Buying Property in Spain as a Foreigner: What You Need to Know

1. Can Foreigners Buy Property in Spain?

Yes! Spain welcomes foreign buyers, and there are no restrictions on non-residents purchasing property. Whether you’re an EU citizen or coming from outside the EU (like the U.S., UK or Canada), you can legally own real estate.

You don’t need to be a resident — but you’ll need a NIE (Foreigner Identification Number) to begin the process.

2. Financing the Purchase: Cash or Mortgage?

Many expats buy in cash, but if you need financing, you can apply for a non-resident mortgage. Some key points:

• Most banks offer up to 60–70% LTV for non-residents
• Interest rates are typically higher than for residents
• You’ll need to show stable income and international tax returns

We can help you compare options and provide required documentation.

3. The Buying Process Step-by-Step

1. Get your NIE and open a Spanish bank account
2. Find the property (with or without a real estate agent)
3. Make an offer and sign a reservation contract
4. Conduct due diligence (title check, debts, legal status)
5. Sign the purchase contract before a notary
6. Pay the taxes and register the property

The process usually takes 1–3 months depending on the case.

4. Taxes and Costs You Must Consider

Besides the property price, you should budget an additional 10–13% for:

• Transfer tax (ITP) or VAT (IVA)
• Notary fees and Land Registry costs
• Legal and mortgage fees (if applicable)
• Property tax (IBI) and community fees after purchase

We also help you understand how this affects your global tax position — especially under double taxation treaties.

5. Common Pitfalls to Avoid

• Buying without proper due diligence on debts or urban status
• Relying only on the seller’s agent — they work for the seller
• Skipping the review of community rules (important for apartments)
• Not checking if short-term rentals are allowed (Airbnb, etc.)

Our legal team reviews contracts, verifies ownership, and protects your interests as a buyer.