The Complete Guide to Buying Property in Spain as a Foreigner

Buying property in Spain as a foreigner is straightforward once you understand the sequence — but it does follow a specific legal process that differs from most home countries. This guide walks through every stage, from your first document to picking up the keys.

Before you start

Two things matter before you view a single property. First, work with an independent property lawyer who is not connected to the seller or agent — they will review contracts, coordinate with the notary and flag anything unusual. Second, budget for the full cost of buying, not just the purchase price: taxes, notary fees, registry fees and legal costs typically add a meaningful amount on top, and non-resident buyers should expect Spanish banks to offer shorter mortgage terms and require a larger deposit than residents.

The step-by-step process

1. Hire independent legal support. A lawyer who regularly works with foreign buyers will handle due diligence, contracts and notary coordination, and can give you a realistic estimate of total costs upfront.
2. Get your NIE number. The Número de Identidad de Extranjero is required on every property, tax and banking document in Spain. You can apply at a Spanish consulate before you travel, or at a police station in Spain.
3. Open a Spanish bank account. You'll need it to pay the purchase price, taxes and fees. Banks typically ask for your passport, NIE, proof of address and proof of income.
4. Plan your currency exchange. If you're transferring funds from another currency, a specialist exchange service can lock in a rate and protect your budget from fluctuations.
5. Carry out due diligence. Your lawyer requests a nota simple from the Land Registry to confirm ownership, any mortgages or charges, and the property's legal description, checks outstanding community fees, and reviews the energy certificate.
6. Reserve the property. A reservation contract with a small deposit takes the property off the market while paperwork is finalised, with clear terms on refund conditions.
7. Sign the deposit contract (arras). This typically involves a larger payment, commonly around 10% of the price. If you withdraw without cause you may forfeit it; if the seller withdraws, they usually must return double.
8. Arrange your mortgage, if needed. Banks will ask for proof of identity, income, existing debts and the property details. A mortgage broker who works with non-residents can speed this up considerably.
9. Get the property valued. An independent tasación determines how much the bank is willing to lend. If the valuation comes in below the purchase price, you'll need to cover the difference in cash.
10. Sign at the notary. The notary oversees signing of the escritura de compraventa (title deed) and, if applicable, the mortgage deed. Final payment is made by bank transfer at this point.
11. Register the property. Your lawyer registers the new deed at the Land Registry, which formally transfers ownership into your name.

Taxes and costs to budget for

On top of the purchase price, buyers should generally plan for additional costs in the region of 10u201313% of the property price, though the exact figure depends on the region and whether the property is new-build or resale.

• Resale property: transfer tax (ITP), which varies by autonomous community
• New-build property: VAT plus stamp duty (AJD)
• Notary and Land Registry fees, generally a small percentage of the price
• Legal fees for your independent lawyer
• Mortgage arrangement costs, if you're financing the purchase

Because transfer tax rates and exact fees vary by region and change from time to time, always confirm current rates for your specific area with your lawyer before you budget the final number.

Common mistakes foreign buyers make

• Skipping independent due diligence and relying only on the seller's agent
• Underestimating the total cost of buying by focusing only on the listing price
• Leaving the NIE and bank account until late in the process, which delays everything else
• Not reading the community statutes, which can restrict renovations, pets or short-term rentals
• Assuming the process works the same way it does at home

After you buy

Once the deed is signed and registered, set up utilities in your name, keep a copy of every document from the notary, and if you plan to live in Spain more than 183 days a year, look into residencia and the empadronamiento — your local municipal registration, which unlocks healthcare and other local services. Our guide to healthcare in Spain for expats covers what the empadronamiento unlocks.

For context on where prices and demand stand right now, see our Costa del Sol property market report, or start browsing current properties for sale.