Are you an expat looking to purchase your dream property in Granada? Or perhaps you are looking to repatriate the proceeds from the successful sale of your second home in Costa del Sol.
In either case, you are likely to find yourself transferring funds to or from Spain. But depending on how you choose to move your money, you could see major discrepancies in what you receive.
But what is the best way to save money when buying or selling property in Spain?
Contending with currency volatility
If you are moving money to or from Spain, when purchasing or selling property, the value of your transfer will be primarily influenced by movement in the currency market.
If you are looking to maximise the returns on your transfer, you will need to time it for when the GBP/EUR exchange rate is most favourable for you.
If you are moving money to Spain to purchase a property you would benefit from a weak euro. In contrast a strong EUR exchange rate would be advantageous for anyone repatriating the proceeds from selling their Spanish property.
While the difference is often just a few cents, the difference this can make when transferring large amounts of money can be substantial.
So far in 2023 the GBP/EUR exchange rate has traded between a low of €1.11 and a high of €1.17. This would amount to a difference of €18,000 on a £300,000 transfer to Spain.
Unfortunately, the currency market can be extremely volatile, which can make it difficult to time your transfer for when you will get the best returns.
Transferring with a currency provider vs a high-street bank
While your bank may be your first port of call when it comes to transferring money abroad, you are likely to find it is more cost-effective to use a specialist currency provider.
In addition to offering more competitive exchange rates, currency providers won’t charge you the extra transfer fees that are often tacked on by high street banks. Meaning you could see immediate savings.
A bank will also only allow you to perform a Spot Transfer, where your money is moved immediately at the current exchange rate. Whereas currency providers can also offer additional services and support to help you to maximise the returns on your transfers.
For example, if the exchange rate is currently in your favour but you haven’t yet completed the sale of your property, you could use a forward contract to fix that rate for up to a year. While you won’t benefit if the rate improves, you won’t be exposed to any unfavourable shifts.
How Currencies Direct can help
Currencies Direct offers excellent exchange rates, expert support, and a range of transfer options. We also have an exclusive deal with CaixaBank which means you’ll never pay receiving charges in any Spanish bank.
Our dedicated currency experts are on hand to keep you up-to-date with the latest market movements, giving you all the insights you need to time your transfers effectively.
Currencies Direct is also fully licenced to operate as a currency provider within the EU. So you know your money is always covered by the relevant authority.
Pop into your local branch and speak to one of our friendly currency brokers to see how much we could help you save when transferring funds to and from Spain.
About Currencies Direct
Currencies Direct have been helping individuals and businesses save time and money since 1996 with excellent exchange rates and no transfer fees.
With a team of over 550 currency experts and 20+ branches across Spain, Currencies Direct are never far away when you need them.
They’ll keep you up to date with the latest market movements so you can pick the right time to move your money. They also offer a range of specialist services that can be tailored to your individual requirements.
If you have a currency requirement coming up, get a quote now to find out how much you could save.
This a Spotlight Advertising Feature in collaboration with Currencies Direct.
ALSO READ: Spotlight: Protect your money from the volatility that plagued GBP/EUR in July.
ALSO READ: Spotlight: Three tips to save you money when making a currency transfer to Spain.
