Frequently Asked Questions

Yes. Spain places no nationality or residency restrictions on property ownership. Buyers of any nationality can purchase and own property in Spain regardless of whether they live here. The practical requirements are a valid passport and a NIE number — your lawyer can obtain the NIE on your behalf if needed.

A NIE (Número de Identificación de Extranjero) is Spain's foreigner identification number. It is mandatory for all property purchases, tax payments, utility contracts and most financial transactions in Spain. You cannot sign contracts or complete a purchase without one.

Your lawyer can apply for a NIE on your behalf via Power of Attorney, or you can apply in person at a Spanish consulate in your home country. Allow 2–4 weeks if applying from abroad. We recommend starting this process as early as possible, ideally before you begin viewings.

No. You can grant your lawyer Power of Attorney (Poder Notarial) to sign all contracts and complete the purchase on your behalf. Many of our international clients purchase remotely. That said, we always recommend at least one in-person visit before committing to a purchase — particularly in the luxury segment where the feel of a property, its orientation and its neighbourhood character are difficult to assess fully from photographs or video.

Yes. Property in Spain can be owned by an individual, a Spanish SL company (Sociedad Limitada), or an overseas holding vehicle. Each structure has different implications for IBI, income tax on rental earnings, Wealth Tax, and Capital Gains Tax on eventual resale. The optimal structure depends on your personal circumstances, country of residence and intentions for the property. Your tax advisor should be consulted before you decide — ideally before an offer is made, as changing structure after completion is costly.

For a straightforward cash purchase: 4–8 weeks from accepted offer to completion is typical. This allows time for due diligence, NIE application if needed, and contract preparation. Mortgage purchases take longer — 8–16 weeks is standard, as the bank valuation and approval process adds several weeks. New-build purchases are governed by the developer's construction and handover timeline, which can range from immediate (for completed stock) to 18–36 months for off-plan projects.

No. Spain's Golden Visa programme — which previously granted residency rights to non-EU buyers investing €500,000 or more in property — was abolished on 3 April 2025. New applications are no longer accepted. Alternative routes to Spanish residency include the Non-Lucrative Residence Visa (for those with sufficient passive income), the Digital Nomad Visa (for remote workers) and other permits depending on personal circumstances. Confirm the current position with your lawyer, as immigration rules evolve.

Resale properties are sold by a private owner or an investor. They attract Transfer Tax (ITP) at 7%. You can typically complete in 4–8 weeks. What you see is what you get — for better or worse.

New build properties attract VAT at 10% plus Stamp Duty at 1.2%. For off-plan purchases, payments are staggered during construction — typically 10–30% on reservation, further stage payments during construction, and the balance on completion. By Spanish law (LOE), all pre-completion payments must be covered by a bank guarantee — your lawyer must verify this is in place before any payment is made. New builds also come with a 10-year structural warranty.

Budget 8.5–9% extra for a resale property and 12–13% extra for a new build. These figures cover:

• Transfer Tax (resale) or VAT + Stamp Duty (new build)
• Notary fees (typically €500–€2,000 depending on complexity)
• Land Registry inscription fees (typically €200–€800)
• Legal fees (typically ~1% of the purchase price)

We are happy to provide a precise cost estimate for any specific property before you make an offer.

Since April 2021, Andalucía applies a flat Transfer Tax rate of 7% on all resale property purchases. This replaced the previous tiered system and applies regardless of the purchase price. The tax is paid by the buyer and must be settled within 30 working days of completion.

A reduced rate of 2% exists for qualifying real estate professionals purchasing with the intention to resell — this is subject to strict conditions including a €500,000 property value cap and a 2-year resale deadline, and must be declared in the purchase deed. It does not apply to standard buyers.

IBI (Impuesto sobre Bienes Inmuebles) — Spain's annual council tax, based on the property's cadastral value. Rates vary by municipality. Benahavís has the lowest IBI rates in Spain, making it significantly cheaper to hold property there annually than in the Marbella municipality for an equivalent property.

Rubbish collection tax (Basura) — a modest annual charge, typically €100–€400.

Non-Resident Income Tax (IRNR) — if you are non-resident in Spain and do not rent your property out, you still pay an imputed income tax annually. This is calculated as 1.1% of the cadastral value × 19% (for EU/EEA nationals) or 24% (for others). Your tax advisor handles the annual filing.

Wealth Tax — applies to net Spanish assets above €700,000 per person (residents receive an additional €300,000 primary residence deduction). Rates range from 0.2% to 3.5%. A Solidarity Tax applies to net assets above €3,000,000.

The Plusvalía Municipal (Impuesto sobre el Incremento de Valor de los Terrenos de Naturaleza Urbana) is a municipal tax on the increase in the official cadastral value of the land element of a property since it was last transferred. It is paid by the seller, not the buyer. The amount varies depending on the municipality, the land value and the time elapsed since the last transfer. For apartments and townhouses it is typically modest; for large-plot villas it can be more significant. Your lawyer will calculate and manage this as part of the sale process.

The municipality of Benahavís applies the lowest IBI (annual council tax) rates in Spain. For properties in La Zagaleta, La Quinta, Los Arqueros, Los Flamingos and other Benahavís addresses, the annual IBI saving compared to an equivalent-value property in the Marbella municipality can amount to several thousand euros per year. Over a long holding period this is a meaningful financial advantage and is one of the reasons that Benahavís estate properties have attracted particularly strong investment interest from financially sophisticated buyers.

The reservation contract (Contrato de Reserva) takes the property off the market while your lawyer conducts due diligence. It is accompanied by a reservation deposit — typically 1% of the purchase price. If you withdraw after signing, this deposit is non-refundable. If the seller withdraws, they must return double the deposit. The reservation period is typically 2–4 weeks, during which your lawyer completes the legal checks before the private purchase contract is signed.

The private purchase contract (Contrato Privado de Compraventa) is a binding agreement between buyer and seller setting out all terms of the sale — price, payment schedule, completion date and conditions. At this stage, total payments reach 10% of the purchase price (including the reservation deposit). If you withdraw after this point without legal justification, you forfeit the full 10%. If the seller withdraws, they must return double your deposit. This mutual penalty structure makes both parties fully committed.

Yes, you need one — and they should be independent from both us and the seller. Your lawyer: verifies that the seller has clean title and the legal right to sell; checks the Land Registry for outstanding mortgages, charges or debts; confirms the property is legally compliant from a planning perspective; reviews all contracts before you sign; manages the NIE application if needed; and represents you at the Notary on completion day.

On the Costa del Sol, planning history is particularly important to check. Some properties have complex legal histories and your lawyer's due diligence on this point is not a formality — it is essential protection. We can introduce you to independent lawyers with extensive local experience.

Both buyer and seller (or their legal representatives with Power of Attorney) attend the Notary's office. The Notary reads and witnesses the signing of the title deed (Escritura Pública). The balance of the purchase price is paid — typically by banker's draft (cheque bancario) drawn on a Spanish bank. Once signed, ownership transfers immediately. The Notary submits the deed to the Land Registry; full registration typically takes 2–8 weeks. You receive a notarised copy of the deed and your lawyer handles the subsequent Land Registry and tax formalities.

When a non-resident sells property in Spain, the buyer is legally required to withhold 3% of the purchase price and pay it directly to the Spanish Tax Authority (Agencia Tributaria) as a deposit against the seller's Capital Gains Tax liability. This is not an additional cost to the buyer — it is deducted from what would otherwise be paid to the seller. Your lawyer handles this automatically at completion. If the seller's actual CGT liability is less than the 3% withheld, they can claim the difference back from the tax authority.

By Spanish law (LOE, Law 38/1999), all stage payments made before completion of a new-build property must be covered by a bank guarantee or insurance policy. If the developer fails to complete by the contractually agreed date, the buyer has the right to reclaim all money paid plus legal interest. Your lawyer must verify that the guarantee is in place and valid before any payment is made. We only work with developers who comply with this requirement.

Yes. Spanish banks offer mortgages to non-residents, though on more conservative terms than for residents. Non-residents can typically borrow up to 50–60% of the lower of the purchase price or the bank's independent valuation. Residents can borrow up to 80%. The lending rate is based on the bank valuation — if this is below the purchase price, you need to fund the difference personally.

It is not legally required to purchase property, but it is strongly advisable. A Spanish account makes community fee payments, IBI, utility direct debits and mortgage payments straightforward. Opening a non-resident account with a Spanish bank requires your passport and NIE number and is typically completed within a few days. We can recommend banks with experience working with international buyers.

Spanish anti-money-laundering regulations require buyers — particularly at the luxury end of the market — to document the source of their purchase funds. This typically includes bank statements, tax returns or accountant's letters confirming the legitimate origin of the funds. The specific requirements depend on the transaction size and the buyer's profile. Your lawyer will advise on what is needed for your specific situation. Starting this process early avoids delays at the critical contract stages.

The Beckham Law (Régimen especial de trabajadores desplazados, or Ley Beckham) allows qualifying individuals who become Spanish tax residents to pay a flat income tax rate of 24% on Spanish-source income (up to €600,000) for the first six years of their Spanish tax residency, rather than the standard progressive rates. It also limits Wealth Tax exposure to Spanish assets only, rather than worldwide assets. The regime must be applied for within six months of registering as a Spanish resident. Eligibility depends on your employment or business situation. Your tax advisor should assess whether this applies to you before you establish residency.

For a typical villa in the €1–3M range, annual running costs (IBI, community fees, utilities, insurance, routine maintenance) commonly total €15,000–€40,000 depending on property size, location and community. In La Zagaleta, community fees alone run to €15,000–€30,000 annually, reflecting the resort infrastructure they fund. These fees are not a cost to minimise — they are the mechanism that maintains the quality of the environment that sustains property values.

For apartments in managed complexes, community fees typically range from €2,000 to €8,000 per year depending on the level of communal amenities provided.

Most international buyers who are not year-round residents use a property management service. A good property manager handles key holding, routine inspections, maintenance coordination, pool and garden upkeep, utility management and pre-arrival preparation. Many also manage rental bookings if the owner wishes to let the property during periods of non-use. We can recommend property management companies with experience across the areas we cover.

Cosmetic and decorative works — painting, flooring, kitchen and bathroom refits that do not alter the structure — generally do not require a licence. Structural works, extensions, changes to the building footprint or any modification to the building envelope require a municipal licence (licencia de obras) from the relevant town hall. Processing times vary considerably: Benahavís is generally faster and more straightforward than Marbella municipality. Your architect will advise on the specific requirements. Never commence licensable works without the licence in place — it creates legal complications that are expensive to resolve at the time of eventual sale.

Yes. In Andalucía, properties used for short-term holiday rental must be registered as a Vivienda de Uso Turístico (VFT) with the Junta de Andalucía's tourism register. The licence is property-specific and the registration number must appear on all advertising and booking platforms. Operating without a licence risks significant fines. The application process is handled through the Junta de Andalucía's online portal and typically takes 4–8 weeks. Some communities and urbanisations have their own additional rules — La Zagaleta being one example — so always confirm community regulations before purchasing with rental in mind.

Non-residents from EU/EEA countries pay 19% on net rental income (gross income minus allowable expenses). Non-residents from outside the EU/EEA pay 24% on gross rental income — expenses cannot be deducted. Rental income must be declared quarterly. Your tax advisor or gestoria handles the filings. Failure to declare rental income is a common and increasingly enforced compliance issue — the Spanish tax authority cross-references booking platform data with declared income.

Short-term (tourist) rentals — less than 2 months, require a VFT licence, governed by Decreto 28/2016 in Andalucía. More flexible for the owner in terms of regaining possession.

Long-term rentals — governed by Spain's Urban Leases Act (LAU). Minimum contracts are typically 1 year, and tenant rights are strong — a tenant on a long-term contract is entitled to renew for up to 5 years (7 years if the landlord is a company). Eviction of non-paying tenants through the courts can be slow. Choosing tenants carefully and using a well-drafted contract is essential.

Capital Gains Tax (CGT) — on any profit made between the purchase price and the sale price, adjusted for allowable costs (purchase taxes, legal fees, improvements). Non-residents pay 19% on any gain. Residents pay 19–28% depending on the size of the gain. If you are non-resident, the buyer withholds 3% of the purchase price at completion as a deposit against your CGT liability — your tax advisor manages the declaration and any refund if the actual tax is less.

Plusvalía Municipal — paid by the seller (see the Costs section above).

This varies considerably by area, price point and how the property is marketed. At the luxury end, a well-priced property with high-quality marketing typically generates serious interest within 1–3 months. Properties that are overpriced relative to market can sit for 12 months or more before the price is adjusted to the level the market will accept. Realistic pricing from the outset, combined with professional presentation and broad market exposure, consistently delivers the best outcomes. We provide honest market appraisals and will not simply tell you what you want to hear on price.

The key documents a seller needs include: the original title deed (Escritura), the most recent IBI receipt (confirming taxes are up to date), a certificate from the community of owners confirming no outstanding debts, an energy performance certificate (Certificado de Eficiencia Energética — legally required for all sales and rentals), and the Cédula de Habitabilidad (habitation licence) if applicable. Your lawyer will compile and verify these documents as part of the sale preparation. We recommend starting this process before the property is listed to avoid delays once a buyer is found.

Day-to-day living costs — groceries, eating out locally, local services — are generally 20–30% lower than in the UK or Scandinavia. International schools, private healthcare and luxury lifestyle costs (fine dining, beach clubs, golf memberships) are broadly comparable. Utilities are cheaper than Northern Europe but have risen in recent years. Property running costs depend heavily on the size and location of your home. The overall cost of living is widely regarded by international residents as excellent value relative to the quality of life available.

The western Costa del Sol has an excellent network of international schools across different curricula:

• Swans International School (Sierra Blanca) — British curriculum, highly regarded, known for strong pastoral care
• Aloha College (Nueva Andalucía) — IB curriculum, well-established international community
• English International College (Marbella East) — British curriculum, one of the largest on the coast
• Laude San Pedro International College (San Pedro) — British curriculum, convenient for the western area
• Atalaya Colegio Internacional (Estepona) — bilingual Spanish-English, closest school to Los Flamingos and the New Golden Mile
• Sotogrande International School — IB with boarding, for families who travel extensively

Most of these schools have waiting lists and early registration is advisable, particularly for Swans and EIC.

Marbella has an excellent private healthcare infrastructure. The main private hospitals — Hospital Ochoa, Hospital Quirón Salud Marbella, Hospiten Marbella and Hospiten Estepona — provide a comprehensive range of specialist services to a high standard. The Hospital Costa del Sol is the main public hospital serving the western Costa del Sol. Private health insurance is standard for the international resident community and provides fast, direct access to private hospital care. Several specialist clinics — cardiology, oncology, orthopaedics, dermatology — operate alongside the hospitals, and the quality of cosmetic and aesthetic medicine in Marbella is particularly well regarded internationally.

EU citizens register at their local town hall (Ayuntamiento) on the Padrón Municipal — the municipal register. This is the primary registration and entitles EU residents to use the public healthcare system via the Spanish social security system. Non-EU citizens require a residence visa before they can register. If you spend more than 183 days per year in Spain you are legally required to register as a tax resident with the Agencia Tributaria (AEAT). Your lawyer or gestoria can guide you through the registration process for your specific nationality and circumstances.

Marbella consistently ranks as one of the safest areas in Spain and among the safest in southern Europe for residents and visitors. Violent crime rates are very low. The most common crimes are opportunistic theft — particularly in tourist-heavy areas in peak summer. The gated communities that characterise much of the luxury residential market — La Zagaleta, Sierra Blanca, Nueva Andalucía's golf valley — provide an additional layer of security with 24-hour guards, access control and CCTV. Families with children consistently cite personal security as one of the qualities of life in Marbella that exceeds their expectations.