister, the head of government, is Jose Luis Rodriguez Zapatero, the Socialist Workers Party leader who won in the 2004 elections over the conservative Jose Maria Aznar.  In one of his first official acts, Zapatero disengaged Spain and its troops from the war in Iraq. Spain is a member of the European Union.

Tax System in Spain

Personal income tax applies to Spanish residents  (those who spend more than 183 days a year in the country) who are taxed on their global income. Non-residents with no permanent homes in Spain are taxed only on their income and capital gains sourced in Spain. Spanish residents are also covered by inheritance and gift taxes. Spain has signed double tax treaties with almost 40 countries to prevent double taxation and unlawful reduction of income and wealth taxes. In 2007, the capital gains tax was  reduced to 18 percent on net gain (formerly 35%), which encourages foreign investment on real estate properties.

Medical Care in Spain

Spain’s public health care system is quite good but it is wiser to get health insurance to gain access to the excellent private health sector. First you may not be considered a beneficiary of the public health sector.  Second, you may prefer the private sector where English is spoken and the quality of health care is better. Third, there are usually no long waiting lines in private hospitals and facilities.  Private health facilities are also of better quality and patients enjoy the option of choosing which facilities and doctors they want.    Private health insurance will cost two people age 50 and above about US$1,600 each year.

Real Estate in Spain

Tremors were felt recently in the Spanish real estate market. However real estate prices were not expected to decrease substantially and real estate experts advised people not to panic. The 3.5% growth in the Spanish economy has been attributed to the boom in construction, fueled by strong demand for housing and availability of low interest loans. Due to some developments there were fears that the real estate market is overpriced and may collapse.  However government and industry leaders were quick to reassure people that the market is still basically sound.  Although France is considered to be the best area for real estate investment, Spain is still considered as a strong “buy” market, especially in the cities of Madrid and Barcelona.

Shopping in Spain

Shopping in Spain can be an education in Spanish history and culture. Most stores are still small and family-owned.  There are indoor and open markets that sell ordinary household utensils, food, flowers, and a wide assortment of other goods. Spanish handmade products are still the best bargains, representing the best in arts and crafts that the country has to offer. Outstanding examples are Catalonian textiles, suede clothing, handmade wood furnishings, leather shoes and toys from Alicante, and wine from places such as Granada.

The cheapest groceries (half the price of other stores) can be found in Dia. There are specialty shops where you can find vegetables, fruit, meats, bread and pastries that are reasonably priced. Imported food can be found in abundance in the El Corte Ingles supermarkets.

Cost of Living in Spain

The cost of living for expats in Spain is still lower than in many EU countries, although inflation has raised the cost of living by 10% each year. In 2006, Barcelona ranked as the 56th  most expensive city in the world while Madrid ranked as the 53rd most expensive city.  If you live in major population centers, you can live simply on US$1.040 a month and more comfortably on US$1,170 a month.  Electricity costs about US$13 a month; water about US$20 a month. Chicken costs an average of US$4 a kilo  while pork chops cost  U$6.50 per kilo. Cars fetch higher prices although maintenance and gas cost less.   A person can eat out for about US$20-25 as long as he or she is not in a tourist area.