Summary: Foreign nationals can buy property in Spain without restrictions, regardless of nationality or residency. In 2024, foreign buyers purchased almost 93,000 homes — 14.6% of all transactions and a record in absolute terms. The process requires a NIE, a Spanish bank account and legal due diligence, with additional costs of 10–14% of the price. But the right approach depends heavily on where you are from: a British buyer faces post-Brexit residency rules, an American carries FATCA obligations, and anyone who becomes a Spanish tax resident inherits reporting duties most overlook. This guide breaks it down by nationality.
Can Foreigners Buy Property in Spain?
Spain imposes no restrictions on foreign property ownership. Any individual, regardless of nationality or country of residence, can freely acquire residential, commercial or rural property. That openness, combined with a robust Land Registry system, makes Spain one of the most accessible and legally secure property markets in Europe for international buyers.
Demand is heavily concentrated on the coast and the islands. According to idealista data for Q2 2025, the provinces with the highest share of foreign interest were Alicante (33.2%), the Balearic Islands (31.5%), Málaga (27.1%) and Santa Cruz de Tenerife (25.8%). In Málaga province — the heart of the Costa del Sol — foreign buyers reached a record 34.75% of all purchases in Q1 2025.
The International Buyer in 2026: A Changing Map
Foreign demand has become one of the structural pillars of the Spanish market. In 2024, foreign buyers completed 92,958 purchases according to the Association of Registrars — 14.6% of the 636,909 transactions recorded nationally, and the second-highest share in the historical series. Through 2025 the share eased slightly (around 13.8% on a rolling 12-month basis to Q4 2025), but the absolute volume rose to roughly 97,000–98,000 transactions. The share dipped only because domestic demand grew even faster — not because international appetite weakened. The first half of 2025 was, in fact, the strongest on record for foreign demand.
The profile of that demand has shifted markedly over fifteen years. The British, once overwhelmingly dominant, are gradually ceding ground as German, Dutch, French and American buyers gain weight:
| Nationality | National share 2024 | Trend |
|---|---|---|
| United Kingdom | 8.6% | Still the largest single group, but declining since Brexit |
| Germany | 6.7% | Fastest-growing; led mortgage applications in summer 2024 |
| Morocco | 5.7% | Record highs |
| France | 5.4% | Stable, shifting from Catalonia to the south |
| Netherlands & Nordics | Strong on the coast | Among the highest spenders per m² |
Interestingly, the nationalities paying the most per square metre are not always the most numerous. By average price per m² (idealista), American buyers lead at €3,309, followed closely by Swedish (€3,295) and British (€3,224) buyers, with Norwegian, Dutch, Swiss and Polish purchasers all above €3,000 — a reminder that Northern European demand sits firmly at the premium end of the market.
The British Buyer After Brexit
Brexit changed three operational dimensions for the British non-resident buyer, while leaving the two most important ones untouched. What does not change: the right to buy (a British national buys with exactly the same rights as a German or a Dutch buyer), the purchase taxes, and the UK–Spain double-taxation treaty in force since 2014, which prevents double taxation on rental income and capital gains.
What does change:
- Stay limits: as a non-EU citizen, a British passport holder can spend a maximum of 90 days in any 180-day period within the Schengen area without a visa. Longer stays require a residence visa.
- Non-Lucrative Visa (NLV): the usual route for Britons wanting to live in Spain without working. It requires proof of sufficient income (around €28,800 per year for the main applicant (400% of the IPREM), plus €7,200 per dependent), full private health insurance and a clean criminal record.
- Private health cover: after Brexit, non-resident Britons no longer have automatic healthcare cover unless they are pensioners with a UK state pension, so private insurance (typically €800–€2,500 a year) is effectively necessary.
- Rental taxation: non-resident Britons are now taxed at 24% on rental income (the non-EU rate), versus 19% under the EU regime before Brexit.
- Mortgage terms: Spanish banks apply a more conservative loan-to-value to non-EU buyers, typically 60–65% rather than the 70–75% available pre-Brexit.
For a fuller breakdown, see our guide on the Brexit impact on UK buyers in Spain.
The German & Northern European Buyer
Germans have shown the largest absolute growth of any nationality over the past decade, approaching 7,000 transactions a year. In the summer of 2024 they overtook the British for the first time in mortgage applications for Spanish homes. German demand is dominant in the Balearics — where close to half of all foreign purchases are German — and strong in the Canary Islands, with a solid structural presence on the Costa del Sol and Costa Blanca.
Dutch and Nordic buyers (Swedish, Norwegian, Danish) round out the Northern European bloc that is so important along the Mediterranean coast. Dutch buyers dominate Alicante province (around 19% of foreign purchases there), and as the price-per-m² data shows, Swedish and Norwegian buyers sit at the top of the spending range. This profile typically arrives with pre-approved financing — often from a home-country bank — a higher average ticket, and a horizon that mixes a family second home with long seasonal stays.
The American Buyer: FATCA & FBAR
The fastest-accelerating segment is the American buyer, whose share of purchases in Málaga province multiplied roughly sixteen-fold in two years, driven by direct flight connectivity, relative tax appeal versus high-tax US states, and a desire to diversify assets outside the United States. American buyers also pay the highest average price per square metre of any nationality.
US citizens should internalise three tax particularities before buying:
- FATCA: Spanish banks report US citizens' accounts to the IRS, so a Spanish account opened to buy property will be reported annually.
- Worldwide taxation: the US taxes its citizens on worldwide income regardless of residence, so rental income from a Spanish property must also be declared in the US, with a credit for taxes paid in Spain under the bilateral treaty.
- FBAR: if the aggregate balance of Spanish accounts exceeds USD 10,000 at any point in the year, a FinCEN 114 (FBAR) filing — and possibly Form 8938 — is required.
Required Documentation & Process
Regardless of nationality, a non-resident buyer needs: a NIE (the tax identification number mandatory for any economic transaction in Spain), a valid passport, a Spanish bank account, and — if you cannot attend the signing — a power of attorney allowing a Spanish lawyer to act on your behalf.
The purchase itself follows a clear sequence:
- Obtain the NIE at a Spanish consulate abroad or an immigration office in Spain (typically 2–6 weeks).
- Legal due diligence: your lawyer verifies the property's legal status, outstanding charges, planning permissions and building compliance.
- Private contract (arras): exchange with a deposit of usually 10%, after which the seller is contractually bound.
- Mortgage application if required (see below).
- Notarial deed (escritura pública): final signing before a Spanish notary with payment of the balance.
- Land Registry inscription: the step that gives full legal protection to your ownership.
The typical timeline from offer to completion is 30 to 90 days.
Purchase Taxes and Costs in 2026
On top of the price, budget for the following:
- New-build: VAT at 10% plus Stamp Duty (AJD) at 0.5–1.5% depending on the region.
- Resale: Transfer Tax (ITP), which varies by autonomous community — Andalusia 7%, Madrid 6%, Valencia 10%, the Balearics 8–11.5%, and Catalonia 10–13% on a progressive scale since Decree-Law 5/2025.
- Notary and Land Registry fees: roughly €1,000–€2,500.
- Legal fees: typically 1–1.5% of the price.
Total additional costs usually represent 10–14% of the purchase price. ITP or AJD must be paid within 30 business days of signing the deed. For the recurring side, see our guide to Spanish property tax for non-residents.
Mortgages for Non-Residents
Spanish banks lend to non-residents, but on more conservative terms than to residents: loan-to-value is typically 60–70% of the appraised value for EU non-residents and 50–65% for non-EU buyers (including post-Brexit Britons), with terms of 20–25 years and current rates broadly in the 3.2–4.5% range. German and French buyers often finance through a home-country bank and transfer the capital to Spain, which is operationally simpler but sometimes carries a slightly higher rate. American buyers can rarely finance from the US and therefore tend to pay cash or use a Spanish bank.
The Annual Taxes — and the Obligations Buyers Overlook
Non-resident owners pay the Non-Resident Income Tax (IRNR). If the property is left vacant, a deemed income of 1.1% of the cadastral value is taxed at 19% for EU residents and 24% for everyone else; if it is rented, net rental income is taxed at the same rates.
The bigger surprise comes if you become a Spanish tax resident (broadly, spending more than 183 days a year in Spain). Two informational filings then apply and are frequently missed:
- Modelo 720: for foreign assets — accounts, securities, insurance or property — exceeding €50,000 per asset class.
- Modelo 721: for cryptocurrency held on foreign platforms (Binance, Coinbase, Kraken and similar) when the aggregate value exceeds €50,000 at 31 December. Self-custody wallets under your own physical control are exempt.
Both are informational, not tax-due, filings — but penalties for omission start at €5,000 per item. The transition from non-resident to Spanish tax resident triggers reporting duties that simply did not exist in your home country, which is why binational tax advice matters before you move.
Where International Buyers Focus in 2026
The most sought-after destinations remain the Costa del Sol (Marbella, Estepona, Benahavís), the Costa Blanca (Alicante, Jávea, Altea), Mallorca, Ibiza, Barcelona and Madrid. In prime Marbella locations, property prices exceed €5,000 per square metre, with the most exclusive gated communities going well beyond that.
Frequently Asked Questions
Do I need to be a resident to buy property in Spain?
No. Any foreign national can buy without being — or intending to become — a resident. You simply need a NIE and a Spanish bank account to complete the transaction.
Can a British citizen still buy in Spain after Brexit?
Yes, with exactly the same ownership rights and purchase taxes as before. Brexit does not affect the right to buy. What changes is the stay regime (90 days in any 180 within Schengen by default), the need for private health insurance, and rental income taxed at 24% under the non-EU regime rather than 19%.
How long does the NIE application take?
At consulates abroad, typically 2–6 weeks. Applied for in person in Spain, it can sometimes be issued the same day or within a few business days, depending on the office.
Do I have to declare cryptocurrency if I become a Spanish tax resident?
Yes, via Modelo 721, if the crypto is held on foreign platforms and the aggregate value exceeds €50,000 at 31 December. Self-custody wallets under your own control are exempt. Penalties for omission start at €5,000 per item.
Is buying property in Spain safe for foreigners?
Yes. The Land Registry system offers strong protection to bona fide purchasers, and registering your purchase shields you from hidden charges and third-party claims. Engaging an independent Spanish lawyer is the single most important safeguard.
Ready to begin your Spanish property search? Our team of international property specialists can guide you through every stage, with particular expertise in advising buyers from the UK, Northern Europe and the Americas. Contact us for a complimentary consultation.
Main sources:
- Colegio de Registradores de España — Registral Property Statistics 2024–2025
- CaixaBank Research — Profile of the non-resident foreign buyer in Spain
- idealista/news — Foreign property demand by province, 2024–2025
- Agencia Tributaria — Modelo 720 and Modelo 721
This article is for information only and reflects the regulatory, tax and registry framework as of 2026. International property purchases, binational tax planning and the transition of tax residency between jurisdictions require individual advice from qualified legal and tax professionals. Assets Golden does not provide legal or tax advice.
