Buying
Buying in Spain: the NIE and the process step by step
From getting your NIE to signing at the notary: a clear overview of how buying a home in Spain works, which taxes to plan for and how long it usually takes.
Step one: the NIE
Before you can buy property in Spain as a foreigner, you need an NIE (Número de Identidad de Extranjero). It is the identification number used for tax purposes and it appears on the purchase deed. You can apply at a Spanish consulate in your home country or, once in Spain, at a police foreign nationals office, usually by appointment. Waiting times vary by city, so it is sensible to start early.
Open a Spanish bank account
A local account makes it easier to pay the deposit, taxes, utilities and community fees, and most banks will ask for your NIE. If you plan to take out a Spanish mortgage, the bank will also want proof of income and your financial history. Non-residents can usually expect to borrow a lower share of the property value than residents.
From offer to deposit
Once your offer is accepted, it is common to sign a private contract known as the contrato de arras, with a deposit often around 10 % of the price. Before signing, ask for a nota simple from the Land Registry to confirm who owns the property and whether there are any charges on it. Many buyers ask an independent lawyer to review the paperwork.
Signing at the notary
The sale is completed by signing the escritura (title deed) before a notary. The rest of the price is paid at this point, and the deed is then registered at the Land Registry in your name.
Taxes to plan for
- Resale homes: the buyer pays transfer tax (ITP). It varies by region, typically between 6 and 10 % of the price.
- New builds: VAT (IVA) applies, generally 10 % for homes, plus stamp duty (AJD), which also varies by region.
- Other costs: notary, registry and lawyer's fees come on top, so build a margin into your budget.
A realistic timeline
From an accepted offer to signing at the notary, two to three months is common, although it can be quicker for cash buyers and longer when a mortgage is involved. This is general information rather than legal or tax advice, so check the details for your own situation.
If you are thinking about buying in Madrid or Valencia, our team is happy to help — just use the contact form.
