Property and Real Estate in Spain

Find information about property and real estate matters in Spain. We offer a large selection of guides, blogs, and articles about renting, selling and buying property in Spain.

Are you considering investing in a property in Spain and wondering how much it will cost to maintain a property in Spain? If so, the first step is to calculate whether or not you can afford it!

Maintenance costs and other expenses such as utilities are an important part of budgeting for any property. But what “real” cost should you expect if buying a house or apartment on the Mediterranean coast, or perhaps somewhere inland? Read on to discover how much it will cost to maintain life in the land of paella and sangria.

What are the costs of owning a house in Spain?

The cost to maintain a property in Spain can change depending on various factors. These include the residence’s size, whether you are solely responsible for its upkeep or contract specialists to handle it instead.

To give you an idea of what annual expenses to anticipate when owning a property in Spain, here is an overview of associated charges and fees:

cost to maintain a property in Spain
Spanish currency banknotes and coins


Owning a property in Spain is an investment that comes with financial requirements, regardless of your residency. Most notably, IBI tax (Impuesto sobre Bienes Inmuebles) must be paid to the local Town Hall each year. It is the equivalent of “Council Tax” for those living in the United Kingdom. This fee covers expenses including waste collection services and infrastructure upkeep. Missing or late payments of annual tax can lead to a hefty financial penalty. Hence, it’s important for all foreign investors and permanent Spanish residents alike to prioritize their IBI taxes on time.

Depending on your location, you can either make this pay annual the tax online or in-person at your local Town Hall. Tax rates for IBI vary by region and are based on the “Valor Catastral” of each property. This means that where you live will affect how much you pay.

To give you an idea of the IBI cost while living in Barcelona, it’s typically 0.6% of your apartment’s value. For example, a two-bedroom home on the Costa Del Sol might be around €400 per year to pay tax. Instead, a luxury villa located in Marbella could range from €1500 – €2000 each year depending on its worth and area.

Non-Resident Property Tax in Spain

IRNR Non-resident income tax (Impuesto Sobre la Renta de No Residentes in Spanish), is a yearly requirement for non-residents living abroad who own real estate. Even if you don’t have any additional sources of income based in Spain and do not rent out your property, as a non-resident property owner this obligation applies to you. This property tax is calculated according to the worth of your assets. Every year, the local town hall issues an IBI receipt that informs you of the cadastral value upon which the IRNR will be based.

Residents’ Tax

IRPF Personal Income Tax (or “Impuesto Sobre la Renta de Personas Físicas” in Spanish) is a direct tax applied to one’s total yearly income for those living in Spain.

This form of taxation applies to any worldwide earnings acquired through employment and self-employment. The taxable amount is determined by subtracting all expenses deemed allowable under Spanish law from your overall global revenue. When filing your annual Spanish income tax return, you can combine rental income with other general sources of income as a resident.

Community Fees/Costs/Taxes for Property Owners in Spain

Along with the taxes outlined above, owning a property in Spain also requires additional administrative and maintenance payments. These can vary widely but might include fees for communal spaces such as playgrounds or tennis courts, annual bank account costs, insurance company expenses, garbage disposal charges and utility bills. All of these must be taken into consideration before making a purchase.

State Tax

Whether you are a resident or non-resident, the amount of taxation required for your Spanish property depends on whether it is being rented out. If so, then quarterly payments must be made to cover 19% of its rental value. If it is not being utilized as such, a much-reduced rate of 0.2% will apply when filing yearly State Tax in Spain.

Utility bills

When it comes to the cost of maintaining a property in Spain, energy costs are an essential factor. Utility bills include water and electricity consumption. The exact monthly utility bills vary depending on the size and occupancy status of your home. However, be aware that higher charges will likely apply if you decide to rent out the premises.

To ensure your bills are paid on schedule, it is essential to establish a Spanish bank account as foreign accounts are not accepted by utility companies in Spain. Although your property may be empty, you will still need to keep up with monthly bills in order to maintain ownership of a home in Spain. Even if you do not stay in the property year-round, utility companies will still expect payment via direct bank transfer. To prevent service disconnection while your home is vacant, it’s essential to maintain sufficient funds in your account at all times. Reconnecting utilities after a lapse can prove time-consuming and costly – so make sure there are no surprises by making timely payments.

Insurance Company Payments

Purchasing a property in Spain necessitates the acquisition of both building and contents insurance, an additional cost to factor into your budget. Home insurance premiums depend on the size of your house and any attached swimming pools, as well as their age and condition. Your mortgage offer often requires that you furnish proof of adequate coverage for their loan security. You can expect to spend approximately 0.05% of your house’s purchase price on yearly premiums. For instance, prices generally range from €250-350 annually near Costa Del Sol. The property insurance company plays a vital role in safeguarding your dream home and its contents. It helps to minimize risks and protect you from the unpredictable.

Other Charges to Consider

When thinking about prospective costs, take into account the distinctive features of your property. For example, if you are fortunate enough to have a private swimming pool in your home, then heating and maintenance charges should be factored in. If there is an outdoor area that needs tending to or any exterior painting or interior decorating required for a non-new built house. Remember that these expenses must not go unnoticed.

If you want to accurately assess the full costs associated with upkeep and updates, a smart tactic is to draw up a list of all monthly and annual tasks that need attending. That way you can factor in extra fees accordingly and ensure you have the accompanying funds ready.

cost to maintain a property in Spain

How much tax do you pay on a house in Spain?

All in all, you can expect to pay the following fees for keeping a property in Spain. However, please bear in mind that these figures are just estimates. They should not replace carrying out your own research for specific requirements of your property:

  • 0.15% Local tax
  • 0.05% National tax
  • 0.05% Insurance
  • 0.1% Utilities (if it is an empty property)
  • 0.3% Community charges
  • 0.1% Property charges

Is it worth buying a property in Spain?

Buying a property in Spain can be a great investment, as the country is one of the most attractive tourist destinations in Europe. From the variety of its landscapes to its lively culture and sunny climate, Spain is certainly an attractive proposition for those considering buying a property overseas.

Cost is also something to factor in when looking at property in Spain. Taxes, insurance, utilities and maintenance need to be considered before making a decision. Overall, though, maintaining a property in Spain can often be quite reasonable. In addition, due to the highly developed infrastructure and numerous local services available there, having an asset in this Mediterranean country can be a very wise choice.

A word from SpainDesk

There are a number of expenses to consider when maintaining a property in Spain. With the country boasting beautiful beaches, mountains, and culture, it can certainly be worth owning a piece of paradise here. However, upkeep will not be cheap. You must pay taxes and take into account utility bills. Also, you should not underestimate repairs.

If you want to own a property in Spain but don’t want the headache that can come with it, then seeking out expert advice might just be your best option.

Disclaimer: Information on this page may be incomplete or outdated. Under no circumstances should the information listed be considered professional legal or financial advice. We highly recommend seeking guidance from a legal or financial expert if you lack extensive knowledge or experience dealing with any of the procedures outlined in these articles.

Are you a foreigner looking to buy a property in Spain? With proper preparation and thorough research, you can take out a mortgage as a foreigner in Spain successfully. In this article, you will find relevant information about mortgages in Spain that will be very useful.

To begin your real estate hunt, find out if you can obtain a mortgage in Spain and how much financing may be available for foreigners. Regardless of your citizenship status, you can purchase property in Spain. But if you’re not a resident in the country, this may limit how much money Spanish banks are willing to loan out. According to some statistics, the British, Germans, and French are on top of the leading international property buyers’ list.

Should you buy property in Spain?

Some reports made by well-known banks in Spain state that Spain’s housing market is less prone to overvaluation than many other European nations, making it the ideal place for homebuyers. Consequently, purchasing property in countries such as The Netherlands, France, and Germany can come with a greater risk factor.

However, housing costs vary substantially depending on your location. For instance, buying a property in areas such as Madrid or Barcelona’s city center can be significantly more expensive than in less populated places.

Who can get a mortgage in Spain?

Although you don’t need to be a Spanish citizen or resident to buy property in Spain, if you wish to obtain a mortgage from the country, then you will need to obtain a NIE. The NIE, or Número de Identificación de Extranjeros, is an identification number for foreigners.

If you want a loan for your Spanish home, that means securing a mortgage from the local bank. To do this successfully, be sure to consider all relevant factors such as income and other debts. Self-employed people should also come prepared with their self-assessment tax return covering the previous one to three years of earnings before applying for the loan.

Getting a mortgage as a foreigner in Spain

Spanish mortgages are often open to all buyers, regardless of price or nationality. However, if you’re not a legal resident in Spain, then the maximum loan-to-value (LTV) for buying property will be much lower than that offered to those who do reside there; up to 80% LTV is possible for residents, but non-residents generally have an upper limit of 50–70%.

To add further, whilst mortgage interest rates for locals of Spain remain at their historically lowest levels (estimated to be around 1.5% in the third quarter of 2021), non-residents may face higher interest rates that can go as high up as 2–2.5%. The Non-resident mortgage is usually fixed and lasts a maximum period of 20 years.

Mortgage brokers are your go-to professionals when it comes to mortgage applications in Spain. They can help you find the right mortgage lender, provide advice on mortgage interest rates, and calculate mortgage payments and loan-to-value ratios.

How to get a mortgage as a foreigner in Spain

Types of Mortgages

Finding the right mortgage for your unique situation requires a mindful assessment of your current, future, and long-term goals. Here are some of the more popular types of mortgages available in Spain:

Variable interest

The most favored type of Spanish mortgage is traditionally a variable interest loan due to Euribor’s negative standings. Taking advantage of these loans brings multiple advantages, including taking hold of cheaper funds and more options when it comes to mortgages. However, there are some negatives too, since with this kind of loan, you never know how much your monthly payments will be, and they could rise at any given moment.

Fixed Rate Mortgage

Previously, the Spanish buyer wasn’t fond of fixed-rate mortgages; however, over the past few months, sentiment has changed. While you may have to pay higher costs for borrowing money when interest rates are on the low side with this option – your monthly payments throughout its entire duration remain fixed and unchanging. This security was highly sought after by many Spanish buyers during 2020 due to economic instability.

Interest only

Mortgages that only require you to pay the interest for a certain time period are not very popular in Spain, especially since the property crisis. Furthermore, these mortgages can only be secured by permanent residents. While monthly payments may be cheaper with this type of loan, it is more costly overall due to added repayment time on the principal amount borrowed.

Non-euro mortgages

If you’re looking for ways to save money on your mortgage repayments, opting for a loan in a currency that isn’t the euro may be an option worth exploring. Although not widely available from Spanish banks, these non-euro loans can significantly reduce the cost of exchange rates associated with repayment – but don’t expect it to come without its own set of challenges. Obtaining this type of loan is more difficult and tends to have higher interest rates than those issued in euros.

Top tips for getting a Spanish mortgage

When financing your property purchase with a loan, here are some helpful tips for an effortless and direct process.

Weigh the pros and cons carefully

Non-residents usually don’t qualify for Spanish mortgages that offer terms as beneficial to residents. Besides, contemplate your financial repercussions if (when) mortgage interest rates increase.

To gain more insight into the benefits and drawbacks of a mortgage in Spain, get further information on this matter by consulting mortgage brokers or Spanish mortgage lenders. Non-resident Spanish mortgage interest rates, loan repayment periods and mortgage lenders are all factors that need to be considered when shopping for a mortgage.

Organize your Spanish mortgage well in advance

When it comes to mortgages, the earlier you start your application process, the better. Planning ahead gives you plenty of time to discover incredible rates and conditions that are best suited to your needs. If you choose to wait until later on down the road instead, then odds are you won’t be able to receive as favorable a loan agreement as desired.

To ensure success in obtaining an exceptional mortgage plan for yourself, make sure that your application is submitted at least two months before buying any real estate property.

Get to know the mortgage market

Before attempting to apply for a mortgage, try researching the mortgage market in Spain and get an understanding of mortgage interest rates, loan features, mortgage lenders and brokers, as well as overall mortgage conditions. This will help you make sure that you are receiving the best possible terms on your mortgage agreement.

Ask who is responsible for the costs of the mortgage and what mortgage-related fees you will be charged. Not all of the fees associated with a Spanish mortgage are required to be paid by the buyer. However, some banks may require it. Remember to find out what costs you can expect if you choose to finance your purchase in Spain.

Use a mortgage broker

Utilizing the services of a highly-regarded, licensed mortgage broker can save you both time and money since they are knowledgeable about comparing numerous lenders for you. To ensure that your interests are well-protected, choose only brokers with an outstanding track record with the Spanish authorities.

Brokers can provide valuable information about Spanish mortgage laws and the best mortgage options available for you. Furthermore, mortgage brokers are experts in obtaining mortgages for non-residents at excellent mortgage interest rates and terms.

Prepare your paperwork in advance

In order to be approved for a mortgage in Spain, you must prepare and submit the relevant mortgage paperwork. Make sure to have the following documents on hand before submitting your mortgage application: a valid passport, proof of employment letter, tax returns form or six months’ worth of bank statements, and a mortgage valuation certificate.

Shop around

With the intense competition between mortgage lenders in Spain, it is wise to carefully assess and compare their terms and conditions. Speak to mortgage lenders, brokers, and banks before deciding.

Know the mortgage terminology

Being aware of standard mortgage terms can help you make more informed decisions when selecting a mortgage plan in Spain. Common mortgage terminology includes fixed-rate, non-resident, loan-to-value, mortgage rates, and non-EU citizens’ mortgages.

Don’t commit yourself to a bank

Actively inspect your mortgage contract for any clauses that restrict you from changing lenders or require the use of certain bank products, such as insurance policies. These types of clauses may not be in your best interest since they can potentially limit the ability to switch to a lender with more favorable terms further down the line. Ensure that you are aware of all restrictions before signing on.

How to get a mortgage as a foreigner in Spain

Some mortgage fees

Below, we will shortly describe some of the most common costs that you are likely to have during the mortgage process.

Valuation fee

Before a bank can approve your mortgage loan, they must conduct an evaluation of the property. This step is mandatory and prices vary depending on the house’s worth. Generally speaking, you should expect to invest several hundred euros to thousands for this process. Additionally, it’s important to note that banks will assign their own valuer instead of allowing customers to choose one.

Mortgage fee

When you take out a mortgage, all banks charge an establishment fee based on the loan sum. Therefore, it’s worth researching different bank fees to find one that charges significantly lower rates – especially when taking out a large mortgage. Generally speaking, these fees range from 0.5% up to 2% but typically hover around 1%.

Stamp duty

Stamp duty, or Impuesto sobre Actos Jurídicos Documentados (AJD) in Spanish, is charged on mortgage loans in Spain. The amount of AJD levied as a percentage varies across Spanish regions – for properties located in the Costa del Sol region of Andalucia, it’s around 1.5%. Ultimately, you are responsible for paying this tax.

Notary fee

When purchasing a Spanish property, the notary charges a fee for their services and title deeds. For those acquiring financing, an extra charge may be added to the deed due to its special section. This expense is negotiable — your bank may cover this cost.

Land Registry fee

Land Registry fees increase when a mortgage is involved as the loan must be registered against the property. If you are looking for ways to reduce costs associated with this fee, your bank may be willing to negotiate and cover some or all of it on your behalf.

Paperwork costs

Your bank will hire a gestoría to manage the mortgage taxes and fees, as well as register all title deeds. The cost can differ depending on the magnitude of your loan and the task at hand. Some banks work with a certain gestoría thus not giving buyers an option to choose another one. Thus, if that is the case in your situation, it should be paid by the bank itself – no exceptions.

Insurance policies

Taking out a mortgage in Spain will also require you to contract property insurance covering both the building and its contents, known as continente and contenido respectively. The lending bank often offers its own insurance coverage; while it is not mandatory to accept this offer, having their protection can be beneficial for your loan terms.

While life and mortgage insurance policies are not required when obtaining a mortgage loan in Spain, you may consider these options for added financial assurance. Before signing any of the terms and conditions associated with an insurance policy, read all clauses carefully – especially those that mandate taking out coverage through your bank only instead of seeking cheaper alternatives on the market. Ultimately, you will be responsible for covering any related costs.

A word from SpainDesk

When applying for a mortgage in Spain, you should take into account many important aspects. Not all banks offer mortgage loans to foreigners. Also, some of them only accept borrowers with high credit ratings. Choose wisely.

Additionally, remember that you must have a valid bank account in the country and meet their mortgage criteria to qualify. Mortgage interest rates and fees vary from lender to lender – so research different Spanish mortgage options before making a decision. You can also use an online mortgage calculator to help you assess mortgage products offered by different banks and compare mortgage offers for the best deal.

Disclaimer: Information on this page may be incomplete or outdated. Under no circumstances should the information listed be considered professional legal or financial advice. We highly recommend seeking guidance from a legal or financial expert if you lack extensive knowledge or experience dealing with any of the procedures outlined in these articles.

Are you considering selling your property in Spain and getting the most out of it financially? If so, then this guide is for you. In this article, we will share with you 8 tips for selling your property in Spain. Read on!

Selling a property in Spain

With a market as competitive as Spain’s can be, understanding what steps to take before listing your home is important if your hope to make a profitable sale. There are some great tips for selling your property in Spain quickly. From preparing the house for listing to dealing with solicitors and taxes once a purchase has been made, our guide will shed light on how best to sell real estate in Spain.

1. Tidy up and declutter (so obvious but so true)

Get the house cleaned and arranged before you show it to a potential buyer. Never leave your property messy and unorganized during the selling process. Make a deep clean and ensure that all your items are removed from the property. This includes family photos or any furniture you plan on taking with you when you leave home. It will surely make a big difference.

According to real estate agents, when a property is cluttered with personal items it becomes difficult for someone to connect emotionally. This happens because potential buyers think the space already belongs to someone else. By offering possible buyers a blank canvas, they can start to visualize their own lifestyle in the space.

2. Use an estate agent – but be aware of their fees

The most popular and practical way to sell a property in Spain is to use the services of an estate agent. However, they don’t come cheap when it comes to estate agent fees.

Depending on what area of the country you live in, estate agent’s fees hover around 3%-6% of your home’s value – so definitely compare prices when shopping for a realtor. Considering all of the advantages of using an estate agent, such as marketing and paperwork, is usually worth the expense.

To get a good idea of where to start, ask for recommendations from people in your network who recently utilized an estate agent. If not possible, make sure you have conversations with various agents and find one that you can trust and feel comfortable working with.

3. Know the Spanish property market

When selling property, it’s important for property owners to understand the local market and the selling price. Research how your area is doing and keep up to date with property prices in the neighborhood. This gives you a better understanding of what you can realistically expect when it comes to selling your home.

Learning about the Spanish market will help you distinguish between a realistic offer and one that’s not worth considering. You must consider current selling and purchase price for similar properties, potential buyers in the area, and ongoing trends that could affect the sale of your property. It’s also important to research local municipal taxes, capital gains tax, and any other taxes or fees you may be liable for when selling the property.

Selling your property in Spain

4. Do the obvious repair jobs (this matters a lot)

Think from the buyer’s perspective -would you buy a house in deplorable conditions? Now, if you’re selling a property, what would you do to make it attractive to potential buyers?

Before listing the property on real estate websites or through an agent, fixing any obvious repair work around the house may be wise. This includes replacing broken tiles, repainting walls and fixing any minor damage that may dampen the property’s overall appearance. Doing so will help make it more attractive to potential buyers, increasing the chances of a successful sale.

Buyers also don’t want a bunch of work to do after they move in. They certainly don’t want to start looking for a local plumber, electrician or builder. New owners are already feeling overwhelmed by the move itself.

5. Prepare all the mandatory documents

If you want to sell property in Spain, take your time, and have all the necessary documents in order. These include your Title Deed or Escritura, a Bank Account Number, any Building Licenses from local municipal tax and the Energy Performance Certificate.

Be sure to have your paperwork ready and organized. It might not be the most exciting task, but it is an essential part of shifting real estate quickly. Buyers or their legal representatives will likely ask for all applicable documents during the sale process—many of which you requested when purchasing the asset.

If you purchased your Spanish property ages ago and don’t know where to get the paperwork, ask a real estate agent in Spain to provide an informational checklist. They will guide you on what documents are essential for the process.

When selling a property, time often works against you as potential buyers may lose interest if too much time passes before closing a sale. A prolonged sales process allows potential buyers to become less interested and may seek other options. In real estate, quick sales are beneficial. In other words, don’t let a lack of organization extinguish your sale’s spark.

6. Speak to a currency broker

Many sellers overlook the impact of exchange rate movements on selling their Spanish property. Those are costly mistakes because Euro to Pound exchange rates can influence earnings. Not only can you lose money if you’re not careful but moving currency through a broker, as opposed to your bank, can save you thousands in transaction fees and make sure that you get the very best exchange rates available at any given time.

You will be dealing with large sums of money, so it’s sensible to get professional advice from a currency broker when selling your Spanish property. A good currency broker offers more competitive rates versus banks and can track daily changes to currency rates and alert you if the market is moving to your liking.

Selling a property in Spain

7. Avoid banker’s draft fees

When selling a property in Spain, the last thing you want is to incur an excessive fee from your bank. But this unfortunate scenario occurs all too often. The typical process requires that after a Notary has confirmed the sale, they will present you with a banker’s draft containing the proceeds of your sale. To avoid this hefty expense, knowing what alternatives are available for receiving payment when closing on a Spanish property transaction is important.

When you’re ready to access the funds, it’s time to get them deposited into your bank account. However, some Spanish banks usually charge clients a fee for the costs involved.

8. Create a detailed listing

Creating a detailed listing of your property is essential when selling in Spain. Include photos, descriptions of the features or amenities nearby, and any other important details of the property. Additionally, you should include the sale price, any possible fees or taxes associated with closing on the property, and the most important details about its location. This can be a great way to attract potential buyers who are looking for specific features in their new home – such as proximity to beaches, schools, nightlife, or other amenities. Create your listing with the buyer in mind and highlight all of your property’s best features.

Property owners: What fees do you pay when selling a property in Spain?

Estate agents’ commissions may vary from 4% to 7%, not including VAT, which is currently 21%. This fee must be paid when the deed of sale is finalized, and the total amount has been collected. Notice that you can deduct this cost can be deducted for determining any taxable Capital Gain.

Also, you will need to pay an energy performance certificate, which is usually between €150-€500, and plusvalía.

Plusvalía is a specific local municipal tax imposed on the increase in the value of urban land. It is based on the cadastral valuation of the property and the duration of ownership. This tax is levied upon the transfer or sale of a property, with the seller typically responsible for its payment. However, according to relevant regulations, both parties involved in the transaction have the freedom to negotiate and agree upon the party liable for paying the plusvalía tax.

A word from SpainDesk

With careful planning, plenty of research, and a willingness to understand the market, you are certainly well-equipped to benefit from Spain’s real estate boom and make your house sale successful.

Remember that your property will not be the only one on the regional trading block. Being savvy about pricing, making sure you have support from the right experts in finance, tax, and law, and keeping up-to-date with market trends will get you the desired result while keeping things on track.

Last, take your time when it comes to choosing a broker or agent to help you sell your property in Spain – this is key to success!

Disclaimer: Information on this page may be incomplete or outdated. Under no circumstances should the information listed be considered professional legal advice. We highly recommend seeking guidance from a legal expert if you lack extensive knowledge or experience dealing with any of the procedures outlined in these articles.

The Escritura, or property deed in Spanish, becomes relevant during the property buying and selling process in Spain. It is an essential document for the transfer of absolute legal ownership from the original property owner to the purchaser. The formal document states who owns the property, and also provides a summary of the property. The Escritura defines a particular property whether residential or commercial. Next to this, it contains the changes in the ownership of the property.

For properties that form part of a community of owners, the property deed includes information about the community of owners. It will also state who is the administrator of the community, with the relevant contact and bank account details. When you buy a property, you need to change the ownership details in the property deeds.

The Escritura and the Catastro

As discussed above, the Escritura or Spanish property deed describes a given property, including details regarding the property owner. On the other hand, the Catastro (Spanish Cadastre or Spanish land registry) is a comprehensive register of all properties within the Spanish border.

You can check the Catastro for details regarding the number and location of all plots or parcels of land in Spain. Other profound information contained in the document includes boundaries, the position of the property, the class of the land, property size and the name(s) of the property owner.

When it comes to finding property ownership, the Spanish land registry is the only public department in the country that has those rights. In this regard, you can only register an Escritura in the Spanish land registry.

Get the help of a Property Lawyer in Spain, contact SpainDesk.

Selling your property in Spain

How important are property deeds in Spain?

Simply put, the Escritura is the only documentation that fully secures the ownership of a property in the eyes of Spanish law. It’s worth noting that failure to transfer the property to your name means that you are not the legal owner.

The importance of having correct and up-to-date documentation for your property cannot be overstated. There are many costs involved when buying a property, but by purchasing a property without a proper deed, you will also potentially be opening yourself up to a lot of legal issues.

Property deeds transfer in Spain

Before a Spanish Notary the process of transfer and signing of the property deed is done. Thereafter, the owner gets the property rights and can manage it as his/her own. We highly recommend consulting qualified professionals such as SpainDesk to guide you through the entire process and ensure proper due diligence.

The Escritura is one of the most critical documents when purchasing property in Spain. It’s thus not surprising that all the parties (buyer and seller) must be present in-person to sign the property deed before the Spanish Notary. However, this can be exempted by either one or both of the parties arranging a Power of Attorney. In such cases, the representatives must all be present before the Notary. If you can’t be present, you can give us Power of Attorney, and let us take care of your property purchasing or selling.

When transferring a property deed, the parties must have a Spanish ID or passport to confirm their identity. On the appointment day, the Notary confirms all the relevant documents. Also, he/she confirms the payment that is made by the buyer to the initial property owner. The Notary then hands out the deeds for signing, only if there are no objectives from either of the parties.

After signing the property deeds, the Notary stays with the original documents for a few days. During this time the property is appropriately registered in Land Registry. The property deed transfer process is very straightforward. However, the in some cases it may take a longer process due to non-compliance with relevant regulations, permits, licenses, charges, and taxes. In case you lose your Escritura copy, you can request another one from the Notary, which typically takes a few days.

Updating Spanish property deeds

Whether you are a local or foreigner owning property in Spain, it’s critical to make sure that your property deeds are accurate. The description of your property registered at the Spanish land registry should match the actual nature of the property on the ground. When buying or preparing to sell your property, you should do proper due diligence. Confirm the registration of the actual property on the ground. This is properly done with the help of a lawyer.

After some time, extensions and changes to a property can mean that the relevant deeds are outdated. The property deed update process entails four items: Services of an architect, services of an asesoria, a Town Hall visit and a trip to the Notary office.

Before the completion of the property changes, the update of the property deed should be done. This prevents possible hurdles when selling your property in the future. Some of the updates you should provide in property deeds include:

  • Adding a swimming pool
  • Property extension
  • Applying for further planning permission
  • Registering a well or borehole
  • Additional accommodation, e.g. bedroom, dining room or bathroom
  • Storage room
  • Garage

At SpainDesk, we work closely with local and foreign clientele to buy, sell, and update their Spanish property deeds. We will register properties at the Spanish Land Registry and Catastro Registry properly. We will help you make more informed decisions concerning your property documentation. Contact us for a detailed description of our services.

Get the help of a Property Lawyer in Spain

Disclaimer: Information on this page may be incomplete or outdated. Under no circumstances should the information listed be considered professional legal advice. We highly recommended seeking guidance from a legal expert if you lack extensive knowledge or experience dealing with any of the procedures outlined in these articles.

The land registry is common to all countries in the European Union. In Spain, it’s called Registro de la Propiedad. Land registry records are a tool that everyone must access because they provide information about who owns the property and how much each owner owes on any mortgages or land loans. In this article, we discuss some aspects of the Spanish Land Registry.

What is the land registry in Spain?

The Registro de la Propiedad (or in English “Land Registry in Spain”) offers official information on the number and location of all Spanish plots or parcels of property. The Land Registry is a government agency under the Ministry of Justice that strives to provide security in the real estate market. The agency is the only public institution that offers property ownership information.

Functions of the land registry

The Spanish land registry provides information on:

  • Property boundaries
  • Lot position
  • Classes of land
  • Property size
  • Names of the property owner
  • Rights and the charges that fall on a property

The land registry officially recognizes owners until unproven in court and therefore provides legal security.

When do you use the land registry?

There are several reasons to use the land register in Spain. These include:

  • Buying property
  • Selling property
  • Renovating property
  • Buying land
  • Securing a bank loan
  • Dividing assets between heirs
  • Registering rights of ownership
  • Registering mortgages

When you want to change something in the land registry, you will do this through a public notary. The public notary is not there to protect your rights but to protect the rights of the government. To protect your rights in Spain, it is a good idea to work with a property lawyer.

land registry office for transfering property

Transferring property in Spain

It’s important to note that the purchase of a home in the Property Registry is not required by law. For example, if you are buying a farm, it is not necessary to register your purchase in the land registry. But bear in mind that a property registered in the land registry is safer to buy.

Transfer of property is often done with the help of a property lawyer. They will do an initial search of the registry records to see whether any issues could affect your purchasing power. The lawyer will then draft up contracts and protect the interests of the buyer or seller.

Is it necessary to register a property?

Because it is not obligatory to register a property in Spain, some people can think that it is unnecessary or that it is money that we can save. There are many advantages to registering your property in the land registry:

  • If a court decision does not specify otherwise, you will be treated as a single proprietor.
  • Property that is registered will safeguard the buyer from a seller’s creditors. The buyer will be able to protect themselves against unforeseen fees that may affect your house.
  • If you have a mortgage, it must be registered in the land registry.
  • When selling, the seller guarantees the transfer via a notary.
  • Information about limitations that affect the home will be clear so that no surprises can trap you.
  • If you believe that your right to possess is being threatened, there are several ways to get judicial support for it.
  • The fact that you are registering the purchase in the registry guarantees that no one will be able to get any rights over your property without your approval.

As you can see, there are many benefits to registering for owners, buyers, and sellers.

The land registry office

The land registry office has a website on which property owners can find out more about the property they are interested in. The website also provides information for engineers, architects, and lawyers who specialize in real estate.

Nota simple, and the land registry

One of the documents you can get from the land registry is the Nota Simple of a property. The Nota Simple is a document that certifies ownership, either by purchase or inheritance. It contains the date of transfer, the name of previous owners and new owners, plus all other details to establish the property’s history. The nota simple is often used when one buys a house in Spain or applies for inheriting it.

Land registry in Spain

A word from SpainDesk

The land registry is of great importance to the real estate market in Spain. Unfortunately, scams are still happening where fraudsters sell fake properties they don’t own, or the properties have significant obligations, limitations, and risks attached.

Our property lawyers in Spain can help you with property law in Spain. We can draft contracts, analyze the law, act as a protective layer against a seller, and search the land registry records for any potential issues. If you need assistance with a significant purchase, like purchasing an apartment, villa, or office building in Spain, contact us.

Disclaimer: Information on this page may be incomplete or outdated. Under no circumstances should the information listed be considered professional legal or financial advice. We highly recommend seeking guidance from a legal or financial expert if you lack extensive knowledge or experience dealing with any of the procedures outlined in these articles.

Fincas are the perfect option for those who want to experience Spain’s countryside. A Finca is a rural property in Spain that often includes farmlands, orchards and other agricultural features. They usually have buildings like houses, barns, workshops and stables. Let’s learn more about this type of property in Spain.

What is a Finca?

A Finca is a large rural area and typically has a modest country estate. It can also be referred to as the Spanish term for farm, ranch, or estate. The word “Finca” suggests the presence of construction, but it refers to a piece of land.

They are often initially constructed for agricultural purposes, but they can also be used as residences. Currently, they are primarily used as a place to enjoy the Spanish countryside and have recreational purposes. Fincas are now the typical summer house in traditional white-washed style. The location of a Finca does not always need to be in the countryside; it can also be in the suburbs of a Spanish town or city.

Main characteristics

A Finca is a magnificent country home with beautiful features, such as a swimming pool, large garden, terrace, wooden ceiling, or huge windows that afford stunning views of nature. They are often located around an open courtyard.

Other interesting typical features that you can find on each Finca is a garden with fruit trees, olive groves and vineyards. Many of them also have the option to include farm animals like goats, hens and sheep.

Finca popularity

Fincas are extremely popular among international visitors for their rustic charm and tranquil settings. It is seen as an ideal holiday home, and many people buy or rent this type of property to enjoy it with family or friends, whilst others want to live permanently or retire in this Spanish country house.

What is a Finca

History of the Finca

The term “Finca” derives from the word “fundus”, which means estate in Latin; thus, it can be said that this type of land generally has an estate-like character about them.

Fincas can have an extensive history and are easily over 300 years old. Feudal lords first developed Fincas during the Middle Ages as they needed more space to raise cattle on their estates to meet their needs for food and income.

At that time, they settled in the countryside and cultivated every bit of land surrounding their dwelling. This way, they could maximize their resources and help create a more sustainable life for themselves. Nowadays, many people buy rural properties as living spaces or make them into holiday homes.

Types of Finca Properties

Farmhouses may be classified as Fincas, and they vary depending on the type of land on which they are recorded in the Spanish Land Registry.

Finca Urbana: The residential Finca on Urban Land

A Finca Urbana is a Finca on land designated for residential construction. The building code set by the government specifies the construction requirements, and they can require you to build a certain number of floors and respect the appearance and size you choose. When buying a Finca Urbana, you should consider the restrictions to respect them. Getting permits shouldn’t be a problem when you plan for development and meet the requirements.

Finca Rústica: The agricultural Finca on Rustic Land

A Finca Rústica or Rural refers to a piece of land (rustic land) that can accommodate agricultural purposes or be used as a residence. However, a Finca Rural has been registered in the Land Registry for agricultural or forestry use only. These are typically agricultural plots, woodlands, water catchment areas, and (protected) nature reserves.

In general, this kind of land cannot be divided into individual lots. Also, you cannot build on it without first obtaining a permit from the government and paying any required fees. Getting a permit to build a residence on this type of land can be complicated.

The downsides of these properties are that they are difficult to commute to, and finding services in rural areas can be a problem. If you plan to live in your Finca Rústica full time, you will require utilities such as electricity and water.

The good news is that you have the option to include farm animals like goats, hens and sheep. Fincas Rústicas are often isolated and surrounded by the scenery, making them a fantastic place to purchase.

Finca Urbanizable: The Mixed Finca

A Finca Urbanizable is a Finca Rustica that can be changed into a Finca Urbana. This kind of property is still registered in the Land Registry for agricultural use only. However, the government has signalled that you can use them for residential and non-agricultural purposes (not officially); development is allowed under certain conditions.

People buy these Finca’s for construction, but they do not guarantee that everything is permitted. Often, owners have to pay a fee for the government to compensate them for allowing their Finca Urbana.

You must submit a plan to change a Finca Urbanizable into a Finca Urbana. This plan is called the Plan Parcial. This plan is a large-scale plan for developing the Finca, and it includes all building plans. The Plan Parcial will typically include new roads, public spaces, parking areas, landscaping etc.

Where to find rural property

Typically, the Fincas are in rural areas outside towns and cities. Fincas are in most regions of Spain, but they tend to concentrate in the South East and Eastern Mediterranean coasts. Popular areas to buy a Finca’s are:

  • The Costa del Sol in towns like Marbella, Torremolinos and Nerja.
  • The Costa Blanca in towns like Calpe, Dénia and Alicante.
  • The Costa Brava in towns like Blanes, Lloret de Mar.

They are also common in the Canary Islands, Balearics and Andalucia.

Buying a Finca

If you want to buy a Finca in Spain for recreational uses, it is safer to buy a Finca with construction for residential use. Because these types of properties have authorization for construction, they are more likely to receive permission for expansion. Building an extra pool, bedroom, or extension to your guesthouse will be more accessible when a base casa is already authorized.

If you are considering purchasing a new Finca and building off-plan, laws for building permits in Spain might restrict your activities on your Finca. Remember that any developing activity requires an application for a development license and compliance with current regulations.

Next to this, when buying a Finca, make sure you hire an agency, lawyer, and surveyor with experience with rural properties. These professionals can help you through the process and avoid costly mistakes, such as buying a Finca without a building license, property encroached by protected areas, and water pressure or electricity problems.

When to purchase a Finca

The best time to purchase a Finca is during Spring or Autumn when prices drop significantly compared with other seasons. The low demand and lack of properties for sale during these seasons can offer great bargains.

Another good time to buy is before the foreclosure date when banks become very motivated to sell their Fincas. During a property crisis, where few buyers are willing to purchase property, selling your property becomes difficult for banks, leading to many properties being sold through foreclosure.

Ensure that you have a lawyer ready to assist you in not dealing with any illegalities attached to the property.

A word from SpainDesk

Suppose you want to buy a country property, such as a small rural property or a large plot of land to build real estate; our property lawyers can assist you with the legal side of the purchase and help you avoid costly mistakes.

From advising on risks, buying the property, and getting the construction permits, we can help you through each step of the process. For more information, send us a detailed request, and we will contact you promptly to explain our approach in more detail.

Disclaimer: Information on this page may be incomplete or outdated. Under no circumstances should the information listed be considered professional legal or financial advice. We highly recommend seeking guidance from a legal or financial expert if you lack extensive knowledge or experience dealing with any of the procedures outlined in these articles.

Stamp duty in Spain (or Actos Juridicos Documentados, AJD) is a property tax for new property buyers in Spain. It’s worth understanding how it works if you want to avoid paying more taxes than necessary.

When do I need to pay stamp duty?

You need to pay Stamp duty when you purchase a new property, whether it’s a house, an apartment, land or commercial premises.

Stamp duty is mainly charged on notarial instruments and records documenting economic transactions that need to be registered in public registries (such as company, land, and industrial property registries).

Stamp duty is also charged on court, administrative, and certain commercial documents.

When don’t I need to pay stamp duty?

There is no Stamp duty on products where you need to pay transfer taxes or capital duty. These are products such as shares, securities, and resale property.

How much do I need to pay?

The stamp duty rates in Spain vary depending on the type of transaction and the value of the assets involved.

The stamp duty rate is usually between 0.5 % and 1.5 %, depending on where it is situated.

Who pays the stamp duty?

The buyer pays stamp duty, and if a deposit is paid before the sale is completed, it will be taxed at the point of payment.

Are there any other taxes I need to pay when buying property in Spain?

Yes, when you buy a new property, you will also need to pay VAT (IVA in Spanish). This is a tax on the property’s value, which is usually around 10 %.

Does the stamp duty include the notary cost?

No, the notary fees (fixed fee) and legal fees (around 1%) are not included in the stamp duty, and you will need to pay for these separately.

Another fee that is not included in the land registry fee. This is paid when the property is registered in your name and costs around 0.6% of the property’s value.

A word from SpainDesk

We hope this article gave you a good understanding of the stamp duty in Spain. If you have any more questions, don’t hesitate to contact our team at SpainDesk. We can help you with buying property, taxation and company formation.

There are many great places to buy in Spain. For example, if you are interested in purchasing a holiday home, the Costa del Sol or the Costa Brava may be ideal locations. However, if you are looking for a place to live and work in Spain, cities such as Madrid or Barcelona may be better choices. In this article, we discuss the best places to buy in Spain.

Best cities to buy in Spain

The Spanish real estate market offers a very large amount of property options, and many of these properties have their own unique benefits. At our company, we find that our clients buying really depends on taste and budget, but also important issues such as climate, lifestyle and investment potential. To give you an idea of where to start looking we made the following list of cities our clients mostly buy in Spain.


Barcelona is the most popular city in Spain for foreigners to live in, and it’s not hard to see why. This vibrant city has something to offer everyone, from beaches and parks to restaurants, nightlife and culture.

Barcelona is also one of the most expensive cities in Spain to live in. However, with a bit of research, it is possible to find apartments and neighbourhoods that are more affordable.

Some of the most popular areas to live in Barcelona include:

Eixample: This upscale area is located in the city’s centre and is home to many of Barcelona’s most famous landmarks, including La Sagrada Família and Casa Batlló.

El Raval: Located just to the south of Eixample, El Raval is a more affordable area with a bohemian atmosphere. This neighbourhood is well known for its nightlife and its many art galleries.

Gràcia: Gràcia is one of the most popular areas for young people to live in Barcelona. Gràcia has Mediterranean architecture streets that are close together. The roads in Gràcia go one way, and the area has many with plazas.


Seville is the capital of Andalusia in southern Spain and is one of the largest cities in the country, with a population of around 700,000 people. The city is well known for its lively atmosphere, beautiful architecture and tasty food.

Some of the most popular tourist attractions in Seville include the Alcázar Palace, the Cathedral of Seville and the General Archive of the Indies. The city is also home to several other interesting places, including the Seville Fair, Plaza de España and Isla Mágica amusement park.

Some of the most popular areas to live in Seville include:

Alameda de Hércules: This neighbourhood is next to the river Guadalquivir and is known for its lively atmosphere and many bars and nightclubs.

Triana: Triana is located on the other side of the river from Alameda de Hércules and is known for its traditional Spanish atmosphere. This neighbourhood is home to many Flamenco bars and restaurants.


Valencià is situated on the east coast of Spain, Valencia is the third-largest city in the country, with around 1.6 million people. This city has become increasingly popular with tourists and expatriates in recent years, and it’s easy to see why.

Valencia has located just a short distance from some of Spain’s most beautiful beaches and has lively nightlife and many cultural attractions. The city is also home to one of the most important ports in Europe and two international airports.

Some popular neighbourhoods to live in Valencia include:

El Cabanyal: This neighbourhood is located next to the beach and is known for its relaxed atmosphere and many seafood restaurants.

Ciutat de les Arts i les Ciències: This area is home to many of Valencia’s most important cultural attractions, including the City of Arts and Sciences, the Oceanographic Park and the Bioparc Valencia Zoo.

Ruzafa: Ruzafa is one of the trendiest neighbourhoods in Valencia, with many bars, restaurants and shops.


Malaga is a city on the southern coast of Spain and is the capital of the province of Malaga. The city has around 600,000 people and is home to many historic landmarks, including the Alcazaba fortress, the Cathedral of Malaga and La Gibralfaro castle. The city is also well known for its beaches and excellent climate, attracting many visitors each year.

Buying a house in Malaga can be expensive, but several neighbourhoods are more affordable.

Some popular areas to live in Malaga include:

El Palo: El Palo is a beach neighbourhood located east of the city centre. This area is known for its relaxed atmosphere and its many seafood restaurants.

Pedregalejo: Pedregalejo is another beach neighbourhood located just west of the city centre. This area is slightly more upscale than El Palo and is home to many high-end restaurants and bars.


Granada is a city located in the Andalusia region of southern Spain. The city has over 230,000 people and is home to many historic landmarks, including the Alhambra Palace, the Cathedral of Granada and the Generalife gardens.

The city is also well known for its lively nightlife and many tapas bars. People that buy a house in Granada will find neighbourhoods that offer a mix of historic charm and modern amenities.

Some popular areas to live in Granada include:

El Realejo: El Realejo is a neighbourhood located north of the city centre. This area is known for its many restaurants and bars and its lively nightlife. The walls are painted in vibrant colours, giving the neighbourhood a unique atmosphere.

Albaicín: Albaicín is a neighbourhood located in the old city of Granada. This area is known for its narrow streets, traditional Andalusian architecture, and many tapas bars.


Madrid is the capital city of Spain. It’s also the largest metropolitan area in Western Europe, with over 3 million people living inside its boundaries.

The Spanish Royal Family live in Madrid, and it’s home to many important monuments such as El Palacio Real (the Royal Palace), La Catedral de la Almudena (the Cathedral of Almudena) and the Museo del Prado (the Prado Museum).

Some of the most popular areas to live in Madrid include:

Chamartín: Chamartín is a neighbourhood located in the north of the city, and this area is known for its many luxury apartments and excellent restaurants.

Salamanca: Salamanca is an upscale neighbourhood located northwest of the city. This area is known for its high-end shops and many parks and gardens.

Centro: Centro is the historical centre of Madrid and is home to many of the city’s most famous landmarks, including the Royal Palace and the Plaza Mayor.

Puerta del Sol: Puerta del Sol is a neighbourhood from the 15th century located in the centre of Madrid. This area is known for its lively nightlife, shops, bars and large square.


Marbella is a city located in the province of Malaga, on the Costa del Sol. The city has over 140,000 people and is known for its luxury hotels, resorts, villas, and beaches.

People who buy a house in Marbella can expect to live in an area full of luxury and amenities. Including a harbour, international schools, golf courses and a heliport.

Some popular areas to live in Marbella include:

Puerto Banús: Puerto Banús is a marina located in the west of the city. This area is known for its many luxury yachts and high-end shops and restaurants.

Nueva Andalucía: Nueva Andalucía is a residential area located northwest of the city. This area is known for its many golf courses and its upscale homes.

San Pedro de Alcántara: San Pedro de Alcántara is town located in the east on the city. This town is known for its beaches and its relaxed atmosphere.


Tenerife is an island located off the coast of Africa, and it is the largest of the seven Canary Islands and has over 900,000 people. The island is known for its many tourist attractions, including the Teide National Park, the Loro Parque Zoo and the Siam Park water park.

It’s a popular place to buy a holiday home, as people who buy a house in Tenerife can expect to live in an area full of natural beauty and amenities.

Some popular areas to live in Tenerife include:

Los Cristianos: Los Cristianos is a town located in the island’s south. This area is known for its many beaches and its lively atmosphere.

Playa de las Américas: Playa de las Américas is a resort town located in the southwest of the island. This area is known for its many hotels, clubs, bars, restaurants, and beaches.

Santa Cruz de Tenerife: Santa Cruz de Tenerife is the capital of Tenerife and is located in the north of the island. This area is known for its historic centre, many museums, and architecture.


Ibiza is a Spanish island in the Mediterranean Sea and one of the Balearic Islands. Ibiza has become internationally famous for its nightclubs and electronic music scene, attracting clubbers worldwide; it was also declared a UNESCO World Heritage Site in 1999.

If you’re looking for breathtaking scenery and beautiful beaches, Ibiza is your place. With its crystal-clear waters and sandy beaches, it’s no wonder that Ibiza is a popular place to purchase property. Playa d’en Bossa, Salinas, and Cala Comte are some of the most popular beaches on the island.

Some popular areas to live in Ibiza include:

San Antonio: San Antonio or Sant Antoni de Portmany is the second largest town on the island, and its location is in the west of the island. There are many high-profile and exclusive hillside villas where celebrities have chosen to live.

Santa Eulalia: Santa Eulalia is a lively place with a long, child-friendly beach, a beautiful promenade with palm trees and a large marina. There are many shops, good restaurants and several bars, a great place to buy property.

Considerations for choosing the best place to buy in Spain

When choosing a place to buy in Spain, you should consider the following:

  • The climate: The Spanish climate is temperate, with hot summers and mild winters. Consider the climate when choosing a place to buy in Spain, as some areas are hotter than others.
  • The amenities: Consider what amenities are important to you and choose a place to buy in Spain with the amenities you desire.
  • The cost of living: Spain is a relatively expensive country to live in, and you should consider the cost of living when choosing a place to buy in Spain.
  • The lifestyle: Consider the type of lifestyle you want to lead and choose a place to buy in Spain that matches your lifestyle. If you like hot weather all year round, choose an island or the south of Spain. If you are looking for typical retirement life, then take this also into consideration.
  • The Spanishing property market: Spain is a popular place to buy property so that the property market can become competitive. Property prices vary depending on the area, so do your research before deciding.
  • The tax situation: Spain has a variety of taxes that you will need to pay if you purchase property in Spain. Make sure to research the tax situation before making a decision.
  • The schools: When you want to live in Spain with your family, you need to consider the schools in the area. Make sure to research the schools in the area before making a decision.
  • The location: You can choose to buy near a beach in a resort town, the city, or the countryside. Consider your location preferences when choosing a place to buy in Spain.
  • Renting out or not: You should consider whether you want to rent out your property or not. If you plan to rent out your property, you must declare your rental income and pay rental taxes.

A word from SpainDesk

No matter your needs or interests, Spain has many popular places to buy a property, so you can find something that will suit you. The prices vary depending on the location, but they are much more affordable overall than in many other countries. In addition, the weather in Spain is lovely year-round, so you can enjoy your property no matter when you purchase it.

If you plan to purchase property in Spain, make sure you contact a property lawyer and a real estate agent to help you with the process. They can provide you with information about the best places to buy in Spain and help you negotiate the price of your property.

Selling property in Spain can be daunting, and you need to make many decisions that could save you money or cost you money. Next to this, it can take quite some time to sell your property. In this article, we will give you tips on how to go about selling your property in Spain.

How to sell a property in Spain in 20 steps

We go through each step you’re likely to take throughout the selling process, from beginning to end.

1. Decide whether or not you want to sell your business

There are various reasons why someone may choose to sell their property. Moving for employment, desire to downsize, or the need for a larger home are all possible motives. Another reason might be that you inherited a Spanish property and don’t live in Spain. You may also have bought a holiday home, intending to sell it at a later stage.

Reasons to change your mind are just as plentiful. Perhaps you can extend the property with a new room, rent out the property, buy a new one, or wait a bit because property prices are rising. However, timing the Spanish property market is complex and depends on the region.

In any case, if you are not happy with your current living situation, selling may be the best option for you.

2. Consider the financial situation

Take a look at your mortgage, debts, and other financial obligations associated with the Spanish property. You will need to factor these into your decision of whether or not to sell.

Also, consider what the property may be worth and how much you will need to sell it to break even. You may also want to consult a real estate professional who can tell you what your home is worth in the current market.

It is hard to estimate the property price without putting it on the market. However, there are some methods you can use to get a general idea. Look at similar properties in the area that have recently been sold, or look up the average price per square meter in your city.

If you plan on getting a new mortgage to purchase a new property, you will want to factor in how much you will get before selling your property.

3. Decide to rent a property or acquire a new one

Consider what you want to do after selling your property. If you are selling the place where you live, you need to consider where you will be moving to. Are you going to buy a new property, or will you rent an apartment or house?

Consider what location you want to live in, and get some options ready, so you don’t have to scramble to find a new place to live once your property is sold.

After selling your property, it is wise to rent a property for a bit until you find the perfect home to buy. This way, you won’t be rushed into a decision, and you can take your time looking for the right property. You will need to consider the moving expenses and whether or not it is worth it to move your belongings.

4. Choose a real estate agent to sell your property

Once you have decided to sell your property, you must choose a real estate agent. It is essential to do your research and find an agent who has experience selling properties in your area.

The agent will help you put your home on the market and advise increasing the chances of selling your property. The agent will also help you negotiate with buyers and give you an idea of what price to expect for your property.

Depending on the real estate agent, you may be able to find someone who speaks your language, and this can be helpful, especially if you are not comfortable with the Spanish language. Usually, an estate agent will charge you a commission of 3% when your property is sold, and this percentage is calculated towards the property buyer.

You can also try to sell your house by yourself, but this is not always easy. It can be time consuming, and you will need to do your marketing. You will also be responsible for negotiating with buyers and drawing up the contract. If you are not comfortable with this, it may be best to hire an agent.

5. Obtain an Energy Performance Certificate

You must obtain an Energy Performance Certificate to sell your Spanish property. This certificate rates the energy efficiency of your property on a scale from A to G.

The certificate is valid for ten years and can be obtained from a certified professional. The cost of the certificate will depend on the size of your property.

Property Inspection

6. Decide the price of the property you are selling

After you have obtained your Energy Performance Certificate, you will need to decide how much you want to sell your property for. This is where you will need to consider your mortgage, debts, and other financial obligations associated with the property. Contact your bank about this.

You will also need to consider the current market value of your property. Look at similar properties in your area that have recently been sold, or look up the average price per square meter in your city.

Most buyers will try to negotiate a lower price than what is listed on the market, so it is essential to buffer negotiations.

Sometimes multiple estate agents will appraise your property for free to get your business. It is essential to get various opinions, as the appraisals can vary greatly. If you are set on selling your property for a high price, the agent will need to be willing to list your property for that price. So talk about this with your agent before signing a contract.

7. Prepare to sell your Spanish property

Once you have decided on a price, the next step is to prepare your property to be put on the market. This includes staging your home, fixing any damages, and putting together a list of features that make your property stand out. Fixing damages can be expensive, but it is worth it to make your home look its best because it can increase the price significantly.

Next to this, you will need excellent photographs taken of your property. The photos need to be high quality and show your property in its best light to make an excellent first impression.

The real estate agent will help you with this process and put together a listing for your property. This includes all the essential details about your home, such as the number of bedrooms and bathrooms, the size of the property, and the price.

8. Market your property

Once your property is ready, the next step is to market it. This includes advertising your home in local newspapers and online, as well as creating a listing for your property on real estate websites.

The estate agent will do most of this for you, but it is essential to keep in mind that the more exposure your property gets, the better. It doesn’t harm to do some extra advertising on your own as well, since you are the one who stands to profit from the sale the most.

9. Use a property lawyer solicitor to assist you in the sale

When you have an interested buyer, the next step is to negotiate a sale price and sign a contract. This is where a property lawyer comes in.

Conveyancing solicitors are legal professionals who specialise in property law. They will help you review the contract, make sure that everything is in order, and represent you in the sale.

They can also assist you with the transfer of ownership and paying taxes, including a tax rebate. The tax rebate is based on the costs of acquisition and sales, so you can get a free lawyer to assist you in selling your Spanish property.

10. Choose a notary

A notary (notario) is necessary to sell any property in Spain. The notary is a public official who witnesses the signing of the contract and ensures that all legal requirements are met.

The notary will also draw up the deed of sale (escritura de venta), which is the document that transfers ownership of the property from the seller to the buyer.

The buyer pays the notary’s fees, and they vary depending on the property’s value. It is important to choose a notary registered with the Spanish Notaries Association (Colegio de Notarios de España), as this will ensure that they are qualified to carry out the sale.

If you are working with a lawyer, the lawyer can help you choose a notary. If you create a power of attorney for the lawyer, he can sign on your behalf to transfer the property to the buyer.

11. Prepare the documentation

When you are selling a property in Spain, you will need to prepare a number of documents. These include:

  • Title deed: the title deed or escritura de propiedad is the document that proves that you own the property.
  • The cadastral certificate (certificado cadastral): This shows the official measurements of the property and is used to calculate
  • Copies of utility bills: You will need to provide copies of the last three months of utility bills, as well as proof that you have paid any outstanding balances.
  • The energy performance certificate: (certificado de eficiencia energética): This certificate rates the property’s energy efficiency and is required by law.
  • IBI receipts: The IBI receipts or Impuesto sobre Bienes Inmuebles are the Receipts for local municipal tax. The buyer will want to see these to ensure no outstanding taxes. If there is still debt on the property, they may want to be discounted. IBI receipts for the last four years is necessary.
  • NIE, Residency card, and Passport: To process the property sale, the notary will need to see copies of your passport and residency card (if applicable, as well as your NIE number (tax identification number).
  • Property inventory: To make the sale concrete, you should have a complete inventory of all furniture, appliances, and fixtures included in the sale. This will help avoid any confusion or disputes after the sale is final.
  • Community statutes: If the property is part of a community of owners, you will need to provide a copy of the community statutes. This document sets out the rules and regulations that govern the community.
  • Fill out a buyer’s questionnaire: upon selling, a buyer will want to know what their buying out of. Specific questions about the property will be asked, and it is advisable to answer truthfully as some buyers may rescind the offer if discrepancies are found.

12. Accept an offer when it is made to you

Once you have found a buyer interested in your property, they will make an offer to you. This offer will be in the form of a contract, which will outline the terms of the sale.

If you are not happy with the offer, you can negotiate with the buyer to try and reach an agreement. Once an agreement has been reached, you will both need to sign the contract.

13. Negotiate the contract’s terms

Once you have verbally accepted the offer from the buyer, you will need to negotiate the terms of the contract. This includes setting a price for the property and agreeing on a date for sale to be finalised.

The contract should also state who is responsible for any outstanding debts on the property and whether or not the buyer is taking over this responsibility. It is also important to set out the date the buyer must take possession of the property.

Other aspects of the contract are

  • The period between the exchange of the contract and completion of the sale.
  • What is included in the inventory of the property?
  • Any discounts due to issues with the property (debt, lack of certificates, etc.).

Your lawyer should review the contract to ensure that all of your rights and interests are protected.

14. Settle the contracts

Exchange the contract and sign it with the buyer. This contract is binding, and once it is signed, you are both obligated to complete the sale.

The buyer will usually pay a deposit at this stage, generally 10% of the purchase price. This deposit is held in escrow until the completion of the sale.

As the seller pulls out of the sale, you may lose this deposit. If the buyer pulls out, they may be able to get their deposit back, depending on the contract terms. If necessary, your lawyer can help negotiate better terms for you or negotiate to both pull-out.

15. Move out of the property

Once the sale is completed and the keys have been handed over to the buyer, you will need to move out of the property. Ensure that you leave the property in a clean and tidy condition and remove all of your personal belongings.

As in the contract, the property needs to be in the state that you have agreed on with the buyer. The buyer and the buyer’s lawyer will do a final inspection of the property before completion to ensure that everything is as it should be.

The buyer’s lawyer will also check that all relevant paperwork (title deeds, community statutes, bills and receipts) is in order and transferred to the buyer’s name. They will check that all of the money has been transferred from the buyer to you and everything is as the contract states. Buying property in Spain also entails various other aspects.

16. Finalise the sale

When you hand over the keys to the property and remove all of your belongings, the sale is finalised. The buyer will receive the title deed to the property, and you will receive the money from the sale in your bank account.

At the notary’s office, the buyer will sign a declaration of purchase, and you will sign a declaration of sale. In the Spanish land registry, the buyer will enter their name as the property’s new owner.

This process in the Spanish land registry can take some time, depending on the complexity of the sale. Your lawyer will keep you updated on the progress of the sale and will help to finalise all of the paperwork.

17. Paying taxes on the sale

You will need to pay capital gains tax on the sale of the property. The amount of tax you will need to pay will depend on how long you have owned the property, as well as your tax situation.

You may also be liable for other taxes, such as local property taxes and stamp duty. Your lawyer will advise you on what taxes you need to pay.

They can assist you with questions such as “how much profit do you have?” and “how much tax do you need to pay?” Tax implications of the sale can be complex, especially if you don’t speak the language. Your lawyer will be able to guide you through the process and ensure that you pay the correct amount of tax.

After selling, you may be liable for a tax rebate of 3%. Costs for the acquisition of the property and the sales of the property, and other associated costs can be deducted from the tax payable. Ask your lawyer to get the rebate for you since you will need to submit the paperwork.

18. Settle the mortgage

The mortgage company will have given you and your lawyer a precise redemption amount (unpaid balance) for your mortgage on the day of completion. This is the amount of money you need to pay back to the bank for the mortgage to be paid off.

Once the mortgage is paid off, you will need to provide the bank with a copy of the title deed, as well as a copy of the declaration of sale from the notary’s office. The bank will then update their records, and you will no longer be liable for the mortgage payments.

19. Settle the lawyer and estate agent

The final step is to settle your lawyer’s and estate agent’s fees. Your lawyer, notary, and the estate agent will provide you with an invoice for their services, which you will need to pay. If you have given a power of attorney to your lawyer, they will be able to settle the fees on your behalf or get you the receipts.

Taxes in Spain when selling property

Property taxes when selling a property in Spain

The Spanish tax office will want its property tax part, so an important aspect of selling a property in Spain is determining which taxes you will need to pay.

Capital gains tax

As a seller, you will have to pay capital gains tax to the federal government on the profits from the sale. The capital gains tax is either 19% for people not from the EU/EEA or 24% for people not from Europe. If you are a resident of Spain, you will pay between 19% and 23%.

  • 19% for the first 6.000€
  • 21% from 6.000€ to 50.000€
  • 23% from 50.000€ onwards

The buyer must be a Spanish resident to avoid the 24% rate in some cases.

Plusvalía tax

The capital gains tax and plusvalía tax are two separate taxes. The municipality receives the plusvalía payment. The “plusvalía tax” or “plusvalía municipal” has changed in 2021. In general, the more significant the increase to the official cadastral value during their ownership, the more tax the tax will be.

For the plusvalia municipal, there are two options. You pay duty on the difference between the purchase and sales prices or use an equation based on the cadastral.

Although the rates will differ from location to location, they range between 0.08% and 0.45%. If there is no gain in the value of the land, no tax will be charged.

When a property trades hands, the seller usually pays the tax, but the beneficiary will see the bill if it is a gift or inherited property. If the seller is in a foreign country, the buyer will also have to pay the withholding tax.

Frequently asked questions

Will I need a lawyer to sell my property in Spain?

If you sell property in Spain, you must attend the closing. If you can’t be there, a lawyer can create a power of attorney so someone else (like your lawyer) can handle the transaction.

What costs are involved in selling a property in Spain?

Costs of selling property in Spain include the agent’s commission (3-6%), legal fees (1-1.5% + VAT), plusvalía tax, and capital gains tax.

Do you have to pay capital gains when you sell your house in Spain?

You will only have to pay capital gains tax if you make a profit on the sale of your property.

In this article, we discuss the Spanish Nota Simple. An essential document for any buyer and owner of property in Spain. We talk about the information contained in the Nota Simple and how to obtain it. While we try to be as explanatory as possible, this is not legal advice. Many issues you might run into are not in this article. We recommend getting legal advice from a Spanish property lawyer with significant purchases.

What is a Nota Simple?

In Spanish property law, the Nota Simple is a document that certifies the title of ownership (right to property) for land or real estate in Spain. The Nota Simple contains a property description in the broadest sense and is an essential document used in the Spanish property conveyancing process.

The Nota Simple is a legal document that specifies all the transaction details, and it contains essential information that should be examined and verified carefully.

In other words, it is a thorough real estate report (or land registry report or property registry filing) that documents the official version of the real estate.

Get help from a property lawyer in Spain

Spanish Nota Simple

Property registration data inside of Nota Simple

The document certifies what is legally on a piece of land. However, it contains more. There are three parts inside the Nota Simple, legal information, financial information and architectural information.

Legal information

The Nota Simple contains enough legal information for a prospective buyer to decide whether to buy. This part may have historical data, the land’s surface, existing structures (houses), valid archaeological sites (especially in Andalusia), proof of ownership, easements rights and others. Other property registration data include:

  • Address of property
  • Name of current owner or owners (and tax identification number)
  • Percentages of ownership by owners
  • Land registry number (cadastral reference)
  • Other users’ rights to the property (pipelines, roads, footpaths, waterways, etc.)
  • Use of the property (residential, agricultural, etc.)

Financial Information

The financial section includes essential information about taxes, mortgages and others.

  • Mortgages that must be settled
  • Debts that must be settled
  • Liens against the property
  • Date of purchase by ownership
  • IBI tax (council tax costs)
  • Embargoes
  • Outstanding taxes

Architectural Information

The Nota Simple contains essential architectural information when you plan to embellish your newly acquired real estate. If there are building codes or restrictions of any kind (like height restrictions), the purchaser must know this information. This document may also include certificates and other relevant architectural details about the property.

  • Total square metres
  • Defined boundaries
  • The built structures
  • Type of property
  • Type of building
  • Annexes (Parking and storage)
  • Size of property
  • and other property description

Impotant documents for buying a house in Spain

When do you use the Nota Simple?

The Nota Simple is a document that contains essential information about a piece of property, as previously said. It’s most commonly used to sell real estate and acquire real estate. However, there are other applications for these important papers.

Buying property

When buying property in Spain, you can use the Nota Simple to ensure you are not purchasing a property with liens or other vital restrictions.

You can also use the Nota Simple to ensure that the property you want to purchase is entirely accurate described by the current owners. This isn’t easy to do, and this is where a property lawyer will assist you.

It is advisable to request the Nota Simple to confirm what you are buying. After escrow, the seller will not change the Nota Simple anymore. The document must be respected by law at that moment.

It is possible that the Nota Simple is inaccurate or has other issues with it; therefore, the lawyer must make additional investigations.

Selling property

You can use the Nota Simple as a legal document to transfer property when selling real estate. You can show the Nota Simple to prove that the property and all its details and information is yours. When needed, you can use the nota simple in court.


The Nota Simple is also essential when obtaining a mortgage or financing. If you are using the Nota Simple for a loan purpose, you must understand its financial information and how it can protect your interests.

Letting the property

It is typically used as proof of ownership when renting out the property. Before signing any agreement or contract with your landlord, you should ensure that the person you communicate with owns the property.


The Nota Simple will inform you of everything you’ll get when you’re receiving real estate through inheritance. The legal status of your legacy must be understood and utilized in your own best interests.

Buying a house in Spain

How to obtain the Nota Simple?

To receive a Nota Simple, you must submit the full name of the individual owner or the company that owns the property. You can also provide a NIE, NIF or CIF identification number.

If you do not have an NIE, NIF or CIF number, you can provide the full name of the owner or company owner. Next to this, you can also use the land registry number of the property. If you already know it.

Land registry

The Spanish Land Registry office holds the official document. The Land Registry office is an integral part of the National Government, and the purpose of the registry is to collect registered and changed deeds.

The registry will only give out copies of Nota Simples. The Nota Simple is available in Spanish and can be requested in person at any registrar’s office or online. This is possible if you want us to get you the Nota Simple.

Property Registry in Spain

The Nota Simple inside of the Spanish property conveyancing process

Getting a Nota Simple is one of the first things you’ll need to do when purchasing a home in Spain. Moreover, it’s a crucial legal real estate document, and therefore people often hire a Spanish property lawyer to get it and check it. The lawyer will ensure that the house for sale has an up-to-date Nota Simple attached.

After obtaining and checking the essential documents attached to the property, the property lawyer will assist with the property due diligence, clauses in the reservation contract and purchasing contract, signing at the notary, and obtaining the property deed.

Nota Simple and the property register

Real Estate Buying Assistance

Request a property lawyer in Spain from SpainDesk to assist you in Spanish real estate law and make sure the sale by the seller is entirely legal without any debts and boundaries that will affect you in the future. We will assist you with the whole process of buying property in Spain.

A final word from SpainDesk

At Spaindesk, we also assist with immigration to Spain (such as the Non-lucrative visa and Golden Visa), Spanish company formation, and any Spanish tax/accounting services you may need. Our firm is a one-stop shop for relocating to or investing in Spain. Let us know what you need by submitting the contact form. We have an excellent track record, and we will make your property challenges satisfactorily resolved.

Get help from a property lawyer in Spain

There are some legal permits you need to know about when you are buying off-plan property in Spain. Let’s explore some key areas to help you think about your potential or existing construction project, and the necessary legal requirements and procedures you can expect. Because property buying can be a complex, and this is just an overview. We always recommend getting a professional to assist.

Building permits

A licencia is mandatory before the construction of any building commences. Therefore, it’s validity is essential when buying off-plan property in Spain. Also, the permit must be obtained for any construction work on an existing building in case you want to change the usage, exterior appearance or change the volume. For example, you need a licencia to add a storey for both commercial and residential properties.

Spanish construction permits are categorized into two:

  • Licencia for minor works such as walls, terraces, and barbecues.
  • Licencia for major works such as new buildings, alterations, and demolitions.

Get the help of a Property Lawyer in Spain

Obtaining permits

When it comes to permits for minor works, you are required to request a Licencia de Obra Menor at the local Town Hall. The application typically entails a brief description of the project to be undertaken and the estimated costs.

For major works, you need a Licencia de Obra Mayor that is created by a qualified architect (registered in the Spanish architecture college). The architect identifies a suitable technical architect (aparejador) who usually acts as the site manager of the construction site. The project owner has to have a suitable builder who also signs the application.

Permit applications can be submitted either in person or through a registered to the local alcalde. A receipt is subsequently issued. The processing time for the licence request is typically within two months after the date of submission.

During the processing, a thorough examination has to be done to confirm that the correct information has been provided. Subsequently, details of the request are posted in the town hall. In case you don’t receive a notification within two months, then you will automatically obtain the construction permit, assuming that the project has been approved.

NOTE: All the parties involved in the construction of a project are legally required to carry some obligations and responsibilities. These are detailed in the building act LOE of 5th November 1999 (Ley de Ordenación de la Edificacion).


The relevant tax is paid at the end of the construction project. You can expect to pay about 4% to 6% of the overall construction cost.

Planning zones

All properties in Spain fall into two categories:

  • Rustic(rural) plots (suelo rustico)

Under the rural land law in Spain, some specially protected land (Suelo no urbanizable protegido) are protected and cannot be developed for residential homes. On the other hand, rural land categorized as Suelo no urbanizable común can be developed for residential houses for private use.

Additionally, there are profound rights and restrictions of a rural plot regarding minimum plot size, maximum building size, floors, and heights, among other factors. All rustic plots in Spain typically have some aesthetic restrictions. In this regard, different planning zone have varying regulations. More often than not, you have to construct a typical regional-style building that is unique to a specific planning zone.

  • Urban plots (suelo urbano)

Suelo urbano refers to serviced plots that typically have access to road, water and electricity, among other infrastructure.  When it comes to urban plots in Spain, different planning zone have varying rules. However, the plot sizes limitation is between 800m2 and 1,500m2.

Avoiding Fines and Other Penalties

In case you are a property deed holder or planning to construct a building in Spain, we highly recommend that you are fully aware of relevant licencia to avoid negative consequences. For example, the relevant authorities are likely to fine you for lack of a proper building permit.

Town hall inspectors regularly check renovations and home improvements. In this regard, you want to ensure your building site is fully licensed.  It’s prudent to register all changes made to your project.

When it comes to hiring the workforce, there are several rule and regulations that apply to foreign construction professionals. Also, certain rules specifically apply to the hiring of foreign workers. Consequently, you want to ensure you abide by the relevant labour laws.

Final thoughts

When it comes to choosing a contractor, we highly recommend doing thorough checks on a case-by-case basis before executing any type of contract. Also, before applying for a business permit, you must do sufficient due diligence to ensure the construction project complies with the relevant building rules.

Get the help of a Property Lawyer in Spain

Disclaimer: Information on this page may be incomplete or outdated. Under no circumstances should the information listed be considered professional legal advice. We highly recommended seeking guidance from a legal expert if you lack extensive knowledge or experience dealing with any of the procedures outlined in these articles.

The IBI tax is a property tax in Spain that you will have to pay the following year after buying a property in Spain. In most cases, you will not get a warning about paying the IBI property-related tax for the tax office. In this article, we discuss every aspect of the IBI tax in Spain.

What is the IBI tax?

The IBI tax or Impuesto sobre Bienes Inmuebles, is a property tax. The IBI tax is a tax paid to the local tax authorities, and it is a municipal fee for public services rendered by the local administration for houses, buildings and land. It is similar to the council tax in other countries.

IBI tax in Spain

How is the IBI tax calculated?

The cadastral value (taxable value) of the property or ‘valor catastral” in Spanish is the guidance for the IBI tax. This cadastral value is not linked with the property’s actual value and is only used for tax purposes by the local Spanish tax office. Registration of the cadastral value is in the Cadastral registry; this is a different registry than the land registry.

Characteristics that influence the cadastral value (rateable value) are the size of the plot, age, rooms, location, prices of surrounding properties, classification of land, number of storeys, etc. The cadastral value is a property valuation for tax purposes and it is always lower (around 10-30%) than the market value or purchase price.

The taxable value is multiplied by a percentage set by the local tax authority; this is generally between 0.4% to 1.1%. So when you have a property value of 500.000€, you will pay around 500.000€ * 0.04 = 2000€ in IBI tax. Calculate your IBI tax with this Suma tax calculator.

Depending on the local town hall, your IBI tax can have a percentage reduction when you pay earlier, in a specific way, have a family, solar panels, or other specified factors.

Where can I find the IBI tax when buying a property?

The Nota Simple can help you discover the IBI tax, it is used by property lawyers. The Nota Simple explains what you’re buying, as well as other debts of the property. If there are any annual or community charges, they will be listed here.

Updates of cadastral values

Your cadastral value is often recalculated every decade by the tax authorities to account for inflation changes. Sometimes the local government wants to increase the values of many properties in its local area.

When they have had permission from the national government, they can raise the property values by a percentage. For example, they might choose to increase the cadastral value’s of all the properties in an area by 10%.

Buying property and IBI tax

IBI tax and unregistered properties

Not all Spanish properties are registered with local town halls; some may have been uninhabited for many years and have no registered owner. When a property is un-registered, the IBI payments still need to be paid.

New owners may have to pay the IBI tax for the period that these properties were unregistered when buying unregistered properties. Non-payment of the IBI taxes can result in fines, interest charges and forced sale of the property.

What happens when you pay the IBI tax late?

In recent years town halls have been more strict on late payments of IBI taxes. New ways to trace property owners have been introduced, and some town halls even hire property owner tracing agencies.

Late payment and unpaid IBI tax can be penalized by 5-20%, and you may also lose ownership or be forced to sell. Your bank account may also be frozen until a payment process is started. To not get any issues when IBI tax, contact an accountant in Spain to do your IBI taxes and avoid any other tax-related problems.

Who needs to pay the IBI tax?

All property owners need to pay the IBI tax when buying a house in Spain. So both non-resident property owners and resident owners need to pay this tax.

To avoid buying a property with local tax debts, the lawyer of the property buyers ensures that the previous owners pay IBI tax in the years they owned the property. When the previous owner did not pay IBI tax in the previous years, the debt is transferred to the new owner, and then the town hall will add additional taxes for the new owners.

For property buyers, it is essential to hire a lawyer who follows up on this for you before signing at the Notary office. They might advise on a safeguard in the initial buying contract; in the negotiation, the lawyer can state that the seller will forfeit a percentage of their sales proceeds when the seller did not pay IBI tax.

Property taxes in Spain

When do you have to pay the IBI tax?

While depending on the local town hall, the tax is typically paid once a year between August and November, and the tax is set beginning January. You can pay your IBI tax upfront, but paying the property-related tax at once annually is most common in Spain.

How do you pay IBI tax?

When you have registered your property with the local town hall, request how you will pay your IBI tax. The responsibility to pay the tax lies with the property owner, not the local town hall.

There are maybe different ways of paying at your local town hall, but most local town halls will work with a bank transfer or an online payment portal.

What does the local town hall do with your IBI tax?

The local council tax is spent on several regional services, including road infrastructure, street lighting, park and street cleaning, security, neighbourhood upkeep, rubbish collection etc. You can request information about how your IBI tax money is used at your Spanish town hall.

Calculating the IBI tax

Where can you get further information?

Suppose you have questions related to property buying or require property buying assistance. Please do not hesitate to contact our team for any questions related to the buying process in Spain. Our property lawyers in Spain are bilingual and can answer all your questions regarding property-related taxes and anything real estate in Spain.

When buying property in Spain, you should be aware that several pitfalls are involved, and you should not rush into it. Every country has its own rules and regulations for purchasing property, private or commercial.

1. Buying in the wrong location

Consider the location seriously before you buy property in Spain. Buying your holiday home in Spain on the beachfront is very tempting, but similar properties are readily available elsewhere at a lower price. The good idea is to look at comparable properties that have sold in recent months and how much the properties sold, so you can avoid making mistakes during negotiations.

Another thing you can do is look at an analysis of the Spanish property market to time out your purchase. Prices fluctuate, and when your goal is to invest in Spanish property, you must buy at the right time to get maximum value for your money.

Furthermore, consider everything about the location, such as the transport links, the noise level, and any environmental issues. It would be best to think about where you would buy food and other supplies that you need regularly; it may be far from the property.

Get the help of a Property Lawyer in Spain

Lawfirm for buying property

2. Physical inspection before you buy

Always go for a physical inspection of a property you want to buy in Spain. You can ask an independent surveyor or inspector specialising in this field to visit the building and check everything out. They will tell you of any problem areas such as the roof, plumbing work and even insects or woodworm.

You can hire a professional to do this for you, but you could also ask your solicitor to recommend someone reputable. If you buy commercial property in Spain, a checkup is also important because of any legal issues.

3. Not having a clear plan to buy a property

You should have a clear plan to buy a property in Spain. Take time to research the market and make a list of all the properties you want to look at before going out. Do not be tempted to buy something on the spur of the moment because it may not be what you want. The temptation can be high because prices of property in Spain and the rest of the world have dropped.

Do not be over-impressed by a location and buy something even if it is not what you had planned originally. You may get carried away with negotiations and forget to look at other more important factors, such as your personal preferences or your family’s needs. It is better to take your time than to rush in and regret making a wrong decision.

Pitfalls of Buying Property in Spain

4. The language barrier

If you buy commercial property in Spain, this may not be an essential factor, but if it’s your second home or holiday home, you will want someone who speaks English or your language. This is more so in the remote locations in Spain where many people do not speak a foreign language. This can create problems when you want to do maintenance work, need help in an emergency, have questions, or need to deal with the government.

Before buying a property in Spain, it is wise to make sure you get help to support you during difficult times. Our team can assist you.

5. Not including extra cost (property transfer tax, legal fees etc.)

Remember that you will not only have to pay for the property itself, but there will be additional expenses when buying property in Spain, and these should be considered as an included cost and not as a surprise.

When buying property in Spain, fees and costs include lawyer and legal fees, agent fees, property transfer tax, title deed tax, land registry fees, and foreign/local Spanish notary fees.

The extra fees and property tax are calculated as a percentage on top of the purchase. In general, an extra 15-20% above the purchase price cover’s it.

The cost depends on the location, service level, tax bracket, final sale price, and whether you are dealing with new or existing properties.

Make sure you have enough cash to cover all the fees and other expenses, so you do not end up disappointed.

Pitfalls of buying property in Spain

6. Not working with a Spanish property lawyer

When buying a property in Spain, it is recommended that you work with a solicitor to help you. This person will advise you on everything and assist you throughout the purchasing process and afterwards during your rights as the owner.

A property lawyer will advise you on the paperwork and help with all aspects from start to finish so they can ease your concerns.

Most property scams and pitfalls of buying property in Spain are avoidable if your lawyer takes over the buying process for you.

7. Buying in a hurry

If you are under pressure to buy a property in Spain quickly because of work or other commitments, be wary. You may pay more for your property than it is worth to get rid of the problem quickly rather than thinking about the consequences afterwards.

When you buy something in haste, there is always room for regret and mistakes when not all aspects are thoroughly thought through. Make sure you get proper advice from a real estate agent and lawyer when you want to buy a property in Spain and that you don’t rush into making a decision.

Buying property in spain

8. Signing a contract you don’t understand

Always make sure you read the contract carefully before signing it. If you have not read or understood it fully, ask for clarification before signing. Language in the agreement may be confusing, which can lead to misunderstandings. Be careful; you may end up signing the wrong thing.

It is recommended to ask for an explanation from a Spanish property lawyer. When you do sign the contract, make sure you get a copy for yourself so you can refer back if there is any disagreement in the future.

9. Not having your immigration paperwork in order

When you buy a property in Spain, you need to get a Spanish tax identification (NIE number). If you do not have this paperwork in order, you can’t buy the property.

Get help from an immigration lawyer in Spain to obtain your NIE number. If you want to be a resident in Spain, this is also possible. For example, when buying a property, you can get residency through a golden visa in Spain program, but there are some requirements you have to meet.

You can also choose to be a non-resident for tax purposes in Spain. Non-residents stay in the country for less than 183 days.

Don't stress over buying property

10. Stressing something will go wrong with your property purchase

You have to remember that buying a property in Spain or anywhere is not an exact science even if you follow all the rules. There are always problems, but there are ways to deal with them, so keep calm and think logically about your options.

When something doesn’t go according to plan, it can be unpleasant, but don’t let emotions get in the way of making the correct decision. Make sure you get advice from real estate agents and lawyers who can offer sound guidance on your specific situation.

11. Not getting the proper mortgage

A mortgage provider will only finance up to a certain percentage of the property value. For example, if your property is valued at 100,000 euros and you try to get a mortgage for 140,000 euros, it will be declined. It would be best to get the correct amount sanctioned based on the property value.

In Spain, mortgage lenders will not sign a mortgage agreement until you have acquired a home. As a result, it is critical to include language in the contract allowing you to terminate the deal if you cannot obtain a loan. It is best to get the help of a mortgage advisor in Spain.

If you’re looking for a mortgage in Spain, Spanish banks can provide you with an inexpensive rate. At the appointment, you can also open a Spanish bank account.

Property tax and pittfals of buying

12. Not getting the help of a real estate agent

A possible pitfall is not working with a real estate agent in Spain. A real estate agent will help you find a house in the area you have specified, and they will help you determine a fair price and negotiate with the seller to get you a good deal.

They may even be able to find better deals and lower prices than you can, which can save you lots of money in the long run. Be careful when the seller’s estate agent does not represent you, as it may lead to a conflict of interest.

Agents will not help you with legal and immigration matters. Even though they can introduce you to the appropriate people, it is not their job to do this.

13. Not getting a proper preliminary contract

When you wish to acquire a property, and the seller accepts your offer, the next stage is for the buyer and seller to sign a preliminary agreement (the escrow or Contrato Privado de Compraventa in Spanish)

Spanish property law requires that this document contain a series of clauses, one of which is the right for either party to terminate the agreement within an initial period of one month.

This clause leads to reservation agreements. A reservation contract is where you have signed up to purchase a property, but the bank can still redraw if the funds are not available within a given period. You can terminate your reservation contract by providing a letter of termination.

Beware, the seller and buyer pay a deposit, typically 10% of the purchase price. If one party needs to withdraw, they will lose the deposit. Work on the preliminary contract with your Spanish property lawyer, who will advise on the best clauses for you to include.

Buying property in Spain

14. Lack of planning permission from the government

Among the pitfalls of buying property in Spain is getting a house that does not have the right permits. When you are buying a house that does not have permits to have been built you can get in trouble. Whether it is a new property, second-hand property, or still being built. A property requires permission from the government to exist.

When buying properties off-plan, you will need to make sure the property is legal to build. If the property is illegally constructed, you might be responsible for adhering to current local rules. Another reason to get a specialist involved when you purchase the property.

Renovation of a second-hand home will most also require building licenses which you must obtain within the legal time limit. When buying a home in Spain, the house’s location influences the construction licenses, local government will often determine if you have a right to build. For example, there are hard restrictions to building size and position in rural areas, and historic city centres. Our Spanish lawyers will be able to assist you with the planning permission, and construction licenses involved in Spain. Contact us for a quote.

Pitfalls of buying property

Concluding the potential pitfalls when buying property

Foreign buyers should be aware of these common pitfalls. As outlined above, you can avoid many pitfalls of buying property in Spain by acting. When you work with a Spanish lawyer, you stand a better chance of avoiding the pitfalls and achieving success in your purchase.

You don’t have to be an expert when buying property in Spain, but it is wise to work with an expert who can guide you through the process. Our real estate lawyers are experts in Spanish property transactions, and you can be sure that they will help you avoid the pitfalls that many foreigners face when buying property in Spain.

If you need assistance with any of the above issues, please do not hesitate to email us at

Get the help of a Property Lawyer in Spain

Disclaimer: Information on this page may be incomplete or outdated. Under no circumstances should the information listed be considered professional legal advice. We highly recommended seeking guidance from a legal expert if you lack extensive knowledge or experience dealing with any of the procedures outlined in these articles.

Building licenses and permits in Spain are essential if you want to buy a piece of land or property in Spain. Even before buying, it is smart to inform yourself if it is possible to do the work you want to do. In this article, we discuss the “Licencias Urbanísticas”, the licenses necessary for anything related to changing properties in Spain.

What is an Licencia Urbanística?

The Licencia Urbanistica, or “urban planning license,” is the license that authorizes works of urbanization, subdivision, construction, demolition, intervention, change in occupation, and use of public space. In other words, when you change, construct, or convert a piece of land, the Public Administration will oversee that the change is legal and followed.

Licencias Urbanísticas

Types of licenses

Not all urban licenses are the same; some may need more information or details about the project. The types of urbanization licenses in Spain are:

  • Plotting license
  • Building license
  • Licenses for other urban development actions
  • The license of the first occupation
  • Activity license
  • Change of use license
  • Terrace license
  • License for change of ownership

Plotting license (Licencia de parcelación)

It is the one that is requested to split up a property into separate lots (urban and rural). This administrative procedure is utilized to ensure that the land on which one wishes to act meets the requirements the government has set for urbanization.

License for change of ownership (Licencia de cambio de titularidad)

If a company is sold, but the operation does not change, it is not necessary to obtain a new business license; instead, you must report the change of ownership to the Administration.

Change of use license (Licencia de cambio de uso)

This license is necessary for the change of use and occupation of a property. For example, you can not use a property used as a warehouse in the future to host fairs. Each change requires a new license. In addition, this license is required when converting any type of housing to another use (such as changing from residential to business).

Licenses for other urban development actions (Licencias para otras actuaciones urbanísticas)

When projects that do not fall under any of the other categories must be completed, they are required, for example, as part of the installation of a billboard or light.

The license of the first occupation (Licencia de primera ocupación)

The building permit is also known as the cedula de habitabilidad, and it is a document that certifies that a structure satisfies the required standards for habitability. To make a property habitable, basic needs must be fulfilled, such as safe entrances, exterior lighting, waste disposal systems, electrical wiring, etc.

Activity license (Licencia de actividad)

When doing business on a property in Spain, it is essential to show that the company does not pollute and is safe. In a nutshell, this activity will not endanger either the environment or the population. When opening an establishment to the public (such as a restaurant), the owner must have an activity license.

Terrace license (Licencia para terrazas)

The public roadway is host to several terraces of bars, restaurants, and cafeterias. To manage this, the city council requires a license to ensure that the establishment complies with safety and public space rules.

Building license (Licencia de obras de edificación)

For both major and minor construction projects, building permits are required. There are several types of building permits:

  • New construction (Obra Nueva): The development of a building in an unbuilt site implies obtaining permission from the municipal authorities.
  • Expansion (Amplicación): This license will authorize an increase in existing buildings.
  • Modification (Modificación): This license allows for a change in an existing structure’s architectural or structural design without increasing its size.
  • Restoration (Restauración): The authorization to undertake works to save and adapt a structure recognized as a cultural significance gives this license.
  • Demolition (Demolición): This license allows for the complete or partial destruction of one or more present structures.

Building license

Reasons to obtain the Licencia Urbanística

Some examples of acts subject to obtaining a license are:

  • Changing urban plots: The construction or remodeling of a plot of land in an urban environment constitutes an act of use change, implying that we should ask for a license.
  • Demolition of constructions: When you want to destroy a building to build a new one, you must ask for a license.
  • Placement of advertising signs visible from the public road: Even when the sign is hung in your building, we must ask for a license if it can be seen from outside.
  • Modification of the structure of existing buildings: when you make any change to the structure of your building, for example, if you add a new floor or convert a garage into a room, ask for a license.
  • Provisional uses and works: when you change the use of the piece of land e.g. opening a café or an office, or when you work on the land, for example, excavations or earthmoving to build foundations. You need permission.

In some cases, you need multiple licenses, and the combined licenses are known as “urban development permits”.

Obtain the urban planning license

The process to get an urban planning license depends on the municipality and the type of license you need. The Spanish government can be slow with giving out permits, and therefore it is essential to submit a correct application if you don’t want to have any delays.

Piece of land

Obligations of the owner

The property owner must ensure that they have the right to alter it. Following this, the competent Administration (the City Council) will grant the license after confirming that the actions to be taken conform to town planning rules.

It’s necessary to possess the required municipal license to perform property transformations. Furthermore, it must be requested ahead of time before acting.

Costs of the License

It is possible the owner needs to pay a fee for the license, which may or may not depend on the work that they want to carry out. The amounts are defined in the Town Planning Regulations.

Obligations of the government

The city council must follow the procedures outlined in its regulations. As a result, the Administration has no choice but to issue an urban development license in accordance with their rules. If you want to make changes according to the law, they are obligated to give you permission.

Administrative silence or not

When the public Administration doesn’t answer in the specified time, depending on the Administration, there are two ways this can be interpreted. It can be considered an implicit rejection or acceptance.

Building permits

Get help with your building permit

The process of getting a building permit can be difficult and time-consuming, as the government can be slow in issuing permits. Not knowing the type of building permits you need for your project and communicating with the municipal government can be a headache. Our team at SpainDesk can help you get your building permit with a complete, detailed report that follows the Spanish regulations to the letter.

Our property lawyers will assist you and help you get your plan done, as they have a lot of experience obtaining licenses from the government. They will help you submit the correct application and keep you updated on the progress of the process.

Property tax in Spain is the taxation on real estate, and it is a very common Spanish tax. You will have to pay multiple taxes on your property, and in Spain, all property owners are required to pay these taxes.

You must apply for a NIE (Número de Identificación de Extranjero) to pay these taxes, which is your Spanish tax identification number. When purchasing a home in Spain, you must also have this number. This number identifies you with the Spanish authorities and is required to pay taxes.

Property taxes in Spain for non-residents

You are subject to income tax (including capital gains tax), annual property tax, wealth tax, and stamp duty if you reside in Spain as a non-resident.

Spanish income tax

The income tax for non-residents is limited to income from Spain only. A non-resident is always taxed at a flat 19% when you are from Europe and at 24% if from somewhere else.

When renting out a property in Spain, you will have to pay rental income tax. Non-residents only have to pay income tax over the income they get within Spain only.

Next to this, when you sell your property, you will have to pay capital gains tax on it. You do this via the income tax declaration form as well. In this way, the capital gains tax includes your income tax.

Get taxes done more quickly and efficiently with our tax services in Spain

Annual property tax

When you are not renting out your property in Spain and using it for personal uses, you will also have to pay a tax based on the percentage of the value of your property. This is called the IBI tax. Next to the IBI tax, you will have to pay another tax that is the IRNR (Impuestos sobre la Renta de No Residentes).

IBI tax on property in Spain

The “Impuesto sobre Bienes Inmuebles,” or IBI, is the annual property tax in Spanish. The tax rises every year based on inflation. The tax rate for each year is between 0.4 per cent and 1.4 per cent of the property’s cadastral value.

The cadastral value is the Spanish authorities’ value for your property, and your real estate lawyer will be able to provide it. You can object to increases in the cadastral value, so you won’t have to pay more at the Spanish tax office, but you will have to provide good reasons for it.

The municipality’s annual real estate tax is a local property tax, and IBI tax rates increase every year depending on inflation. Remember that the cadastral value for the same size of properties in the same area can vary dramatically.

The IBI also takes into account your cadastral reference number, which identifies your property at the cadastral office, in addition to the assessed value of your home (cadastral value). This may be crucial when purchasing and selling properties because the physical description on the title deed does not match that on paper.

In general, the IBI bill will be sent to you, or you can pay it online. Your local tax office (SUMA) will handle the payments of the IBI.

IRNR tax on property in Spain

This tax is for non-residents that own property in Spain. The government created it under the assumption that non-resident property owners somehow profit from having a holiday home in Spain, even though they don’t rent it out.

Even if the owner does not receive any income or rent from their home, the property is taxed 1.1% or 2% profit on the property’s cadastral value. The amount of taxes varies on whether or not this cadastral value has been updated (1.1%) or not (2%). The tax is reported via the Modelo 210.

Wealth tax

The wealth tax in Spain is an annual tax on the wealth over a certain threshold that you own in Spain. This includes your Spanish property and other assets such as cash, cars, artwork etc.

The tax is levied on the market value of your total assets each year. As this amount increases every year, so will the resulting taxes owed to the Spanish government. You will have to pay wealth tax when your assets in Spain are over 700,000 euros.

Property tax in Spain for non residents

Property taxes for residents

You are subject to income tax, capital gains tax, annual property tax, and wealth tax if you are a resident.

Spanish income tax

When you get a Spanish rental income from your property or properties in Spain. You will of course be obligated to pay tax. Residents of Spain will always have to pay the rental income tax in Spain.

The percentage to pay ranges from 15% for low-income individuals and 30% or 40% for those with high income.

When you rent out your property, you will have to pay taxes on your rental income, and this rental income tax is called notional rental.

Annual property tax

In Spain, there is an annual property tax. The annual property tax is derived from the cadastral value of the property. The tax is called the IBI, “Impuesto sobre Bienes Inmuebles”. The tax increases every year depending on inflation.

The annual tax rate is 0.4 per cent to 1.4 per cent of the property’s cadastral valuation. The yearly tax is set by the municipality and can vary a lot.

Wealth tax

As a resident in Spain, you will have to pay wealth tax on your worldwide assets. The wealth tax is a progressive tax rate.

You will have to pay wealth tax over the value of assets above 700.000 euros, and you don’t have to pay wealth tax on the first 300.000 euros of your home property.

The wealth tax is a tax put by the autonomous regions, and it differs from region to region.

The wealth tax can be complex to pay, especially for foreigners. It is recommended that you hire a Spanish accountant.

property taxes in Spain

Property tax when purchasing new properties

When you purchase a new property in Spain, you will have to pay Stamp tax and VAT.

The Stamp Duty

The stamp duty is a fee that any person or entity that buys a new property needs to pay. The Spanish government sets this fee. The stamp duty is 1.5% of the sale of the property, and they are charged on top of the property price.


On top of the stamp duty, a 10% value-added tax (IVA in Spanish) is levied on the purchase price. While this seems higher than the tax on resale properties (ITP), this tax can be deducted from other expenses when buying property under a business.

Actos Juridicos Documentados (AJD)

The notorious mortgage tax or AJD (Actos Juridicos Documentados) is one of the taxes you must pay in Spain. This tax is known to vary by region, with a minimum of 1% and a maximum of 1.5%.

The percentage is determined on the basis of the “Responsabilidad Hipotecario,” which means “mortgage responsibility”. The mortgage responsibility is what the bank would owe if the person failed to pay for a period. It is an average of what it costs if they go to court and how much money the bank may need.

This is generally equivalent to between 150 and 200 per cent of the mortgage amount.

property tax in spain

Property tax in Spain when purchasing resale properties

When ​you purchase a resale property in Spain, there are two taxes that you need to pay: the ITP and the AJD

The Impuesto de Transmisiones Patrimoniales (ITP)

The only tax imposed on real estate resale is transfer tax (Impuesto de Transmisiones Patrimoniales/ITP in Spanish). The autonomous regions set ITP. The amount owed is determined on a sliding scale depending on the property’s price. In general, ITP adds between 8% and 11% to the cost of buying a property.

Actos Juridicos Documentados (AJD)

As mentioned before you will have to pay the AJD. which is 1 to 1.5 per cent of the mortgage responsibility.

Property tax Spain

Selling a property in Spain

Because the Spanish Tax Agency (Hacienda) may check your records at the time of property sale, you can’t avoid paying property tax in Spain.

3% deposit for capital gainst tax

The Spanish Tax Authorities will require a 3% deposit within 3 months of the time of sale. The deposit is a guarantee against capital gains tax, income tax, and wealth tax in the previous four years, as well as a guarantee against your tax debt on capital gains. When you have paid your taxes and the 3% was not needed, then you get them back at your next Spanish tax return. At the time of sale, you will have to submit the sales agreement in order to pay this real estate tax.

Capital gains tax

When selling the property, you will have to pay capital gains tax. The capital gains tax for residents is:

  • 19%: for the first 6.000€ obtained as a profit
  • 21%: From 6.000€ to 50.000€
  • 23%: From 50.000€ onwards
  • 26%: From €200.000+


Many of the fee’s associated with the selling of property in Spain, are often paid by the buyer. However, you can expect:

  • Estate agent fee (around 4.5% of the sales price)
  • Bank transfer fee’s
  • Legal and financial fee’s (around 800 euro)

Property tax in Spain

How to pay Spanish property taxes

For a non-resident, the best solution is to pay the tax by direct debit. The bank will provide you with a form authorizing the bank to pay the tax, and a copy of the document will be deposited with the local council. This will ensure that taxes are paid at the right time, just like other utility bills owned by you.

You will receive a letter from the municipality about your local taxes, while your annual income tax should be done on your annual personal income tax return.

The Spanish tax authorities are strict about the late payment of taxes, and any delay will result in penalties or fines, which can be very expensive. Next to this, your property must be adequately registered with the Spanish tax authorities for them not to claim that you are avoiding property taxes as well.

Frequently asked questions

Below you can find some frequently asked questions about Property tax in Spain.ert

Are there any other taxes I might have to deal with when selling or buying a property?

Yes, for example, you might encounter inheritance tax (succession tax), council tax, or other municipal tax. There are many taxes involved with buying and selling property in Spain, and it is advised to hire a tax advisor when dealing with the Spanish tax system.

Can you help me when I want to buy and let properties in Spain?

Yes, we offer a wide range of services for businesses such as company formation, accounting services, and property buying guidance. Get in touch with our team if you need any help or have any questions about buying and letting properties in Spain.

Get help with your property taxes

You need to pay any taxes when owning a property in Spain. If you want to be fully up-to-date with your tax payments, you should hire a Spanish tax advisor. Next to this, it is also recommended to hire a real estate lawyer when buying a property in Spain. If you want our help, you can contact us at

Disclaimer: Information on this page may be incomplete or outdated. Under no circumstances should the information listed be considered professional legal advice. We highly recommend seeking guidance from a legal expert if you lack extensive knowledge or experience dealing with any of the procedures outlined in these articles.

Get taxes done more quickly and efficiently with our tax services in Spain

Whether you want to retire in Spain, invest in Spain, or are looking for a holiday home. Buying land is a great option to save money, and make something that feels completely yours. When it comes to buying land in Spain, there are a few things you need to take into account. Firstly, you should be aware of the different types of land available in the country, and what each type entails. Secondly, you should also have an understanding of how to choose land and the costs involved, and thirdly you should know about the risks involved. In this article, we will provide an overview of each of these topics so that you can make an informed decision when purchasing land in Spain.

Buying land in Spain

There is no doubt that buying land in Spain is an exciting prospect. Not only is the country renowned for its stunningly beautiful scenery, but it also has a rich cultural heritage which makes it a popular destination for tourists. Next to this, it is also one of the most popular European countries for foreigners to emigrate and not as crowded and expensive as other countries.

All of these factors combine to make buying land in Spain an attractive proposition for many people. In addition, the climate in Spain is excellent, with plenty of sunshine throughout the year. This means that those who purchase land in Spain can enjoy relaxation and tranquility on their own piece of paradise, while also having easy access to all the amenities and attractions that a lively city has to offer.

Town hall and planning permission

Building your dream home in Spain

Building a house in Spain can be a great experience, but it is important to be aware of the many planning rules and permissions that are required. In general, the process of building a house in Spain is quite complicated, and it is important to make sure that all the necessary paperwork is in order before starting construction.

Permissions and regulations

One of the main things to keep in mind when building a house in Spain is that there are different regulations depending on the region in which you are constructing the property. Additionally, each autonomous community within Spain has its own regulations, so it is important to consult with a property lawyer or local authorities to get all the relevant information.

Urban land

Choosing a land to build

Spain is a diverse country, with plenty of different regions that offer their own unique charms. When it comes to choosing a location to build your dream home in Spain, you will need to consider a few things.

  1. What amenities do I need?
  2. What type of climate do I want?
  3. How close do I need to be to my workplace?
  4. What type of obligations does the land carry?

What amenities do I need?

It is important to consider what amenities are needed in the surrounding area. Do you need to have access to public transport? Is it necessary for shops, schools, and hospitals to be nearby? Or do you need a large range of leisure activities on your doorstep?

What type of climate do I want?

The climate is another thing that should be considered when buying land in Spain. There are many different areas in the country, and each one has its own climate. For example, if you want to escape from colder climates buying land in sunny Andalusia might be a good idea, but if you enjoy skiing then it could make more sense to buy property in mountainous regions like the Sierra Nevada.

Do I need to live somewhere close?

When choosing a home in Spain, many people opt for one that is situated close to their place of work. This makes sense, as it eliminates the need for a long commute and allows you to spend more time relaxing at home. Additionally, many people who purchase a home in Spain choose to do so near an airport, as this makes traveling to and from the country much easier.

How much do I want to spend?

The amount of money you want to spend will also affect your decision when buying land in Spain. For example, if you are looking for a cheap property then there are many different options available to you, but they might not be the most attractive properties in the area. Cheaper land can also come with restrictions on what can be built on. It is important to not fall for a deal that is too good to be true.

What type of obligations does the land carry?

Some land might carry obligations for building and providing certain amenities. It is important to know what you are buying and if there will be any restrictions or obligations you will have when making a land purchase on the Spanish property market. For example, the municipality might have plans to urbanize the land you are buying, in this case, in the future, you will have to negotiate the property price, make votes with surrounding property owners, or will have to sell your property.

Planning permission

Other options than building

There are many other options that you have when buying land in Spain.

Buying a brand new property

One of these is to buy a property that is already built. This can be a great option, as you will not have to go through the hassle of getting planning permission and construction permits. Additionally, there are many different types of properties available for purchase, so you are sure to find one that meets your needs and budget.

Renovating an existing property

When renovating a property in Spain, it is important to be aware of the permissions that are required. In general, the process of renovating a property in Spain is quite complicated, and it is important to make sure that all the necessary paperwork is in order before starting construction. You will need permission to build pools, move walls, and change the use of the home. One of the main things to keep in mind when renovating a property in Spain is that there are different regulations depending on the autonomous community within which you are renovating the property.

Costs of buying land in the Spanish property market

Land in Spain has an average price of 165 euro per square meter in 2021. However, the cost of land is cheaper in rural areas than in urban areas.


Buying land in Spain

There is a big distinction between rural areas and the main cities of Spain. This is because there is less demand for land in rural areas, and developers are not as likely to build new properties in these regions. Additionally, the cost of land is usually higher near airports and major cities. This is because there is more demand for land in these areas, and people are willing to pay a higher price.

Spanish Land buying

Land classification in the land registry

For urban planning purposes, we classify the land in the land registry into three main groups: Suelo Urbano (urban land), Suelo Urbanizable (land for development), and Suelo No Urbanizable (land not for development) (often known by users as rural land).

Urban land is that which the general planning of the municipality determines as such, either because it has all the necessary services and facilities (road access, water supply, drainage network, and electricity supply), or because it is largely consolidated by building. Urban land is also considered to be that which has been developed and urbanized as determined by the planning.

Suelo Urbano (urban land)

It is obligated to construct on these properties subject to the city’s or region’s “Planes de desarrollo urbanístico” (Plan General de Ordenación Urbana PGOU) or qualifying urbanization zones called “Planes Parciales”

Most of these territories are already developed and inhabited, with all of the urban amenities and infrastructures required for residential habitation in terms of high or low population density. They are characterized by facilities such as

  • Sewage system and drainage
  • Parks and green areas
  • Water, internet, and electricity
  • Sports facilities
  • Schools and colleges
  • Health facilities
  • Road access

Within urban land, there is a distinction between Urbano Consolidado (consolidated urban land), and unconsolidated urban land (Urbano No Consolidado, de Núcleo Rural o Urbano Especial),

Suelo Urbano Consolidado: This type of land is already finished built on and consolidated with all of the urban amenities and services required for a residential settlement. Consolidated land is already finished built on, and does not require you to undertake any building works on the property to make it legal.

Suelo Urbano no Consolidado: This type of land is not finished built on or consolidated, the Spanish government still wants to build extra on this land. The land’s owners are required by law to finish the urban fabric, conduct rehabilitation operations, interior renovation, urban remodeling, change of uses, rehousing, planning of the subsoil or sanitization of people, and others of the same sort.

Suelo No Urbanizable

Non-urbanizable soils are those that cannot be used for industrial, residential, or commercial purposes because they are exclusively intended for certain protected usages such as nature conservation, agriculture, or livestock. Other residential, industrial, or commercial uses are severely restricted and prohibited. The two categories within Suelo No Urbanizable are:

Suelo No Urbanizable Protegido: These are soils that have been designated “protected” for reasons such as nature, forest, and others, in order to preserve. In other words, these are lands that have the same protection as natural parks or nature reserves, and they are strictly prohibited to build or develop buildings.

Suelo No Urbanizable Comun (Terrenos, Suelo Rústico o Finca Rustica): This land is primarily used for agriculture and livestock production, and sometimes other uses such as residential and commercial development, subject to certain restrictions. This type of land is protected from urbanization or other uses that go against its natural or primary use of agriculture.

Suelo Urbanizable

Suelo Urbanizable or Developable land is land that is suitable for urban development, that is, it can be utilized in an urban transition. This type of land is still non-urbanized, but you can expect that in the future it will be. This means that in the future infrastructures such as water supply systems, electricity networks, sewage systems, drainage networks, road access will be needed.

In other words, likely the municipality will integrate them into an urbanization strategy, although they are not yet included in one. The owner of developable land has to pay for the urban transformation action of the land if the municipality decides to urbanize it.

Risks of buying land

Risks involved with buying land

While buying property in Spain has its own set of pitfalls, the same risks apply when purchasing land. Next to this, Spanish taxes such as the property tax and wealth tax must also be considered when owning land. When purchasing land, you should also bear in mind the following risks:

Future development plans around your land

When you buy land, there are always risks involved, especially when it comes to future development around the land you own. For example, the municipality may decide to urbanize the area around your land and ruin your view. Additionally, if you expect certain development, such as parks and shopping malls, there is always a risk that the land may not be developed as planned, or that the development may not go ahead at all. This can be due to a number of factors, such as changes in government policy or economic conditions. It’s important to be aware of these risks before you purchase land and to factor them into your decision-making process.

Unkown rights and obligations

When you’re buying land, it’s important to be aware of the risks involved. One such risk is that you may not be aware of all the laws and regulations that are associated with the purchase. For example, if your land has any water streams running through it, or if it’s located in a hunting area, you may not be aware of the restrictions that are in place. It’s important to do your research and to understand all the risks before you buy land so that you can make an informed decision. We advise contacting a property lawyer to analyze the obligations and rights that you have when you own the land.

Your land gets redeveloped by the local authority

There is also the risk that the municipality decides that your plot of land needs urbanization. This means that you will require to have water-supply networks, proper sewage systems, and road access to the land. This is a problem because you will have to pay for these infrastructures. If you are not aware of this problem, you could buy the land without knowing that these infrastructures will be your responsibility. This is frequently one of the most serious challenges you may have when purchasing real estate in Spain, since building costs can be very expensive, forcing you to sell the property.

Not obtain building permits or planning permission

Obtaining a building permit in Spain can be a difficult process, as there are a number of bureaucratic hurdles you must overcome. One of the main problems is that the procedures and regulations for obtaining a permit can vary from one municipality to the next. In addition, the process can be lengthy, taking anywhere from several months to a year or more. There are also times when the permits are denied, often without any explanation. This can be frustrating for property owners who want to construct their homes or business according to their plans. It’s important to note that these problems are not unique to Spain, and often a property lawyer can advise you on how to best go through the process.

Ownership of the land after you have purchased it

One of the risks involved in buying land is the possibility of a dispute of ownership. This can happen when the land is not properly registered in the land registry, or if there are any discrepancies in the documentation. If this happens, it can be difficult to resolve the issue and you may end up in a legal battle over the land. It’s important to make sure that you have all the proper documentation and to register the land with the correct authorities so that there is no confusion about who owns the property.

Get help from a property lawyer

Get help from a professional when buying land

Buying land in Spain can be a complicated process, as there are a number of things you need to take into account. It’s important to do your research and understand all the risks before making any decisions. We advise contacting a property lawyer in Spain to help you navigate through the legalities involved in purchasing land. By being aware of the potential problems, you can make an informed decision about whether or not buying land in Spain is right for you.

The Cédula de habitabilidad or certificate of occupancy is an often overlooked but critically important form of documentation needed to live in any home within Spain. Contrary to popular belief, this certificate is necessary before moving into any home; otherwise, you may risk fines. The good news is, the Cédula de habitabilidad is relatively easy to obtain, and we’ll walk you through why it’s important, the different types available, when you’ll need it, and other essential information relevant to the process of obtaining it.

What is the Cedula de habitabilidad?

The certificate is an official document that confirms that a home meets the basic conditions to live in and is entirely legal in every respect. An authorized technical architect must inspect the property, ensuring that the building complies with a selection of sanitary, dimensional and safety requirements.

The Cédula de habitabilidad is necessary to connect basic utilities such as electricity, gas, and water. Generally, the certificate is valid for up to 10 years; however, this can vary depending on the type you’re applying for or where your property is within the country.

The Cédula de Habitabilidad is a document that assures that a particular home gathers all the minimum and necessary conditions of living. In the case of Barcelona, it uses Catalan law to determine this. It does not imply the legalization of the construction concerning its suitability for the use of the home or concerning urban regulations.

This document is, essentially, mandatory for every home, with the few exceptions that will mention in the following paragraphs. In other words, to live legally in a home, you will be required of this particular document. As mentioned before, consider that this is just an example of Catalan law (applicable to Barcelona). Depending on the law applicable to every particular territory in Spain, there might be differences. We can help you with more information on the particularities of this Cédula de Habitabilidad for your property. Contact one of our legal experts at SpainDesk.

Get help from property lawyers in Spain

The different types of Cedula de habitabilidad

There are three critical variations of this certificate that directly correspond with the property’s age or a particular stage of building. Logically, the law establishes stricter standards of enforceability for new homes. At the same time, the requirements for pre-existing dwellings, as of August 11, 1984, in the particular case of Barcelona, are more exiguous, as well as it establishes an intermediate regime for homes after August 11, 1984 and before the entry into force of the Decree that regulates the Cédula de Habitabilidad.

See the differences between the three primary forms of this document:

  • Cédula de habitabilidad de primera ocupación (certificate of first occupancy)

This type of Certificate of Habitability must be requested with all newly built homes. As previously mentioned, with newly built homes, the required conditions have been more modern and exigent, making it the most demanding type of certificate.

  • Cédula de habitabilidad de primera ocupación por rehabilitación.

This document refers to a home product or result of an intervention or rehabilitation process. It is necessary when there are renovations or reforms that can substantially modify the original setting of a home. This is the case, for example, of homes where there has been a redistribution of the original spaces.

  • Cédula de habitabilidad de segunda ocupación (renewal of occupancy certificate or second occupancy certificate)

This part is about an already built and previously inhabited home. It is the type of document that existing dwellings must request when the First Occupancy Certificate has expired. Essentially, it is more of a renewal of the initially granted certificate rather than a new one.

What information needs to be included in the application?

The requirements to process the documentation depends on the region. Next to this, the version of the certificate you need also will have an effect. The following information is crucial to include in any application:

  • Location: The address of the home in question.
  • Functional surface: Any surface that we can use or walk on within the interior of a home (floor space, built-in wardrobes, counter space, etc.).
  • Distribution: Which are any rooms or areas within the house.
  • Occupancy threshold: This is the maximum number of people who can legally be in the building simultaneously.
  • Identification: The identification should be from the authorized technician who conducted the inspection.

When is the Cédula de habitabilidad mandatory?

This documentation is required in virtually every situation involving a place of dwelling. While there are rare exceptions where this may not be considered mandatory, as a general rule, it’s safe to assume it’s completely necessary unless advised otherwise by a legal professional.

Let’s break down the four key scenarios where this certification would be required:

  • Renting an apartment or property

In any housing rental contract, it’s compulsory that the certificate be included in the documentation and provided to the new tenants. It’s important to note that a home without any Cédula de habitabilidad is not considered a home/place of dwelling and legally cannot be made available for residential use.

If you rent a home without this certification, there could be potential consequences for both parties involved. For example, the tenant will be unable to register for or connect basic utilities and services, and the government could subject the property owner to significant fines and legal hurdles. If you want to know more about renting out your property, we suggest you also read about rental income taxes in Spain.

  • Selling an apartment or property

If you’re involved in selling a home, you must obtain the Cédula de habitabilidad. There are very few circumstances where this may not be immediately required to process the transfer of ownership; however, without an explicit exemption, the seller could be subjected to high fines. The buyer may experience a range of difficulties in the future. We’ll identify the key exemptions from the certificate a little further down.

  • Requesting a mortgage.

For any mortgage or bank loan to be granted, there are several requirements that the person requesting the mortgage must meet. In Spain, it’s essential to have the Cédula de habitabilidad for your property. It’s important to remember that this certificate is necessary for the property in question to be considered a home legally. Hence, it’s impossible to discuss relevant mortgage or home loan rates without this documentation.

  • Living in a property

While there are several situations where people attempt to live in properties without the Cédula de habitabilidad, it is unlawful and puts them at risk of many complications. We’ve compiled the main consequences you may have when you live without the necessary certification.

  • Inability to register and set up basic utilities and services (such as water, gas, electricity, etc.)
  • Potential to be faced with a range of severe fines and penalties.
  • Inability to register for home insurance or apply for bank loans and mortgages.
  • Potential for eviction followed by limitation of access to public resources.

Exemptions from the Cédula de habitabilidad

There are very few circumstances where the certificate would not be considered mandatory. For example, if there was an agreement not to deliver the document in the sale of a pre-existing property, it could be for the following reasons:

  • The buyer may have plans to renovate or demolish the property.
  • The intended use of the property may differ from that of a home.
  • The certificate may be processed at a later date for a range of justified reasons. However, it will be necessary to present the application for a registered occupancy certificate. This will prove that the housing conditions are optimal for obtaining the certificate.

Remember, this is only an example applied to a sale of a property, but each case (renting, requesting a mortgage, etcetera) has got its different exemptions. If you are unsure about the exemptions that apply to your situation, it’s always best to consult with a real estate lawyer for clarity.

Who is responsible for the Cédula de habitabilidad?

In a rental property scenario, the Cédula de habitabilidad is the sole responsibility of the person who holds the property deed. They’ll be required to request it and pay for it.

In the sale of a property, the seller is generally expected to handle and pay for the certification process. However, in some situations, both parties may agree that it becomes the buyer’s responsibility to obtain the certificate.

What happens if I don’t have the certificate documentation?

Unfortunately, it can be relatively common to be sold a house or apartment without the Cedula de habitabilidad, which is often the case with uninformed buyers.

If you’re still going through purchasing a home, prioritize addressing the certification with the current owner to avoid any future complications.

When you cannot find your certificate or never received one, you can check with the Town Hall; they might provide a copy. If this proves unsuccessful, you’ll need to apply for a new one immediately and pay for the replacement.

Important processing information

  • How much does the Cédula de habitabilidad cost?

The overall cost of the certification can change based on the situation. However, two key things to consider are the standard rate to be paid to the local town council for processing the application and the architect’s fee for the inspection.

For example, the current cost of applying for the certificate in Barcelona is €42.60. This price is for the Cédula de Habitablidad de Primera Ocupación. However, this amount is subject to change based on the region you’re applying in, and the specific certificate you need.

  • How long does the application take to process?

On average, it may take a month or less to receive an official response on your certification status. However, the length of time for approval depends on the region of Spain you’ve made your submission.

If your situation urgently requires the Cédula de habitabilidad, a sealed request of the certificate may be sufficient instead of the physical documentation in many instances.

  • Can I get a duplicate of the certificate?

Absolutely! To request a duplicate of the certificate, you need to contact your local town hall with documentation proving you’re the legal owner of the home in question or nominate an authorized representative.

Please note that there is no need to process an additional application so long as the certificate is still considered legally valid for the property.

  • Is this certification the same in every region of Spain?

Depending on your location within the country, the application process, requirements, costs, timeframes, and more may vary. While the general process is mandatory in most regions, others like Aragón and Castilla la Mancha do not require it. In other areas, only the Cédula de habitabilidad de primera ocupación (certificate of the first occupancy) may be necessary. It can also happen that the Cedula de Habitalidad carries a different name in a region. In any case, it’s essential to review the legal requirements based on the region and consult with a legal professional if you’re unsure.

Buying, selling or renting a property in Spain is complicated and a little overwhelming at times. Our dedicated team of real estate and property lawyers at SpainDesk are available for guidance through the Spanish legal system. We can handle everything from registrations to advice on legal proceedings. Contact us today to book an appointment with one of our property specialists.

Get help from property lawyers in Spain

Disclaimer: Information on this page may be incomplete or outdated. Under no circumstances should the information listed be considered professional legal advice. We highly recommend seeking guidance from a legal expert if you lack extensive knowledge or experience dealing with any of the procedures outlined in these articles.

Spain is a popular holiday destination and with good reason. The country has some of the most stunning beaches in Europe, the weather is fantastic (mostly), and there’s plenty to do for both adults and kids. But if you’re thinking about buying your own holiday home in Spain, it is best to do your homework first. While buying a holiday home is similar to buying a property in Spain. This blog will discuss things specifically related to buying a holiday home.

Why buy a holiday home in Spain

Spain is an excellent destination for holiday home buyers, and the country has plenty to offer for both adults and children. But there are other reasons why you may want to invest in an apartment or villa in Spain.

  • The weather: The Mediterranean climate means that the summers (June to September) are hot and sunny, and winters (November – April) can be chilly with mild temperatures. In the summer, temperatures in Spain often go well over 30°C and can be as high as 45°C in July and August in inland areas.
  • The houses: There is an extensive range of options for buying a holiday home in Spain. Depending on your budget and preferences, you can opt for a townhouse, country house, apartment, or even a villa.
  • The price: The property market in Spain has fallen sharply since the crisis, so prices are very affordable compared to other places. For example, you can buy a luxury villa with a private pool for as little as € 250.000. There are also great opportunities for renovation works or plots of land for building your own holiday home.
  • The beach: There are numerous beautiful stretches of coast in Spain, from the Costa Brava to the Andalusia Coast. The shores have a lot to offer in activities, restaurants and shops.
  • The freedom: You can go to your holiday home at any time of year, and you don’t need to worry about finding transportation or fighting the crowds when you’re on holiday in Spain.
  • A Spanish Visa: When you buy property above € 500.000 you can get the Golden Visa Spain. This gives you access to the Schengen area.

Spanish Holiday Home

Get the help of a Property Lawyer in Spain

The downsides of buying a holiday home in Spain

Reasons to not buy a holiday home are:

  • The bureaucracy: Buying or selling a property is quite complicated in Spain.
  • The economy: There is still a great deal of uncertainty about the Spanish economy. However, this is slowly changing, and there are lots of positive signs, such as lower unemployment figures and an increase in foreign investment.
  • Insurance problems: It can be tricky to get an annual insurance policy for homes that are empty most of the time, so this needs to be considered.
  • Property taxes: For example, you need to pay municipal tax when you own a property in Spain, and failure to do so can result in huge fines and even jail time. Inform yourself about the tax laws in Spain before you buy!
  • Vacant homes: Many properties stand empty throughout the year. Unfortunately, this means that there is a risk of vandalism and theft. Next to this, Spain is not happy with empty homes and combating this with regulations.
  • Reliable agent: Make sure you use a reliable real estate agent with the required knowledge and expertise.
  • Property scams: Unfortunately, some fraudsters go to great lengths to scam holiday home buyers.

How to find the perfect location for your dream holiday house in Spain

Now you may be ready to buy a holiday home in Spain. You’ve read about the many reasons why it’s great to own a property there, but where should you start? Below are some ideas on how to find your dream location in Spain.

Consider the city:

Some people want to live near the beach, and others prefer the quiet countryside. If you’re unsure what you like, it can be a good idea to visit some cities first and decide if it’s really for you.

Consider what you want to do in your future holiday home:

Do you want to relax on the beach or by your private pool? Are you interested in history and culture? You can find accommodation for every type of holiday. Just make sure that you know what you like before looking for a location because this will make it much easier to choose.

Research the location and surrounding area at different times:

It’s difficult to get a good impression of an area if you visit it in high season when everything is hectic, busy and overcrowded. It would help if you also considered visiting the site at other times of the year (for example, spring or fall) to see how it looks like outside of tourist season. It can be surprising what you’ll find.

Look for a place that is close to an airport:

If you want to visit your holiday home with short travel times, this is something to keep in mind when looking for the ideal location. Just make sure you are not too close to an airport, because you do not want to hear planes all the time.

Pick a neighbourhood that has convenient amenities like restaurants and grocery stores:

The location of your future holiday home is essential because it directly affects the value and resale value. Research the area where you want to buy a vacation home in Spain. If there are not many amenities like restaurants and grocery stores, this might be something you need to consider before moving!

Consider the landscape:

Spain is a country with beautiful landscapes, so this should be one of the essential things you consider when looking for the perfect location. Mountains, hills, plains, beaches and historic towns are just some examples of what you can find in Spain. It depends on what type of holiday home experience you’re looking for!

Check out what people live nearby:

It’s also important to pay attention to the people who live in your neighbourhood. When looking for the ideal location, you don’t want to buy a holiday home near noisy or rude neighbours, so keep that in mind.

How do I find a property to buy in Spain:

There are a couple of ways to find your ideal property. In general, visit the area you want to purchase in, search online through listings, or hire an estate agent.

Visit the area:

Although it isn’t the most efficient way to look for a property, you can visit the area and go from place to place. That way, you’ll get an excellent overall impression of what is available. Just make sure that you have a plan before going on your search, and this will make things much easier!

Search through listings online:

There are a lot of great websites that can provide you with information on properties for sale. You’ll find lots of information and pictures, which will help you make your decision. The most important thing is to know what you’re looking for and not be afraid to ask questions! It’s much easier to find the perfect place if you have all the information. Examples of real estate sites are,, and

Hire an estate agent:

If there aren’t many listings in the area you want to buy a property, hiring an estate agent can be a good idea. They know their way around, and they’ll find the perfect place for you. Don’t hesitate to ask them; they should always provide honest feedback!

From our experience, it is best to hire an estate agent in combination with a lawyer to find a property when you don’t speak the language. The estate agent will help you find the property, while the independent lawyer will protect you. The savings you make by having insiders will be more than covered by the risk of the extra cost involved in making the purchase.

Holiday home in Spain

Hiring a property lawyer when a Spanish holiday home

When you are buying a holiday home in Spain, it is recommended to get a Spanish property lawyer involved. It is important to find a lawyer that speaks your language and has experience in the region where you want to buy. This way, there won’t be any unexpected problems or issues! It’s also best to make sure the lawyer is independent; you don’t want them to represent the owner. The lawyer can do a large variety of tasks for you, including:

  • Negotiating the price and terms with the owner means that they will try to lower the cost and/or include services in the contract.
  • Making sure all legal documents are in order: This is more complicated than it sounds. Basically, an estate agent or lawyer will make sure everything is according to Spanish law. If there are any irregularities in the contract, they will let you know about it.
  • Inspect the property: The lawyer also ensures that everything is in order and that there aren’t any hidden costs or problems with the building. This is a crucial step! Don’t think twice about spending a bit more to do this part properly.
  • Arrange the payment: The lawyer should make sure that all payments are made according to the contract and that you have proof of this. This prevents any misunderstandings or disagreements later on.
  • Inspections during your holiday homeownership: In some cases, it is also necessary for a lawyer to inspect the property from time to time. This is mainly the case if you have problems with the building, for example, if it needs maintenance work. However, this is only necessary in some exceptional cases and mostly depends on your contract and what you agree upon.

It’s always best to be careful when buying a property in another country! Make sure that you know all about the property and that everything is done according to the law. We also have a blog about property lawyer services for UK citizens.

What type of holiday home properties are there in Spain?

Many different regions of Spain have their unique character and charm, and they range from the mountains of the Pyrenees to the sunny beaches along the Costa del Sol. You can find a lot of different types of property, depending on what kind of holiday home experience you’re looking for. A few examples are:

  • Beach properties: If your idea of a perfect holiday is laying under an umbrella on some beautiful white sand, then buying a beach house is the way to go. Many people like to buy holiday homes in Spain due to the fantastic beaches and warm climate.
  • Mountain properties: Are you more into hiking and mountain biking? Then this might be what you’re looking for! Mountains are truly iconic in Spain, and there are plenty of opportunities for you to explore.
  • Town/city properties: Many lovely historic towns are perfect for a quiet getaway. The excellent public transportation system makes it easy to visit things like museums and art galleries without having to use your own car.

Beaches in Spain

What should you look out for when buying a property abroad?

Although it can be very exciting to buy a holiday home in Spain, there are certain things you should consider beforehand. Here are some of the most important ones:

  • Language barriers: The language barrier can make it difficult to communicate with people you’re not familiar with. If this is something that concerns you, make sure the estate agents or lawyer you’re working with speak your language. Otherwise, you might want to make sure that someone in your family or a friend speaks the language and can help out in case of an emergency.
  • Legal issues: Buying a property abroad is similar to buying one in Spain, but there are also some important differences. Make sure always to ask your lawyer or estate agent what you should be aware of. If they don’t seem to know the answer, it might be best to hire someone else.
  • Insurance: Having a Spanish holiday home can provide you with great memories for many years to come, but there are some additional costs involved as well. Holiday homes can be easily exposed to bad weather, thief’s, and utility issues. That is why it’s essential to make sure your property is insured, and this will protect you in case anything happens.

The Spanish property market is strong and offers good rental opportunities

The Spanish property market is becoming stronger every year. One of the main reasons is the tourism boom throughout Spain. The country has become a popular holiday destination, which has led to more demand for properties. On top of that, prices are rising as well!

There are many different things you can do with your Spanish property after making the purchase. You can choose to live in it yourself or rent it out. If you choose to live on your property, you will be able to enjoy all the comforts of home while on holiday.

If you decide to rent it out, there are many different ways to do this as well! You can put the house on AirBnB or similar websites, and it will be rented out to tourists immediately. Or, you can go with an ordinary tenant and rent the property through an estate agency, for example.

Spanish Rental income tax

When you rent out your holiday home, you will pay income tax (IRPF). Make sure you know the ins and outs when it comes to rental income tax in Spain when you plan on renting out your holiday home.

Holiday house in Spain

Popular locations for buying a holiday home in Spain

Many foreigners like to buy a holiday home in popular tourist locations such as:

Costa del Sol: The coastal region is famous for its fantastic weather and beaches. Costa del Sol has become one of the most popular holiday destinations for people all over Europe, which means there’s lots of demand for properties! Although it can be difficult to find affordability, many opportunities are available.

Costa Tropical: The Costa Tropical is between the Sierra Nevada mountains and the Mediterranean Sea. It’s a trendy holiday destination for Europeans during spring and autumn because of its great weather and affordability. There aren’t as many property options here as on the coast, but you can still find some fantastic deals.

Costa Blanca: Costa Blanca is a popular destination for holiday home buyers from the UK and Ireland. This area has a fantastic climate, lots of coastline, and many beaches. It’s challenging to find affordability here due to high demand from tourists, but there are still some great deals to be found!

Galicia: Galicia is a dream location for nature lovers and people who love fishing. It’s one of the best places in Europe to fish and is perfect for people who enjoy sailing. Although it can be difficult to get around, it’s a truly special place.

Andalucia: In Andalucia, you will find some of the most culturally-rich cities in the world. This region is what you might call a hidden gem in southern Spain, which means it’s becoming more and more popular with holiday home buyers across Europe! It also has great weather throughout the year, especially in places like Almeria and Malaga.

Catalonia: Catalonia is located to the north of Spain and is home to the city of Barcelona. This region is excellent for people looking for an affordable holiday home near a famous European city. Although it has become more expensive over recent years, you can still find some bargains if you’re willing to look around!

Sierra Nevada: Sierra Nevada is another hidden gem that’s located in the southeast of Spain. It offers breathtaking views and is home to one of Europe’s highest peaks, the Mulhacen (the third-largest in the Iberian peninsula). This area has a fantastic climate, and if you’re looking for affordability, this might be right for you!

Balearic Islands: The Balearic Islands are famous for their fantastic weather, beaches, and warm water. They’re most popular with holiday home buyers from the UK and Ireland because of their popularity among British tourists. Due to high demand, there aren’t many places where you can find affordability in this region. Cities you can find there are Ibiza, Mallorca and Menorca.

The Canary Islands: The Canary Islands are located off the coast of Morocco and are popular among Europeans who like to escape to warmer climates during the winter. The best time to buy in the Canary Islands is when you’re ready for somewhere new in your life because they’re not always very affordable!

There are many different regions to choose from when you want to buy a holiday home in Spain. The most popular regions are Costa Blanca, Costa del Sol, Costa Tropical, Andalucía and the Balearic Islands.

Holiday Property in Spain

What are the costs associated with buying a holiday home in Spain

The costs will depend on several things, including your budget and the area you want to buy in. Costs can include notary fees, registration fees, transfer taxes, exchange rate expenses, and stamp duty.

The average cost of buying a holiday home is around 10% – 15% of the purchase price. This means that if you’re buying an apartment for 200,000€, then your expenses will be at least 20,000€.

Why you should consider purchasing off-plan properties for sale in Spain

Most properties for sale in Spain are second-hand, with only a small percentage being newly built. This means that you can purchase a home at a much lower price than if it were to be made today.

Moreover, most new-builds are built-in popular coastal areas, which means they’re costly. You can save thousands of Euros by purchasing off-plan properties for sale in less exclusive regions. However there are many legalities and pitfalls involved when buying an off-plan property, so, it is best to get a lawyer involved.

Get the help of a Property Lawyer in Spain

Disclaimer: Information on this page may be incomplete or outdated. Under no circumstances should the information listed be considered professional legal advice. We highly recommend seeking guidance from a legal expert if you lack extensive knowledge or experience dealing with any of the procedures outlined in these articles.

Whenever a new building is constructed in Spain, a series of administrative procedures and requirements must be followed, which are crucial to ensure the property is considered legal. The Declaration of a New Construction or the Declaracion de Obra Nueva is one of these key procedures. Our property lawyers can guide you through the whole procedure, below are the most important aspects.

What is the Declaracion de Obra Nueva?

The declaration of new construction is a legal document that contains all of the changes that have been carried out in a property, like the construction of a new building. This information is necessary to be documented in the Spanish property registry.

The deed can be written up before the construction has even finished, which tends to be the case for many development projects where investors want access to important information and plans before financing the project.

There are three main forms of this declaration, all of which need to be signed by a notary:

  1. Obra Nueva Antigua
    This particular form of “declaración de obra nueva” declares an edification, for instance a building, that was made years prior, with or without a license.
  2. Obra Nueva de Rehabilitación
    When updating a building that has already been built but that over the years has become obsolete or unusable.
  3. Obra Nueva in a proper sense
    There are two types, both of which will be the main focus of this blog. This will declare a new recent building or one which is being executed at the moment:

    1. Obra Nueva Terminada
      This is for when the building construction has already been completed.
    2. Obra Nueva en Construcción
      This version is for ongoing construction; however, the owner will need to submit a certificate from the architect to a notary once the construction is finalized.

What documents are needed?

In order to get a notary to sign this deed,a few different documents are required. Take into consideration that this is a global overview of the requirements, and that the documents listed below may not be needed for every form of Declaración de Obra Nueva (it is mainly focused on the Declaración de Obra Nueva Terminada).

  1. Building License from the Town Hall
    This license authorizes the work to be completed based on the building project prepared by your architect. In situations where the owner wants to legalize an old construction, it will also be necessary to establish the age through any of the following documentation: a certificate from the Town Hall, a certificate from a qualified technician/architect, or a notary declaration of the property.
  2. Ten-year Warranty Insurance (Seguro Decenal)
    It’s required for all new residential buildings to obtain this insurance to primarily cover any potential structural damages. However, exceptions can be made if the owner of the property intends on living there themselves.
  3. License of First Occupation (Licencia de Primera Ocupación)
    This is a license issued by the Town Hall, confirming that the construction has been built in accordance with the initial building project presented.
  4. Certificate of Energy Efficiency
    This certificate outlines the key information regarding the energy efficiency of the building. A qualified technician is required to issue this, and it’ll be considered valid for ten years.
  5. Final Works License (Licencia o Certificado Final de Obra)
    This certificate needs to be issued by a qualified technician or architect and essentially confirms that the construction has been completed in accordance with the initial building project. In some instances where the work is ongoing and this license is not yet applicable, the technician or architect needs to issue a certificate describing the works compared to the building project.
  6. The ‘Book’ of the building
    If you intend to sell your property upon completion, you’ll also be required to deposit the Building Book into the Property Registry. This is a detailed description of the entire building and all its functionalities.
  7. Identification of the occupied land portion through its geographic referencing coordinates

What’s the procedure?

Once you’ve obtained all of these documents and completed all the requirements, the next step is to bring them to a notary who will prepare the declaration and sign it in the form of a public deed. This is the official process of the Declaración de Obra Nueva.

The document will essentially declare that there is a residential construction to be built over a pre-existing plot. Once this signature is complete, you’ll then need to take these documents to the Land Registry to finalize a few other land and property details and ensure everything is officially legal.

When is the Declaracion de Obra Nueva needed?

A declaration of new construction is required in the following instances:

  • To declare a new construction is being built over an existing plot/land.
  • To declare an old construction that was previously built over a pre-existing plot/land. This is for houses or structures which were never recorded before.
  • To declare a new extension of a construction over a pre-existing plot/land. This is for homes constructing an additional room or a new floor.
  • To declare a previously built extension of a pre-existing plot/land.
  • To declare both old and new constructions, such as a garage, porch, pool, barbecue area, parking space/covering, etc.

What are the fees?

There are several fees and taxes associated with the process of obtaining the Declaracion de Obra Nueva. Some of the main ones include:

  • The notary fees to prepare the deeds.
  • Land registry fees to inscribe the Declaracion de Obra Nueva in the legal inscription of the land.
  • The Stamp Duty: This is 1’5% of the evaluation of the property.
  • Architect/technician fees and form submission taxes, amongst others, should be considered when budgeting for this process.
  • Additional costs related to legal advice from your lawyer/legal team that will make the optimal and easiest process for you.

It’s important to note that this entire process must be completed prior to applying for a mortgage. This is purely because the bank will be unable to value the property until it legally exists and they have an understanding of the size and other essential details.

Assistance with the Declaracion de Obra Nueva

If you need legal guidance or assistance through the complicated process of obtaining a Declaration of a New Construction deed, then don’t hesitate to get in touch with us. Our team of qualified real estate lawyers at SpainDesk have a wealth of experience handling the documentation associated with this procedure. Contact us today for a consultation.

Brexit is not a barrier for UK residents looking to buy real estate in Spain. However, the legal environment regarding investing in Spain after Brexit has, without a doubt, changed. Let’s discuss the ins and outs of buying real estate in Spain after Brexit, including legalities, pitfalls to avoid, costs and the process itself.

Moving to Spain in 2021

Owning a home in Spain is a dream for many, and the EU nation makes a perfect location for real estate investors. After Brexit, British tourists, including those with holiday homes and other real estate in Spain, can no longer visit and leave as they please. They can only stay in the country for a total of 90 days in any 180 days, after which they need a visa in case they wish to stay longer.

Post-Brexit, UK nationals are required to apply for a visa to show that they have the right to reside and work in Spain. You don’t need to be a resident to purchase a property. However, on a practical level, you need a bank account, and for that, you must have a permanent address and thus a visa.

For British nationals seeking employment when they move to Spain, you can expect a working visa procedure for Spanish looking to work in the UK. As much as UK nationals cannot work in Spain without a work permit, they can own real estate.

If you are a retiree looking to move to Spain, the visa process is simple. Similarly, it is straightforward for those looking to retire in Spain who don’t need to work.

When it comes to property prices, initial prices for real estate are expected to become costlier for British nationals. Also, investors can expect limited mortgage availability.

Get the help of a Property Lawyer in Spain

Applying for Spanish Residency

Many British nationals who moved to Spain before Brexit have to apply for a permanent Spanish residence to legitimize their stay. Consequently, you cannot arrive in Spain as a tourist and apply for Spanish residency (unless you apply for the Golden visa). British citizens outside Spain who wish to apply for residency have to do so through the Spanish consulate in the UK.

As non-EU citizens, British citizens who wish to purchase real estate are permitted to apply for Spanish Golden Visa residency from 1 January 2021. More investors are taking advantage of the Golden Visa route to Spanish residency. SpainDesk offers valuable advice regarding applying for Spanish residency from the UK and can outline the full procedure you need to go through.

Conditions for Spanish Golden Visa

Upon getting a Golden Visa, you and your immediate family members are given residence permits that can be renewed indefinitely, provided you maintain the investment. One of the best ways to acquire a Spanish Golden Visa is by buying real estate. However, you must purchase property worth at least €500,000.

Alternatively, investing in shares in a Spanish company or bank deposits of at least €1 million makes you eligible for Spain Golden Visa. A third option is investing in Spanish public debt (at least €2 million). One of the profound benefits of the Spanish Golden Visa is that there is no minimum stay requirement. Also, you can apply for permanent residence in five years and citizenship and an EU passport in ten years.

Relevant documents when buying property in Spain

British nationals seeking to buy properties in Spain should bear in mind that the entire process can be quite lengthy and time-consuming. During the application, you are expected to present several documents including documents with the details of the property they intend to purchase.

Also, British nationals are required to provide information regarding the present owner of the property, for example, their personal information. As is the case with many other countries, the real estate buyer must present his personal history, current residence, and means of income.

Are you looking to buy real estate in Spain?

When buying real estate in Spain, we highly recommend doing your own research on your chosen market or getting an expert involved. In general, British nationals seeking to buy real estate in Spain after Brexit should hire the services of experts that are well-grounded in the existing laws. The importance of sound legal and tax advice cannot be overstated.

At SpainDesk, we are here to support you every step of the way and connect you to reputable estate agencies and developers. Also, we will help you navigate the often complex channel of paperwork and utmost due diligence.

Disclaimer: Information on this page may be incomplete or outdated. Under no circumstances should the information listed be considered professional legal advice. We highly recommend seeking guidance from a legal expert if you lack extensive knowledge or experience dealing with any of the procedures outlined in these articles.

Get the help of a Property Lawyer in Spain

Are you a UK citizen looking for a Spanish property lawyer? Our team of Spanish property lawyers is ready to help you. We offer expert legal advice to UK citizens that want to buy or sell property in Spain. We understand the Spanish legal system and are experts in the Spanish conveyancing process. If you need anything done related to buying property or selling property, then read more information on how we can help you below.

How can we help as your property lawyer?

Our Spanish property lawyers deal specifically with regulations related to Spanish property. They are experts on Spanish law related to Spanish property and can help foreigners with a variety of tasks related to property in Spain. They give advice and manage legal matters on behalf of UK citizens on topics such as:

Our solicitors stand for due diligence, professional advice, typical costs, and excellent client relation. You can get complete guidance from our highly qualified and well-trained property lawyers.

Spanish property lawyers for buying property

The process of buying property in Spain

Below we discuss aspects of buying property in Spain.

Why do UK citizens buy property in Spain?

Buying property is very popular for UK citizens. They use Spanish property mainly as holiday homes. It can also provide a good

Spain offers a wonderful climate, lovely coastlines, amazing mountains. Spanish property is also very cheap compared to prices in the UK. As Spain’s economy is doing well, you can expect a greater return on investment when purchasing a Spanish property.

How to buy property in Spain

Various things need to be taken into consideration when planning to buy property in Spain. You will need to

Specialist in Spanish property buying

Our property lawyers deal with a wide range of issues. There are a lot of pitfalls when buying property but also scams when trying to sell the property. Sometimes more complex transactions, such as business transactions, contractual buying, or off-plan buying require specialised legal knowledge. In this case, we can also be your competent specialist. These are standard issues but also specialised ones.

Spanish lawyer for properties for UK citizen

The process of buying a home in Spain

We’ll cover the legal steps and themes we can help you with below. Through a Power of Attorney, we can help you with the full process of buying and settling in Spain.

Steps for buying property in Spain

You will need to go through a legal process when buying Spanish property. Below are the general steps our Spanish Property lawyers will guide you through

  1. Agreeing on the preliminary sale contract
  2. Signing the initial sale contract
  3. The Notary public office and registration with the Spanish land registry (Registro de la Propiedad) or with a local council is a private purchase.
  4. Exchange of mutual acceptance deed at Spanish notary public office for valuation and stamp duty
  5. Registration of deed at Spanish land register (Registro de la Propiedad) and pay registration tax (Impuesto de Transmisiones Patrimoniales y Actos Jurídicos Documentados)
  6. If the sale involves a mortgage, request your bank to issue your loan.
  7. Transfer funds from your account to the seller through a certified cheque or bank draft as full payment of the purchase.
  8. Settlement of the sale at a Spanish notary public office and pay registration tax (Impuesto de Transmisiones Patrimoniales y Actos Jurídicos Documentados)
  9. Exchange of keys

Secondary services

Next to the property

  • That the property is registered correctly in your name
  • If there are any third-party debts on the property to be paid from the sale proceeds.
  • Correctly registration in the Spanish tax system
  • That you have a NIE number (Número de Identificación Extranjera), and if not, we will get this for you
  • Our Spanish property lawyers will also assist you with any additional duties you require by the Spanish authorities.
  • Check if the property is registered properly
  • Make sure to speak with the right broker involved
  • Check if the broker did everything according to the Spanish property law
  • Checking if no fraud is taking place from the seller
  • Make sure you will deliver the home without any defects

Next to this, we can also take care of

  • Immigration matters, such as the Visa or a Golden Visa
  • Setting up a bank account
  • Getting valuations and surveys done
  • Arranging the transfer of utility billing
  • Arranging a property inspection

The process of selling property in Spain

If you are thinking of selling property in Spain, there are other factors to take into consideration, such as:

Our tax lawyers can assist you if you look for professional tax advice. We offer a simple and effective service to handle all your legal matters related to Spain property, including the documentation of selling.

Spanish property

Spanish estate agent vs Spanish property lawyer

In Spain, estate agents and property lawyers work together, and it is wise to get involved with both when buying or selling property. Our lawyers are not directly involved in the sale itself, but they serve as an intermediary between an estate agent and buyer or sellers. Unlike in the UK, estate agents don’t deal with legal matters. This way, buyers do not only deal with an effective estate agent but also need a reliable Spanish lawyer on their side that can provide all the legal services they need.

How can our property lawyers in Spain help you?

The main task of SpainDesk’s property lawyers is to provide detailed advice and full legal support within the Spanish real estate market. We protect your interests and your property from fraud and legal issues, and we assist in the preparation of all documents and help to provide a completely legal transaction.

Use SpainDesk when buying or selling a home or renting it out. We make sure the transaction is smooth and defend your rights. Buying, selling and renting can be best accomplished with Spanish property lawyers on your side. Reach out to us via the contact form, and one of our lawyers will contact you.

UK citizens buying property

Why hire our service?

SpainDesk’s team of Spanish property lawyers offers clients a high service standard. We have more than ten years of experience, and we can provide personal advice that caters to your needs. Our services are:

  • Straightforward, easy & transparent
  • Expert advisors to take care of your best interests in Spain
  • Friendly, professional service in English or Spanish
  • Experienced property lawyers that understand the laws entirely and work quickly
  • No cost for an initial consultation
  • Quality guaranteed

Advice in your language

Our lawyers in Spain speak fluently Spanish and English. This is needed because there is a language barrier when buying property in Spain between foreign purchasers and sellers. The experience of our lawyers in Spanish and English assures a smooth process.

Spanish Property Lawyers UK

A word from SpainDesk

When you use a lawyer, you ensure all procedures are carried out correctly. The Spanish legal system is different from the UK. The conveyancing process entails that the buyer and seller almost always need to deal with an expert in Spanish property lawyers. It will help you to avoid delays, additional fees, or getting in trouble with Spanish law. We offer a complete range of these services related to buying and selling property in Spain. Contact SpainDesk’s team of Spanish property lawyers today and get more information on how we can help you. With our expert advice, you will be able to make the right decision when buying or selling property in Spain.

At SpainDesk, you can get legal advice on legal matters relating to all types of complaints, litigation in court, and civil law in Spain. One of our legal specialisations is in real estate in Spain. Purchasing real estate in Spain and renting it out can be a lucrative business. However, sometimes you might face legal obstacles in Spain. This can be a challenge if you don’t speak the language fluently and don’t know the law. SpainDesk is here to help. Our real estate lawyers and specialists are here to consult with you in English.

We offer legal advice for people that want to invest in real estate

SpainDesk has established lawyers and specialists that can help you with your real estate matters. This way you can securely buy and take your focus elsewhere. Services we offer are:

Company formation in Spain

Desire to have your own company in Spain or want to extend your existing company? Get help from SpainDesk lawyers and get your company formed quickly. We help to find the right solutions for your business project, for instance:

  1. Choice: We give an option for the legal structure of your new business or subsidiary.
  2. The establishment office: We help to obtain potential permits and negotiation of the lease agreement.
  3. Creation of your company: We prepare the power of attorney, your NIE number application, the company’s VAT number, and the deed of incorporation.

Real estate purchasing and renting in Spain

The real estate market in Spain involves certain risks that you need to avoid. Our professionals can offer legal advice so you dream of an apartment or want to buy an office building for your new business. We give the following guidance:

  1. Reserve contract: sometimes the seller hides unpleasant financial consequences inside of the contract. Contact SpainDesk before signing any contract, so we can advise you and you don’t miss anything.
  2. Rental contract: the rental of your second home will have tax implications. For example, you could be considered a non-resident. before renting out.

Consult our real estate team in Spain, we can deal on your behalf

Investing in property in Spain is a dream of many foreign investors. The country has a lot to offer. Our team can help you make that dream come true. We can take care of everything and make you reach full compliance with the Spanish tax legislation.

Other benefits at SpainDesk include:

  • Advice for choosing your Spanish legal entity
  • Easy Spanish company formation
  • Safely purchase with legal guidance
  • Tax implications are taken care off
  • Accounting and administration services
  • Contractual advice for renting out
  • More services in finance, legal, and business

Get advice from experts that stay up to date with the latest real estate and tax legislation. We are here to help. Connect with us today.

Land registry in Spain

Our Spanish property lawyers will also guide you through the purchase of your property and can take care of many aspects such as registering such as properly registering your property.

Registration will be done at the Spanish land Registry. The Spanish land registry is a public and universal, national and autonomous institution of the State. Its purpose is to safeguard and keep records on property rights, including their modification and cancellation.

Average property prices in Spain

Property prices in Spain continued to grow over the last two years. The average price of a property in Spain was 127.000 euros compared to 125.000 euros in 2019, and 119.000 euros in 2018.

While property prices in Spain continued to grow over the last two years. The average growth rate (new dwellings + second-hand dwellings) decreased from 6.8% in 2018, to 5.1% in 2019, and 2.1% in 2020.

While real estate investment has not been as popular as it was during the rapid growth of Spain, there has been an increase in demand for real estate over the past few years.

Average property prices of new property in Spain

Property prices in Spain continued to grow over the last two years. The average price of a property in Spain was 137.000 euros compared to 129.000 euros in 2019, and 129.000 euros in 2018.

The average house price value of new property in Spain grew by 6.5% in 2020, compared to 7.3% in 2019, and 6.4% in 2018. This means that new houses in Spain are getting more and more popular among investors.

The value of new real estate has continued to rise, although at a slower rate than in prior years.

Average property prices of second-hand property in Spain

Property prices in Spain continued to grow over the last two years. The average price of a property in Spain was 126.000 euros compared to 124.000 euros in 2019, and 118.000 euros in 2018.

The average property prices of second-hand Spanish property grew by 1.4% in 2020 compared to 4.7% in 2019, and 6.8% in 2018. This means that property prices increased at a slower rate in 2020 than in 2019 and 2018.

The growth of prices of second-hand properties in Spain slowed down quite a bit. Which is something that you should keep in mind when doing your next property investment.

Reasons why people enjoy living in Spain

The Cost of Living – For many, the cost of living is a significant factor for choosing their next destination. Spain has become one of the most popular destinations in Europe thanks to its great weather, good infrastructure and relatively low cost of living.

Climate – Spanish weather isn’t too extreme with mild winters, warm summers and stable temperatures year-round. The climate also encourages outdoor activities which is another reason people enjoy living here.

Popular autonomous regions foreigners buy property in Spain

Among the most popular autonomous regions to buy property in Spain are Andalucia, Catalunia, Murcia, Canary Island, Valencia, Madrid, and the Balearic islands. Below we discuss the reasons why people are buying property in these locations, as well as the prices of these increases.

Property market in Andalucia

Property prices in Andalucia continued to grow over the last two years. The average price of a property in Spain was 120.000 euros compared to 117.000 euros in 2019, and 111.000 euros in 2018.

The average property prices grew by 2.3% in 2020 compared to 5.4% in 2019, and 5% in 2018. This means that property prices increased at a slower rate in 2020 than in 2019 and 2018.

Reasons why people are buying property in Andalucia

Andalucia is a popular place to buy property in Spain. Andalucia has many qualities to offer such as excellent climate, both in coastal towns and inland.

Almeria is located in the southeast part of Andalucía and has a very warm climate throughout the year. It is a popular city made up from a mix of traditions and modern culture.

In the west part of Andalucía, where it’s also sunny all year round, you can find Cádiz. This region has many historical monuments which will make it a great place to live. Parts of the Costa del Sol are also located in Andalucía, which is popular as a hot climate with around 300 days of sunshine per year. This area is popular among people who are looking for a good holiday home with lots to do throughout the year.

  • A near perfect climate that brings with it sun-drenched beaches and blue skies the majority of the time.
  • An affordable lifestyle yet with many comforts, especially in the south where property prices seem to be permanently fixed well below those in other regions of Spain.
  • Andalucia has a very attractive cultural life, with an abundance of festivals all year round.
  • The area offers many activities to occupy your time, be it water sports in the coastal areas or mountain sports in the Sierra Nevada range – excellent for hiking and climbing.
  • Alternatively simply enjoy Andalusian sherry or wine on one of the many terraces of the Alameda parks.

Property market in Cataluña

Property prices in Cataluna continued to grow over the last two years. The average price of a property in Spain in 2020 was 134.000 euros compared to 134.000 euros in 2019, and 128.000 euros in 2018.

The average property prices grew by 2.0% in 2020 compared to 5.2% in 2019, and 8.8% in 2018. This means that property prices increased at a slower rate in 2020 than in 2019 and 2018.

Reasons why people are buying property in Cataluña

Cataluña is another one of the most common places where foreigners buy property. Catalonia has a lot to offer with many different styles of homes and areas. There are several popular home buying regions in Catalonia that attract buyers from around the world, including Costa Brava.

There are many places in Cataluña you can buy property. Barcelona is one of the best places to buy property in Catalonia. Barcelona has many attractive things for people who want to live there.

  • Catalonia is a very safe place in Spain, especially in Barcelona where the crime rate is extremely low. The police presence is also high and the general public gives it that good vibe (Surveys show that citizens feel happy and proud of living in Barcelona).
  • Barcelona and its surrounding towns and villages offers an abundance of activities from outdoor activities to culture, art & cable cars to reach the mountain tops etc. There is also lots of nightlife with a large variety of places for whatever taste you might have (from glamourous clubs to bars and restaurants where people are at until midnight).
  • Barcelona is well-known for its markets especially La Boqueria where you can buy the best fresh produce and fish. Also, they have stylish shops in Barcelona’s old town with fashion designers’ boutiques, jewelers etc.
  • Catalonia has some of the best natural parks in Spain such as Montserrat, Aiguestortes, La Garrotxa etc. Next to this, Catalonia is a very “green” region where most people see it as their duty to recycle and they enjoy doing so.
  • Catalonia is one of the most open minded regions of Spain and people are very polite and friendly with foreigners, which you don’t find in certain places of the country.

Property market in Murcia

Property prices in Murcia continued to grow over the last two years. The average price of a property in Spain in 2020 was 114.000 euros compared to 111.000 euros in 2019, and 106.000 euros in 2018.

The average property prices grew by 3.1% in 2020 compared to 4.6% in 2019, and 3.4% in 2018. This means that property price increase remains stable in Murcia.

Reasons why people are buying property in Murcia

Murcia is located in the southeast of Spain. It’s a popular place to buy property because of its good climate and affordable prices. The most visited region in Murcia by foreigners is El Carpio de la Jara, with its 17th century palace and plenty of natural parks.

Murcia also has rural areas like Carboneras with beautiful beaches and lots to do outdoors.

Property market in Valencia

Property prices in Valencia continued to grow over the last two years. The average price of a property in Spain in 2020 was 114.000 euros compared to 111.000 euros in 2019, and 106.000 euros in 2018.

The average property prices grew by 2.2% in 2020 compared to 4.2% in 2019, and 4.1% in 2018. This means that property growth decreased in Valencia.

Reasons why people are buying property in Valencia

Valencia is an ideal place to buy property. The climate is warm all year round and the beaches are close by. There are many cultural activities that make it into a great place to live.

Valencia, located in the east of Spain, is an ideal place to buy property. The climate is warm all year round and the beaches are close by. There are many cultural activities that make it into a great place to live. Valentia offers many different types of real estate projects which will be perfect for different people.

Valencia is located in the east of Spain. It’s surrounded by mountains and has a strong agricultural economy, which makes it an ideal place to buy property.

The most visited region in Valencia by foreigners is La Marjal, with its low prices and beautiful green surroundings.

Property market in Madrid

Property prices in Valencia continued to grow over the last two years. The average price of a property in Spain in 2020 was 144.000 euros compared to 141.000 euros in 2019, and 133.000 euros in 2018.

The average property prices grew by 1.7% in 2020 compared to 5.9% in 2019, and 10.2% in 2018. This means that property growth decreased rapedly in Madrid.

Reasons why people are buying property in Madrid considered

Madrid is also a popular investment location, the prices has increased significantly. Madrid is one of the most interesting investment regions in Southern Europe.

The rental market is also very favourable, especially when compared to other markets in Europe where demand is extremely high. In addition, Madrid is a city with an excellent quality of life and offers all types of services.

A list of reasons for people to live in Madrid are:

  • Madrid is a large and dynamic city with many cultural, social and leisure activities.
  • It is a very safe city with one of the lowest crime rates in Europe.
  • The standard of living and life quality in general is very high.
  • Madrid is a city with a great international projection and a large concentration of multinationals.
  • The city has excellent infrastructure: transport, roads, telecommunications… Madrid also benefits from two airports (Barajas and Torrejon), several railway stations to connect the capital with the rest of Spain and Europe (AVE), as well as extensive road networks.
  • The academic offer is broad and varied: the city offers a university for each of its citizens, having more than 350,000 students. Furthermore, it has a network of public and private schools that guarantee education at all levels.

Property market in Canary Islands

Property prices in Canary Islands continued to grow over the last two years. The average price of a property in Spain in 2020 was 119.000 euros compared to 118.000 euros in 2019, and 113.000 euros in 2018.

The average property prices grew by 1.2% in 2020 compared to 3.8% in 2019, and 5.0% in 2018. This means that property growth decreased rapedly in Madrid.

Reasons why people are buying property in Canary Islands

If you would prefer to investing in beach-front property, the Canary Islands are a good choice. There is a variety of properties to choose from all with different names and prices.

The Canary Islands are situated in the Atlantic Ocean between Africa and Europe. This group of islands is made up by seven major islands, including La Palma, Tenerife, Gran Canaria, Fuerteventura, Lanzarote, La Gomera and El Hierro.

The region offers diverse climate climates that range from hot and dry to humid and wet. Buyers can choose between beach properties on the coast or mountain retreats inland. Popular cities on the canary islands

Buying property in the Balearic Islands

Property prices in Islas Baleares continued to grow over the last two years. The average price of a property in Spain in 2020 was 136.000 euros compared to 131.000 euros in 2019, and 123.000 euros in 2018.

The average property prices grew by 4.1% in 2020 compared to 6.0% in 2019, and 7.5% in 2018. This means that property decreased in the Balearic Islands, but not as fast as in other regions.

Reasons why people are buying property in Balearic Islands

If you would like to live in one of the most popular places for foreigners wanting to purchase property, the Balearic Islands is a good choice. But with all these choices, it can be hard to know which one is best for you. Palma de Mallorca offers a warmer climate and more affordable prices with a variety in homes in different areas of the city. Majorca has a mild climate year round and less expensive properties with beautiful views from terraces overlooking the bay. Ibiza is more expensive but offers an active clubbing scene along with beautiful beaches and various homes styles from contemporary to traditional Mediterranean style villas. Menorca is cheaper, but also has less varied options in housing.

Property buying a residency in Spain

Buying property in Spain by non-residents

Non-resident buyers need to present a bank letter of guarantee for the purchase price agreed with the seller. They also need to provide proof that they have sufficient funds available in the country’s banking system.

Buying property in Spain by residents

The process to buy your first home as a resident is quite straightforward. All that needs to be done is show up at the notary office with your NIE number and a few copies of your documentation. The requirements to buy a house in Spain are the following:

  • Proof of home ownership where you live, or evidence that it will be inherited soon.
  • Proof that you have sufficient funds available in the country’s banking system.

For non-residents renting out their primary residence: In the event of a rental contract, there are certain requirements you need to fulfill in order to be considered a non-resident. For instance, if the tax authorities find that you spend more than 183 days a year in Spain or more than six months a year on average, you will have to pay taxes on your property. These sanctions can be avoided by sending proof of your absence from the country during various periods of the year.

Rental income tax in Spain

Rental income is subject to a 30% tax rate in Spain. This can be reduced by claiming expenses, such as those incurred from the maintenance of the property.

The tax implications of Spanish property investment

In Spain, when you buy a property, you will have to pay a property tax. For instance, when buying a new property in Spain, the buyer has to pay 1% of the purchase price in stamp tax. Next to this, you will also have to pay VAT on these properties.

When you are buying a send hand property you will have to only pay ITP. The ITP rate depends on the region you are situated in.

Frequently asked questions

Below you can find some frequently asked questions on the Spanish property market.

Why should I use a company for my real estate investment in Spain?

Reasons why you should use a company to invest in Spanish property, numerous. First of all, it allows you to have certain tax benefits that regular individuals don’t usually enjoy. Secondly, it allows for more advanced legal structures. Finally, there are added benefits when you buy Spanish property through a company. For example, you can avoid having all the legal fees and taxes associated with acquiring property in your name.

What are the benefits of investing in property in Spain?

There are a few benefits that come with investing in the Spanish property market. Property brokers in Spain point out that most house prices in Spain are relatively low, especially when compared to other European countries.

What is the process for buying and renting out property in Spain

There are different procedures to follow, depending on who is the buyer and what type of property is desired. For instance, if you’re a foreign buyer and want to buy an apartment in Spain, there will be different requirements and difficulty levels than someone who is a Spanish citizen and wants to renovate their primary property.