Moving to Spain from the US: A Guide for Americans
July 17, 2025
Why do Americans move to Spain? Is it the walkable cities packed with culture? Is it the low cost of living? Is it the access to the rest of Europe at your fingertips? Or is it the food and wine?
An estimated 50,000 US citizens now live in Spain. For many, the chance to leave behind the political chaos, high cost of living and hassle of the states motivated them to move to Spain.
However, anyone wanting to stay longer than 90 days should be aware that the Spanish government officially suspended its popular residence-by-investment or Spanish golden visa program as of April 2025.
Thankfully, there are still visa options for Americans who want to enjoy the Spanish lifestyle for longer. We’ll explore the options, including the Digital Nomad Visa, later.
There’s a lot that goes into moving to Spain as an American. The Nomad Capitalist team has broken down the pros and cons, where you should move and the residency options available to US citizens.
Why Spain?
The motivation for leaving the States and moving to Spain is unique for everyone. For many Americans, political issues and onerous tax obligations have pushed them to leave.
The fundamentals that draw people offshore – better weather, life-work balance, a different culture and the generally relaxed pace of life – are ever present in Spain.
Although not as accessible as citizenship in neighbouring Portugal, which you can secure in just five years, Spain does give you the chance to naturalise and become a European citizen.
Naturalisation in Spain takes ten years and requires that you learn the language and spend at least six months a year there, but it may be worth the effort as it unlocks one of the world’s most respected passports, the ability to live anywhere in the EU, along with a myriad of other benefits.
Pros and Cons of Expat Living in Spain
Spain has long been a popular choice for American expats, especially those who want a base in Europe. Like any life decision of this magnitude, relocating here requires weighing the upside against any potential drawbacks.
The Advantages
The most seductive aspect of putting down routes to Spain is the lifestyle. The culture is famously social, with daily life involving everything from terrace bars and summer fiestas to sharing small plates of food with friends. The welcoming nature of the locals, combined with a relaxed atmosphere, contributes to what many expats consider a good quality of life.
Another benefit is the accessible residency options and easy routes for digital nomads or those with passive income, making it easier to move here than other European nations.
While it’s not the cheapest place, the cost of living is still very reasonable compared to the United States, particularly outside the main city centres.
The climate is a major plus – expect plenty of sunshine and mild winters, especially in Southern regions.
For entrepreneurs and investors, Spain is also a launchpad into the Schengen Area and the wider EU market.
The Challenges
So, what do Americans find challenging about life in Spain?
One unavoidable downside of life in Southern Europe is bureaucracy. Whatever dealings you have with the Spanish Government and immigration officials will test your patience. Be prepared for paperwork, queues and time-consuming processes.
Things have gotten trickier for those looking to relocate or own that quaint Spanish villa.
Like elsewhere in Europe, Spain is tackling a housing crisis, with rents doubling in the past decade.
As a knock-on effect of this housing issue, the opportunity to invest in or buy a property in Spain has become much harder for foreigners.
You can still find affordable housing, but you will need to do your research and get on-the-ground professional help.
If you are contemplating working in Spain for a local company, be aware that average salaries are much lower than you will be used to in the US. Spain also struggles with unemployment, with over 11% of the population out of work.
Americans also need to consider their taxes. Spain is far from a low-tax country, with a personal income tax rate that ranges from 19% to 47%.
Because the United States operates a citizenship-based tax system, you will also need to take into account taxes back home.
Best Place to Live in Spain for Americans
Spain’s cities and regions are incredibly diverse, each offering distinct customs, living costs and pace of life.
Madrid
Madrid is an elegant, sophisticated city where people know how to enjoy the finer things in life.
The vibrant capital of Spain offers a unique blend of social, cultural and economic opportunities for expats. The climate is appealing, averaging 25°C in summer, though winters can drop to around 6°C.
Daily life is generally more affordable compared to northern European cities, making it a great option for those who enjoy a lively atmosphere without the frantic pace of somewhere like London.
Madrid’s affordable living makes it an appealing choice for professionals, remote workers and those seeking a dynamic city life.
Barcelona
Barcelona is known for its stunning beaches, nightlife, architecture and rich Spanish culture.
Many American expats consider this Catalonian capital their home away from home. Barcelona’s diverse community helps expats feel at home. The average expat age is 34, and many come from countries like Argentina, Peru and Italy, adding to the city’s multicultural vibe.
Barcelona is fast becoming Europe’s main startup hub, attracting companies with its location and talent pool.
When you’re not working, you can enjoy 100 miles of beautiful coastline.
Málaga
Located on Spain’s Costa del Sol in Andalucía, Málaga is an attractive destination for Americans, especially those looking for the ideal retirement destination.
The city’s beaches, such as Playa Malagueta and Playa de la Misericordia, offer serene experiences amid the hustle and bustle.
Málaga is one of Europe’s safest cities, with year-round summers and activities ranging from water sports to skiing in the nearby Sierra Nevada mountains. The community is welcoming to expats, and English is widely spoken.
Málaga hosts numerous festivals throughout the year, such as the Málaga Feria and the Flamenco Biennial. With nearly 40 museums, including free admission on Sundays, art lovers will find plenty to explore.
Spain’s Residency Options
If your heart is set on Spain, you’ll need to arrange the appropriate visa before you make the move.
Digital Nomad Visa
Spain’s Digital Nomad Visa, introduced in 2023, allows non-EU citizens to live and work remotely in Spain. To qualify, applicants must show a minimum income of circa €2,520 per month and have a contract with an established company.
Other requirements are at least three years of experience in your field, proof of a clean criminal record from countries you have resided in over the last two years, and confirmation of registration in the Spanish social security and public health system.
The visa allows you to experience Spanish life while working there remotely.
Spanish Entrepreneur Visa
The Spanish Entrepreneur Visa provides a path to residency if you establish an innovative company in the country.
Your business plan must be deemed to create economic interest and offer investment opportunities to qualify.
Spain has some tax incentives for new businesses, with a reduced corporate tax rate of 15% for the first two years and 25% thereafter.
However, personal income tax for international directors can be high, at 45% for salaries between €60,000 and €300,000 and 47% for salaries over that amount.
Spanish Non-Lucrative Visa
Spain’s Non-Lucrative Visa is ideal for retirees or those with independent financial means who want to reside without working.
Applicants must show passive income of around €31,000 per year, as demonstrated by a bank balance equivalent to 400% of Spain’s Public Multiple Effects Income Indicator (IPREM).
The visa allows a renewable one-year stay, provided financial criteria are still met. It offers a peaceful retirement and a pathway to permanent residency after five years and potential citizenship and a Spanish passport after ten years.
What is the Cost of Living in Spain?
Spain is among the most affordable countries in Europe, with American expats spending about 45% less than in the US.
Rent in Spain is approximately 30% cheaper than in the US. A one-bedroom apartment in Madrid city centre costs around €1,380, compared to €4,100 in New York.
Recent cost-of-living indices demonstrate that Spain is also notably cheaper overall than other European countries like France, Germany or the UK.
To give you an idea of the costs of living in Spain, here is a snapshot of the main expenses:
- A one-bedroom flat in central Barcelona will cost you around €1,130
- A simple lunch costs €13
- Three-course meal for two at a mid-range restaurant €55
- Cappuccino costs around €2.50
- A loaf of bread costs €1.60
- A dozen eggs cost €2.50
- Bottle of wine €6
- Utilities €130 monthly
- Monthly public transport pass €22
- A monthly gym membership typically costs €40.
Overall, living in Spain can provide a higher quality of life for less, compared to the US.
Taxes in Spain
If you spend more than 183 days here in a year, or if Spain becomes your main home, the tax authorities will generally classify you as a tax resident.
Resident income is taxed on a sliding scale, starting at 13% but rising sharply to 48% once your earnings pass the €83,700 mark, with an extra ‘solidarity’ tax potentially kicking in on top for higher incomes.
As a tax resident, Spain taxes you on your income from all sources worldwide. If you’re looking to pay little or no tax as a global citizen, Spain may not be the right choice.
If you’ve amassed significant savings, a second residency may be manageable despite various filing requirements, including Spain’s wealth tax.
The Beckham Law in Spain is a tax framework established in 2004 to attract foreign talent. It allows qualifying expatriates to pay a flat tax rate of 24% on Spanish-sourced income for their first six years in the country.
Under this regime, individuals become tax residents after spending more than 183 days in Spain but benefit from a reduced tax liability.
As a US citizen, you will always be on the hook for US taxes and filing obligations, no matter where you go. See our article on How to Renounce Your US Citizenship, which goes into detail about the tax implications and benefits.
Moving to Spain from the US: FAQs
Generally, American expats report a very positive experience, often citing the country’s relaxed pace of life, culture, safety and affordable cost of living compared to the US.
Yes, Spain is considered very safe globally. It consistently ranks highly (often in the top 10) on the Global Peace Index due to low violent crime rates and political stability.
Both offer fantastic weather and culture. Spain is larger, with more regional diversity and potentially higher salaries, but a higher cost of living in major cities. Spain is slightly more affordable for daily expenses, while Portugal typically offers a faster route to citizenship eligibility.
Yes, Americans can live in Spain, but they need to obtain a visa or residency permit if they plan to stay for more than 90 days (whether student visa, tourist visa, retirement visa or investor visa) if they plan to stay for more than 90 days. Spanish immigration law requires Americans to obtain a self-employment visa, a permanent residency visa, a Spanish golden visa or a residence permit. There are specific requirements for each visa type, such as a job offer from a Spanish company, opening a Spanish bank account or providing documentation such as a foreign identity card.
Major differences include Spain’s slower pace of life, generally lower living costs and a universal public healthcare system. Expats also note differences in work culture, obvious language differences and better public transport options in Spanish cities.
The cities with the most expats living in them are Madrid and Barcelona. But you’ll find expats anywhere you go in Spain, so it would be easy to make friends there.
Yes, the cost of living in Spain as an American is considerably lower than in the US. Especially when it comes to groceries, eating out and healthcare.
Is Spain Going to Treat You Best?
Spain offers a straightforward EU residency, a path to a top-tier passport after ten years, plus a safe, pleasant lifestyle that’s great for accessing the rest of Europe.
However, this isn’t a one-size-fits-all solution.
If your priorities lie in maximum tax efficiency, perhaps a zero-income-tax environment, there could be other European options worth considering.
If rock-bottom living costs and a simple territorial tax system are paramount, maybe Latin America warrants investigation.
If fast citizenship is the goal, one of the Caribbean citizenship by investment programs might be a better fit.
The point is that you have options – a whole world of them, in fact.
At Nomad Capitalist, crafting bespoke, holistic strategies is what we do. We analyse your unique situation and help you plant your flags where you are treated best.
If you’re ready to move beyond generic advice and build a plan for freedom and prosperity, perhaps it’s time we talked. Get in touch today.
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