Buying property in Spain involves eight clear steps from offer to completion, typically taking 8–12 weeks for cash purchases or 12–16 weeks with a mortgage. This guide covers the exact process, including obtaining your NIE, signing the arras contract, the notary appointment, and what happens at the Land Registry, with specific costs and timelines at each stage.
16 April 2026
You've found your ideal Spanish property. Now comes the part that matters most: understanding exactly what happens between making an offer and receiving the keys. The Spanish property purchase process is structured, governed by regional law, and involves several mandatory steps — each with specific costs, documents, and consequences if not handled correctly. This guide walks you through the complete process from initial offer to registered ownership, with realistic timelines, exact costs by region, and the three biggest mistakes foreign buyers make at each stage. Whether you're buying a resale villa in Andalucía, a new-build apartment in Valencia, or an investment property in Madrid, the core steps remain the same — but the tax rates, timelines, and regional variations matter significantly.
You cannot buy property in Spain without a NIE (Número de Identificación de Extranjero). This is your tax identification number, required to open a bank account, sign contracts, pay taxes, and complete the notary process.
Three ways to obtain a NIE:
In Spain at a police station: Book a cita previa appointment online. Processing takes 1–3 weeks in Spain depending on location. Popular coastal areas like Marbella and Barcelona book up weeks in advance; smaller towns like Torrevieja offer faster appointments.
At a Spanish consulate abroad: Processing takes 2–4 weeks to 3 months depending on the country. The NIE is normally issued within three weeks at consulates but processing time varies.
Via a lawyer with power of attorney: Your Spanish lawyer can obtain your NIE on your behalf if you grant them notarised power of attorney. The power of attorney must be apostilled and may require sworn translation.
The official NIE application fee is €12 in 2026 (paid via Tasa 790 form). Power of attorney costs €50–€200 depending on your country, plus €50+ for sworn translation if required.
Documents required: Valid passport, completed form EX-15 (or EX-18 for EU citizens), proof of reason for NIE (property purchase agreement, mortgage contract, or letter from estate agency), and payment receipt.
Top mistake: Waiting until you've found a property to start the NIE process. Begin this 4–6 weeks before you start house-hunting.
Before signing anything or transferring any money, experienced buyers take three steps that many foreign buyers skip.
Visit the property in person. Online listings rarely tell the whole story. Visit at different times of day, check the neighbourhood, and assess the access roads. What looks ideal in photos can feel very different on the ground. Check the basics before engaging a lawyer. At the viewing stage you won't have access to official records, but ask the agent: Is the property vacant and free of occupants? Are there any known disputes? Is there a community of owners, and are the fees current? Are IBI property taxes paid up to date? Are there any outstanding debts to the community? These questions cost nothing and can save significant time.
Order a PropDue Legal Review. Once you have the property address and are seriously considering making an offer, PropDue retrieves the official Nota Simple from the Spanish Land Registry and delivers a plain-English analysis covering ownership status, registered debts, encumbrances, legal restrictions, and any issues that need resolving before you commit. This gives you an independent picture of the property's legal status before you sign the arras contract and hand over a 10% deposit. Discovering a problem after signing is expensive; discovering it before costs a fraction of that.
Consider hiring an independent lawyer. If you are unfamiliar with Spanish property law or have any doubts about the transaction, appointing your own independent Spanish property lawyer is strongly advisable — not the estate agent's lawyer, not the seller's lawyer. Your lawyer will conduct full due diligence, verify the Nota Simple, check planning permissions, confirm there are no illegal constructions, and represent your interests throughout the purchase. For most foreign buyers purchasing in an unfamiliar legal system, this is money well spent.
Once your offer is accepted, you'll sign a contrato de arras (deposit contract). The arras contract is a private legal agreement between buyer and seller that reserves the property and establishes the terms of the sale, including the final price, the deadline for signing, and the consequences of withdrawal. It typically involves the buyer paying a deposit — usually 10% of the property price — which is deducted from the final amount due at completion.
The three types of arras contracts:
Arras penitenciales (most common): Allow either party to withdraw from the agreement. The buyer forfeits the deposit if they withdraw, while the seller must return it and pay an equal amount as compensation (double the deposit). This is the most common form and serves as a financial deterrent while providing flexibility.
Arras confirmatorias: Simply confirm the buyer's intention to proceed. Unlike the other types, they are not intended as a penalty or withdrawal fee. These are considered an amount given on account of the final price; termination is not allowed.
Arras penales: Involve a deposit meant to penalise the party that breaches the agreement but do not allow either party to withdraw. The buyer would forfeit the deposit, while the seller would have to return the deposit and pay an equal amount, but the contract remains valid and binding.
What happens if someone withdraws:
Under arras penitenciales: If the buyer withdraws, they lose the deposit. If the seller withdraws, they must return double the amount of the deposit received. Crucially, it must be explicitly stated in the contract that parties have the right to withdraw under these conditions.
What the contract must contain:
Identity of the parties, description of the property, the sale price and deposit amount (3%–10% of price), the deadline for the final sale deed (generally 1–3 months), and the consequences in the event of non-compliance. The type of deposit contract must be specified: whether confirmatory, penal, or penitential. The contract should also specify who bears costs such as notary fees, land registry fees, and taxes.
Top mistake: Signing an arras contract without independent legal review. Always have your lawyer review the contract before you transfer any money — particularly to verify which type of arras it is and whether protective clauses exist.
Between signing the arras and completion at the notary, your lawyer conducts due diligence and you arrange financing if needed.
Your lawyer will verify:
Legal fees typically range from 1–2% of the purchase price plus VAT (21%).
If you need a mortgage:
Non-residents can typically borrow 60–70% LTV (loan-to-value), compared to up to 80% for residents. Spanish banks usually limit mortgage financing for non-residents to 60% of the property's purchase price. This means you need a 30–40% deposit plus an additional 10–13% for purchase costs.
Documents required: passport and NIE, employment contract and 3–6 payslips, 1–2 years of tax returns, 6–12 months bank statements, credit history (foreign credit report for non-residents), and property reservation agreement. All documents must be officially translated into Spanish.
Mortgage approval typically takes 4–8 weeks. Spanish banks usually offer mortgage terms of 20–25 years for non-residents.
Mortgage costs: Valuation (tasación) is mandatory: €300–€600. Opening fee: Some banks charge 0.5%–1% of capital loaned, though many 2026 products offer 0% opening fees. Under the 2019 mortgage law, banks now cover most notary and registry costs for the mortgage deed itself.
Top mistake: Assuming a 70% mortgage is guaranteed. Banks assess currency risk (if your income is in GBP/USD), debt-to-income ratio (typically requiring under 35%), and property type. Rural properties and fincas often receive lower LTV.
In Spain, all property purchases must be formalised before a notary public (notario), who prepares and witnesses the signing of the title deed. This is followed by registration at the Land Registry.
What happens at the notary:
The notary verifies the identities of all parties, reads the escritura pública (public deed of sale) aloud, confirms the purchase price and payment method, and witnesses the signatures. Both buyer and seller must attend (or send a representative with power of attorney). The notary is impartial — they do not represent either party.
Documents you'll need:
Notary fees are regulated by the Spanish government and range from €600 to €1,200 (approximately 0.2–0.5% of purchase price). All notaries charge identical rates for the same services. For a €100,000 property, expect around €850; for €400,000, approximately €1,000–€1,200.
What you pay on completion day:
The ITP (transfer tax) must be paid within 30 days of signing the title deed (escritura pública) at the notary. Your lawyer or gestor typically handles this payment on your behalf to the regional tax authority.
Top mistake: Not bringing sufficient funds on completion day. The notary will not proceed if payment cannot be evidenced. Arrange banker's drafts or confirmed transfers 3–5 days in advance.
The Impuesto de Transmisiones Patrimoniales (ITP) is the tax paid when purchasing a resale (second-hand) property in Spain. It's a regional tax, and each autonomous region applies its own rate. New-build properties pay 10% VAT (IVA) instead of ITP, plus stamp duty (AJD) of 0.5%–1.5% depending on region.
ITP rates by region (2026):
Madrid: 6% ITP, 0.75% AJD — among Spain's lowest. No Wealth Tax for residents, but non-residents still pay.
Andalusia: Flat 7% transfer tax (ITP) on resale property purchases.
Catalonia: High 10% ITP; 1.5% AJD. Low Wealth Tax threshold (€500,000).
Valencia: Currently 10% for properties up to €1,000,000 and 11% above that. From June 1, 2026, the general rate reduces to 9%. Under Ley 5/2025, ITP will fall from 10% to 9% from 1 June 2026. The 11% rate is maintained for property transfers exceeding €1,000,000.
Canary Islands: 6.5% ITP, 7% IGIC for new builds — lowest indirect taxes in Spain.
Murcia: 7.75% as of July 2025, reduced from 8%.
Basque Country & Navarre: Separate foral tax systems with more favourable rates.
Balearic Islands, Cantabria, Castilla y León, Castilla-La Mancha, Extremadura, Galicia, La Rioja, Asturias, Aragón: Rates range from 6%–10% with various progressive structures.
Worked example for a €300,000 resale property:
Valencia (until May 31, 2026): €300,000 × 10% = €30,000
Valencia (from June 1, 2026): €300,000 × 9% = €27,000
Madrid: €300,000 × 6% = €18,000
Andalusia: €300,000 × 7% = €21,000
Does nationality affect the ITP rate?
ITP is set by the region based on the property and transaction, not on your residency status. Non-residents generally pay the same rate as residents for the same property type.
The proposed 100% surcharge on non-EU buyers:
The Spanish government has proposed a 100% tax on property purchases by non-EU buyers, effectively doubling the purchase price for these foreign investors. The bill proposes a 100% surcharge on the Transfer Tax (ITP) for second-hand home purchases made by non-EU, non-resident individuals. This means buyers would effectively pay double the usual ITP, not double the full property price. The draft clarifies that the tax applies only to resale (second-hand) properties. New builds are excluded.
Despite the headlines the bill generated when announced, it still had not been debated by March 2026, parliamentary documents showed. The Socialist-led minority government relies on a patchwork of smaller parties and has found it increasingly hard to gain support for legislation. The proposal remains in draft form with no confirmed implementation date.
Land Registry registration:
Once signed at the notary, the deed must be inscribed in the local Land Registry. This fee is standardized and usually costs between €400 and €800. Registration confirms legal ownership and protects against third-party claims. The process takes 2–8 weeks depending on the registry's workload.
Total timeline breakdown:
Typical total timelines:
The entire process from offer to completion usually takes 2–3 months, though it can be faster for cash purchases or slower if financing is complex. In practice:
Cash purchases: 8–12 weeks from offer to keys Mortgage purchases: 12–16 weeks from offer to keys
The arras contract typically specifies 1–3 months to completion, giving you time to arrange financing and complete due diligence.
Top mistake: Underestimating how long mortgage approval takes for non-residents. UK buyers often assume 4 weeks; in Spain it's commonly 6–8 weeks, especially if documents need translation or your income is in a foreign currency.
Get the title, ownership, and public records checked before you commit.
Legal Review — €79