Modern property on the Costa del Sol

Buying guide

Buying property in Spain

A practical guide for non-residents buying a home on the Costa del Sol.

Guide overview

Your first safe step when buying in Spain

Buying property in Spain, especially on the Costa del Sol, is an attractive option for both those seeking a sunny climate and investors. For non-residents, the process can be complex, so having the right support and expertise is essential.

This guide explains the basic requirements, purchase process, financing, estimated costs, post-purchase management, and the usual timeline so you can make decisions with greater confidence.

Bright living room in a Costa del Sol property

Key takeaway

The right preparation makes the purchase safer

Before choosing a property, buyers should understand the documents required, the expected purchase costs, the timeline, and the professional support needed to complete the process correctly.

Basic requirements

What non-residents usually need

NIE number

The NIE, or Foreigner Identification Number, is required for legal and financial activities in Spain, including buying a property.

Spanish bank account

A Spanish bank account is required to manage payments related to the purchase.

Identity document

Buyers need a valid identity document or passport to confirm their identity during the purchase process.

Power of attorney

A power of attorney is optional, but it allows representation if the buyer cannot be present for certain steps.

Origin of funds documentation

Documentation proving the origin of funds may be requested for compliance with anti-money laundering regulations.

Purchase process

The main steps when buying property in Spain

1. Property selection

The process begins by finding the property that fits the buyer's needs.

2. Reservation

A reservation deposit is required to guarantee the availability of the property.

3. Preliminary contract

The buyer signs a preliminary contract, often with an earnest money payment or deposit.

4. Signing the notarial deed

The transaction is completed before a notary, with the support of an agent and translator when needed.

5. Property registry

The property is registered in the name of the new owner to complete the legal transfer.

Financing

Mortgage and own contribution

Non-residents can usually obtain a mortgage in Spain, subject to the bank's approval and the buyer's financial profile.

  • Mortgage financing may cover between 60% and 70% of the property value.
  • Buyers should prepare an own contribution of around 30% to 40%.
  • Additional purchase expenses are usually around 10% to 13%.
  • Stable income and creditworthiness are required.
Purchase costs

Typical costs to plan for

The additional purchase costs usually amount to approximately 10% to 13% of the purchase price.

  • Property Transfer Tax, or ITP: 7% in Andalusia.
  • VAT for new properties: 10%.
  • AJD: approximately 1.2%.
  • Notary fees: approximately €800 to €1,000.
  • Property registration: approximately 0.2% to 0.4%.
  • Legal costs, including lawyer fees: approximately 1%.
  • Management fees: approximately €600 to €800.
After the purchase

What happens after signing

After signing the notarial deed, the buyer becomes the owner of the property. There are also practical steps and ongoing costs to manage after the purchase.

Property tax

Owners should plan for IBI property tax, which is usually around 0.4% to 1.1%.

Non-resident income tax

Non-resident income tax, or IRNR, is 19% for EU residents.

Community fees

Community fees are usually between €50 and €200 per month, depending on the property and residential community.

Utilities and supplies

Utilities and supplies are usually between €100 and €250 per month.

Utility contract changes

After the purchase, contracts for services such as electricity, water, and internet may need to be activated or transferred to the new owner.

Automatic payments

Setting up automatic payments helps keep taxes, community fees, utilities, and other property costs organized.

Timeline

How long does the process take?

The exact timeline depends on the property, buyer documentation, financing, and legal checks. As a general guide, the process may take several weeks from reservation to signing.

  • Reservation: immediately or within the next few days.
  • Preliminary contract, or earnest money contract: usually around 1 to 2 weeks.
  • Signing the notarial deed: usually around 3 to 6 weeks.
  • Property registration: usually around 2 to 4 weeks.
Domsol support

Guidance in your language

Domsol offers comprehensive assistance in the client's language, including translation of legal documents and coordination with institutions.

This support is especially useful for international buyers who need clear explanations, transparent communication, and guidance before, during, and after the purchase.

Contact Domsol

Talk to us

Planning to buy property on the Costa del Sol?

Speak with Domsol before you start viewings. We can help you understand the process, prepare the right documents, and avoid unnecessary surprises.

Talk to an advisor