Buying property in Spain in 2026. The legal mistakes foreign buyers still make

Spain remains one of the most popular destinations in Europe for international property buyers, with the Costa Blanca and Costa Cálida continuing to attract retirees, second home owners, investors, and remote workers from around the world.

For many buyers, the dream is simple. Sunshine, lower living costs, excellent transport connections, and a better quality of life. But while purchasing property in Spain can be straightforward, legal mistakes made early in the process can become extremely expensive later.

According to Sun Lawyers, one of the biggest problems they see is buyers moving too quickly before proper legal checks are completed.

The most important step before buying property in Spain

One of the first things buyers should understand is that having an independent lawyer is essential before signing anything or paying deposits.

This is especially important when buying through estate agents or directly from developers, where legal representatives may not always be fully independent from the transaction itself.

An independent lawyer should check:

• Ownership of the property.
• Outstanding debts or charges.
• Planning permissions and licences.
• Community fees and obligations.
• Contract terms and conditions.
• Land Registry information.

According to Sun Lawyers, many foreign buyers only discover problems after completion. It’s best to complete the legal checks before falling in love with a property to avoid costly and complicated problems in the future.

What foreign buyers need before purchasing in Spain

Before a property purchase can proceed in Spain, buyers will typically need:

• An NIE number, which is the Spanish tax identification number required for legal and financial transactions.
• A European IBAN bank account. An account with e-banks like Revolut is also accepted as they carry European IBAN numbers too. 
• Power of Attorney so that Sun Lawyers can act for you whilst you are in the comfort of your own home.

If Sun Lawyers has a Power of Attorney and you are purchasing they can obtain your NIE numbers, open a Spanish bank account for you should you require one and they can even sign the purchase for you should you not want to or simply cannot attend the signing on the day of purchase and sale at the Public Notary.

If you are selling and have given Sun Lawyers Power of Attorney then they can carry out the sale on your behalf right up to signing the sale at the notary and getting the sale’s funds over to you in your country of residence, all whilst you carry on with daily life.

The firm says many international buyers choose to use Power of Attorney so legal representatives can handle paperwork, bank arrangements, and notary appointments on their behalf.

Does Brexit affect UK buyers purchasing property in Spain?

While Brexit changed residency rules for British nationals, UK citizens can still freely buy property in Spain. However, ownership of a property does not automatically provide residency rights.

British nationals who would like to stay in Spain for longer than 90 days within a 180 day period will require the appropriate visa or residency status depending on their circumstances.

EU citizens continue to benefit from freedom of movement, while non EU nationals may face additional visa and tax considerations depending on their country of origin.

New builds and off plan purchases carry extra risks

Off-plan and new-build properties remain popular across many coastal regions of Spain, particularly among international buyers searching for modern developments and rental investment opportunities. However, legal experts say these purchases require particularly careful due diligence.

Important checks include:

• Developer financial stability.
• Valid building licences.
• Deposit protection guarantees.
• Contract clauses and completion terms.
• Construction deadlines.

Sun Lawyers warns buyers should never assume protections are automatically in place simply because a development is actively being marketed internationally.

How much does it cost to buy property in Spain?

Many foreign buyers are not fully aware of the additional costs involved beyond the purchase price itself.

In most cases, buyers should budget around 10 to 13 per cent extra to cover taxes, legal costs, and administrative fees.

These can include:

• Property Transfer Tax for resale homes.
• VAT on new builds.
• Stamp Duty.
• Notary fees.
• Land Registry fees.
• Legal representation.

The exact costs vary depending on the region, property value, and whether the property is a resale or new build purchase.

Holiday rentals

Short term tourist rentals remain attractive for many overseas buyers, especially in popular areas of the Costa Blanca and Costa Cálida. However, Spain’s tourist rental regulations have tightened considerably in recent years. Many regions now require:

• Tourist rental licences.
• Community approval in some buildings.
• Specific tax declarations.
• Compliance with local tourism regulations.

The tax on rental income may also differ depending on whether owners are Spanish residents, EU citizens, or non EU residents.

Why legal advice matters before signing anything

Buying property abroad is often one of the largest financial decisions people will ever make, yet many buyers still enter the Spanish market without fully understanding the legal process.

Sun Lawyers says early legal advice is often the difference between a smooth purchase and years of complications.

Sponsored by Sun Lawyers. First consultation free. Based on information provided in their sponsored guide. 

Contact Sun Lawyers 

Sun Layers have been helping people on the coast for over 40 years, and have expanded to 11 offices across the Costa Blanca and Costa Cálida. 

Fluent in more than nine language, Sun Lawyers specialise in immigration, residency, property law, conveyancing, taxation, inheritance, and legal support. This means they help foreign residents navigate every step of building a life in Spain.  

To find out how Sun Layers can help you, click here. 

Or, contact Sun Lawyers +34 965 321 193 or 0330 223 7699