Country guide
Buying property in Spain
Every figure carries its source and last-checked date.
EUR 5,900
Price per m² (capital)
8 to 13%
Total buying costs
6.5%
Gross rental yield
+50%
5-year price trend
Spain remains the most popular country in Europe for foreign buyers, and for clear reasons. If you want to buy property in Spain you can choose between world cities such as Madrid, where apartments average around EUR 5,900 per square metre, coastal regions at roughly EUR 3,150 per square metre, and rural areas where prices average about EUR 1,450 per square metre. Day-to-day living costs sit around 9 percent below the EU average, and non-EU citizens can stay visa-free for 90 days in any 180-day period.
The market has been strong: prices have risen roughly 50 percent over the past five years, so bargains are rarer than the cliches suggest. Budget realistically for purchase costs too. On top of the price you should expect 8 to 13 percent in taxes and fees, depending mainly on the region, because the transfer tax on resale homes ranges from 6 to 10 percent and runs higher still in a few regions.
Moving to Spain, or simply buying a holiday home there, is legally straightforward: foreigners face no restrictions on ownership. You will need an NIE, a Spanish foreigner identification number, and you should always hire an independent lawyer, since the notary in Spain does not check the property for you. This guide walks you through the process step by step, using verified figures.
Key facts
- Price per m² (capital)
- EUR 5,900
- idealista price index, Madrid city (Jan 2026: EUR 5,861/m2, record high; ~EUR 5,984 by May 2026)(2026-07)
- Price per m² (rural)
- EUR 1,450
- idealista: rural municipalities averaged EUR 1,459/m2 at end-2025 (urban areas EUR 2,906/m2)(2026-07)
- 5-year price trend
- +50% over 5 years
- INE house price index (2015=100): ~128 in Q1 2021 to ~192 in Q1 2026 (+12.8% y/y in Q1 2026 per Eurostat)(2026-07)
- Total buying costs
- 8 to 13%
- Sum of the transfer tax, notary, registration and legal ranges below(2026-09)
- Gross rental yield
- 6.5%
- idealista: gross rental yield of housing in Spain, Q2 2026 (down from 7.2% a year earlier; Madrid ~4.5%, Barcelona ~4.8%)(2026-07)
- Cost of living (EU = 100)
- 91
- Eurostat price level index, actual individual consumption 2024: Spain 90.7 (EU-27 = 100; household final consumption 92.1)(2026-07)
Where in the country, and what it costs
A national average hides the only question that matters once you are serious: which stretch of coast. These are the areas foreign buyers actually shortlist, from cheapest to dearest. Note that these are province or district averages covering everything inside them, inland towns included, so they answer a different question than the single coastal figure in the table above.
- Costa Cálida (Murcia)EUR 1,680/m²
The cheapest Spanish coastal option, with plenty of new builds on golf and resort land, with the catch that prices still sit more than 20 percent below the 2006 peak and water supply in the region is a recurring policy issue.
- Costa de la Luz (Cádiz)EUR 2,514/m²
For buyers who want the Atlantic side with fewer high-rises, with the catch of cooler water, more wind and noticeably less English-speaking service than on the Mediterranean.
- Costa Blanca (Alicante)EUR 2,744/m²
The classic choice of Dutch and Belgian buyers for its price level and supply, with the catch that much of the stock dates from the 1970s to 1990s and often still needs insulation and new installations.
- Costa Brava (Girona)EUR 2,898/m²
Attractive for buyers who want to stay within driving distance of Barcelona, with the catch of a short season and Catalan municipalities that cap tourist-letting licences town by town.
- Canary IslandsEUR 3,357/m²
The only Spanish region without a real winter season, which limits vacancy and letting gaps, with the catch of a flight time of more than four hours and island governments that are restricting new tourist lets.
- Costa del Sol (Málaga)EUR 4,272/m²
Works for buyers who want year-round amenities, healthcare and direct flights, with the catch that this is the most expensive coastal province on the Spanish mainland and that Marbella and Estepona pull the provincial average up sharply.
- Balearics (Mallorca and Ibiza)EUR 5,575/m²
For buyers with a large budget who want to stay a short flight away, with the catch of the highest price level in Spain, scarce building land and a transfer tax that climbs to 13 percent in the top bracket.
Source: idealista prijsindex (informe de precios en venta), provincieniveau, peilmaand juli 2026; landelijk gemiddelde 2.933 EUR/m2, methodiek herzien per juli 2026. Checked 2026-09. Asking prices, not transaction prices.
Buying costs
Costs on a €250,000 purchase
EUR 20,000 to EUR 32,500
on top of the purchase price.
- Transfer tax
- 6 to 10%
- ITP on resales, set per region: 6% Madrid, 7% Andalusia, up to 10% Cantabria/Galicia (Catalonia progressive to 11%, Balearics top bracket 13%, Basque Country 4%); new builds pay 10% VAT + 0.5-1.5% AJD instead(2026-07)
- Notary
- 0.2 to 0.5%
- Regulated notary tariff, typically EUR 600-1,200+ (about 0.2-0.5% at typical prices)(2026-07)
- Registration
- 0.1 to 0.25%
- Land Registry (Registradores) fees, typically EUR 400-1,000+ (about 0.1-0.25%)(2026-07)
- Legal fees
- 1 to 1.5%
- Typical independent lawyer fee for foreign buyers (commonly 1% + VAT, up to ~1.5%)(2026-07)
Taxes for non-residents
- Annual property tax
- IBI: 0.4-1.1% of the cadastral value per year for urban property; each municipality sets its rate within this statutory band
- Ley Reguladora de las Haciendas Locales (RDL 2/2004, art. 72)(2026-07)
- Wealth tax for non-residents
- Yes: on Spanish net assets above EUR 700,000 (non-residents get no primary-residence allowance); regional rules vary (Madrid and Andalusia largely relieve it), but the state solidarity tax of 1.7-3.5% still applies on Spanish assets above EUR 3 million
- Costaluz Lawyers, Spanish wealth tax for non-residents 2026(2026-07)
- Rental income tax
- 19%
- IRNR: 19% on net rental income for EU/EEA residents (expenses deductible); 24% on gross rent for non-EU/EEA residents(2026-07)
- Capital gains tax
- 19%
- IRNR flat 19% on real-estate capital gains for all non-residents; the buyer must withhold 3% of the price on account (Modelo 211)(2026-07)
- Inheritance
- Due on Spanish property regardless of the heir's residence; since Supreme Court rulings of 2018, both EU and non-EU non-residents may apply the often far lower regional allowances and rates (e.g. near-zero for close family in Madrid or Andalusia)
- Spanish Supreme Court 19 Feb 2018 (Osborne Clarke analysis)(2026-07)
The buying process
- Can foreigners buy?
- Yes, no restrictions
- No nationality restrictions on buying property; an NIE (foreigner identification number) is required to sign the deed(2026-07)
- Restrictions
- None as of August 2026. The tax of up to 100% on purchases by non-EU non-residents, announced in January 2025 and submitted to Parliament as a bill on 22 May 2025, has stalled: it had still not been debated by March 2026, no vote has been held and there is no implementation date. It is not law
- US News / parliamentary record, March 2026(2026-08)
- Mortgage as non-resident
- Yes
- Major Spanish banks (Sabadell, Bankinter, CaixaBank, BBVA, UCI) actively lend to non-residents(2026-07)
- Maximum loan to value, non-resident
- 70%
- Non-resident LTV typically 60-70%; 70% is reserved for strong income/credit profiles (residents get 70-80%)(2026-07)
Residency & golden visa
Spain closed the door on residency by purchase. Ley Organica 1/2025, published on 3 January 2025, repealed the investor-residency articles of Ley 14/2013, and on 3 April 2025 the golden visa ended altogether. That included the EUR 500,000 real-estate route, which was the reason a large share of non-EU buyers looked at Spain in the first place. Applications filed before the deadline keep their rights and can still be renewed, but nothing you buy today produces a permit.
This is the single most useful thing to understand about the current market, because the demand did not disappear, it moved. Of the countries covered here, two still grant residency against property. Greece asks EUR 400,000 outside the main centres and EUR 800,000 in Attica, Thessaloniki, Mykonos, Santorini and islands above 3,100 inhabitants, in both cases for a single property of at least 120 square metres. Cyprus is the cheaper entry at EUR 300,000 plus VAT in a new build, though it also asks for EUR 50,000 of secured annual income from abroad. Portugal still runs a programme but took real estate out of it in 2023.
For buyers who already hold an EU passport none of this matters, and Spain is the more liquid, better-served market of the four. For everyone else the honest framing is that Spain is now a place to buy a home, not a place to buy a permit. Non-EU citizens are back to 90 visa-free days in any 180-day period, which is enough for a holiday home and not enough to live there. If residency is the actual goal, start with the countries that still offer it rather than trying to make Spain fit.
Buying is not the same as living there. What it takes to actually move to Spain covers the visa routes, the tax position once you are resident, and what it costs.
The buying process step by step
Apply for an NIE number
The NIE (Numero de Identidad de Extranjero) is your Spanish foreigner identification number, and you cannot sign the purchase deed without it. You can apply at a national police station in Spain or through a Spanish consulate in your home country. Arrange it early, because appointment waiting times vary widely.
Open a Spanish bank account
A Spanish bank account makes the purchase far smoother: the purchase price is normally paid via banker's draft or transfer from a Spanish account, and utilities and local taxes are collected by direct debit. Major Spanish banks are used to non-resident customers. If you need financing, this is also the moment to start mortgage conversations.
Make an offer and reserve the property
Once your offer is accepted, it is common to sign a reservation agreement and pay a small holding deposit so the property is taken off the market. Do not sign anything binding before your own lawyer has reviewed it. The reservation stage fixes the price and gives your lawyer time to run checks.
Due diligence by an independent lawyer
Hire a lawyer who works for you alone, not one recommended by the seller or the agent. They check the Land Registry entry, debts attached to the property, building licences and planning status. A typical fee for foreign buyers is 1 to 1.5 percent of the purchase price, and it is the best-spent money in the whole process.
Sign the arras contract
The contrato de arras is the private purchase contract that binds both sides, and you pay a deposit when signing it. Under the usual penitential arras terms, if you withdraw you lose the deposit, and if the seller withdraws they must repay it doubled. Your lawyer should draft or review it before you sign.
Complete at the notary and register the deed
You sign the escritura, the public deed, before a notary, pay the balance and receive the keys. Notary fees are regulated, typically EUR 600 to 1,200 and up, and Land Registry fees typically EUR 400 to 1,000 and up. A resale purchase usually completes in 6 to 8 weeks from the accepted offer, or up to 12 weeks with a mortgage.
Is Spain right for you?
Spain suits the buyer who wants depth of market over a bargain. Prices have risen roughly 50 percent in five years, buying costs of 8 to 13 percent are the highest of the four countries covered here, and the wealth tax on Spanish net assets above EUR 700,000 is something no neighbour imposes. What you get in return is the largest inventory, the most competition among agents and lawyers, real mortgage availability for non-residents at up to 70 percent loan to value, and a resale that completes in 6 to 8 weeks rather than months.
It is the wrong choice if the plan depends on residency, or if the numbers only work with tourist letting: a regional licence plus the national registration number introduced on 1 July 2025 is now the floor, several regions have frozen new licences, and Barcelona intends to phase out tourist flats entirely by the end of 2028. If you are weighing Spain against the obvious alternative, we set the two side by side in Spain versus Portugal. If the purchase costs are what decide it, run your own price through the buying costs calculator.
Frequently asked questions
Can foreigners buy property in Spain?
Yes, foreigners can buy property in Spain without restrictions, whether they are EU citizens or not. The only formal requirement is an NIE, the Spanish foreigner identification number, which you need to sign the deed. A proposed tax of up to 100 percent on purchases by non-EU non-residents, announced in January 2025, stalled in Congress, had still not been debated by March 2026, and is not law as of August 2026.
What are the total costs of buying a home in Spain?
Expect total purchase costs of 8 to 13 percent on top of the price, so roughly EUR 20,000 to 32,500 on a EUR 250,000 home. The biggest item is the transfer tax on resale homes, set per region at 6 to 10 percent (6 percent in Madrid, 7 percent in Andalusia, up to 10 percent in Cantabria and Galicia, with Catalonia progressive to 11 percent and a 13 percent top bracket in the Balearics). New builds carry 10 percent VAT plus 0.5 to 1.5 percent stamp duty instead. Add notary fees of about 0.2 to 0.5 percent, registry fees of 0.1 to 0.25 percent and lawyer fees of 1 to 1.5 percent.
What taxes do I pay each year as an owner in Spain?
Every owner pays IBI, the municipal property tax, of 0.4 to 1.1 percent of the cadastral value per year for urban property, with each municipality setting its rate within that band. Non-residents may also owe Spanish wealth tax on Spanish net assets above EUR 700,000, although regional rules vary and Madrid and Andalusia largely relieve it; above EUR 3 million the state solidarity tax of 1.7 to 3.5 percent applies regardless. If you sell later, non-residents pay a flat 19 percent on the capital gain and the buyer withholds 3 percent of the price on account.
Can I get a Spanish mortgage as a non-resident?
Yes, major Spanish banks such as Sabadell, Bankinter, CaixaBank and BBVA actively lend to non-residents. Loan-to-value for non-residents is typically 60 to 70 percent, with 70 percent reserved for strong income and credit profiles, so plan for a deposit of at least 30 percent plus purchase costs. Residents can usually borrow 70 to 80 percent.
How long does buying a house in Spain take?
A resale purchase typically completes in 6 to 8 weeks from the accepted offer. Simple cash deals can be done in 3 to 4 weeks, while a mortgage or paperwork issues can stretch the process to around 12 weeks. New builds take far longer, since you usually buy off-plan and wait for construction and licences.
Does Spain still have a golden visa?
No, Spain ended its golden visa on 3 April 2025. Ley Organica 1/2025 repealed the investor-residency articles of the 2013 law, closing all routes including the EUR 500,000 real-estate option; applications filed before the deadline keep their rights and renewals. Buying property therefore no longer grants residency, and non-EU citizens are limited to 90 visa-free days per 180-day period unless they obtain another permit.
Can I rent out my Spanish property to tourists?
Only with the right paperwork: tourist rentals need a regional licence and, since 1 July 2025, a national registration number (NRA) obtained via the Single Digital Rental Window. Platforms such as booking sites may only list registered properties, several regions and cities restrict or freeze new licences, and Barcelona plans to phase out all tourist flats by the end of 2028. Rental income is taxed at 19 percent on net income for EU and EEA residents, while non-EU residents pay 24 percent on gross rent without deductions.
The next step
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