If you’re dreaming of owning a luxury property in Spain, understanding the legal and administrative steps involved is essential—especially if you’re a foreign buyer. From obtaining your NIE number to signing the final deed before a notary, this guide walks you through the complete process of buying a property in Spain as a non-resident.
Whether you're investing in a luxury home in Barcelona, a seaside villa in Costa Brava, or a historical property in Mallorca, following these steps will ensure a smooth and secure transaction.
1. Administrative requirements for foreign buyers in Spain
Before you can legally purchase real estate in Spain, there are two essential requirements:
· Get a Spanish Foreigner Identification Number (NIE)
The NIE (Número de Identificación de Extranjero) is a tax identification number required for any legal or financial transaction in Spain, including purchasing property. You can apply for it:
In person at a local police station or immigration office in Spain
At a Spanish consulate in your country of residence
Through a Power of Attorney (POA) to your lawyer, who can obtain the NIE on your behalf—often the easiest option for international buyers
· Open a Spanish Bank Account
To complete your real estate transaction, you'll need a Spanish bank account. This account is necessary for:
- Transferring the purchase amount
- Paying taxes and notary fees
- Setting up utilities like electricity and water
Note: In accordance with EU Anti-Money Laundering laws, Spanish banks will request documentation proving the origin of your funds, along with a valid passport or national ID.
2. Letter of intent (LOI) and good faith deposit
Once you've found your ideal property, the purchase process begins with a Letter of Intent (LOI).
What is a Letter of Intent in Spain?
The LOI is a formal written offer that includes:
If both parties sign the LOI, it becomes a legally binding reservation agreement, and the property is taken off the market.
Good faith deposit
To accompany the LOI, the buyer typically pays a good faith deposit—usually 1% of the offer price—into an escrow account managed by the real estate agency. This serves as a sign of serious intent and gives the seller confidence that the transaction will proceed.
3. Signing the arras contract
The Arras Contract is a preliminary sales agreement that legally binds both buyer and seller until the public deed is signed.
Key elements of the arras contract
If the seller backs out, the buyer is entitled to receive double the deposit.
If the buyer backs out, the deposit is forfeited.
At Max Ricart Luxury Properties we always recommend that clients hire an independent real estate lawyer with experience in Spanish property law. We can introduce you to trusted legal professionals who speak your preferred language and can guide you through the entire process.
4. Signing the public deed at the notary
The final step in buying a property in Spain is signing the public deed of sale before a Spanish notary.
The notary ensures that all legal requirements are met.
The balance of the purchase price is paid at this stage.
Once signed, the deed is submitted to the Land Registry.
At this point, ownership is officially transferred to the buyer.
5. Post-purchase obligations: taxes and utility setup
After the property deed is signed, there are several post-sale administrative tasks:
Pay applicable taxes, including:
A local legal advisor or property manager can assist with these steps to ensure a smooth transition.
Why work with Max Ricart Luxury Properties?
As a leading real estate agency specialized in luxury properties in Spain, Max Ricart offers:
· Personalized guidance throughout the entire property purchase process
· Trusted legal partners fluent in multiple languages
· Exclusive access to off-market listings in prime areas
· Experience with international buyers and tailored service to match your needs
Let us help you buy your dream home in Spain—securely, smoothly, and with complete peace of mind. Contact us, we'd be delighted to help you find your dream home.