Buying property in Spain — frequently asked questions

Yes. There are no nationality restrictions on residential property ownership. You will need an NIE tax number and a Spanish bank account.

No. Ownership does not require residency. You can own Spanish property as a full non-resident and only spend part of the year there.

Yes. Granting Power of Attorney to your Spanish lawyer lets them sign the deed at the notary on your behalf, so you never need to travel.

The NIE is your Spanish tax ID. You can apply in person in Spain at a police station or through a Spanish consulate in your country. Your lawyer can also apply on your behalf with a Power of Attorney.

Yes. You will need one to pay taxes, transfer the purchase funds and set up utilities. Most Spanish banks offer non-resident accounts.

Plan for 10–14% on top of the purchase price, covering ITP or IVA + AJD, notary, Land Registry, legal fees and — if applicable — mortgage costs.

ITP is the regional transfer tax on resale properties. It ranges from 6% to 10% of the purchase price depending on the region.

AJD is a stamp duty on new-build purchases (in addition to 10% IVA) and on notarised mortgage deeds. Regional rates are typically 0.5–1.5%.

Notary fees are set by regulated tariff and usually total 0.1–0.5% of the price. Land Registry fees typically add another 0.1–0.25%.

You will pay annual IBI (local property tax), non-resident income tax (IRNR) if you don't rent it out, plus wealth tax if your Spanish assets exceed regional thresholds.

Yes. Non-residents pay capital gains tax on any profit (19% for EU/EEA residents, 24% for others), plus plusvalía municipal on the increase in land value.

Yes. Most major Spanish banks offer non-resident mortgages, typically at 60–70% LTV on 20–25 year terms.

Plan for a 30–40% deposit plus 10–14% in taxes and fees. A cash buyer needs the full price plus taxes and fees.

Passport, NIE, last 3–6 months of bank statements, last two years of tax returns, employment or income proof, and a credit report from your home country.

A Spanish mortgage secured against the Spanish property is usually simpler, avoids re-mortgaging your primary home and is denominated in euros, removing FX risk on repayments.

Both are widely available. Fixed rates offer predictability; variable rates track Euribor. Most non-resident buyers choose fixed for certainty.

1) Reservation contract and deposit. 2) Independent legal due diligence. 3) Private purchase contract (arras) with 10% deposit. 4) Mortgage finalisation. 5) Notary signing and payment. 6) Land Registry inscription.

They review the Nota Simple, verify debts and charges, check planning, licences and community status, hold your deposit safely, draft the private contract, and represent only your interests through to registration.

Contrato de arras is the private purchase contract signed after due diligence. The buyer typically pays a 10% deposit; if the buyer withdraws they lose it, if the seller withdraws they repay double.

The notary verifies identities, reads the deed, confirms mortgage funds and tax payment, both parties sign, keys are handed over, and the deed is sent to the Land Registry.

Not without penalty once an arras contract is signed. Under the standard arras penitenciales the seller must return double the deposit if they withdraw.

Typically 6–12 weeks. Cash purchases can complete in 4–6 weeks; non-resident mortgages usually extend it to 10–12 weeks.

Usually €3,000–€10,000. It removes the property from the market while due diligence and financing are arranged.

Standard is 10% of the purchase price, paid on signing the arras contract after due diligence is complete.

On notary day. The remaining balance, taxes, notary and Land Registry fees are all paid at completion, usually by banker's draft.

No. Ownership itself does not grant residency. Residency is a separate legal process based on income, work, family or other qualifying grounds.

Yes, subject to regional and municipal rules. Tourist rentals require a licence in most regions and are restricted or banned in parts of the Balearics, Catalonia and central Málaga.

Each autonomous community sets its own regime. You typically need a tourist licence, must register guests with the police, and pay tourist tax and non-resident income tax on the revenue.

Undisclosed debts, unregistered extensions, expired first-occupancy licences, coastal-law affectations and unclear tourist-rental status. Independent legal due diligence eliminates almost all of them.

Under the Ley de Costas, properties within the maritime-terrestrial zone can be subject to restrictions or, in extreme cases, expropriation. Your lawyer will check this against the property's coordinates.

Insist that the reservation contract specifies the deposit is refundable if legal due diligence uncovers material issues, and pay it into your lawyer's client account rather than direct to the seller or agent.

The agent represents the seller and earns commission on the sale price. Cross-check against Idealista, Tinsa or ST Sociedad de Tasación data, or commission an independent valuation.