Buying Property in Spain: What International Buyers Should Know

Spain is one of Europe’s most captivating destinations — combining history, beauty, and opportunity. With family living there, I’ve seen how Spain continues to attract global interest not only for its lifestyle but also as a smart real estate investment market. For many international buyers from Latin America, Europe, and the United States, owning property in Spain represents both stability and cultural connection.

Why Spain Is Attractive to Foreign Buyers

Spain remains a top choice for vacation homes and real estate investment due to its Mediterranean climate, high quality of life, and well-established property rights for non-residents. Foreign buyers are drawn to destinations such as Costa del Sol, Costa Blanca, Madrid, Barcelona, and the Balearic Islands.

The country’s combination of lifestyle, economic resilience, and rental potential continues to make it a leading option for international investors seeking a balance of enjoyment and return on investment.

Who Can Buy Property in Spain?

Almost anyone — regardless of nationality — can buy property in Spain. There are no legal restrictions on foreign ownership.

Key points to know:

• Buying property does not grant automatic residency. Spain ended its “Golden Visa” residency-by-investment program in 2025.

• If you plan to live there, you’ll need the proper visa.

• Legal representation is strongly recommended to handle due diligence, taxes, and registration.

Key Steps for Foreign Buyers

1. Obtain an NIE (Número de Identificación de Extranjero)
   Required for all property transactions, tax payments, and registrations.

2. Open a Spanish Bank Account
   Simplifies payments, utilities, and future financial management.

3. Hire a Local Attorney for Due Diligence
   Your attorney will verify ownership, check for debts, and review contracts before signing.

4. Budget for Additional Costs
   Expect about 10–12% in extra costs for taxes, notary, legal, and registration fees.

5. Finalize and Register the Purchase
   After signing a deposit agreement (contrato de arras), the final deed (escritura) is executed before a notary and registered in the Land Registry.

Taxes and Ongoing Costs

Purchase Taxes:

• Resale Homes: Transfer Tax (ITP) between 6%–10%, depending on the region.

• New Homes: 10% VAT (IVA) plus approximately 1.5% stamp duty (AJD).

Annual Taxes:

• Property tax (IBI) based on cadastral value.

• Non-resident income tax (19% for EU/EEA citizens, 24% for others).

• Wealth tax in certain regions for high-value assets.

Additional Costs:

• Community fees for shared developments.

• Utilities, insurance, and maintenance.

Investment and Lifestyle Advantages

• Stable Market: Spain offers a mature property system and high demand in key areas.

• Rental Income: Consistent demand from tourism and long-term rentals.

• Lifestyle: Mediterranean living, cultural richness, healthcare, and safety.

• Accessibility: Direct international flights and financing options for non-residents.

Important Considerations

• Regulations: Some regions have restrictions on short-term rentals.

• Currency Fluctuations: Plan for exchange rate differences if paying in foreign currency.

• Local Language: Work with bilingual professionals for smooth communication.

Why Spain Appeals to International Clients

With family connections in Spain and professional networks abroad, I stay closely informed about local trends and reliable contacts in the market. This allows me to connect clients to trusted agents, attorneys, and property experts in Spain while providing guidance from Florida.

For many, owning property in Spain is not just a financial investment — it’s a step toward a more relaxed and fulfilling lifestyle in one of Europe’s most welcoming countries.

Final Thoughts

Spain’s real estate market continues to be one of the most attractive in Europe for global buyers. With careful planning, proper legal guidance, and the right local partners, the process can be straightforward and rewarding.

If you’d like to learn more or connect with a trusted agent in Spain, reach out — I can help you get started with reliable local professionals who specialize in assisting international buyers.