How to buy a property in Spain — a step-by-step guide
Buying property in Spain as a foreign buyer is well-trodden ground — tens of thousands of British, German, Dutch, Nordic and US buyers complete here every year — but the process differs from what you may be used to at home. This guide walks through the practical steps in the order they actually happen.
1. Apply for an NIE number
Every non-resident buyer needs an NIE (Número de Identidad de Extranjero) before any contract or bank account can be opened. You can apply at a Spanish consulate in your home country or in Spain via a lawyer with power of attorney. Allow two to six weeks. See our separate NIE guide for the full procedure.
2. Open a Spanish bank account
You'll need a non-resident bank account to pay deposits, taxes and ongoing utilities. A passport, NIE and proof of address from your home country are normally enough. The account also makes mortgage applications smoother if you plan to borrow locally.
3. Instruct an independent lawyer
Use a Spanish-qualified abogado who is independent of the seller and agent. Their job is to run the title, planning, debts and community-fee checks on the property; draft the reservation and private purchase contracts; and represent you at the notary. Typical lawyer fees are around 1% of the purchase price plus VAT, with a minimum of roughly €1,500.
4. Reservation contract and deposit
When you've chosen a property, a reservation contract takes it off the market for a fixed period (typically two to four weeks) in exchange for a holding deposit of €3,000–€6,000. The deposit is fully refundable only if your lawyer's due-diligence finds a defect — otherwise you lose it if you walk away.
5. Private purchase contract (Contrato de Arras)
Once due diligence is clean, both sides sign the arras and you pay a deposit of 10% of the price. If the buyer pulls out, the deposit is forfeited; if the seller pulls out, they pay back double. Completion at the notary normally follows 4–8 weeks later.
6. Completion at the notary
On completion day, you pay the balance, sign the title deed (escritura) in front of a Spanish notary, and receive the keys. The notary forwards the deed to the Land Registry; the new title is normally registered in your name within two to three months.
Total costs on top of the purchase price
- Transfer tax (ITP) on resales: 7–10% depending on the region
- VAT (IVA) on new builds: 10% plus 1.5% AJD stamp duty
- Notary fees: 0.1–0.5%
- Land Registry fees: 0.1–0.25%
- Independent lawyer: ~1% (+ VAT)
- Total: budget 10–13% on top of the purchase price
How long does the whole process take?
From reservation to keys, a typical foreign-buyer purchase in Spain runs six to twelve weeks. Mortgage applications, off-plan new builds, and properties with unresolved planning or inheritance issues take longer. Our team can introduce you to bilingual lawyers and mortgage brokers if you don't already have your own.