How to Buy, Own and Sell a Home in Spain: The Complete Guide

I bought a flat in Spain myself. I searched, haggled, got a mortgage as an autónomo, and six months after the purchase I was chipping in with the neighbours to repair the lifts. This guide covers the whole path: how much money you really need, how to find a flat without overpaying, what to check in the documents, how the deposit, mortgage and taxes work, and then what owning and selling cost.

Up to date as of November 2026. Check the numbers and rates at the links: Spanish taxes change every year, and some of them depend on the region and the town.

In short: how much money you really need

The main rule of the Spanish market: add another 10-15% to the price of the flat for taxes and fees. Banks never include these costs in the mortgage, and a resident usually gets no more than 80% of the price or the valuation, whichever is lower. So to buy with a mortgage you need your own money worth about 30-35% of the price.

Example: a resale flat in Madrid for €300,000.

• Property transfer tax (ITP) at 6%: €18,000
• Notary: about €1,000
• Land Registry (Registro de la Propiedad): about €700
• Gestoría (if you use one): €300-500
• Valuation (tasación) for the mortgage: €300-600
• Total costs: about €20,500, or roughly 6.8% on top

But Madrid has one of the lowest ITP rates. Where the tax is 10%, you end up paying about 12% on top. When I bought my flat in Alicante, ITP there was 10%, and with the other costs (about 2%) it came to almost 12%. Catalonia also charges 10% (€30,000 in tax alone on a €300,000 flat), so the total is about the same. You can work it out for your region and price with our property buying cost calculator.

How to buy property in Spain: 8 steps

This is the whole path from deciding to buy to getting the keys. The sections of this guide follow the same order.

Getting ready: NIE, bank account, budget

NIE (Número de Identidad de Extranjero). You need it to sign the deed at the notary, take out a mortgage and pay taxes. Residents get their NIE together with their residence card (TIE). Non-residents can get an NIE "for economic reasons" at a police station in Spain (book through Cita previa de Extranjería) or at a Spanish consulate in their own country. More information: Policía Nacional, NIE.

Spanish bank account. You need it to pay taxes, utility bills and comunidad fees. If you take a mortgage, you will open the account at the same bank.

Where the money comes from. Under the anti-money-laundering law (Ley 10/2010), the notary and the bank must check the source of your funds. Have your bank statements ready, plus proof of the sale of other property, gifts and so on. If the money comes from abroad, keep the transfer records. You can pay no more than €1,000 in cash if you buy from a developer or a company, or when you pay an agency fee (Ley 7/2012, as amended by Ley 11/2021). For a buyer who is not a Spanish tax resident, the limit is higher: €10,000. If the seller is a private person selling their own flat, this limit does not apply. In practice everything is paid by bank transfer or cheque bancario, and the notary records every payment method in the deed.

Budget. A Spanish bank usually won't approve a mortgage if your monthly payments on all loans would be more than 30-35% of your net income. First work out how much you can really pay, then look for a flat. A pre-approval (preaprobación) from a bank or a mortgage broker speeds things up, but it does not legally bind the bank. How much banks lend and on what terms is covered below, in the mortgage section.

Where to look for a home

Property portals:

• idealista.com is the largest portal, with the most listings across the country.
• fotocasa.es is the second largest, with many listings you won't find on idealista.
• habitaclia.com is strong in Catalonia.
• pisos.com is also worth checking.

Agents you have already viewed flats with. Good flats often sell before they are even listed. Our flat was offered to us by agents we had used to view other flats. We had no contract with them; they just knew what we were looking for. We saw the flat before it appeared on idealista. So after every viewing, leave the agent your contact details and what you want: budget, area, size.

The same flat is often listed with several agencies at different prices. If you see a gap, compare the listings: sometimes the owner simply hasn't updated the price with one of the agents.

Bank-owned and "problem" properties. Flats that banks repossessed for unpaid debt are sold by servicers (Solvia, Altamira, Aliseda, Servihabitat, Haya and others). They can be cheaper than the market, but they are often in poor condition, and sometimes people live there without a contract (ocupados). The price reflects the risk.

Auctions. All court and government auctions take place on the Portal de Subastas BOE. This is for experienced buyers: you usually can't view the property, and getting any occupants out is the buyer's problem.

Personal shopper / buyer's agent. An agent who works for the buyer instead of the seller. They search, negotiate and check the documents. The buyer pays them, usually 2-3% of the price or a fixed fee.

Who pays the estate agent

For a sale, the law does not say who pays the agent. It is a matter of contract. Usually the seller pays: they sign an agreement with the agency (nota de encargo) that sets the percentage. The usual fee is 3-6% of the price plus 21% IVA, and in expensive areas and on the coast it can reach 5-7%. The fee is often simply built into the price. Still, agencies that also want a fee from the buyer are common, especially on the coast. In the end we bought without paying a fee.

What the buyer should know:

• If the agency asks you to sign anything (hoja de visita, an intermediary agreement), read it. It may have a clause about your fee, or a penalty if you buy the flat directly from the owner without the agency.
• If the agency wants a fee from you too, find out before the viewings. You can and should negotiate the fee as well. The price of the flat is not the only thing you can haggle over.
• If you hired a buyer's agent yourself, you pay them.

What not to buy

Not all of these are bad in themselves, but each has a catch that shows up when you live there or try to sell.

Legal traps

• A flat with people living in itEither a tenant with a valid contract (it stays in force when the owner changes) or squatters (ocupas) with no contract. Getting them out takes months or years.
• A former commercial unit (local)Converted into a home without an official change of use (cambio de uso). It won't have a cédula, and the bank will refuse a mortgage.
• A house on rural land (suelo rústico) or with illegal extensionsIt may be impossible to legalise, and fines or demolition become the new owner's risk.
• VPOIf you don't meet the requirements, or you want to rent out and resell freely (more on this below, in the documents section).
• A share of a flat or nuda propiedadA share (proindiviso) is part of a flat; the rest belongs to other people. Nuda propiedad is ownership without the right to live there while the person with the life interest is alive. It is cheap, but you can't live there, and banks won't lend on it.

A bad flat

• Bajo: a ground-floor flat with windows onto the streetNoise, damp, less security, and these flats take longer to sell. The exception is a bajo with its own patio in a quiet building.
• InteriorA flat where all windows face the inner light well (patio de luces). Little light and air, and you hear the neighbours.
• Top floor in an old building (1960s-70s)Lots of light, but the roofs in these buildings have almost no insulation. In summer the sun heats the flat up, and in winter mould still creeps in from the roof, and not only in the rooms facing the light well. I lived in a flat like that. If you still consider one, ask the comunidad when the roof was last repaired, and look at the ceiling corners.
• High floor in a building without a liftWorst of all if a lift can't be installed for technical reasons. Such flats are hard to sell to families with children and to older people.

A problem building or location

• A building with a bad ITECracks in the structure, aluminosis, old pipes and facade. This means large derramas soon.
• A flat above a bar or nightclub, or on a noisy streetVisit on a Friday evening.
• Flood zoneEspecially on the coasts of Valencia, Murcia and Andalusia. Check the plot on the SNCZI flood map from the Ministry for Ecological Transition.
• A flat by the sea without checking the windows and facadeThe coast has high humidity and strong winds. Poor windows mean damp, mould and cold in winter, and salt air wears down the facade, balconies and metal fast. Look at what windows are fitted (double glazing with thermal-break frames is better), check the corners and ceilings for mould, and check the state of the facade and balconies. A facade repair means a future derrama.

How to tell if the price is fair

Listing prices are what sellers hope to get. Actual sales often close 5-10% lower, and more in quiet areas.

Portal Estadístico del Notariado: real sale prices

penotariado.com is a free portal run by the General Council of Notaries. Its data comes from deeds signed at notaries, so these are actual sale prices, not listing prices. On the map you can pick a region, province, town or postcode and see:

• the average price per m²;
• the average size;
• the average sale amount;
• the number of sales in a period.

You can filter by type (flat or house) and by new build or resale. The smallest unit is the postcode; the portal does not go down to individual buildings.

idealista/maps: data for a specific building

idealista.com/maps is a free idealista tool. Log in to your idealista account first, because some information is hidden otherwise. Enter the street and building number or the cadastral reference, and you will see:

• cadastral data for each flat in the building (size, year built, use);
• an estimated market value for sale and rent (idealista's algorithm, based on the flat's features and data for the area);
• listing history, if the flat was sold or rented through idealista before;
• the energy certificate, if it is in open data;
• an area map: the year most buildings were built, build quality, services, the state of the market. It often tells you at once what kind of area it is.

The idealista estimate is based mostly on listing prices, so compare it with the notary statistics. How the tool works: Qué es idealista/maps.

Catastro: valor de referencia

Since 2022 the Cadastre has calculated a valor de referencia for every property, an estimate based on actual sales in the area (Ley 11/2021). It matters for two reasons:

• Valor de referencia is the minimum base for ITP. If you paid less, the tax is still calculated on the valor de referencia.
• It gives you another independent estimate of the market price.

You can look it up on the Sede Electrónica del Catastro under "Valor de referencia". For a specific flat you need to identify yourself (Cl@ve, a digital certificate or DNIe) or ask a notary or agent for help. You can only challenge the valor de referencia after it has affected your tax: you file a request to correct your self-assessment (rectificación de autoliquidación) with your region's tax office.

Other official sources

• Registradores de España, Estadística Registral Inmobiliaria: quarterly and annual statistics on sales and prices from the registry.
• Ministerio de Vivienda y Agenda Urbana, estadísticas: "Valor tasado de la vivienda" (average valuation per m² for towns with more than 25,000 people) and "Transacciones inmobiliarias".
• INE, Índice de Precios de Vivienda: a price index, useful for trends rather than a specific price.

Putting it all together

Take the flat's postcode on penotariado.com, look at the average resale price per m², multiply by the size, then compare with the idealista/maps estimate and the listing price. If the seller asks 20-30% more, you have arguments for haggling.

Keep in mind that all these tools look backwards. Notary statistics cover sales from recent months, and valor de referencia uses data from past years. In a fast-rising market, real prices may already be well ahead of what the sites show, so "above the statistics" doesn't always mean "overpaying".

The bank's tasación has the final word. If the valuation comes in below the price, the bank lends based on the valuation, and you pay the gap from your own money.

Always haggle

When I bought my flat, the seller asked €309,000, and I paid €295,000. Your arguments are not only the actual sale prices in the area but also everything you found at the viewing and in the documents: repairs needed, damp, old windows, approved or expected derramas, differences in floor area, a long time on the market. The next section explains where to find these arguments in the documents.

Documents to check before you buy

Do these checks before you pay the deposit under the arras contract. Your own lawyer can do them (usually 1% of the price or a fixed fee), but you can check a lot yourself.

We go in order: first the property itself (registry extract, floor area, parking, Cadastre), then the seller and occupants, then debts that pass to the new owner, the state of the building, and finally special cases: illegal extensions, homes by the sea and VPO.

Nota simple from the Registro de la Propiedad

This is the main document. The Land Registry extract shows:

• who the owner is (it must match the seller);
• a description and the floor area of the property;
• charges (cargas): mortgages, embargoes (embargos), easements, tax liens (afecciones fiscales);
• restrictions, for example that it is a VPO home with a capped resale price;
• what the property includes: a parking space and storage room (trastero), if they are registered together with the flat.

A nota simple is cheap, and the easiest way is to ask the agent to order it and send it to you: that is part of their job. If you want to do it yourself, anyone can order it online at registradores.org, and it usually arrives by email within a few hours. Check the date of the extract: it should be recent before the arras and again before signing the deed (the notary will also request one).

The nota simple usually shows only the built area. The usable area is often missing; look for it in the energy certificate and the bank's valuation (more on the difference between areas below).

Floor area: built, usable and with common areas

A flat in Spain can have several different "areas", and listings often mix them up, sometimes by accident and sometimes not.

• Superficie útil (usable)The floor you walk on: the space inside the flat without walls, partitions, columns and shafts.
• Superficie construida (built)Usable area plus internal partitions and external walls. External walls count at full thickness: the area is measured to the outside face of the wall, on the street side, not to the wall inside the flat. Walls shared with neighbours count by half. Usually 10-20% more than the usable area.
• Superficie construida con zonas comunes (built, with a share of common areas)Plus your share of the entrance hall, stairs and lift landings. This is the figure the Cadastre usually shows, and it is another 10-20% larger.

Always check the area against the documents. It happened to me: an agent gave a usable area that was a pure guess, and the documents showed much less. Listings usually give one of the built areas, often the cadastral one with common areas. It is the largest, so the price per m² looks lower. You usually can't tell from the listing which area it is. When you compare listings, make sure you are comparing the same kind of area. The gap between the usable area and the area with common parts can reach 25-30%.

Parking and storage room

If the flat is sold "with a parking space", check that the space is in the nota simple: either as a separate property (its own finca registral) or attached to the flat (anejo). Sometimes a garage space doesn't belong to the flat at all; the owners' meeting simply assigned spaces to residents. Then the same meeting can reassign spaces at any time, and "your" parking is gone. Don't pay extra for a space like that.

Cadastre

On sedecatastro.gob.es you can find the cadastral reference (referencia catastral), floor area, use and year built, for free and without registering. Compare the Cadastre data with the nota simple and the actual flat. Small differences in area are common, but if the Cadastre says 70 m² and the listing says 90 m², find out why: an illegal extension or an enclosed terrace can become a problem.

The seller and their rights

• If there are several owners (for example heirs or a married couple), all of them must sign.
• If the seller is married and the flat is the family home, the spouse must consent even if only the seller is on the title (art. 1320 of the Civil Code).
• If the flat was inherited, check that the inheritance has been formally accepted and registered.
• If the seller is a non-resident, you must withhold 3% of the price (more in the section for non-residents).

Occupants and "vacant" status

• If the flat is rented out, under the LAU the tenant keeps their contract in most cases when the owner changes. Ask for a copy of the rental contract and check the dates.
• If people live there without a contract (ocupación), eviction is a long court process.
• Write in the arras contract and the deed that the flat is handed over free of tenants, occupants and belongings (libre de inquilinos, ocupantes y enseres).

The last paid IBI bill

Unpaid property tax (IBI) is tied to the property: under art. 64 TRLRHL the new owner is liable for IBI debts. Ask the seller for the receipt for the current year and check that there are no debts from past years (you can check with the town hall or the regional tax body that collects IBI). The receipt also shows the valor catastral, which future taxes depend on.

Certificate of no debts from the comunidad de propietarios

Under art. 9 of the Horizontal Property Law (LPH), the seller must show the notary a certificate from the building administrator saying there are no unpaid fees. The flat itself, and so the new owner, is liable for debts from the current year and the three previous years. The buyer can waive the certificate in the deed, but you shouldn't.

Besides the certificate, ask for:

• Meeting minutes (actas)Get them for the last 1-2 years. Look for extra levies (derramas) that were approved or discussed for repairs to the facade, lift or roof. Agree in the arras who pays derramas that are already approved.
• Building rules (estatutos)They may contain bans, for example on holiday lets.
• Monthly feeHow much it is and what it covers (pool, concierge, heating).

Derramas are a real risk. Just six months after we bought, the owners' meeting decided to repair the lifts, and each flat paid €1,600. Ask the administrator what major repairs are being discussed, even if they are not approved yet.

Building condition: ITE / IEE

Old buildings (usually over 45-50 years old; the region or town sets the rules) have a regular technical inspection (Inspección Técnica de Edificios, called Informe de Evaluación del Edificio in some regions). Ask the administrator for the latest report. If the inspection found defects, derramas are likely.

Energy certificate (Certificado de Eficiencia Energética)

It is required from the moment the flat goes on sale (Real Decreto 390/2021), and the energy rating must appear in the listing. The certificate is valid for 10 years (5 years for a G rating) and is registered in a regional register. The rating, from A to G, affects your future utility bills. For an F or G rating it also affects future renovation costs, because the EU requires housing to be upgraded step by step. The certificate also shows the usable area.

Cédula de habitabilidad / licencia de primera ocupación

This confirms the home is fit to live in. In several regions (Catalonia, Comunitat Valenciana, the Balearics, Asturias, Navarre, Cantabria, La Rioja and others), without a valid cédula it is hard to connect utilities or rent the home out. The rules vary by region; ask the ayuntamiento or the regional government.

Planning status

• Check for open planning violation cases (expedientes de disciplina urbanística), for example if an extension, terrace or attic was built without a licence. You can ask the urbanismo department of your ayuntamiento (certificado urbanístico / informe urbanístico).
• For country houses: check that the house is not on agricultural land (suelo rústico / no urbanizable). Buildings there may be impossible to legalise.

Homes by the sea: the Coastal Law

The Ley de Costas protects the coastline, and it affects you if the home is on the seafront or within a few hundred metres of the sea:

Before you buy near the sea, ask the ayuntamiento or your province's Demarcación de Costas whether the deslinde boundary runs nearby and whether the plot falls within the servidumbre de protección. These restrictions sometimes also appear in the nota simple.

VPO homes (vivienda de protección oficial)

VPO is housing built with state support. It is cheaper than the market, but it has restrictions for the whole protection period (this depends on the region and the year it was built; for new projects under Ley 12/2023 it is at least 30 years, and in many regions it never ends):

• Maximum priceSet by the region; you can't sell for more.
• Buyer requirementsIncome under a limit, usually no other home in your name, and registration in the regional list of applicants.
• You must live thereIt has to be your main home. You can rent it out only with permission and at a regulated rent.
• Right of first refusalWhen you resell, the region may have the right to buy the home first (tanteo y retracto).

VPO status is shown in the nota simple. Always check it, even if the listing says nothing about it: a VPO sale done the wrong way can be challenged.

Paying cash on top of the maximum price. VPO sellers often suggest putting the maximum allowed price in the deed and taking the difference up to the market price in cash. The risks for the buyer:

• you can lose the cash: it isn't in the deed, and getting it back through the courts is almost impossible;
• the bank won't lend on that part, so you have to find it yourself;
• it breaks the VPO rules: the region can fine you, remove the VPO status or use its right to buy the home at the official price;
• it is a tax offence for both sides: Hacienda can charge the extra tax plus a penalty;
• when you resell, you hit the maximum price again, and the cash you paid won't count as part of your purchase price.

Utilities

Ask for the latest electricity, water and gas bills. They show you the running costs and give you the contract numbers (CUPS for electricity and gas) that you'll need to move the contracts into your name.

Reservation and deposit: reserva and arras

The usual order is: reserva → contrato de arras → escritura pública at the notary → registration. The mortgage is usually arranged between the arras and the deed, so leave plenty of time before the signing date in the arras.

Contrato de reserva (optional)

A small amount (usually €1,000-6,000) so the agency takes the flat off the market for a few days while you negotiate and check the documents. It is often signed only with the agency, not with the owner. Make sure the document says:

• who gets the money (the agency holds it, or it goes to the owner);
• how long the flat is off the market;
• when the money is returned (for example, if the nota simple shows charges or the bank doesn't approve the mortgage);
• that the amount counts towards the price.

Contrato de arras

The main preliminary contract. The buyer pays a deposit, usually 10% of the price, and both sides fix all the terms of the sale: the price, the date for signing the deed (usually in 1-3 months), what is included (furniture, parking, storage room), who pays derramas and other costs.

The Civil Code has three types of arras, and the difference matters:

For the contract to count as penitenciales, it must say so directly and refer to art. 1454 of the Civil Code. If it doesn't, courts usually treat the deposit as confirmatory (confirmatorias).

What to include in the arras:

• Mortgage condition (condición suspensiva de financiación)If the bank refuses the loan, you get the deposit back. Sellers don't like this clause, but it's worth negotiating, especially if you have no pre-approval. The alternative is to set a signing date that leaves you time to get approval.
• Vacant flatThe seller must hand it over without charges, occupants or debts.
• CostsWho pays what.
• DerramasWho pays the levies that are already approved.
• What stays in the flatKitchen, appliances, furniture.

Getting a mortgage

If you buy with a mortgage, the mortgage sets the pace of the deal: the bank has to value the flat, approve the loan and give you the documents at least 10 days before signing.

The main law is Ley 5/2019 on mortgage credit contracts (LCCI). The Bank of Spain's Portal del Cliente Bancario explains it in detail and in plain language.

How much you can borrow

• Residents buying a main homeUsually up to 80% of the price or the valuation, whichever is lower. 90-100% is possible for young buyers with state support, or when you buy a flat that the bank itself is selling.
• Residents buying a second homeUsually up to 70%.
• Non-residentsUsually 60-70%, with stricter rules on income and documents.
• The bank never finances the taxes and buying costsYou pay them from your own money.
• TermUp to 30 years (sometimes 35-40). Most banks want the loan paid off by the time you are 70-75.
• RepaymentsUsually no more than 30-35% of your net income. To see what that means for your payslip, start from your take-home pay in the net salary calculator for Spain.

State support for young buyers: the ICO guarantee

The state ICO guarantee scheme helps people buy their first home. The state guarantees up to 20% of the mortgage (up to 25% for homes with an energy rating of D or better), so you can borrow almost 100% of the price (but not the taxes). The conditions:

• buyers under 36 at signing, or families with children under 18 (no age limit);
• living legally in Spain without a break for the last 2 years;
• a first home and main home;
• limits on income (up to 4.5 times IPREM per person, higher for families), on the applicant's personal wealth and on the price of the home (depends on the region);
• arranged through banks that take part in the scheme.

In July 2026 the scheme was extended to 31 December 2027. Many regions also have their own schemes (for example "Mi Primera Vivienda" in Madrid), plus lower ITP rates for young buyers.

What the bank wants to see

Above all, stable income over the last 2 years. The bank looks at your income tax returns (la renta) for the last two years, so a mortgage is harder if you've just moved or recently changed jobs. For autónomos this matters even more: the bank looks at the income in your tax returns, not your turnover. The autónomo tax calculator shows what is left of your turnover after IRPF and the social security quota.

But this is not a strict rule. As an autónomo I got a mortgage from CaixaBank with only three quarterly returns and no annual renta. If one bank says no, try others or a mortgage broker.

The full list of documents:

• passport, NIE / TIE;
• IRPF (renta) returns for the last 2 years;
• employment contract and the last 3-6 payslips (nóminas); for autónomos, quarterly returns (forms 130/303);
• vida laboral (your work history from Social Security);
• bank statements for 3-6 months;
• details of any other loans;
• for non-residents: proof of income from your own country with a translation, a credit report from your country, tax returns.

Fixed, variable, mixed

• FijoThe rate stays the same for the whole term. Predictable, usually more expensive at the start.
• VariableEuríbor plus a spread, reset every 6 or 12 months. The average 12-month Euríbor in October 2026 was 3.239% (a year earlier it was 2.187%). The Bank of Spain publishes the official figures.
• MixtoA fixed rate for the first 5-15 years, then variable.

Rate discounts (bonificaciones)

The bank cuts your rate (a bonificación) if you take extra products from it: paying your salary into the account, life and home insurance, a pension plan, a card. Each product lowers the rate by a fraction of a percent. Work out what these products cost per year: a "cheap" rate with three insurance policies often costs more overall. Under Ley 5/2019 the bank must also show you an offer without discounts, and you can buy the insurance from another company (the bank must accept a policy with the same cover, but it may recalculate the rate if the contract allows it). The only insurance the law requires is building damage insurance (seguro de daños), not life insurance.

My example: the bank offered to cut my rate from 3.2% to 2.2% for four products: home insurance, life insurance, moving my salary (nómina) to them and a security alarm. I took only the first three and pay 2.4% a year.

Valuation (tasación)

The valuation is done by a valuation company (sociedad de tasación) registered with the Bank of Spain. There is no state system that hands out the jobs. In practice the bank picks the valuer from its own list of approved companies, often automatically, and branch staff have no say. By law you can bring your own valuation from any registered company if it is less than 6 months old, and the bank must accept it. But accepting a valuation doesn't mean approving the mortgage, so it is usually easier to use the bank's valuer. The buyer pays for the valuation (€300-600).

How the valuer works out the value. The method is set by Orden ECO/805/2003. For a flat they almost always use the comparison method:

• the valuer visits the flat, measures it, looks at its condition, floor, orientation and lift, and checks everything against the documents;
• they pick at least six similar flats (testigos) in the same area: recently sold ones and ones for sale now;
• they adjust them to match your flat (homogeneización), correcting for size, floor, condition, year built, lift, terrace and parking;
• they work out a weighted average price per m² and multiply it by the flat's area.

Two things follow from this. First, the valuation is almost never much higher than the area average, even if you love the flat. Second, in a rising market the testigos lag behind current prices, so the tasación often comes in below the purchase price. Plan your budget for that.

If the valuation is much lower than the price. You can order and pay for a valuation from another registered company and bring it to the bank. Sometimes an independent valuation comes much closer to the price, and the bank then bases the loan on it. There are no guarantees: the second valuation can also be low, and the bank still decides on the mortgage. But if the gap is large, it's worth a try.

Borrower protection under Ley 5/2019

• FEIN (Ficha Europea de Información Normalizada)The standard European form with the loan terms. FiAE (Ficha de Advertencias Estandarizadas) lists warnings about risky terms (variable rate, rate limits, costs, early repayment). The bank must give you both at least 10 calendar days before signing, together with the draft contract.
• Acta de transparenciaDuring those 10 days you go to a notary for free. The notary checks that you got the documents and answers your questions. Without this record, the mortgage can't be signed.
• CostsSince June 2019 the bank pays the notary for the mortgage deed, the mortgage registration, the gestoría and the AJD tax on the mortgage (art. 14 Ley 5/2019; AJD on mortgages moved to the bank back in November 2018 under RDL 17/2018). The borrower pays for the valuation and any copies they ask for. In detail: Bank of Spain, which mortgage costs you pay.
• Early repayment, variable rateThe fee is at most 0.25% of the amount repaid in the first 3 years, or 0.15% in the first 5 years (the bank picks one), and nothing after that.
• Early repayment, fixed rateThe fee is at most 2% in the first 10 years and 1.5% after. In both cases it can't be more than the bank's actual financial loss.
• Opening feeAllowed, but it must cover all the services for setting up the loan.

Tips for foreigners

• Not all banks work with non-residents. Sabadell, BBVA, Santander, CaixaBank and Bankinter work with foreigners more often, but terms can change.
• If the loan is in a different currency from your income (a euro mortgage with a salary in dollars or pounds), Ley 5/2019 gives you the right to convert it. But the exchange rate risk stays with you.
• Mortgage brokers (intermediarios de crédito inmobiliario) must be registered with the Bank of Spain or a regional register. They usually charge 1-2% or a fixed fee.
• Spanish banks almost never finance a purchase by a non-resident company. If you buy through a company, a loan is harder to get.

Taxes and costs when you buy

Work out the taxes and costs for your price and region: property buying cost calculator for Spain.

Resale homes: ITP

Impuesto sobre Transmisiones Patrimoniales is a regional property transfer tax. The standard rates for a normal purchase, without any reductions:

Almost every region has lower ITP rates for certain groups: young people (usually under 35), large families, people with disabilities, and first-time buyers of a main home under a set price. These reductions can cut the tax by half or more; check your region's tax office website.

Tax base: the declared price, but not less than the Cadastre's valor de referencia.

Deadline: usually 30 working days or 1 month after signing the deed (depends on the region). You pay it through the regional tax office (form 600 or the regional version). The property won't be registered until the tax is paid.

The law: Real Decreto Legislativo 1/1993 (ITPAJD).

New builds from a developer: IVA + AJD

• IVA 10%On the price (4% for VPO régimen especial). You pay it to the developer with the price. A parking space and storage room sold with the flat (up to two parking spaces) are also at 10%.
• AJD (Actos Jurídicos Documentados)A tax on the deed, usually 0.5% to 1.5% depending on the region (0.75% in Madrid, 1.4% in Comunitat Valenciana, 1.5% in Catalonia; the Basque Country doesn't charge it on home purchases).
• Canary IslandsIGIC applies instead of IVA.

If you buy a flat in a new building from the first buyer rather than the developer, it counts as resale, and you pay ITP.

Other buyer costs

• Notary (deed)€600-1,500. Fees are set by the state and depend on the price and the number of pages
• Registro de la Propiedad€400-1,000. Also a state-regulated fee
• Gestoría€300-600. Optional if you handle it yourself; with a mortgage, the bank pays for the mortgage part
• Tasación€300-600, with a mortgage
• Nota simpleA few euros; the agent usually provides it
• Buyer's lawyer0.5-1% or a fixed fee. Optional, but recommended for foreigners
• Translation / sworn translatorFrom €100. If you don't speak Spanish, the notary may require an interpreter

Signing at the notary and what comes next

The last step is the escritura pública de compraventa, the deed of sale you sign at the notary. From that moment the flat is yours.

Who chooses the notary and who pays

The buyer chooses the notary. This right is set out in the Reglamento Notarial (art. 126). The agency or developer may suggest "their" notary, but you can choose any. If you take a mortgage, the deed and the mortgage are usually signed at the same notary on the same day.

Who pays the notary and the registry. Under art. 1455 of the Civil Code, unless the parties agree otherwise, the seller pays for the original deed (escritura matriz) and the buyer pays for the first and later copies. In practice, in most sales the buyer pays almost all notary and registry costs, but you can agree on this in the arras. By law, the seller pays the municipal plusvalía.

On signing day

• The notary reads out or summarises the deed and the mortgage contract and checks identities, powers and consents.
• If you don't understand Spanish, the notary can require an interpreter. It's better to ask for a draft (borrador) of the deed in advance and read it with a translation.
• If you take a mortgage, a representative of your bank is at the signing. They make all the transfers themselves: to the seller and, if the seller had a mortgage, to the seller's bank to pay it off. You don't have to transfer anything by hand; just have your share of the money in the account beforehand.
• The seller hands over the keys.
• If you can't come, you can give a power of attorney (poder notarial) at a Spanish notary or a consulate. A foreign power of attorney needs an apostille and a translation.

After signing

With a mortgage, the bank usually handles the tax and registration: its gestoría pays the ITP or AJD from your account and files the deed with the Registro de la Propiedad. The bank will tell you in advance how much to keep in the account for this. Without a mortgage, you or your gestoría do these two steps:

• ITP or AJDPay it on time (usually 30 working days or a month).
• RegistrationFile the deed with the Registro de la Propiedad.

On signing day the notary usually sends the registry an electronic notice of the sale right away, and this protects you from the moment it is filed. The registration itself takes from a couple of weeks to a couple of months.

Then, in every case:

• CadastreThe notary usually tells the Cadastre about the change of owner. If not, file a declaration (declaración catastral) at sedecatastro.gob.es.
• IBIWhoever owns the flat on 1 January pays. If the seller paid for the whole year and you bought mid-year, the two sides usually split the IBI pro rata in the deed. It's worth agreeing on this.
• UtilitiesMove electricity, gas and water into your name (cambio de titular). You may need the energy certificate and the cédula.
• Comunidad de propietariosTell the administrator about the new owner and give your bank details.
• EmpadronamientoIf it's your main home, register at the ayuntamiento.
• Home insuranceRequired with a mortgage: if you didn't take it through the bank, arrange it yourself. Without a mortgage it's optional but a good idea (more in the insurance section below).

Buying a new build: extra risks

If you buy from a developer, the tax changes (IVA and AJD instead of ITP; see the tax section), and there are risks that resale homes don't have.

• Buying off-plan (sobre plano)The developer takes payments in stages before the building is finished. Under Ley 38/1999 (LOE), first additional provision, all advance payments must be insured or covered by a bank guarantee and paid into a special account. Ask for an individual guarantee certificate (aval individual / certificado de seguro) for each payment. If the developer goes bust, the guarantor returns the money.
• Building licenceCheck the licencia de obra at the ayuntamiento and the registration of the new building (declaración de obra nueva) in the registry.
• Memoria de calidadesThe description of materials. Any departure from it is grounds for a claim.
• Seguro decenalThe developer's required 10-year insurance against structural defects. LOE guarantees: 1 year for finishes, 3 years for defects in systems and performance, 10 years for the load-bearing structure.
• Licencia de primera ocupación / cédulaWithout it, utilities won't be connected.
• Handover dateWrite compensation for delays and the right to cancel into the contract.

What it costs to own a home

The mortgage is not your only monthly cost. First an example of the total, then each item one by one.

Example of yearly costs

IBI (Impuesto sobre Bienes Inmuebles)

The yearly municipal property tax. It is based on the valor catastral (usually well below the market value; under the Cadastre's method it is at most 50% of it, and in practice often 30-50%). The ayuntamiento sets the rate: for urban property the base rate is 0.4% to 1.1% of the valor catastral, with possible surcharges (art. 72 TRLRHL). In practice, for an average flat this is €300-1,000 a year, more in big cities. Many towns give discounts to large families, for solar panels, or for paying by direct debit.

Whoever owns the property on 1 January pays.

Rubbish collection (tasa de basuras)

Since 2025 every town must charge a separate fee that covers the full cost of waste management (Ley 7/2022). Depending on the town, it is €50 to €300 a year, and it is sometimes included in the IBI or water bill.

Comunidad de propietarios

A monthly fee for running the building: cleaning, lift, lighting, building insurance, the administrator, pool, concierge. Usually €30 to €150 a month per flat; in complexes with a pool and security, €150-300 or more. On top of that:

• Fondo de reservaA reserve fund of at least 10% of the building's budget under art. 9 LPH
• DerramasExtra levies for major repairs, decided by the owners' meeting.

Insurance

• Seguro de hogarHome and liability insurance. Not required without a mortgage, but strongly advised (leaks into the neighbours' flat are common). €150-400 a year.
• Seguro de dañosWith a mortgage, damage insurance is required, at least against fire.
• Life insuranceNot required by law with a mortgage, but banks push it hard through discounts.

Utilities

Electricity, gas, water, internet. For a 70-90 m² flat, on average €100-250 a month depending on the region, heating and air conditioning. How to save on electricity: our article on switching electricity provider.

Income tax: imputación de rentas (for residents)

If you are a tax resident and own a second home (not your main home) that isn't rented out, you pay IRPF on a notional income: 2% of the valor catastral, or 1.1% if the cadastral value was revised in the last 10 years (art. 85 Ley 35/2006 IRPF). This notional income is added to your general tax base and taxed at your rate. Your main home and its garage (up to two spaces) are exempt, and a rented flat is taxed on the actual rental income instead of imputación.

Wealth tax (Impuesto sobre el Patrimonio)

This is a tax on your total wealth, not on a specific flat. It applies to net assets above €700,000 per person (the national threshold; Catalonia and Extremadura set it lower at €500,000, and Comunitat Valenciana higher), and your main home is exempt up to €300,000 (Ley 19/1991). Rates and reductions depend on the region: Madrid gives a 100% discount, and so does Andalusia. Above €3 million there is the national tax on large fortunes (Impuesto Temporal de Solidaridad de las Grandes Fortunas), which tops the tax up to the general rates if the region gave a discount. Non-residents pay this tax only on their assets in Spain.

If you plan to rent it out

Before you buy to let, check the numbers for a specific flat with the rental yield calculator for Spain: net yield after costs, vacancy and tax, for residents and non-residents.

• Look outside urbanizacionesIf you buy for long-term renting, a flat in an ordinary building without a pool, gardens or security often pays better. Rent in an urbanización isn't much higher, but the comunidad fee in an ordinary building is much lower, and the landlord (you) pays it.
• Long-term rentingGoverned by the LAU. The minimum term for the tenant is 5 years (7 if the landlord is a company). In stressed market areas (zonas tensionadas, for example in Catalonia and some cities) rents are capped under Ley 12/2023.
• ResidentsPay IRPF on net rental income (after deducting IBI, comunidad, mortgage interest, 3% depreciation of the building value and so on). For a home rented as the tenant's main home there is a 50-90% reduction depending on the conditions (art. 23 LIRPF as amended by Ley 12/2023). For contracts signed from 1 December 2026, Real Decreto-ley 29/2026 changes the scale: up to 100% if you lower the rent, and only 15-50% if you raise it. As of November 2026 the Congress still has to approve the decree, so check its status.
• Holiday letsSince April 2025 a new holiday flat needs the consent of 3/5 of the building's owners (art. 17 LPH, changed by Ley Orgánica 1/2025), and since July 2025 it must be registered in the single national rental register. On top of that come regional and town licences; many cities (Barcelona, Madrid, Valencia, Palma and others) issue almost no new licences. Before buying "for Airbnb", check the building rules, the owners' meeting decisions and local regulations.
• Seasonal letsAlquiler de temporada has also been regulated more strictly since 2025-2026; the rules depend on the region.
• Agency feeSince 2023, Ley 12/2023 on housing has changed art. 20 LAU: the landlord pays the agency and contract costs for a rental. You can't charge the tenant a fee.

If you are not a Spanish resident

Yearly tax: form 210

A non-resident who owns a home in Spain and doesn't rent it out pays non-resident income tax (Impuesto sobre la Renta de No Residentes, IRNR) every year on a notional income:

• base: 1.1% or 2% of the valor catastral (same rules as for residents);
• rate: 19% for residents of the EU, Iceland, Norway and Liechtenstein; 24% for everyone else.

You file form 210 on the Agencia Tributaria website, usually by 31 December of the following year. Example: valor catastral €100,000, rate 1.1% → base €1,100, tax at 24% is €264 a year.

If the flat is rented out, the non-resident pays tax on the rental income (also on form 210). EU/EEA residents can deduct expenses; everyone else pays tax on the full rent.

The law: Real Decreto Legislativo 5/2004 (TRLIRNR).

Tax representative

Non-residents from countries outside the EU that have no tax information exchange agreement with Spain need a tax representative in Spain. In practice most non-residents use a gestoría to file form 210, which costs €50-150 a year.

If the seller is a non-resident

The buyer must withhold 3% of the price and pay it to Hacienda on form 211 within a month of the sale. It is an advance on the seller's capital gains tax. If the buyer doesn't withhold it, Hacienda can collect the 3% from the flat itself. The notary checks the withholding at the sale.

What it costs to sell

Selling also costs money, and a fair amount of it. A rough guide: selling for €300,000 with a mortgage and a €70,000 gain can cost €11,000-22,000 for the agent, €1,000-3,000 in plusvalía, about €1,000 for certificates and cancelling the mortgage, and €13,000-16,000 in capital gains tax. That's €26,000-42,000 in total, or 9-14% of the price. If you are exempt from capital gains tax (reinvestment or age 65+), it's 4-9%. Here is what makes up that amount.

Seller costs

• Agency fee3-6% + 21% IVA (sometimes a fixed fee)
• Energy certificate€60-250
• Cédula de habitabilidad (where required)€100-250
• Comunidad certificate of no debtsFree or a small fee
• Notary for the escritura matrizBy agreement; by default the seller pays (art. 1455 of the Civil Code)
• Paying off the mortgageEarly repayment fee (capped by Ley 5/2019; see the mortgage section)
• Removing the mortgage from the registry (cancelación registral)€500-1,000 (notary, registry, gestoría)
• Plusvalía municipalSee below
• IRPF / IRNR on the capital gainSee below

Plusvalía municipal (IIVTNU)

A municipal tax on the rise in value of the land under the property. The seller pays it within 30 working days of the sale (when a non-resident sells, the buyer may have to pay it as a "substitute taxpayer"). It is governed by the TRLRHL; after Constitutional Court ruling 182/2021, the rules were rewritten by Real Decreto-ley 26/2021.

The taxpayer picks whichever of two methods gives the lower tax:

• ObjectiveCadastral value of the land × a coefficient for how long you owned it × the town's rate (at most 30%). The coefficients are set by law: until 30 November 2026 the ones from Real Decreto-ley 8/2023 apply, and from 1 December 2026 the new ones from Real Decreto-ley 29/2026 (higher for short ownership, lower for 20 years or more). As of November 2026 the Congress still has to approve this decree, and ayuntamientos have to update their ordenanzas, so check the current coefficients with your ayuntamiento before selling.
• RealThe difference between the sale price and the purchase price (from the notary deeds), multiplied by the land's share of the cadastral value.

If you sell for less than you paid, there is no tax, but you have to declare it and prove it with the deeds.

For a flat in an apartment block, plusvalía is usually anywhere from a few hundred to a few thousand euros. Many ayuntamientos have a calculator on their website:

• MadridCalculadora estimativa de la plusvalía, no registration, calculates both methods.
• BarcelonaEstimació de la plusvàlua (in Catalan, choose "Estimació"), calculates both methods.
• AlicanteCálculo del Impuesto de Plusvalía, no registration: you need the cadastral reference and the dates and amounts of the purchase and sale.

In other towns, search the ayuntamiento's website for "simulador plusvalía" or the autoliquidación section.

Capital gains tax: residents

Gain (ganancia patrimonial) = sale price − selling costs − (purchase price + taxes and costs of buying + cost of improvements). If the flat was rented out, the depreciation you claimed is subtracted from the purchase cost.

The gain is taxed on the savings income scale (art. 66 and 76 LIRPF) in force since 2025:

• up to €6,00019%
• €6,000-50,00021%
• €50,000-200,00023%
• €200,000-300,00027%
• over €300,00030%

You declare it in your annual IRPF return for the year of the sale.

Exemptions:

• Reinvesting in a main homeIf you sell your main home (vivienda habitual, where you lived for at least 3 years) and buy a new main home within 2 years before or after the sale, the gain is tax-free for the part you reinvest (art. 38 LIRPF). If the flat you sell was bought with a mortgage, the remaining debt paid off at the sale is subtracted from the sale amount: for a full exemption you only need to reinvest this net amount (art. 41.3 Reglamento IRPF).
• Over 65If you are over 65, selling your main home is fully exempt from capital gains tax (art. 33.4 LIRPF). If you sell a home that is not your main home, you can exempt a gain of up to €240,000 by putting the money into a life annuity (renta vitalicia asegurada) within 6 months. This is a contract with an insurance company: you pay it a lump sum once, and it pays you a monthly income for the rest of your life.
• Severe dependency or disabilityThe same exemption for a main home (dependencia severa / gran dependencia).

More detail in the Agencia Tributaria IRPF manual (sections "Ganancias y pérdidas patrimoniales" and "Exención por reinversión en vivienda habitual").

Example: you bought in 2018 for €200,000 + €15,000 in costs and sold in 2026 for €300,000, paying €12,000 to the agent and €2,000 in plusvalía and other costs. Gain: 300,000 − 14,000 − 215,000 = €71,000. Tax: 6,000 × 19% + 44,000 × 21% + 21,000 × 23% = 1,140 + 9,240 + 4,830 = €15,210. The municipal plusvalía is deducted as a selling cost (here it is already in the €14,000). If this was your main home and you bought another main home for €300,000, you pay no tax.

Capital gains tax: non-residents

• The rate is 19% of the gain, whatever your country.
• The buyer withholds 3% of the price (form 211) as an advance.
• Within 3 months after the one-month deadline for paying the withholding (so about 4 months after the sale), the seller files form 210 and either pays the difference or claims back the excess. If the gain is small or there is none, getting the 3% back is common, but it can take months.
• The exemption for reinvesting in a main home is available to EU/EEA residents if they reinvest in their main home in any EU/EEA country.

Buyer's checklist

Before you search

• Get an NIE and open a Spanish bank account.
• Work out your budget: price + 10-15% for taxes and costs (calculator).
• Get a mortgage pre-approval (if you need a mortgage).

Choosing a flat and haggling

• Before viewings, ask the agency if it wants a fee from the buyer, and if so, negotiate the amount.
• Rule out flats from the "what not to buy" list.
• Check prices in the area: penotariado.com, idealista/maps (logged in), valor de referencia in the Catastro.
• Ask the agent for a recent nota simple; check the owner, the charges, and that the parking and storage room are in it.
• Compare the floor area in the Cadastre, the nota simple and the energy certificate.
• Check IBI, comunidad debts, meeting minutes and derramas.
• Check the energy certificate, cédula, ITE, planning status, and the Coastal Law for homes by the sea.
• Haggle using sale prices and everything you found at the viewing and in the documents.

Deposit and mortgage

• Sign the arras with a mortgage condition, dates and who pays which costs.
• Get the FEIN/FiAE and visit a notary for the acta de transparencia (at least 10 days before signing).

The sale and after

• Sign the deed at the notary you chose.
• If the seller is a non-resident, withhold 3% and file form 211.
• Pay ITP/AJD on time and register the property (with a mortgage the bank usually does this).
• Move utilities into your name, tell the comunidad, register on the padrón (empadronamiento).
• Non-residents: file form 210 every year.

Official sources and useful links

Laws (BOE):

• Civil Code (Código Civil): art. 1320, 1454, 1455
• Ley 49/1960 on horizontal property (LPH)
• Ley 5/2019 on mortgage credit
• RDLeg 1/1993: ITP and AJD
• Ley 11/2021: valor de referencia
• RDLeg 2/2004: local taxes (IBI, plusvalía)
• RDL 26/2021: the new plusvalía
• RDL 29/2026: plusvalía coefficients and the rental reduction from December 2026
• Ley 35/2006: IRPF
• RDLeg 5/2004: non-resident income tax
• Ley 19/1991: wealth tax (Patrimonio)
• Ley 22/1988: Coastal Law (Costas)
• Ley 38/1999: building (LOE)
• Ley 29/1994: urban leases (LAU)
• Ley 12/2023: housing law
• RD 390/2021: energy certificate
• Ley Orgánica 1/2025: holiday let rules in the LPH

Government services:

• Sede Electrónica del Catastro: cadastral data and valor de referencia
• Registradores de España: nota simple, statistics
• Portal Estadístico del Notariado: real sale prices
• Consejo General del Notariado: guides for buyers
• Agencia Tributaria: IRPF, forms 210 and 211
• Portal del Cliente Bancario (Banco de España): mortgages, borrower rights
• Banco de España, official indices: Euríbor
• ICO: mortgage guarantees for young people and families
• Ministerio de Vivienda y Agenda Urbana: price and sales statistics
• INE: house price index
• Portal de Subastas BOE: property auctions

Portals and tools:

• idealista/maps
• idealista, fotocasa, habitaclia, pisos.com
• Property buying cost calculator, Spanified

This article is for information only and is not a substitute for advice from a lawyer or tax adviser. Tax rates and reductions are current as of November 2026 and may change: check them on official government websites before you buy or sell.