Update: 12 November 2025
Buying Property in Spain for Non-Residents: 2025 Legal Guide
Buying property in Spain for non-residents involves several legal requirements, financial documents, and recent policy updates that every international buyer should understand. Whether you plan to invest, retire, or own a holiday home, knowing the correct procedures helps avoid costly mistakes.
Do Non-Residents Need an NIE Number to Buy Property in Spain?
Yes. Every non-resident buyer must obtain an NIE (Número de Identificación de Extranjero) when buying property in Spain for non-residents. This identification number is essential for registering ownership, paying taxes, and completing legal transactions.
You can apply for an NIE at Spanish police stations, consulates abroad, or through a legal representative. Without it, the purchase cannot be registered in the Land Registry.
“The NIE is the single most important legal requirement for foreign property buyers in Spain.”
Is It Necessary to Open a Spanish Bank Account?
Yes. When buying property in Spain for non-residents, opening a local bank account is strongly advised. It simplifies payments for taxes, utilities, and property expenses.
Banks usually request your passport, NIE, proof of income, and proof of funds. Many banks in popular regions like Marbella or Barcelona offer special services for non-resident clients.
Documents Required for Non-Resident Buyers
To legally complete a property purchase, several key documents are mandatory for non-residents in Spain:
| Document Type | Requirement | Purpose |
|---|---|---|
| Passport | Mandatory | Proof of identity |
| NIE Number | Mandatory | Legal ID for taxes and registration |
| Spanish Bank Account | Strongly Recommended | Handles payments, utilities, taxes |
| Proof of Funds | Mandatory | Anti–money-laundering compliance |
| Mortgage Documents | If financing | Income proof, credit checks |
How the Notary Process Protects Non-Residents
All transactions when buying property in Spain for non-residents must be signed before a notary. The notary verifies the legality of the sale, checks for debts or encumbrances, and ensures the deed (escritura pública) is properly recorded in the Land Registry.
Buyers may attend in person or authorize a lawyer via power of attorney.
“The notary acts as a legal safeguard, ensuring that non-resident buyers receive clear and protected ownership.”
Taxes Non-Residents Must Pay When Buying Property in Spain
Non-residents face the same purchase taxes as locals but have additional obligations, even for unused properties. Below are the main taxes for buying property in Spain for non-residents:
| Tax Type | Obligation | Rate / Amount (2025) |
|---|---|---|
| Property Transfer Tax (ITP) | Mandatory | 7–10% of purchase price |
| Annual Property Tax (IBI) | Mandatory | 0.4–1.1% of cadastral value |
| Rental Income Tax (EU) | If rented | 19% |
| Rental Income Tax (non-EU) | If rented | 24% |
| Deemed Income Tax | Even if not rented | 1.1–2% of cadastral value |
For instance, Quintessentia Property Advisors notes that IBI for a €1 million home in Marbella averages around €1,200 annually.
Can Non-Residents Get a Mortgage in Spain?
Yes, Spanish banks do lend to non-residents. When buying property in Spain for non-residents, expect stricter lending conditions, with loans covering about 60–70% of the property value.
In 2025, mortgage interest rates average 3–4%. Required documentation includes tax returns, employment contracts, and income verification. Having a Spanish bank account can speed up approval.
Golden Visa Update for Property Buyers
As of April 2025, Spain has abolished the Golden Visa program that granted residency for property investments over €500,000.
Existing visa holders and applicants before the cutoff can renew under the old terms, but new applications are no longer accepted.
“Spain’s property-linked Golden Visa is no longer available. Residency must now be obtained through other visa types.”
Alternative Residency Options for Non-Residents
Although the Golden Visa is gone, non-residents still have several legal paths to live in Spain:
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Non-Lucrative Visa – for retirees or individuals with sufficient savings
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Digital Nomad Visa – for remote workers and freelancers
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Entrepreneur Visa – for those investing in Spanish businesses or funds
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Family Reunification – for joining relatives legally residing in Spain
Each visa type has specific income and documentation requirements, so professional legal advice is recommended.
Legal Risks When Buying Property in Spain for Non-Residents
Common risks include unpaid property debts, illegal renovations, and missing rental licenses. To protect yourself, always hire an independent lawyer for due diligence.
Remember, buying property in Spain for non-residents does not grant residency since the Golden Visa’s end.
“Independent due diligence is critical. Never rely solely on an agent’s word.”
Can Non-Residents Rent Out Their Property in Spain?
Yes. Long-term rentals are simple, but short-term holiday rentals require a tourist license (like a VFT in Andalusia). Renting without a license may result in fines.
All rental income must be declared — EU residents pay 19% tax, while non-EU residents pay 24%.
FAQs About Buying Property in Spain for Non-Residents
Does buying property grant automatic residency?
No. Since April 2025, property ownership alone doesn’t provide residency.
Can I renew my existing Golden Visa?
Yes, if you applied before the cutoff date.
How long does the buying process take?
Typically 6–10 weeks, depending on due diligence and mortgage approval.
Do inheritance laws differ for non-residents?
Yes, Spanish inheritance tax applies even if heirs live abroad.
Do I need health insurance just to buy property?
No. It’s only required for certain visa applications.
Final Thoughts
Buying property in Spain for non-residents in 2025 remains a secure and rewarding investment — but success depends on meeting legal obligations, obtaining the NIE, and working with qualified professionals for a smooth purchase process.
