Moving from the USA to the Costa del Sol can be an exciting decision, but it requires careful planning. With its warm Mediterranean climate, affordable cost of living, and relaxed lifestyle, the Costa del Sol is an attractive destination for Americans looking to live in Spain. This guide covers all essential aspects, from visas and healthcare to living costs and real estate, to ensure a smooth transition.

1. Residency Requirements and Visas

For stays longer than 90 days, Americans need a residence permit. Here are the most common visa options for U.S. citizens:

• Non-Lucrative Visa: Ideal for retirees or individuals with passive income (e.g., pensions, investments). In 2025, the minimum requirement is an annual income of €28,800.

• Digital Nomad Visa: Best for remote workers. Requires proof of employment or freelance work.

• Work Visa: Only granted for employment with a Spanish company.

• Student Visa: Tied to the duration of the academic program.

• Golden Visa: No longer available after April 2025. An alternative for investors is the Non-Lucrative Visa.

After five years of residency, you can apply for permanent residency.

2. Cost of Living on the Costa del Sol

The Costa del Sol offers a significantly lower cost of living compared to major U.S. cities. Here’s a comparison of typical expenses:

Rent prices are up to 75% lower than in the U.S., and daily expenses like dining, transport, and entertainment are also affordable.

3. Taxation for U.S. Expats

Americans must pay taxes on their worldwide income. However, a tax treaty between Spain and the U.S. helps prevent double taxation:

• Foreign Earned Income Exclusion (FEIE): Exempts up to $120,000 from U.S. taxation if certain criteria are met.

• Foreign Tax Credit: Allows U.S. tax liability reduction based on Spanish taxes paid.

• Residency Rule: Those who spend more than 183 days per year in Spain are considered tax residents.

4. Renting vs. Buying Property

• Renting: Ideal for flexibility. Rental prices on the Costa del Sol are lower than in the U.S.

• Buying: Attractive for long-term residents and investors. Property prices in Málaga average around €2,500/m², making it a cost-effective option compared to major U.S. cities.

5. Driving in Spain

• Short-term use: U.S. driver’s license valid for 6 months. An International Driving Permit (IDP) is recommended.

• Long-term residents: After 6 months, a Spanish driver’s license is required.

6. Healthcare

Spain has one of the best healthcare systems in the world. Residents are entitled to public healthcare, while private health insurance is affordable, costing around $67 per month.

7. Schools for Children

International schools with English-language curricula are widely available in Málaga, Marbella, and Fuengirola, attracting many expat families.

8. Bringing Pets

• Requirements: Microchip, rabies vaccination, EU pet passport, or USDA health certificate.

• Pets under 12 weeks old: Not allowed to enter Spain.

9. Best Places for Americans on the Costa del Sol

• Málaga: Cultural hub with excellent infrastructure.

• Marbella: Luxury living with an upscale community.

• Fuengirola: Family-friendly with international schools.

• Estepona: Relaxed lifestyle with beautiful beaches.

10. Life on the Costa del Sol: Pros and Cons

Pros

• Pleasant Mediterranean climate.

• Affordable cost of living.

• Excellent healthcare.

• High quality of life.

Cons

• Bureaucratic processes can be complicated.

• Spanish language skills are beneficial.

• Adjusting to a slower pace of life.

Conclusion

Moving to the Costa del Sol is an attractive option for Americans seeking an affordable, sun-drenched lifestyle. With proper preparation, the dream of living in Spain can become a reality. Ready to make the move? Start planning your new life on the Costa del Sol today and contact me !