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What Are The Requirements for Buying a Property in Spain as a Foreigner?

What Are The Requirements for Buying a Property in Spain as a Foreigner - What Are The Requirements for Buying a Property in Spain as a Foreigner?

More and more people are interested in buying a property in Spain. Spain has established itself as one of the preferred destinations in Europe to acquire a second residence, move after retirement, work from home, or invest in real estate. Data shows that foreigners bought almost 14% of the homes in 2022. A demand that experienced a significant increase compared to the previous year.

When buying a house in Spain, the preferred locations were the Balearic Islands, the Canary Islands and the Valencian Community. And by nationality, the largest group of buyers were citizens of the United Kingdom, followed by Germans.

Therefore, if you are to buy a house in Spain and start enjoying a high quality of life, take note of the procedures and documentation you must prepare.

First procedures to buy a house in Spain

The data thus show that buying a house in Spain by foreigners is not only possible but also does not entail great difficulties. But it is essential to know the procedures and documentation needed:

• The first step is to request the NIE: the identification number as a foreigner. It is possible to do it at any Spanish embassy or police station. There are several types of NIE: as a resident, as a non-resident (for non-EU citizens) or temporary (for EU citizens).

• In the case of non-EU citizens, they can request a Golden Visa: a particular residence card. In this case, the condition is to purchase a property over 500,000 euros.

• The next step is to open a bank account in Spain. It is not mandatory, but it is convenient to speed up the procedures, even when we don't need a mortgage. It will also make it easier to face the expenses derived from the purchase of the home and the taxes associated with the operation.

How is the process for buying a property in Spain

The process of buying a house in Spain does not differ too much from that which can be carried out in any other place, although it does have certain peculiarities:

Home search: through specialized portals such as Spainhouses.net or the services of a real estate agency. If you're searching from a foreign country, we strongly recommend visiting the property before signing any document or depositing any amount.

Negotiation with the buyer and search for financing.

• Once you have financing, the next step is to sign the sale with a notary.

• Register the property in the Spanish Land Registry.

Pay the taxes derived from the purchase: VAT if it is a new work or Property Transfer Tax (ITP) if it is second-hand. In general, VAT is 10%, while the ITP fluctuates between 4% and 10% of the property value, depending on the autonomous community where the home is.

Other taxes: afterwards, we'll have to pay the Property Tax (IBI) or the non-resident income tax annually.

To these costs, others should be added, such as a notary or real estate services.

In short, these procedures are not complex, and lawyers or real estate agents offer proper advice. From Spainhouses.net, you'll be able to find more than 3,000 expert real estate agencies in all the regions of Spain. Find a real estate agency for free on our list.

Spainhouses.net makes it simpler

If you are thinking of buying a house in Spain, go to Spainhouses.net, and you'll find a broad list of homes for sale in Spain. You'll see all types of properties, from apartments to luxury villas. Start now searching for your dream home: it is waiting for you!

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