How to buy a property in Spain as a non-resident

Before you make an offer

Apply for your NIE, the identification number Spain assigns to foreign nationals. Ask your lawyer when you’ll need to show it, especially if you’ve already found a property. If you plan to borrow, speak to a lender early so you know what you can afford before agreeing to a deposit.

A Spanish bank account can make it easier to pay taxes and bills. Ask your lawyer how you’ll handle those payments if you prefer to use an account abroad.

From reservation to signing

1. Read the reservation terms. A reservation payment may take the property off the market for an agreed period. Check how long it lasts and when you can get the money back.
2. Have a lawyer check the property. Ask an independent Spanish lawyer to confirm who owns it and check for debts, missing licences and unpaid community fees.
3. Review the deposit contract. The contrato de arras sets out what you’re paying, when you’ll complete and what happens if either side withdraws. If the contract expressly allows either party to withdraw under the arras penitenciales arrangement, you can lose the deposit if you withdraw, and the seller can owe you twice the deposit if they withdraw. See Article 1454 of the Spanish Civil Code.
4. Work out what you’ll pay at completion. Ask your lawyer to confirm the purchase taxes, fees and payment deadlines. If the seller is a non-resident, the buyer generally has to withhold 3% of the price and pay it to the Spanish tax office.
5. Sign the deed at the notary. This is when the balance is normally paid. If you’re buying from abroad, ask about signing through a representative with a power of attorney.

After you sign

Arrange for the deed to be registered with the Land Registry and for the utilities and local property tax (IBI) records to be updated. Ask who will follow up with the Land Registry and send you the registered deed.

How much time to allow

The NIE appointment, the checks on the property and mortgage approval can all affect the timetable. Agree dates based on your own transaction before signing a contract with a completion deadline.

You can organise the purchase yourself. If you’d rather have one team keeping track of the next steps, TND can help you coordinate with your lawyer, lender and notary from the offer through to completion.