How to Buy Property in Spain: The Complete 2026 Process

Can foreigners buy property in Spain?

Yes. Spain places no restrictions on foreign buyers: you do not need residency, citizenship or any special permission to own a home, and the process is the same whether you are from the EU, the UK, the US or elsewhere. The two practical requirements are an NIE (a foreigner identification number used on every contract and tax form) and, for nearly all buyers, a Spanish bank account. Everything else in this guide is about doing the purchase safely, not about being allowed to do it.

The buying process in seven steps

The Spanish purchase follows the same sequence almost every time. Here is the whole journey in order; each step is explained below.

1. Apply for your NIE and open a Spanish bank account.
2. Set your total budget: purchase price plus 10 to 14% in costs, and mortgage pre-approval if you need financing.
3. Find the property and agree the price with the seller.
4. Sign a reservation agreement and pay a holding deposit, typically 6,000 to 20,000 euros, which takes the property off the market.
5. Your lawyer runs due diligence: title, debts, licences, community and planning checks.
6. Sign the arras (deposit) contract and pay 10% of the price.
7. Complete at the notary: sign the escritura, pay the balance, receive the keys, then register the deed.

Step 1: get your NIE number early

The NIE (Número de Identidad de Extranjero) is the ID number Spain assigns to foreigners, and nothing in a property purchase happens without it: not the arras contract, not the mortgage, not the tax payments. You apply with form EX-15 at a national police station in Spain or at a Spanish consulate in your home country, pay a small fee of around 10 euros with form 790, and processing takes anywhere from a few days to three weeks depending on where you apply. The NIE is purely an identification number: it does not make you a tax resident and it carries no immigration consequences. Most of our clients grant power of attorney to their Spanish lawyer, who obtains the NIE for them without a trip. Whatever route you choose, start this the week you decide to buy; it is the most common cause of avoidable delay.

The documents you will need

Spanish banks and notaries apply strict anti-money-laundering rules, so expect to prove not just that you have the funds but where they came from. Gather these early and the rest of the purchase moves noticeably faster:

• Valid passport (and NIE, once issued).
• Proof of funds and their origin: recent bank statements, plus evidence such as a completed sale, salary history or investment records.
• For a mortgage: payslips or accounts, tax returns for 2 to 3 years, and existing debt statements, usually with official translations.
• A Spanish bank account for completion and the direct debits that follow.
• Power of attorney (optional): signed before a notary in Spain or at a consulate, it lets your lawyer complete every step while you are abroad.

Set your budget: prices and buying costs

Two numbers define your budget: what homes cost, and what the purchase itself costs. On the first, our live inventory gives a current picture of the coast, and you can check any town or area on our property price pages, updated from active listings every month.

Median asking price on the Costa del Sol: €650,000, at €4,685 per built m², across 8,067 active sale listingsSource: Hometailor market data · September 2026 · View market data →

On the second: budget 10 to 14% on top of the purchase price for taxes and fees. The exact figure depends on whether you buy a resale or a new build, and on the region. These are the current rates in Andalucía:

Transfer tax (ITP) in Andalucía is a flat 7% on resale property purchases; new builds pay 10% VAT plus 1.2% AJDSource: Agencia Tributaria de Andalucía · September 2026 · View market data →

For the full breakdown, including the ongoing costs of ownership such as IBI and community fees, see our costs and taxes guide series.

Find the right property, and check the right things

Browse resale homes and new developments with live availability, or start from the area guides if you have not chosen a town yet. When a property makes your shortlist, look past the photos. These are the checks that save buyers real money:

• Rental plans: if you intend to rent to tourists, confirm the building and town allow it and what licence is required before you offer. Some communities ban holiday lets or charge owners who rent out considerably higher community fees.
• Distances in reality: "within walking distance" in a listing is subjective. Check the actual route to the nearest grocery store, pharmacy and clinic, including the terrain.
• Ownership history: the Land Registry (Registro de la Propiedad) shows past transfers and any charges on the property. Frequent changes of owner deserve an explanation.
• Building age and condition: older homes hide expensive problems in walls, drains and roofs. Budget a professional survey for anything built before the 1990s.
• Internet speed, if you plan to work remotely: coverage statistics say little about signal quality in a specific building. Test it during the viewing.

Hire an independent lawyer (not optional)

A Spanish property lawyer typically charges 1 to 1.5% of the price plus VAT, and it is the best money in the whole transaction. Independent means exactly that: not the seller's lawyer, not the developer's recommended firm. Your lawyer verifies title and ownership, checks for debts and charges registered against the property (in Spain, some debts follow the property, not the person), confirms the licence of first occupation on new builds, reviews the community statutes and fees, and drafts or reviews every contract before you sign. On the Costa del Sol most reputable firms work in English and handle the NIE and completion by power of attorney if you are abroad.

Reservation and the arras contract

Once your offer is accepted you normally sign a short reservation agreement and pay a holding deposit, usually 6,000 to 20,000 euros, which freezes the price and takes the property off the market while your lawyer completes due diligence. The main contract is the contrato de arras, a private deposit contract under which you pay 10% of the price. It has real teeth on both sides: under the standard penitential arras, if you withdraw you lose the deposit, and if the seller withdraws they must return it doubled. Treat the arras as the real point of commitment. The completion date, exactly what is included in the sale (furniture, parking, storage room), and who pays which costs are all fixed here, which is why the arras is signed only after your lawyer has cleared every check. If anything material is still unresolved, push the arras back rather than signing with open questions.

Mortgages for non-residents

Spanish banks lend to non-residents at typically 60 to 70% of the property value, compared with up to 80% for residents, so plan your deposit accordingly. Expect to document foreign income thoroughly: payslips, tax returns and bank statements, usually with translations. Once approved, the bank issues a binding offer sheet (FEIN) and Spanish law imposes a 10-day reflection period before you can sign, so a financed purchase is always a few weeks slower than cash. The Bank of Spain's client portal explains the framework and your rights as a borrower; start the pre-approval before you fly out to view, not after you have fallen for a specific home.

Mortgage borrowers in Spain must receive the FEIN binding offer and complete a 10-day reflection period before signingSource: Banco de España, bank customer portal · September 2026 · View market data →

Completion day at the notary, and what comes after

Completion happens at a notary's office: both sides (or their attorneys) sign the escritura de compraventa, the balance is paid by Spanish banker's draft, and you receive the keys the same hour. The notary certifies the transaction but does not protect your interests; that was your lawyer's job in the weeks before. Afterwards your lawyer registers the deed at the Land Registry, settles the purchase taxes within the 30-day deadline, and switches utilities, IBI (the annual property tax) and community fees into your name. From accepted offer to keys, the full journey is the 8 to 12 weeks we promised at the top, and most of that time is due diligence and bank processing rather than paperwork you need to be present for.