Can a Foreigner Buy Real Estate in Spain: Rules, Stages, and Opportunities

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Can a foreigner buy property in Spain? Yes, it is legal, safe, and accessible under certain conditions. Spanish legislation does not restrict foreign citizens from the right to acquire real estate, whether it be an apartment, villa, house, townhouse, or commercial property. The transaction can be formalized for a physical or legal entity.

Buying property in Spain in 2025: what types of properties are available?

Are foreigners allowed to buy property in Spain? An expat can purchase any type of property: from a studio to a plot of land for construction, including apartments, hotels, office spaces, and warehouses. Restrictions only apply to plots located in strategically important areas, but such cases are extremely rare. Real estate in Spain is available to Russians in 2025, especially in Catalonia, Valencia, Malaga, and the Balearic Islands. Popular types of properties among foreign buyers:

apartments in the historical center or coastal area;
houses with a pool and sea view;
apartments in tourist complexes with services;
commercial spaces for rent;
plots of land with a construction project.

The choice depends on the goals — seasonal residence, relocation, rental, income generation, or immigration. The inevitable question arises: can you buy property in Spain? The answer is yes — the legislation does not restrict property rights for citizens of other countries, allowing them to freely acquire properties and process the necessary documents.

How can a foreigner buy property in Spain: step-by-step procedure

The transaction requires compliance with a number of legal and financial conditions. Before buying, it is necessary to obtain an individual tax number NIE (Número de Identidad de Extranjero). It is issued through the consulate or locally. Without it, it is impossible to open a bank account, sign a contract, or file declarations. The standard procedure includes:

obtaining NIE and opening a bank account;
property selection and legal verification (Due Diligence);
signing a preliminary agreement and making a deposit;
registration of the transaction with a notary;
payment of taxes and fees;
registration of the property in the state property register.

The registration process takes from 4 to 8 weeks. It is important to note that some documents need to be translated into Spanish, and all notarial actions are carried out exclusively in the original. For those wondering if a foreigner can buy property in Spain, this approach ensures legal protection and transparency of the transaction regardless of the buyer’s place of residence.

What expenses does a foreigner incur when buying?

The financial burden on the buyer includes not only the price of the property itself but also mandatory taxes, fees, and services of specialists. Different rates apply depending on the type of property: when buying new housing, a 10% VAT is charged, and when purchasing secondary real estate, a property transfer tax (ITP) of 6% to 10% is levied.

Additionally, fees for a notary, transaction registration, lawyer’s work, and translator are paid. If a mortgage in Spain is used by non-residents, costs for loan processing, including commission and insurance, which can amount to up to 2% of the loan amount, should be taken into account.

All calculations are made exclusively in euros, and funds must be transferred through official channels with confirmation of the source of origin. This procedure is provided to comply with the legislation and becomes particularly important when the question arises of whether a foreigner can buy property in Spain without risks and legal complexities.

Spanish citizenship when buying property: what rights does the purchase grant?

Buying a property does not automatically grant citizenship, but it opens up a range of immigration opportunities. With an investment of €500,000 under the Golden Visa program, residence permits for 2 years with the possibility of extension can be obtained.

This form of immigration allows legal residence in the country, free movement within the Schengen area, and conducting business activities through property ownership. The buyer obtains full property rights, can rent it out, use the local healthcare and education system. After 10 years of legal residence, the possibility of applying for citizenship arises.

However, it is important to understand that the path to citizenship involves meeting a number of conditions — having a valid residence permit, confirmed residence, language proficiency, and integration into society. The question “can a foreigner buy property in Spain” is directly related to the requirements, as buying property becomes the first step towards obtaining a passport.

Features of mortgage lending and tax reporting

Non-residents have access to mortgage programs in major Spanish banks. The down payment is 30–40% of the cost. Interest rates range from 2.5 to 4% per annum. The term is up to 25 years. The approach to foreigners is strict: the bank assesses solvency, checks credit history, and requires confirmation of stable income.

In addition, property owners are required to submit annual declarations. A foreigner renting out property pays a 19% income tax. For personal use, property tax (IBI) is paid, ranging from 0.4% to 1.1% of the cadastral value. A tax on unused property may also be levied. Basic tax obligations include:

property tax — 0.4–1.1%;
rental tax — 19% of income (without the possibility of deduction for non-residents);
profit tax on resale — 19–23%;
registration tax when obtaining a mortgage — 1–1.5%.

In the context of the question of whether a foreigner can buy property in Spain, it is precisely competent support and compliance with all formalities that guarantee the safety of investments and provide access to legalizing residence in the country!

Impact of citizenship and consular procedures

Citizens of CIS countries have the right to acquire property directly without the need to register companies. The presence of a visa does not affect the possibility of concluding a deal. If the property value exceeds €500,000, the path to obtaining a Golden Visa is opened, granting the right to stay in the country without time limitations.

Having a representative significantly simplifies the process, speeds up agreements with a notary, and facilitates financial transactions, making immigration to Spain more comfortable and transparent.

So can a foreigner buy property in Spain in 2025?

In 2025, more and more investors are wondering whether a foreigner can buy property in Spain without restrictions. The answer is unequivocally yes!

The purchasing procedure is structured, taxes are clear, and the legal protection of owners corresponds to European standards. For those looking for housing abroad, potential immigration, favorable mortgages, or stable rentals, the country remains one of the best destinations in the market!

Main myths about real estate investments

The real estate market has long been associated with reliability, stability, and the prospect of passive income. Advertising brochures and stories of successful investors shape the image of an ideal investment. However, in reality, many misconceptions hinder making an informed decision. These myths about real estate investments lead to incorrect assessment of income and expenses, blind faith in eternal price growth, and ignoring risks. A professional approach begins with dispelling illusions and moving on to the dry logic of numbers, documents, and the market.

Myth #1: Real estate always appreciates in value

Debunking the myth of real estate investments: the market is cyclical. Even in countries with stable economies, such as Germany or Canada, declines of 8 to 30% over a decade are recorded. In Russia, in 2015, apartments in rubles became more expensive, but in dollars, they halved in value. In the Moscow new construction market in 2023, stagnation was recorded: the price per square meter increased by less than 2%, with inflation at 11%.

Real reasons for deviations:

Market saturation.
Increase in housing supply.
Rise in the key rate of the Central Bank of Russia (in 2024 — up to 16%).
Tightening of mortgage conditions.

Myths about real estate investments often rely on the idea of endless growth. In reality, profitability without considering depreciation and inflation often does not exceed 3–5% per annum.

Myth #2: Rental income provides stable passive income

Renting out property is not always passive. Managing an apartment requires time, legal knowledge, and oversight. Vacancies, property damage, repair costs, non-payment — are common occurrences even in “liquid” locations.

Calculation example (Moscow, 2025):

Apartment cost 12.5 million ₽ (one-bedroom in a comfort-class residential complex).
Rental income 45,000 ₽/month or 540,000 ₽/year.
Expenses: taxes — 78,000 ₽, vacancy — 2 months (-90,000 ₽), repairs — 50,000 ₽, maintenance — 18,000 ₽.

Net income: 540,000 – 78,000 – 90,000 – 50,000 – 18,000 = 304,000 ₽ → yield ≈ 2.43% per annum. Conclusion: myths about real estate investments ignore real operational expenses, which consume a significant portion of the profit.

Myth #3: Investing in studios is always more profitable

Small size does not mean high profitability. Studios generate more income per square meter, but have lower liquidity, higher wear and tear, and more risks of vacancies.

Indicators for 2025 (Saint Petersburg):

Studio: 27 m², price — 5.3 million ₽, rent — 30,000 ₽.
One-bedroom apartment: 43 m², price — 7.9 million ₽, rent — 48,000 ₽.

Comparison:

Studio: yield — 6.7% (gross), but longer vacancies (on average 3 months).
One-bedroom apartment: yield — 6.1%, but higher demand for long-term rentals and families.

Risk factor: studios often fall into the economy segment with less financial stability of tenants.

Myth #4: Real estate investments are risk-free

Myths about real estate investments conceal many risks — legal, market, and infrastructural.

Real loss zones:

Developer goes bankrupt (example: Urban Group, 2018 — 14,000 equity holders affected).
Property not completed — need for lawsuits, compensations, shared equity construction fund.
Area loses attractiveness — changes in transport routes, emergence of industrial zones.
Property tax increase (in 2023 — 23% increase in cadastral value).

Conclusion: investments require legal expertise, technical assessment, and analysis of the district’s prospects. Relying on blind “intuition” leads to losses.

Myth #5: Yields of 8–10% are standard

In reality, such yields are only provided by rare deals with discounts, buying at the excavation stage, or participating in renovation. Average rental yield in million-plus cities is 2.5–5.2% per year.

Real cases:

Kazan: new construction, yield — 4.1%.
Krasnodar: secondary market — 2.7%.
Sochi (elite segment): vacancies up to 6 months → actual yield 1.9%.

Comparison: Federal Loan Bonds 26242 with a yield of 12.3% (as of June 2025) are often more profitable in terms of “risk/return” ratio.

Myth #6: Mortgage accelerates investment profitability

In conditions of high interest rates (in 2025 — 16–17%), a mortgage consumes all profitability. Even when rented out, the mortgage payment exceeds the rent.

Example:

Apartment: 9 million ₽.
Down payment: 2.7 million ₽.
Mortgage payment (17% for 20 years): ≈ 123,000 ₽/month.
Rental income: 55,000 ₽/month.

Monthly loss: ≈ -68,000 ₽ + insurance and taxes. Repayment comes from personal funds, not rental income. Conclusion: myths about real estate investments often rely on outdated rates from 2019–2020, ignoring the real cost of money.

Myth #7: You can do everything yourself

Debunking: self-management requires skills of a lawyer, real estate agent, accountant, and contractor. Mistakes in contracts, oversights in tenant evaluation, or incorrectly filed personal income tax declarations are a direct path to losses and fines.

List of key tasks in self-management:

Legal verification of the property.
Preparation of a lease agreement with force majeure clause.
Tax reports — annual declaration.
Control of payments and property maintenance.
Conflict resolution — before going to court.

Saving on an agent often leads to fines, long vacancies, and reduced income.

Myths about real estate investments: logic against illusions

A professional investor does not rely on intuition or rumors. The real market requires calculations, liquidity assessment, risk consideration, and understanding of financial scenarios. Myths about real estate investments conceal systemic errors: underestimation of costs, ignoring depreciation, belief in eternal growth. Profitability is only achieved with a sober approach, discipline, and technical analysis. Only then does real estate truly become a source of income, not a source of problems.

August 26, 2025

What is premium-class housing and why is it worth the money

Premium is not a sign at the entrance or a glossy magazine in the lobby. It starts with the question of what premium-class housing is, but ends with an answer in details: in architecture, engineering, infrastructure, location, and the feeling of space.

This market segment does not sell square meters — it creates an environment where every step is well thought out, from the view from the window to the Wi-Fi access point in the elevator. To understand where the line between “expensive” and “thoughtful” lies, it is worth delving deeper into numbers, projects, and examples.

Architecture that Speaks Volumes

Understanding what premium-class housing is helped by the architectural concept. The project does not replicate mass standards but dictates uniqueness — facades are finished with natural stone, ceramic granite, aluminum panels. The building declares its status even before entering.

Author’s architecture is used in the premium segment. Ceiling height ranges from 3.2 to 3.8 m, panoramic glazing, enlarged spans — every element emphasizes that standards are not applicable here.

Finishing and Engineering: Not Cosmetics, but Technology

Premium-class housing does not allow typical solutions. The development of engineering systems starts at the concept stage. Ventilation is supply and exhaust with filtration and humidification. Heating is convective or radiant, with point control.

Finishing is done according to the design project: natural stone in bathrooms, engineered wood in living areas, seamless stretch ceilings. “Smart home” systems are installed with remote control capabilities.

Finishing in premium means readiness for move-in without construction work. Apartments with full finishing include not only repairs but also built-in appliances and furniture.

Location and Surroundings: Not Just an Address, but a Point of Attraction

Location is a strategic variable in assessing premium-class real estate. Projects are concentrated in central districts of metropolises or in ecologically clean areas with well-thought-out logistics.

Walking distance to business centers, cultural sites, parks, embankments, and transport hubs is a basic characteristic. The developer selects not just a plot but an environment that enhances the value of the property.

Difference Between Business and Premium Housing

Premium stands out for personalization, delicate privacy, and technology. Business class may have standard layouts, while premium offers individual solutions with sound insulation up to 56 dB, soundproof partitions, and built-in storage systems.

Service level: in premium, security and concierge work 24/7, there are lounge areas, wine rooms, meeting rooms. The number of apartments per floor is 2–4. In business class, it can be up to 10.

Premium Class vs Elite Class: Where the Line Is Drawn

The premium-class housing segment is often confused with elite. The difference lies in the details: premium maintains a balance between functionality and prestige, while elite transitions into exclusivity.

The difference between premium and elite housing is expressed in scales: in the elite segment, construction of 8–12 apartments is possible, with apartments starting from 200 m², and panoramic views are mandatory. In premium, the area starts from 60–70 m², while comfort and finishing are not compromised.

Elite differs in location: it is often old buildings or mansions in secured areas. Premium includes multi-apartment buildings with limited access and a high level of security.

Classification of High-Budget Housing in Spain

In Spain, expensive real estate is traditionally divided into three categories: business, premium, and elite. Each reflects not only the price range but also expectations regarding the quality of architecture, finishing level, technical equipment, and surroundings.

Class	Average Area	Finishing	Price (per m²)
Business	60–100 m²	basic or white box	from €3,000 (Malaga, Alicante)
Premium	100–180 m²	designer, with appliances	from €6,000 (Barcelona, Madrid)
Elite	from 180 m²	individual project, turnkey	from €10,000 (Marbella, Ibiza)

This division helps developers form targeted sales strategies, and buyers find it easier to navigate the characteristics of the property: from engineering and service to location format and privacy level.

What Is Premium-Class Housing: Specific Characteristics

The premium segment is defined not by square footage but by spatial logic and comfort technology. Here, it’s not about the form but how it’s adapted to the owner’s lifestyle scenario.

The market records basic characteristics of premium class that influence demand:

Expanded layouts with master bedrooms and walk-in closets.
Separate storage rooms and laundry areas.
Large windows with warm aluminum profiles.
Balconies or terraces, even in central districts.
Lifts with individual card access.
Panoramic views — river, historic center, green areas.

Premium-class real estate offers a holistic concept of living in enhanced comfort, not just a set of square meters.

Parking, Infrastructure, and Regional Differences

Premium-class housing includes parking as a mandatory project element. Spaces are widened (from 2.8 m), individual storage systems (boxes) are used, and two-level mechanisms are often applied. In some projects, there is direct lift access to the parking area via a card.

Infrastructure is deployed within the complex: gym, yoga spaces, cafes, pet zones, and children’s clubs.

Documentation, Project, and Developer Requirements

The developer must present not just visualization but detailed technical documentation: site plan, architectural project, insolation calculation, facade passport, security systems, finishing specifications.

Project requirements: compliance with premium-class parameters according to the Unified Register of Developers (URD). Without this, the property will not be positioned in the upper segment.

Important: the project includes precise calculations of network loads, noise absorption levels, and population density. The buyer receives not abstract housing but a legally described and technically verified product.

What Is Premium-Class Housing: Differences from Other Classes

Premium class is not just a more expensive version of the business segment but a separate development philosophy. It sets new quality standards where every element contributes to the sense of status and comfort.

Main features:

Location: central districts, prestigious areas, pedestrian access to social, cultural, and transport facilities.
Architecture: unique facades, author projects, premium materials.
Area: from 70 m², focusing on master bedrooms, walk-in closets, and separate bathrooms.
Engineering: smart climate control systems, ventilation, leak and access protection.
Finishing: designer turnkey renovation using European brands.
Parking: underground parking with security system, possibility of installing electric chargers.
Infrastructure: complex autonomy, presence of commercial and entertainment areas inside.
Developer: well-known brands with proven reputation (e.g., MR Group, Donstroy, RBI, PSN Group).

All these parameters form a solid understanding of what premium-class housing is — as a self-sufficient ecosystem where every element is carefully considered.

What Is Premium-Class Housing: Conclusions

The market is shifting: instead of ostentatious luxury, buyers seek rational premiumness. In this context, understanding what premium-class housing is becomes crucial: it’s not about square footage, price, or gilded finishes. It’s a project that addresses specific needs — from privacy to ecology, from engineering to logistics. This is why real estate in this segment remains stable even during market fluctuations. Demand is sustained by quality, not advertising positioning.

August 24, 2025