Dreaming of buying a property in Spain? Our expert guide walks you through every step of the process, from deciding where to buy to navigating the Spanish buying system. Whether you’re planning a move or an investment, our team is here to help you manage property transactions with ease and confidence.
Ready to start your journey? Download our comprehensive guide and gain insights on everything from visas and fees to a helpful checklist to keep you on track.
When buying property in Spain, one of the biggest draws is the weather. Spain enjoys significantly more year-round sunshine than the UK. For instance, Málaga on the Costa del Sol basks in around 3,000 hours of sunshine annually, while Manchester only gets around 1,415 hours. Whether you’re relaxing by the pool at your new home, enjoying a drink on the terrace, or taking a dip in the ocean, Spain’s sunny climate ensures you’ll have the sun on your back nearly every day.
Buying property in Spain isn’t just about the home itself, but also about the lifestyle. Spain ranks as the fourth-best country in the world for work-life balance, according to the OECD Better Life Index, and it’s easy to see why. From the traditional afternoon siesta to an evening paseo through your neighborhood, the Spanish lifestyle prioritizes time for family, rest, and social activities—giving you the perfect balance after you settle into your new Spanish home.
One of the many benefits of buying property in Spain is its accessibility. Spain is a year-round destination with affordable flights to airports across the country. No matter where you’re located in the UK, whether Newcastle or Newquay, you’ll have quick and easy access to your Spanish property throughout the year. You can even opt for a road trip via ferry or the Eurotunnel, making Spain the perfect destination, whether it’s spring, summer, autumn, or winter.
Before embarking on your Spanish property search, you must decide what you want from a new home there. This might alter as you progress through the buying process, but by answering these questions you will start your buying journey with a good sense of direction.
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Reaffirming exactly why you want to buy a property in Spain can help motivate and direct you during the early stages of the overseas buying process. This could be anything from wanting a place to enjoy memorable holidays with family and friends to making a property investment in a cheaper market than the UK.
Once you know the ‘why’ behind buying property in Spain, you can move on to the ‘how.’ This is the time to refine your search criteria. For example, if you plan to visit for long weekends, you may want a property near an airport for easy access. On the other hand, if you’re relocating to Spain permanently, you might prefer a home near an established expat community, which will make your transition smoother and more enjoyable.
Establish a realistic budget that aligns with your financial position, so you know what you can and can’t afford from the off. This will prevent you from wasting time on viewings that are unsuitable or beyond your financial means. Don’t forget to budget for at least 10% extra for buying costs. Remember to shield your budget from exchange rate fluctuations. These market movements could cause the cost of your dream home to disappear out of reach between making an offer and completing.
Buying a property in Spain is about more than just finding the right home – you also need to know how to transfer your funds smoothly. At Lumon, we’re here to make the process as easy as possible. That’s why we’ve put together essential information you’ll need for sending money to Spain. From understanding Spanish bank details to typical timelines, we’ve got you covered so you know exactly what to expect.
When transferring money for a property purchase in Spain, keeping an eye on live exchange rates is essential. Even small fluctuations can impact how much you ultimately receive, which can affect your overall budget. Our currency specialists are here to help you protect your finances and optimise your currency strategy, ensuring you get the most out of your property purchase budget.
What are your top must-haves when buying property in Spain? It’s essential to answer a few key questions to identify your deal-breakers: Do you want to live in a coastal resort, a vibrant city, or a peaceful countryside retreat? How many bedrooms and bathrooms are essential for your lifestyle? Will you need parking, and do you envision having a garden or a swimming pool? Knowing these answers will guide you toward finding the perfect Spanish property.
Floating serenely in the Mediterranean, the Balearics are among the most popular tourist destinations in Europe – and it’s easy to see why: the ease of getting there, the year-round appeal, the intrinsic beauty, the secluded coves, the fishing villages, the nightlife. Each of the four islands that make up the Balearics displays a unique personality – the three most popular are: Mallorca The largest – and one of the more expensive parts of Spain to buy a home. Ibiza The clubbing capital of the world has a bohemian undercurrent that provides a welcome antidote to the island’s hedonism. Property is understandably pricey, but the summer rental appeal more than makes up for it if you want to explore that option. Menorca The easternmost Balearic island prefers a more sedate pace of life.
Costa del Azhar – which translates to “Coast of the Orange Blossom” in reference to the fragrant orange groves that dot its landscape – is one of Spain’s best-kept secrets. Sandwiched between Costa Daurada to the north and Costa Blanca to the south it’s home to Valencia – the birthplace of paella – Alcossebre, Benicassim, Peñiscola and Gandia. Equal in appeal to its costa contemporaries, it goes under the radar partly because Alicante – two hours drive to the south – is serviced by more flights from the UK than Valencia. House prices are, therefore, eminently more affordable than its neighbours along the coast.
Spain’s northernmost costa stretches from Barcelona to the Spanish–French border – where the Pyrenees meets the Mediterranean. This scenic region of Catalonia is widely regarded as one of Spain’s most beautiful costas, where unspoiled coves, spectacular seascapes, rugged headlands, and charming seaside villages are par for the course. Its location might make it a little chillier than its more southerly cousins in the off-season, but what it lacks in winter sun it makes up for in accessibility: low-cost flights take just two hours from Barcelona or Girona to London or Manchester.
What do you get if you combine yearround flights, year-round sun, and beaches to die for: holiday-home heaven is the answer – AKA Costa Cálida. This intoxicating 250-kilometre stretch of coastline is lined with magnetic resorts. La Manga and Mar Menor are the most popular areas with UK buyers, who can hop in a car at Murcia International Airport and be at their property in under 40 minutes and 30 minutes respectively.
The White Coast is the most popular choice with international property buyers in Spain – and by some distance: in 2022, 40% of home sales to foreign buyers were located on the long stripe of the Costa Blanca, trouncing its nearest rival, the Costa del Sol, by 16%. There’s something for everyone here – from the tower blocks of Benidorm, to the historic charm of Jávea, to the inland villages amongst verdant pine forests and palm trees. And to top it off, Alicante airport has year-round budget flights from every corner of the UK.
Another perennial favourite with overseas property buyers, the Costa del Sol is the embodiment of mass tourism, where once rural fishing villages have been engulfed by end-to-end resort towns – from the bling of Marbella to trailblazer Torremolinos, Spain’s first mass tourism destination back in the 1950s. The Sunshine Coast lives up to its name, with rays of sunlight beating down on its sandy shores for 320 days of the year. Golf enthusiasts are drawn to the region’s 70+ sun-drenched courses, earning it another moniker: the “Costa del Golf.” And with so many budget flights to Malaga airport, weekend trips are more than a possibility.
Costa del Sol’s Andalusian neighbour is more bohemian than bling. This unspoilt and relatively unexplored part of the region is known for its uncrowded beaches, rugged cliffs and laidback lifestyle. Its relaxing resorts include Roquetas de Mar, Almerimar, Carboneras, Mojácar and Vera, where you’ll find quaint harbours or vast sandy beaches. Almeria Airport is conveniently serviced by easyJet and Ryanair from many UK airports.
It’s a similar story to the west of the Costa del Sol from Gibraltar up to the Portuguese border. Planned development gives way to blonde, windswept beaches – home to a thriving watersports scene – and swathes of farmland on the Coast of Light. That’s not to say there aren’t large-scale resorts around here. Head west to the area known as “Spain’s Algarve” and you’ll find tourist hotspots like Isla Cristina. Property is more affordable than in the neighbouring Costa del Sol and Portuguese Algarve. You’re spoilt for choice when it comes to visiting your property, with four airports offering flights to the region from the UK: Gibraltar, Seville, Jerez and Faro, across the border in Portugal.
Nestled off the coast of Morocco in the Atlantic Ocean is an archipelago consisting of seven islands of varying size, geography and energy. People come to this Spanish Autonomous Community for the year round warmth, beach-hugging resorts and cheap holiday apartments and stay for the scented pine forests, looming volcanoes, and Sahara-style dunes. With plenty of year-round flights taking a jetlag free four hours, the Canaries are a great option for some winter sun.
The four largest islands attract the most overseas property buyers:
1. Tenerife The largest island in the archipelago attracts a whopping six million visitors a year. Its famous southern resorts like Playa de las Américas provide the biggest draw but scratch the island’s surface and you’ll discover remote mountainside villages, picturesque port settlements and alluring ancient towns.
2. Fuerteventura Blown by the wind and baked by the sun, Fuerteventura is – like many of its neighbours – a magnet for water sports enthusiasts. This has given rise to intriguing resorts like Corralejo which expertly combine a vibrant surf culture with traditional Spanish package tourism.
3. Gran Canaria, the third-largest island in the Canaries’ is home to almost half the population. Its lucky inhabitants enjoy a captivatingly diverse terrain for such a small island – from the verdant north to the craggy mountainous interior to the sandy south.
4. Lanzarote Lanzarote is an intriguing combination of tourist resorts, whitewashed villages, volcanic cones – there are around 300 of these landscape-defining features – and blackened lava fields. The island’s rocky and wild landscape can make arriving here feel a bit like landing on the moon.
If you plan to spend more than 90 days out of every chunk of 180 sunning yourself in Spain, you will need to get a visa. There are a couple of exceptions to the rule: you have been resident in Spain before or you’re joining a close family member covered by the Brexit Withdrawal Agreement.
If you don’t fall under either category and you want to stay in Spain permanently for the first time, this shouldn’t be a problem provided you have: a work visa or sufficient savings to avoid working, medical insurance, and no serious criminal convictions. Check with the Spanish consulate in the UK regarding what type of visa and/or work permit you may need.
For more information about the requirements and advantages of each visa, download our complete Buying a Property in Spain guide.
This residency through investment scheme allows foreign buyers to gain residency by purchasing a home worth €500,000 or more without a mortgage. There are several compelling benefits of this type of visa including being able to apply for citizenship after residing in Spain legally for at least ten years.
If the property you’re purchasing is worth less than €500,000 and you wish to live, but not work in Spain, you can apply for a Non-Lucrative Visa – making it a common option for retirees wishing to live in Spain. Initially valid for one year, it can be renewed every two years until you reach the five-year quota for permanent residency. You can also apply for a work visa after 12 months.
If you plan on living and working in Spain, you must obtain a work and residence visa. If you’ll be employed you must have a job offer before moving, then your employer can apply on your behalf – you can’t apply. If you set up a company in Spain and become self-employed, you will need to apply yourself.
Choosing the right estate agent is essential to finding a property that suits your needs in Spain. First, ensure the agent is registered with a regulatory body in Spain. Read reviews and testimonials to confirm they understand your requirements and can help you negotiate a fair price with the seller. Finally, assess their responsiveness to ensure they are proactive in addressing your inquiries.
An independent financial adviser (IFA) can assist with crucial financial aspects of your property purchase, including budgeting, managing your finances, and reducing costs. They can also help with other financial matters like pensions and taxation related to your move. If you’re not a cash buyer, you’ll likely need to consult a mortgage adviser, who can also provide guidance on life insurance.
When buying property in Spain, the amount of tax you’ll pay depends on the type of property (new or resale) and the region. For resale properties, you’ll pay a transfer tax (Impuesto de Transmisiones Patrimoniales, or ITP), typically between 6% and 10% of the property’s purchase price, depending on the region. For new builds, you’ll pay VAT (IVA) at 10%, plus an additional document tax (AJD) ranging from 0.5% to 1.5%, depending on the region. It’s important to check local regulations, as tax rates can vary slightly across Spain’s autonomous communities.
Buying property in Spain can be rewarding, but there are potential pitfalls to be aware of. These include unfamiliar legal processes, hidden fees, and potential issues with property titles, such as unresolved debts attached to the property. It’s crucial to hire a reputable, independent lawyer who is fluent in both Spanish and English to navigate the process. Also, fluctuations in exchange rates could impact your overall budget, so securing a favourable rate when transferring money can make a big difference.
Mortgage stamp duty or AJD (Impuesto de Actos Jurídicos Documentados) is one of the taxes associated with the purchase and sale of a home in Spain. If you’re buying a new-build property, you will need to pay an AJD tax which is usually between 0.5% and 1.5% of the purchase price, depending on the region. For resale properties, the main tax to account for is the transfer tax (Impuesto de Transmisiones Patrimoniales, or ITP), which typically ranges from 6% to 10%.
Yes, as a British citizen, you can buy property in Spain even if you are not a resident. The process is the same as for residents, though you’ll need to obtain a Foreigners Identification Number (NIE), which is required for any property transaction. Keep in mind that if you plan to spend more than 90 days in Spain within a 180-day period, you may need to apply for a visa, as Brexit has affected the previous freedom of movement. Additionally, owning property does not automatically grant you residency status.
Our team of currency specialists have the local market knowledge to help you navigate the process of buying a property in Spain. With our international real estate expertise, we’re here to help make the process hassle-free.
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My Spanish estate agent recommended Lumon and they were without any doubt the best company I have dealt with in many years. They were thoroughly professional, reassuring, very easy to deal with and efficient.
Whether you’re buying a property abroad, sending a one off payment or require regular payments, we’re here to help.
At Lumon we understand what it takes to help you buy property abroad successfully. We tailor our specialist overseas property service to meet your individual needs, so you can make international payments with confidence. We’re here to help you make the most of your budget with no hidden fees.
This chart is intended to represent the range of euro outcomes a consumer may achieve on a £50,000 transfer of pounds to euros, inclusive of fees and charges. Comparison data for the high-street banks is from FXC Intelligence (FXC Intelligence | Payments Market Data for Global Payments).
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