What Every First-Time Buyer in Spain Needs to Know

One of the biggest surprises for first-time buyers is that Spain does not operate a centralised estate agency system. Multiple agents can advertise the same property, often at different prices and with varying levels of information.

There is also no concept of "sold subject to contract" in the same way as in some other countries. Until contracts are signed and a deposit is paid, properties can still be sold to another buyer.

This means:

• You must move forward in a structured and informed way
• Verbal agreements offer no legal protection
• Professional guidance is essential from an early stage

Understanding the process before you start viewing homes puts you at a major advantage.

Foreigners are allowed to buy property in Spain, whether they are residents or not. However, you must have an NIE number (Número de Identidad de Extranjero) to complete a purchase.

The NIE is required for:

• Buying property
• Paying taxes
• Opening a Spanish bank account
• Signing contracts at the notary

You don't need the NIE to view properties, but you should plan to apply for it early, as delays can slow down the buying process once you find the right home. Read more about legal requirements for buying property in Spain.

Many first-time buyers focus only on the advertised property price and overlook additional costs. In Spain, buyers should budget approximately 10–15% on top of the purchase price to cover taxes and fees. See the total cost with our cost calculator.

These costs typically include:

• Property transfer tax (resale) or VAT (new build)
• Notary fees
• Land registry fees
• Legal fees
• Administrative costs

Knowing your true budget before starting your search helps avoid disappointment and ensures you only view properties that are realistically within reach.

First-time buyers often underestimate how important location is in Spain. Two properties with the same price and size can offer very different lifestyles, running costs, rental potential, and long-term value depending on where they are located.

Before you start viewing, consider:

• Year-round living vs holiday use
• Proximity to airports and transport
• Local amenities and services
• Noise levels and seasonal tourism
• Community fees and urbanisation rules

Choosing the right area first makes the property search far more efficient.

If you plan to finance your purchase, it's important to understand that Spanish mortgages are more conservative than in some other countries.

In general:

• Non-residents can borrow up to 60–70% of the property value
• Residents may be eligible for up to 80%
• Banks assess income, age, and existing debts carefully
• Approval can take longer than expected

It's wise to explore financing options early, even if you are not certain you'll need a mortgage. Use our mortgage calculator to estimate monthly payments.

This is one of the most important rules for first-time buyers in Spain.

Your estate agent cannot legally protect you. A qualified, independent property lawyer ensures:

• The property is legally registered
• There are no debts, charges, or planning issues
• Contracts are fair and accurate
• You understand exactly what you are signing

A good lawyer does not slow the process down—they make it safer and smoother.

When viewing homes in Spain, it's easy to focus on the house itself and forget the wider picture. First-time buyers should also pay attention to:

• Sun orientation and natural light
• Access roads and parking
• Noise from neighbours, bars, or traffic
• Community rules and monthly fees
• Future development plans nearby

Asking the right questions during viewings can prevent costly surprises later.

Unlike some markets, Spain offers opportunities all year round. However, first-time buyers often benefit from searching outside peak tourist seasons, when:

• There is less competition
• Agents have more time to focus on you
• Negotiations can be more flexible
• You see the area as it really is year-round

Starting your search with a long-term perspective helps you make better decisions.

Buying property in Spain should never feel rushed. Pressure tactics, "today-only" deals, or emotional decisions are common causes of buyer regret.

A structured search allows you to:

• Compare multiple properties
• Understand fair market value
• Refine your preferences
• Move forward with confidence

The right property will still make sense after careful consideration.

First-time buyers who prepare properly enjoy a smoother, safer, and more enjoyable buying experience. Before starting your search, you should aim to have:

• A clear budget (including costs)
• An understanding of the buying process
• A short list of preferred locations
• Professional support in place

This preparation transforms the property search from stressful to rewarding.

Buying property in Spain can be one of the most rewarding decisions you ever make—but only if you start the journey informed and prepared. Understanding the basics before you begin viewing homes allows you to ask the right questions, avoid common mistakes, and make confident decisions.

At Property Investment Spain, our goal is to help first-time buyers understand the process clearly, so they can enjoy the experience and focus on finding the right home, not fixing avoidable problems later.