# Cost of retiring to Spain



## billmiller54 (Aug 1, 2012)

My wife and I are a year or so from retiring and had been strongly considering Panama from the US. A magazine suggested one could live in Spain for $1500/mo (Is this in a tent eating bugs?).

I know these things will vary by location, but could someone give me an idea of the general costs of;

Housing
Food
Energy
Transportantion
Health Ins


Thx in advance


----------



## 90199 (Mar 21, 2010)

Our expenses for maintaining two properties and running a car, all grocery expenses are 800 pounds sterling monthly (1253 U.S. Dollars). This does not include health insurance, nor eating out or socialising, neither do we have rent to pay or mortgage payments.

We do however reside in the Canary islands, were because of the low purchase tax, 7%, most things are cheaper, than other parts of Spain, and because of the temperate climate, we do not need heating or air conditioning, so that saves us a packet of money.

Note, the reason we do not have health insurance, is because we are covered by the Spanish national health service.

I would estimate that the magazine is correct, No tent No bugs


----------



## NickZ (Jun 26, 2009)

Depends on the kind of string I think.

Housing? Rent? Buy? New place? Old fixer upper?. A large penthouse? A studio apartment?

Food? Shop at the grocery store and eat at home? Or five start restaurant every meal?

In general I doubt you'll find food cheaper then the US. Housing depends on the part of the US. 

But the issue left is can a couple get a visa with 1500/month of income?

Even if you can live with $1500 can you handle a large currency move? 33% would just go back to the $1.6 area.


----------



## xabiaxica (Jun 23, 2009)

billmiller54 said:


> My wife and I are a year or so from retiring and had been strongly considering Panama from the US. A magazine suggested one could live in Spain for $1500/mo (Is this in a tent eating bugs?).
> 
> I know these things will vary by location, but could someone give me an idea of the general costs of;
> 
> ...



:welcome:

I guess it's possible if you live reasonably frugally - not bare bones living & not the high life

the only fly in the ointment is whether or not you'd actually get a resident visa with that sort of income

have a look at this thread - there are links to discussions & articles about visas for non-EU citizens & to various Spanish consulates

http://www.expatforum.com/expats/spain-expat-forum-expats-living-spain/2725-forms-education-driving-tax-healthcare-animals-residency-visas-etc.html


----------



## Stravinsky (Aug 12, 2007)

billmiller54 said:


> My wife and I are a year or so from retiring and had been strongly considering Panama from the US. A magazine suggested one could live in Spain for $1500/mo (Is this in a tent eating bugs?).
> 
> I know these things will vary by location, but could someone give me an idea of the general costs of;
> 
> ...


Frankly to have a decent living around here I think you would need €1500 excluding rent


----------



## xabiaxica (Jun 23, 2009)

Stravinsky said:


> Frankly to have a decent living around here I think you would need €1500 excluding rent


oh yeah................health insurance - I forgot that - & rent

though I think Baldilocks lives on considerably less than that a month


----------



## Alcalaina (Aug 6, 2010)

Stravinsky said:


> Frankly to have a decent living around here I think you would need €1500 excluding rent


I agree, especially if you have a car. Gas is around €1.45 (1.80 dollars) a litre. There are about 4 litres to a US gallon so that's 7.20 dollars a gallon - a bit more than you pay in the US, I suspect!


----------



## billmiller54 (Aug 1, 2012)

I guess some hints might help;

Rent 2BR, 1BA Age less important than condition20-30 miles off the Med would be great.
Food 80% Shop at the grocery store and eat at home. 20% eat out at locals joints.

The magazine said $1500, I have more than that in Soc Sec alone, plus my savings.

Can expats get bank accounts and move money from the states?

Nick - I don't understand "33% would just go back to the $1.6 area." statement.


----------



## NickZ (Jun 26, 2009)

The Euro at the moment is around $1.2 to the US$. If it went up 33% it would go back to the old high of $1.60. 

Now nobody expects this to happen at the moment but your budget will need the flexibility to handle currency swings. 

Who knows maybe somebody in the EU will do something right and the Euro will go up. I'm not holding my breath but anything can happen.


----------



## Stravinsky (Aug 12, 2007)

Stravinsky said:


> Frankly to have a decent living around here I think you would need €1500 excluding rent



I did of course mean Health insurance was €1150 a year .... not per month


----------



## Minerva.909 (Jul 29, 2012)

billmiller54 said:


> My wife and I are a year or so from retiring and had been strongly considering Panama from the US. A magazine suggested one could live in Spain for $1500/mo (Is this in a tent eating bugs?).
> 
> Thx in advance


I quess you are referring to an International Living magazine or the like. They are notorious at providing ridiculous "prices", particularly of real estate overseas.

Still, $1500 a month in Spain seems doable, with a lots of IFs, as the forum members pointed out. But dollar is currently falling again (due to predictions of practically no growth through at least 2014), even if still relatively strong against euro.

Panama on average is cheaper, has an active policy of courting American retirees with all kinds of benefits, while Spain will make you jump through tons of hoops (even converting an American drivers license to a Spanish one can be an expensive nightmare) and there is no currency risk in Panama.

I have EU country passport, thus less of typically American problems in living in Europe, still... have you ever driven a stick shift and a micro car? Are you planning to send your car(s) and other stuff to Europe? It could be far more expensive than getting them to Panama.


----------



## 90199 (Mar 21, 2010)

Yes you can open a bank account here, easier when you are a resident, but I opened one as a none resident. Just go into any bank with your passport, once they see you have cash to deposit they become very helpful.

I move money using a firm in London

Foreign Money & Currency Exchange Services, Euro Exchange, UK Currency Converter :: SmartCurrencyExchange.com

If I transfer over 3000 pounds sterling, there is no commission and the exchange rates are excellent. Very reliable professional company.


----------



## 90199 (Mar 21, 2010)

Minerva.909 said:


> Panama on average is cheaper, has an active policy of courting American retirees with all kinds of benefits, while Spain will make you jump through tons of hoops (even converting an American drivers license to a Spanish one can be an expensive nightmare) and there is no currency risk in Panama.
> 
> .



Panama is hot, blooming hot, and humid, I have been there and don't want to return.

Far better in the Canary Islands, on the same latitude as Florida, the land of eternal springtime, where winters are not allowed, where the summers are very pleasant. Friendly hospitable people, cheap cost of living, petrol just over 1 euro a litre.


----------



## Minerva.909 (Jul 29, 2012)

Hepa said:


> Panama is hot, blooming hot, and humid,


That's very true.


----------



## PeteSm (Jul 29, 2012)

billmiller54 said:


> My wife and I are a year or so from retiring and had been strongly considering Panama from the US. A magazine suggested one could live in Spain for $1500/mo (Is this in a tent eating bugs?).
> 
> I know these things will vary by location, but could someone give me an idea of the general costs of;
> 
> ...


There are huge differences in cost of living, particularly housing, depending on which part of Spain you are looking at. Madrid and Barcelona are VERY expensive places to live. The South Costa Blanca is one of the cheaper coastal areas with a 3 bed, 2 bathroom villa in areas such as Los Altos and Playa Flamenca (near Torrevieja) costing about 150,000 euros. My partner and I own a property in Torrevieja but we are living in Albir, near Benidorm, in North Costa Blanca where property prices are about 70% higher. Buying a car is more expensive than the UK but diesel is about 20% cheaper at 1.40€ per litre (still more expensive than the US). Food is good quality and is about 10 - 20% cheaper than UK. Eating out is relatively inexpensive.
In summary, our personal living costs are probably about 10 - 15% less than they were in the UK but I think your quote of $1500 per month would be somewhat spartan if that includes accomodation.


----------



## Bfpijuan (Apr 6, 2011)

Here's a link posted from another site: http://www.numbeo.com/cost-of-living/country_result.jsp?country=Spain


----------



## Alcalaina (Aug 6, 2010)

Bfpijuan said:


> Here's a link posted from another site: Cost of Living in Spain. Prices in Spain.


Looks pretty accurate (except do people really pay €84 for a pair of Levis?? )


----------



## 90199 (Mar 21, 2010)

Our car was purchased new, it was far cheaper than the same model in the U.K. almost half price! I have a friend who sell second hand cars, you would be amazed at the low prices. Fuel here is just over 1€ a litre.

So in conclusion it all depends what part of Spain you choose to live.


----------



## NickZ (Jun 26, 2009)

Alcalaina said:


> Looks pretty accurate (except do people really pay €84 for a pair of Levis?? )


On sale I assume. Full price for 501s is €100 or more. Check out the levi's Eu online shop.


----------



## PeteSm (Jul 29, 2012)

I'm not sure when you last checked car and fuel prices but to buy a 7 year old Mercedes clk270 cdi in Spain would cost 15-16,000 euros. I bought mine in UK for £8,500. Supermarket fuel price (diesel) is currently (Aug 2012) just under 1.40€.

Just noticed you are located in the Canaries. My prices are for mainland.


----------



## siobhanwf (Mar 20, 2009)

To check fuel prices anywhere in Spain try this website:

Ministerio de Industria, Energía y Turismo - Precios Carburantes


----------



## easy (May 20, 2011)

The most expensive place would be in and near Barcelona. Inland Spain is pretty inexpensive. Costa Blanca to the south from Alicante and especially Costa Calida (Murcia region) would be least expensive among all the costas with thousands of Brits living there and also many expacts from our countries as well..


----------

