Buying property in Spain: a complete guide for international buyers

Why buy property in Spain?

Spain has been one of the most popular destinations for Hungarian investors for years. EU membership provides a clean legal framework, and the Costa del Sol offers a unique combination of stable capital growth, high rental demand and quality of life.

The Spanish property market has delivered consistent price growth over the past 5 years. In prime Costa del Sol areas, new-build prices have risen by an average of 10-14% per year, while rental yields have ranged between 5-8%.

Buying property in Spain: the process step by step

1. Obtaining a NIE number

The Numero de Identificacion de Extranjero (NIE) is your foreign tax ID in Spain. It is mandatory for every property purchase. You can obtain it at the Spanish consulate in Budapest or at a local police station on-site. We handle it for you.

2. Opening a Spanish bank account

A Spanish bank account is required for the purchase. Major banks (CaixaBank, BBVA, Santander) offer English-language service. With our partners this takes 1-2 days.

3. Selecting and reserving the property

For new-build projects the reservation fee is typically 6,000-10,000 euros, deducted from the purchase price. This secures the unit for you, and the developer's bank guarantee protects your deposit.

4. Signing before a notary

Spanish property purchases are completed before a notary. The contract sets out the payment schedule, bank guarantees and technical specifications. We translate and explain every document.

5. Payment schedule

For new-builds the deposit is typically 30-40%, with the remainder paid in staged instalments tied to construction milestones. The final balance is due at key handover, optionally via a Spanish mortgage.

6. Key handover and possession

Once construction is complete there is an inspection, followed by signing the final deed before the notary. Then you receive the keys and can start furnishing or renting.

Additional costs for new-build Spanish property

When buying a new-build property in Spain, budget for:

• •VAT (IVA): 10% of purchase price
• •Stamp duty (AJD): 1.2%
• •Notary fee: approx. 800-1,500 euros
• •Land registry: approx. 400-800 euros
• •Legal fees: 1-1.5% of purchase price

Total additional costs amount to roughly 12-13% of the purchase price.

Bank guarantee: why it matters

Spanish law requires developers of new-build projects to provide a bank guarantee on every payment. This means that if the developer does not complete construction, the bank refunds your entire deposit. This is the most important safety net for the buyer.

Next step

If you are interested in buying property in Spain, request a free, personalised quote. Within 24 hours we will send you currently available Costa del Sol projects that match your budget and goals.