Buying Property in Spain as a Foreigner: Complete 2026 Guide (Costa del Sol)
Quick answer
Yes, any foreigner can buy property in Spain — resident or not, EU or non-EU — with no restrictions. All you need is an NIE (foreigner’s identification number), and an independent lawyer and a Spanish bank account are strongly recommended. Purchase costs run to around 12%–14% of the price (taxes, notary, registry and fees), the same for nationals and foreigners. You don’t need residency to buy, though buying doesn’t grant residency either. And on the much-discussed 100% tax on non-EU buyers: in 2026 it is only a proposal, not in force.
The Costa del Sol has been a favourite with international buyers for decades: British, German, Nordic and Russian-speaking buyers lead foreign demand. Buying here as a foreigner is simpler than many fear, but it pays to know the ground: which formalities you need, what it really costs, how financing works and the tax implications of being a non-resident owner. This guide brings the whole process together in one place, with links to our dedicated guides on taxes, mortgages and areas.
Can a foreigner buy property in Spain?
Yes, with no restriction based on nationality. Both EU citizens and non-EU nationals (for example, British buyers after Brexit, Swiss nationals or Russian-speaking buyers) can acquire property in Spain on the same terms as a Spaniard. There is no limit on the number of homes and no requirement to live in the country. The purchase is also full ownership: it is not a long-term lease or a concession.
The only thing the law requires of any foreigner in order to transact is to identify themselves for tax purposes with an NIE. From there, the process is practically identical to that of a national buyer, with a few nuances in financing and in the tax you pay afterwards, which we cover below.
The process step by step
Buying a property in Spain as a foreigner follows a clear path. These are the steps, in order:
- Get your NIE. You can apply at a Spanish consulate in your country or in Spain (in person or through a representative with power of attorney). It is essential in order to sign the purchase and pay taxes.
- Open a Spanish bank account. Not compulsory, but it makes payments easier (deposit, taxes, utilities) and is usually required if you take out a mortgage.
- Hire an independent lawyer. Separate from the seller and the agency. They will carry out due diligence: checking ownership, charges, licences, community debts and the planning situation.
- Reserve the property. With a reservation contract and a deposit, the property is taken off the market while the next steps are prepared.
- Sign the deposit contract (arras). Usually with 10% of the price. It sets the terms and the deadline; if the buyer pulls out they lose the deposit, and if the seller does they return it doubled.
- Complete due diligence. Your lawyer reviews the Land Registry extract (nota simple), the habitation certificate or first-occupation licence, the community payment status and the IBI (council tax).
- Sign the title deed before a notary. The balance of the price is paid, the notary certifies the sale and you receive the keys.
- Pay taxes and register at the Land Registry. The ITP or the VAT + AJD is settled and the property is registered in your name at the Land Registry.
- Switch utilities and set up your taxes. Water, electricity, community, IBI and, if you are non-resident, the annual IRNR.
From start to finish, a purchase without a mortgage can complete in 4 to 8 weeks; with financing, a little longer. For the general process, you can lean on our guide to buying property on the Costa del Sol.
What you need: NIE, bank account and lawyer
The NIE is your tax identifier as a foreigner and appears on every document in the transaction. The independent lawyer is the best investment you can make: they protect your purchase from hidden charges, planning problems or seller’s debts, and review every contract before you sign. The Spanish bank account speeds up payments and direct debits. Many foreign buyers who cannot travel grant power of attorney to their lawyer to obtain the NIE, open the account and even sign the deed on their behalf.
Taxes and purchase costs
Here is good news for the foreign buyer: the purchase taxes are the same as for a Spaniard. They depend on whether the property is new or resale, not on your nationality. In total, budget for 12%–14% of the price:
| Item | New build | Resale |
|---|---|---|
| Main tax | VAT 10% + AJD ~1.2% | ITP 7% (Andalusia) |
| Notary | Yes (by value) | Yes (by value) |
| Land Registry | Yes | Yes |
| Independent lawyer | ~1% + VAT (indicative) | ~1% + VAT (indicative) |
| Valuation (if mortgage) | Yes | Yes |
| Indicative total | ~12%–14% | ~12%–14% |
You will find the full, up-to-date breakdown in our guide to taxes when buying property in Andalusia.
Is it true that foreigners will pay a 100% tax?
It is the concern that most worries non-EU buyers, so let’s get to the point: it is a proposal, not a law, and in 2026 it is not in force. The government announced it in January 2025 and the PSOE registered it in Congress in May 2025 as a «State Complementary Tax on the Transfer of Real Estate to Non-EU Residents», but it has not been voted on or formally debated, and the government’s own January 2026 housing package left it off the agenda. The minority government does not have the support to pass it, and its constitutional and EU-law footing (free movement of capital) is heavily questioned.
Even so, it is worth knowing the detail in case it advances in future: it would affect only non-EU non-residents (residents and EU citizens would be outside it) and only resale property; new build bought from a developer would be exempt. In the meantime, foreign buyers continue to purchase under the usual rules. It is an evolving topic: we recommend verifying its status with official sources or your adviser before buying.
Financing: mortgages for non-residents
Spanish banks grant mortgages to foreign buyers, including non-residents. The main difference is the amount financed: while a resident can reach 80% of the value, a non-resident is usually financed at around 60%–70%, so you will need a larger deposit. The bank will assess your income, your record and the property valuation, and will ask for documentation from your country (often translated and apostilled). Compare offers and terms: there is a practical guide in how to get the perfect mortgage for your new home.
Do I need residency to buy? And does buying grant residency?
These are two separate questions with the same logic: buying and residing are independent processes. You do not need to be a resident to buy, and buying does not in itself grant a residence permit. The former residency-by-investment route through property was ended in April 2025, so today ownership does not open the door to residency. If you want to spend long periods here, non-EU nationals often consider other routes, such as the remote-work (digital nomad) visa or the non-lucrative visa; it is best to take advice for your situation. For day-to-day life, you may find the cost of living on the Costa del Sol in 2026 and why more and more Europeans are moving to the Costa del Sol useful.
Taxes after buying: the non-resident owner
The biggest difference from being a foreigner does not appear at purchase, but afterwards. If you are not tax-resident in Spain, you will pay the Non-Resident Income Tax (IRNR) each year via form 210 (modelo 210), even if you don’t let the property: the tax authority calculates an «imputed income» for having it at your disposal. This table summarises the key differences:
| Buyer’s situation | At purchase | Each year (IRNR) |
|---|---|---|
| Tax-resident in Spain | Same taxes (ITP or VAT+AJD) | IRNR does not apply; taxed under IRPF |
| Non-resident — EU / EEA | Same taxes | IRNR at 19% on real or imputed income |
| Non-resident — non-EU | Same taxes | IRNR at 24% on real or imputed income |
If you also plan to let the property short-term, first check the tourist-letting rules (the regional VFT licence, the registration requirements in force and the homeowners’ association rules). Non-resident taxation makes a local tax adviser strongly recommended.
Common mistakes foreign buyers make
- Not hiring an independent lawyer. Relying only on the seller or an agency is the costliest mistake; due diligence avoids surprises.
- Underestimating the costs. The price is not the total cost: set aside that extra 12%–14% from the start.
- Forgetting the IRNR. Many non-residents don’t realise they must file every year even if they don’t let the property; sort it out from the first tax year.
- Being swayed by headlines. The «100% tax» caused panic, but it is not in force; decide with facts, not media noise.
- Not planning the currency exchange. If your income is not in euros, the exchange rate can move the real cost by thousands; plan for it.
Buying on the Costa del Sol from abroad?
Ask SolProp for a property shortlist based on your budget and your residency situation, and we’ll guide you through the whole process: NIE, lawyer, financing and non-resident taxation. We speak your language and know the international buyer inside out.
📞 +34 602 533 731 · ✉️ info@solprop.es · Calle Miguel de Cervantes 24, Fuengirola (Málaga)
Frequently asked questions
Can a foreigner buy a home in Spain without being a resident?
Yes. Any foreigner, whether or not they live in Spain and whether or not they are an EU citizen, can buy a property with no restrictions and full ownership rights. You only need an NIE to sign and settle taxes. There is no limit on the number of homes and no requirement to live in the country.
What is the NIE and how do I get it?
The NIE (Foreigner’s Identification Number) is your tax identifier in Spain, essential in order to buy. You apply at a Spanish consulate in your country or in Spain, in person or through a representative with power of attorney. Many buyers ask their lawyer to obtain it along with opening the bank account.
How much does it cost to buy a property in Spain (taxes and fees)?
Budget for 12%–14% of the price, the same for nationals and foreigners. On resale you pay the ITP transfer tax (7% in Andalusia) and on new build the VAT (10%) plus stamp duty (AJD, ~1.2%), on top of notary, Land Registry, lawyer’s fees and, if there is a mortgage, the valuation. These are indicative figures worth verifying with official sources.
Is it true that foreigners will pay a 100% tax?
Not in 2026: it is a proposal, not a law. It was announced in January 2025 and registered in Congress in May 2025, but it has not been voted on or debated, and the government’s January 2026 housing package left it out. It would affect only non-EU non-residents and resale property; new build would be exempt. Today foreigners buy under the usual rules. It is worth verifying its current status before buying.
Can I get a mortgage in Spain as a non-resident?
Yes. Spanish banks lend to non-residents, usually at around 60%–70% of the value (versus 80% for a resident), so you will need a larger deposit. The bank will assess your income, your record and the valuation, and will ask for documentation from your country, often translated and apostilled.
Does buying a property give me the right to residency in Spain?
No. Buying and residing are independent processes. The residency-by-investment route through property was ended in April 2025, so ownership does not grant residency. For long stays, non-EU nationals often apply for other visas (such as the remote-work or non-lucrative visa); it is best to take advice for your situation.
What taxes does a foreign owner pay each year?
If you are not tax-resident in Spain, you will pay the IRNR each year via form 210: at 19% if you live in the EU/EEA and at 24% for the rest, on rental income or on an imputed income if the property is empty. To that you add, like any owner, the IBI (council tax), refuse charges, community fees and utilities.
Do I need a lawyer to buy in Spain?
It is not required by law, but it is strongly recommended, especially for a foreign buyer. An independent lawyer (separate from the seller and the agency) carries out due diligence, checks charges, licences and debts, and reviews every contract before you sign. It is the safest way to buy.
Keep reading
- Guide to buying property on the Costa del Sol
- Taxes when buying property in Andalusia
- How to get the perfect mortgage for your new home
- Moving to the Costa del Sol from the UK after Brexit
- Buying new-build off-plan on the Costa del Sol: 2026 guide
- The best areas to invest in Málaga in 2026
Sources and methodology
Information cross-checked in June 2026 with official and sector publications: the bill registered in Congress on the complementary tax on non-EU non-residents (May 2025) and its unpassed status as at 2026, the IRNR rules (form 210), and leading tax and property analyses (Fotocasa, idealista and specialist law firms). Tax rates, financing percentages and costs are indicative and may vary by autonomous community, bank and timing.
Updated June 2026 by the SolProp team (Fuengirola, Málaga). This article is for information only and does not constitute legal or tax advice: non-resident taxation and purchase rules can change, so we recommend verifying the current data and consulting a lawyer and a tax adviser before buying.
