How to buy property in Spain as a foreigner: the 2026 guide
A step-by-step guide for non-residents buying property in Spain in 2026: NIE, mortgages, taxes, legal checks, and how to avoid the most common traps.
Spain remains one of the most popular destinations in Europe for foreign property buyers. Great weather, a healthy rental market, no restrictions on non-resident ownership, and — compared to Paris, London or Amsterdam — prices that still feel reasonable. But the process has its own rhythm, its own taxes, and a handful of traps that catch out first-time buyers every single year.
This is the guide we wish we'd had when we started helping buyers navigate the Spanish market. It covers the full journey: from getting your NIE and opening a bank account to signing the deed and paying your first IBI bill.
Can foreigners buy property in Spain?
Yes. There are no restrictions on non-residents — EU or non-EU — buying residential property in Spain. You can own freehold, rent it out, sell it, or pass it to your heirs. The only thing that changed recently is the Golden Visa: the investment-for-residency scheme tied to property purchase was formally ended in April 2025. Buying property still works fine; it just no longer grants you a residency permit on its own.
If you need a long-stay visa, the most common routes for property buyers today are the Non-Lucrative Visa (for those with passive income) and the Digital Nomad Visa (for remote workers). These are separate processes from the property purchase itself.
The 11-step process, in order
1. Get your NIE number
The NIE (Número de Identidad de Extranjero) is a foreigner's tax ID. You cannot buy property, open a Spanish bank account, or pay taxes without one. You can apply:
- At a Spanish consulate in your home country (slower, but you can do it before arriving)
- At a National Police station in Spain (faster in tourist-heavy provinces; painfully slow in Madrid and Barcelona)
- Through a lawyer with power of attorney (most common for remote buyers — expect €100–€200 in fees)
The NIE itself is free or costs about €10. Timelines range from a few days to several weeks depending on the office.
2. Open a Spanish bank account
You'll need a Spanish account to pay the deposit, the notary, the taxes, and ongoing bills (electricity, water, community fees, IBI). Most Spanish banks offer non-resident accounts — they just require your passport, NIE, and proof of address from your home country. Fees are higher than resident accounts, usually €30–€120 a year.
3. Define your search — properly
This is where most buyers lose time. "A place near the beach" is not a search; it's a mood. Before you start visiting, decide on:
- Type: flat, townhouse, villa, plot, commercial?
- Kind: purchase or rent-to-buy?
- Budget: total, or post-financing?
- Minimum area: interior square metres, not the plot
- Location: community (e.g. Valencian Community), province (e.g. Alicante), municipality (e.g. Dénia), preference (centric vs outskirts)
- Must-haves: parking, outdoor space, elevator, energy certificate grade
The more specific you are, the less time agents waste showing you properties that don't match — and the less time you waste viewing them. This is exactly why we built Buvivo: so buyers can state their criteria once, and properties come to them.
4. Hire an independent lawyer — before making any offers
This is the single most important step and the one most people skip to save €1,500. Do not use the seller's lawyer. Do not use a lawyer recommended by the estate agent. Find an independent abogado registered with the local Bar Association (Colegio de Abogados) who works for you and only you.
A good property lawyer will:
- Verify the property's registry details (nota simple from the Registro de la Propiedad)
- Check for debts, embargoes, or unpaid community fees
- Confirm planning status and that the property is fully legal (this matters enormously in Andalucía and the Canary Islands, where thousands of homes were built without permission)
- Review the cédula de habitabilidad / occupancy certificate
- Draft or review the private purchase contract
- Attend the notary signing on your behalf via power of attorney, if needed
Budget €1,500–€3,000 depending on the property value and complexity.
5. Mortgage pre-approval (if financing)
Non-residents can get Spanish mortgages, but terms are less generous than for residents:
- Loan-to-value: typically 60–70% for non-residents (vs up to 80% for residents)
- Term: up to 25–30 years, but must usually end before age 75
- Rates: mostly variable, tracking 12-month Euribor + 0.8–1.5%. Fixed rates available but 0.5–1% higher
- Income check: your monthly mortgage payment generally can't exceed 30–35% of your net income
Get a pre-approval (oferta vinculante) before you sign any reservation contract. You'll need payslips, tax returns, bank statements and proof of existing debts — all translated into Spanish and apostilled.
6. The reservation contract
Once you find a property and your offer is accepted, you'll sign a reservation contract (contrato de reserva) and pay €3,000–€6,000 to take the property off the market. This typically gives you 2–4 weeks to complete due diligence and sign the private contract. The deposit is non-refundable unless a legal problem is uncovered, so never sign this without your lawyer's sign-off.
7. Due diligence
Your lawyer runs their checks. Nothing dramatic should happen here if you chose well in step 4 — but if anything problematic surfaces, this is when you walk away. Budget at least 2 weeks.
8. The private purchase contract (contrato de arras)
The real commitment. You pay 10% of the purchase price as a deposit. If you pull out after this, you lose the deposit. If the seller pulls out, they pay you double. The contract sets a final completion date, usually 30–60 days out.
9. Final mortgage approval
Your bank sends a valuer (tasador) to the property. This takes 1–2 weeks. Once they issue the final binding offer, Spanish law requires a 10-day cooling-off period before you can sign at the notary. Plan for this in your completion timeline.
10. Completion at the notary
On completion day you and the seller meet at the Spanish notary public. The notary reads the public deed (escritura pública) aloud, confirms both parties understand, and witnesses the signing. You pay the balance by banker's draft, the seller hands over the keys, and the notary sends the deed to the Land Registry for recording.
11. Post-completion
Over the next few weeks you'll need to:
- Pay ITP (resale) or VAT + AJD (new build) — your lawyer handles this
- Register the deed at the Land Registry
- Transfer utilities (electricity, water, gas, internet)
- Pay the plusvalía municipal tax (technically the seller's obligation but often negotiated)
- Set up direct debits for IBI and community fees
How much does it really cost on top of the price?
The sticker price is only the beginning. Budget 10–13% of the purchase price in additional costs for a resale, or 12–14% for a new build.
| Cost | Resale | New build |
|---|---|---|
| ITP (transfer tax) | 6–10% (region-dependent) | — |
| VAT + AJD | — | 10% + 0.5–1.5% |
| Notary | 0.1–0.5% | 0.1–0.5% |
| Land Registry | 0.1–0.25% | 0.1–0.25% |
| Lawyer | 1% (or flat €1.5k–€3k) | 1% |
| Mortgage arrangement (if any) | 1–2% of loan | 1–2% of loan |
| Valuation (tasación) | €300–€600 | €300–€600 |
Regional ITP rates vary a lot: 6% in Madrid, 10% in Catalonia and the Valencian Community, 7–8% in Andalucía and the Balearics.
Ongoing costs after you own it
- IBI (council tax): roughly 0.4–1.1% of the valor catastral per year
- Community fees (if in a building or urbanización): €30–€300+ per month
- Non-resident income tax: even if you don't rent it out, non-residents pay an imputed tax of around 1.1–2% of the valor catastral × 19–24% per year
- Insurance: €200–€600 per year for a standard multi-risk policy
- Rubbish tax (basuras): €50–€300 per year
The five most common traps
- Buying on holiday. Don't. Every agent knows the buyer who flew in on Thursday, signed reservations on Saturday, and flew home Sunday. They're also the buyer who pays 15% too much.
- Skipping the independent lawyer. You will regret this exactly once.
- Ignoring illegal builds in Andalucía and the Canaries. Tens of thousands of rural homes were built without permission and can't be legalised. A nota simple tells you the registry status but not the planning status — your lawyer needs to check the ayuntamiento directly.
- Underestimating completion costs. The 10–13% surcharge catches people out constantly.
- Signing the private contract without mortgage pre-approval. If the bank pulls out, you lose your 10%.
What's next
If you're months away from buying, start with step 1 — get your NIE now, it's the one thing that can't be rushed. If you're weeks away, post your search on Buvivo and let matching agents come to you.
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