Markets · Spain
Can a foreign national buy property in Spain?
Yes, with no restriction of nationality or prior residence. A foreigner's identity number (Número de Identidad de Extranjero, NIE) is required. Buying does not grant residency: the Spanish golden visa was repealed with effect from 3 April 2025 and has no direct replacement.
This page answers in the order the questions arise: what you need in place before making an offer, what changed on residency, which charges belong in the budget beyond the price, and why the rate depends on the autonomous community the property sits in. Where we do not have a figure confirmed against a primary source, we say so.
What restrictions apply to a foreign buyer?
None on the acquisition itself. Buying property in Spain is not restricted by nationality and does not require prior residence, and that holds for buyers resident in the European Union and for those from outside it. The purchase may be made in your own name, jointly with others, or through a company, and that choice carries different tax and succession consequences depending on the case.
What is always required is a foreigner's identity number (Número de Identidad de Extranjero, NIE). Without it, taxes cannot be settled, the deed cannot be executed before a notary, and the purchase cannot be registered at the Land Registry. Obtaining it at the last minute, in the week of the deed, is one of the most frequent causes of postponement.
Opening a Spanish bank account is what makes the payment of taxes, recurring charges and utilities practicable, and it is simpler to deal with before a property has been chosen than after a date has been set.
The correct order is the same in any market: criteria, identity number and account, verification of the property, then the offer. Reversing it causes most of the delays later attributed to the market.
Does buying a home in Spain grant residency?
No. The Spanish golden visa — the residence permit by investment, including the property route — was repealed by Ley Orgánica 1/2025, with effect from 3 April 2025.
No replacement route was created. Anyone seeking residency in Spain has to seek it outside property investment: no purchase, at any value, confers it on its own.
Permits granted before that date remain valid. What no longer exists is the possibility of obtaining one by this route — and it is still being advertised as though it did, which is why this section exists.
| Point | Position |
|---|---|
| Instrument | Ley Orgánica 1/2025 |
| In effect from | 3 April 2025 |
| Replacement route | None was created |
| Permits granted earlier | Remain valid |
| Purchase by a foreign national | Unrestricted, regardless of residence |
What is the NIE and what is it for?
The foreigner's identity number (Número de Identidad de Extranjero, NIE) is the personal identifier the Spanish administration assigns to anyone who does not hold Spanish nationality. It is not a residence permit and confers no right to reside: it is the number by which a person is identified before the administration, including the tax administration.
In a purchase, the NIE is what allows the transfer tax to be settled, the deed to be executed before a notary, and the acquisition to be registered at the Land Registry. It is also asked for when opening an account, contracting utilities and taking a mortgage.
It is applied for through the competent authorities in Spain or through the Spanish consular representation in the country of residence. Every buyer needs their own: on a purchase by two people there are two numbers, and one missing number stops the deed exactly as two would.
The NIE identifies; it does not authorise residence. Treating the two as one thing is where unsustainable plans begin — and since April 2025, buying property has had no bearing whatever on the second.
Which taxes and charges apply to the purchase?
The price is the largest line in the budget, not the whole of it. The table lists the charges on a Spanish acquisition, what each is levied on, and when it falls due. This is the information missing from a comparison between countries that compares only asking prices.
Transfer taxation is set at the level of the autonomous community. It therefore differs between Madrid, Andalusia and the Balearics, and the applicable rate has to be checked for the community the property is in, on the date of the transaction. Publishing a single percentage here would mislead every reader buying in a different community.
To that reason add the one that runs through the whole site: we publish a figure only after confirming it against the primary source and being able to date it. Copying percentages from another site is precisely how an out-of-date figure survives for years online. When a specific property is under analysis, the calculation is run on that transaction, for that autonomous community, and delivered in writing with the date and the rule applied.
| Charge | Levied on | Rate in force | When it is paid |
|---|---|---|---|
| Transfer tax (Impuesto sobre Transmisiones Patrimoniales, ITP) — or value added tax (Impuesto sobre el Valor Añadido, IVA) on new-build | On the value of the transfer. ITP applies to a resale purchase and is set by each autonomous community; a new-build purchase is not subject to ITP but to IVA. | To be confirmed | After the deed, within the period set by the applicable rule. Registration depends on it having been settled. |
| Stamp duty (Actos Jurídicos Documentados, AJD) | On certain notarial documents, among them a purchase subject to IVA. The rate is set by each autonomous community. | To be confirmed | With the settlement on the deed, within the period set by the applicable rule. |
| Notary and Land Registry | A regulated scale, applied to the value in the deed and to the acts and entries made. | To be confirmed | At the deed and on registration. |
| Lawyer | Fees agreed in writing before the engagement. | To be confirmed | In stages through the transaction. |
| Valuation (tasación) | The approved valuation company's scale of charges. | To be confirmed | Where a mortgage is involved, before the lender's decision. |
| Annual property tax (Impuesto sobre Bienes Inmuebles, IBI) | On the cadastral value. The rate is set by each municipality within the limits of the law. | To be confirmed | Annually, on the municipality's collection calendar. |
«To be confirmed» means the rate has not been verified against the primary source for publication on this page and, in the case of ITP and AJD, that there is no single national rate to publish. It does not mean the charge does not exist, or that it is negligible: it means we do not publish it before confirming it, for the right autonomous community.
Is there a 100% tax on buyers from outside the European Union?
No. There is a proposal. Both halves of that belong in the same sentence, because the distance between a proposal and a rule in force is the distance between a plan you can make and a plan you cannot.
The measure was announced in January 2025 and submitted to parliament in May 2025. It was not debated in plenary, it has no application date, and it is not law. No transaction in Spain is subject to such a tax today.
What we do with this is straightforward: we follow the file and we date what we say. If the proposal changes state, this page changes with it. Until it does, anyone deciding on a purchase is deciding against the law in force, not against an announcement.
| Point | Position |
|---|---|
| Announced | January 2025 |
| Submitted to parliament | May 2025 |
| Debated in plenary | Not debated |
| Application date | None |
| Legal status | A proposal. Not law. |
How does the purchase run, and who is in the room?
The sequence is always the same, and each stage has its own participants. Knowing who answers for each piece is what prevents discovering halfway through that nobody was responsible for the registry check.
| Stage | What it settles | Who takes part |
|---|---|---|
| Reservation | The property is taken off the market for a short period, against a small payment and on written terms. | Buyer, seller and the agent holding the mandate. |
| Deposit contract (contrato de arras) | Price, the period to the deed, and the consequences of not completing. This is the point at which money is at risk. The type of arras agreed — confirmatorias, penitenciales or penales — determines what a withdrawal does, and that is a matter of drafting rather than of using a template. | Buyer and seller, each with their own lawyer. |
| Verification and financing | Registry and documentary confirmation of the property and, where there is a mortgage, valuation and the lender's decision. | The buyer's lawyer, the valuation company, the lender. |
| Public deed | Transfer of ownership before a notary, with payment and handover in the same act. | Buyer, seller, notary and, where there is a mortgage, the lender. |
| Tax settlement and registration | Settlement of the transfer taxes and registration of the buyer as titleholder at the Land Registry. | Lawyer or gestoría, the tax administration and the Land Registry. |
We do not publish an average timescale. We would have to measure it across our own transactions and date it, and that is what we will do once the sample says something. An average copied from another site describes someone else's market, not your property.
What should be verified before signing?
The order matters. Five of these six checks belong before the deposit contract, because after it the cost of stepping back is no longer nil.
01
The nota simple from the Land Registry
It is the first document to read and not the last. It shows who is registered as owner, how the property is described on the register, and what charges are entered against it: mortgages, attachments, easements, resolutory conditions and tax affections. It is read at the outset, to decide whether to proceed at all, and requested again close to the deed, because a later entry changes the picture without telling anyone.
02
The property's standing in the community of owners
Ask for the certificate that charges are paid up to date, and read the minutes of recent meetings. The minutes are where approved but unpaid works appear, and the community is where the expense the advertisement never mentions comes from. The property answers for certain outstanding amounts, so the extent of that liability is confirmed in writing and on the date.
03
IBI and recurring charges
Ask for the last annual property tax receipt, the cadastral value it rests on, and confirmation that it has been paid. The same for utilities and for any municipal charge applying to the property. This is the annual cost of holding, and it is the part of the budget buyers from abroad most often underestimate.
04
Planning position and consents
Check that what has been built matches what was consented and what appears on the register, and whether there are works carried out without consent or still to be regularised. Where the autonomous community requires it, confirm the habitability or first-occupation document. A room added without consent is not a detail of the floor plan: it is a contingency that passes to the buyer.
05
The register and the cadastre do not always agree
The area on the register, the area in the cadastre and the area measured on site diverge often, particularly in older buildings and where later works have been carried out. The divergence has tax consequences and can hold up registration. It is reconciled before signing, not after.
06
Occupation and any tenancy in place
Confirm whether the property is vacant, let or occupied, and on what terms. A tenancy in place does not disappear because ownership changes, and the handover date is a clause in the purchase contract rather than a reasonable expectation.
Frequently asked questions about buying in Spain
Can a foreign national buy property in Spain?
Yes. Buying property in Spain is not restricted by nationality and does not require prior residence, for buyers inside the European Union and outside it alike. A foreigner's identity number (Número de Identidad de Extranjero, NIE) is required, and is used to settle taxes, execute the deed and register the acquisition at the Land Registry. The purchase may be made in your own name, jointly with others, or through a company.
Does buying a property in Spain grant residency?
No. The Spanish golden visa, the residence permit by investment that included the property route, was repealed by Ley Orgánica 1/2025 with effect from 3 April 2025. No replacement route was created. Permits granted before that date remain valid, but no purchase of property confers residency today, at any value.
What is the NIE and how is it obtained?
The foreigner's identity number (Número de Identidad de Extranjero, NIE) is the identifier the Spanish administration assigns to anyone without Spanish nationality. It is not a residence permit. It is applied for through the competent authorities in Spain or through the Spanish consular representation in the country of residence. Every buyer needs their own, and without it the transfer tax cannot be settled, the deed cannot be executed and the purchase cannot be registered.
Which taxes are paid on a purchase in Spain?
A resale purchase is subject to transfer tax (Impuesto sobre Transmisiones Patrimoniales, ITP); a new-build purchase to value added tax (IVA) and stamp duty (Actos Jurídicos Documentados, AJD). Notary, Land Registry and legal fees are added, and a valuation where there is a mortgage. Annually, the property is subject to the property tax (Impuesto sobre Bienes Inmuebles, IBI). ITP and AJD are set by each autonomous community, so the applicable rate is checked for the community the property is in and on the date of the transaction.
Is there a 100% tax in Spain on buyers from outside the European Union?
No. It is a proposal, announced in January 2025 and submitted to parliament in May 2025. It was not debated in plenary, it has no application date, and it is not law. No transaction is currently subject to such a tax. We follow the file and date what we publish.
Are purchase taxes the same in Madrid, Andalusia and the Balearics?
No. Transfer taxation is set at the level of the autonomous community, so it differs between communities. That is exactly why we publish no percentages on this page: a rate that is correct for one community would be wrong for a buyer in another. The applicable rate is confirmed for the community the property is in, on the date of the transaction, and delivered in writing.
Do I need to be present at the deed?
Attendance is not required. The deed may be executed by an attorney holding sufficient powers, under a power of attorney prepared in advance and, where granted abroad, legalised so that it takes effect in Spain. A power of attorney arranged in the days before the deed is one of the most common causes of postponement.
And if the purchase is in Madrid?
Madrid raises questions the country page does not settle: the difference between a classic ensanche building and a new-build, what changes on tax between resale and new-build, community charges and the derrama, and what a nota simple shows before anything else is looked at. The Madrid page deals with those in detail.
Buying in Spain against the law as it stands
The useful conversation does not start with a property. It starts with the intended use, the autonomous community in question and the total budget — price, taxes, notary, registry, works and annual running cost. After that, the search has criteria and the offer has a basis.