Buying Property in Spain as an American – Legal Guide

Thinking about buying a vacation home, investment property, or retirement pad in Spain? As a U.S. citizen, you can legally purchase property in Spain without any restrictions — but there are important legal, tax, and residency implications to consider.

Here’s what Americans need to know before signing on the dotted line in Spain.


🏠 Can Americans Buy Property in Spain?

Yes, absolutely. Spain welcomes foreign property buyers, and there are no nationality-based restrictions for Americans. You can buy:

  • Apartments

  • Villas

  • Townhouses

  • Rural land

  • Commercial spaces

📝 However, legal guidance is essential to avoid:

  • Title issues

  • Construction irregularities

  • Seller debt liabilities

  • Fraudulent contracts


🔍 What You’ll Need to Buy a Home in Spain

1. ✅ NIE Number (Foreigner ID)

Required for all legal, tax, and real estate transactions.
🗓️ Get it before or during the purchase process.
📍Apply via Spanish consulate or in Spain with POA.

2. ✅ Spanish Bank Account

You’ll need this to pay taxes, utility bills, and sign the notary deed.

3. ✅ Due Diligence & Legal Checks

Have a Spanish lawyer:

  • Verify land registry records

  • Confirm zoning and building permissions

  • Check for debts or encumbrances

  • Draft or review the Contrato de Arras (deposit agreement)

4. ✅ Power of Attorney (Optional)

If you can’t travel to Spain, your lawyer can handle everything for you remotely via POA.


💶 Costs & Taxes for Americans Buying Property

Expense Approximate Amount
Property Transfer Tax (ITP) 6–10% of sale price
Notary & Land Registry Fees 1–2%
Legal Fees 1–1.5%
Bank Fees / Mortgage Setup Varies
NIE Application €10–15
Annual Property Tax (IBI) Based on cadastral value

⚠️ Spain also has Wealth Tax, depending on asset value and region.
💡 Tip: U.S. citizens must also comply with FATCA and IRS reporting if buying through a company or holding foreign assets.


📜 Do I Get Residency by Buying Property?

Not automatically.
Since the Spanish Golden Visa was abolished, Americans must apply for:

  • Non-Lucrative Visa

  • Digital Nomad Visa

  • Family Reunification
    … and use the property address as proof of accommodation.


🛡️ Legal Pitfalls to Avoid

🔸 Buying without verifying title history
🔸 Paying deposits before signing a legally binding Arras agreement
🔸 Buying rural property without zoning approvals
🔸 Not declaring foreign assets for IRS/FATCA


👨‍⚖️ How Borderless Lawyers Helps Americans Buy in Spain

Our U.S.-friendly real estate team handles:

  • Full due diligence and title checks

  • Drafting and reviewing purchase agreements

  • NIE applications and tax registration

  • Power of attorney for remote purchases

  • Post-sale legal help (taxes, utilities, inheritance planning)

We work in English. We protect your investment. We represent you 100%.


📞 Call to Action

Ready to buy property in Spain with peace of mind?
We help U.S. citizens handle every legal and financial step of the process.

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