Home Buying

Buying a property in Spain can be a very enriching affair, both financially and in terms of enhancing your happiness and quality of life. However, this will only be the case if you get the purchase right. Getting the purchase right means buying the right property for the right reasons and in the right way. It means approaching your purchase in a structured and organized fashion whilst understanding the purchase process in Spain.

Home Buying Process

Always choose an agent who can find the right property for you and who can give you guidelines during the exploratory talks with owners.

It is advisable to hire a lawyer in Spain who can advise and guide you from the start of the purchase process and who specializes in Spanish Land and Property Law.

GET YOUR NIE “Numero de identification de Extranjeros” and OPEN A BANK CCOUNT

It is a unique tax identification number in Spain for anyone who is not a Spanish citizen. You will need your own NIE number to purchase property and pay necessary taxes. 

You will need a Spanish bank account if you are planning to buy a property in Spain, or pay utilities, local taxes and mortgage payments. 



After you find a suitable property, the agent will complete a reservation contract with you. This is to reserve the property and take it off from the sales market. The amount can range depending on the property sales price. On Average € 5,000 to € 15,000.


Approximately within two weeks after signing the reservation contract, the private contract is signed between the buyer and the seller (or their legal representative). 

Normally you will pay 10% of the purchase price of the property.


The purchase will be officially completed after signing the deed of ownership at the notary office, paying the agreed price, and transferring ownership to the new owner.


After the deed of ownership has been signed, the notary will send a copy to the regional land registry. Your lawyer will also pay the transfer taxes in your name and register the title deed. They can also put the accounts for facilities of the local utilities such as water and electricity put on your name. 


There are three types of fees and two taxes involved in buying a property in Spain. As a rule of thumb, you can assume that the costs are about 11% o 14% of the purchase price.


The fee for the lawyer amounts to 1% of the purchase price, with a minimum wage of +/- € 1,500 plus IVA (VAT). Notary fees around 1% of the purchase price. Registration costs: To be on the safe side you should calculate 1% of the purchase price declared in the deeds.


When you are purchasing a resale property, you only pay the transfer tax. This tax amounts to 8% up to a purchase of 400,000, from 400,000 to 700,000, 9% and over this amount you pay 10% tax. 

When you are purchasing a new property, at present VAT (known as IVA in Spain) is 10% of the purchase price of residential properties (villa, apartment, etc), and 21% for commercial properties and plots of land. 

Please note, however, that this overview is not suitable for legal or fiscal advise from a qualified professional. When buying property in Spain always use an independent lawyer

Looking to Buy a Property in Southern Spain?

I look forward to working with you in the successful search and purchase of your home.