Housing

Buying Property in Spain

Spain’s property market is booming, attracting Canadians, Americans, and other foreigners with its affordable prices and high rental yields. Here’s how to buy property:

  1. Research the Market: Explore listings in regions like Andalusia or the Valencian Community.
  2. Secure Financing: Foreign buyers often use mortgages averaging €189,400 for second homes priced around €300,000. Contact lenders like Unión de Créditos Inmobiliarios (UCI) for options.
  3. Hire Professionals: Engage a local real estate agent and lawyer to navigate legalities, including the Escritura Pública (property deed).
  4. Understand Costs: Expect taxes (e.g., ITP or VAT), notary fees, and registration costs (6-10% of the purchase price).
  5. Complete the Purchase: Sign the deed at a notary and register with the local property registry.

Note: Non-EU citizens (e.g., Canadians, Americans) may need a residence permit or NIE (foreigner identification number) to buy property. Apply via Spanish consulates.

Renting Housing in Spain

Renting in Spain is a flexible option, with a growing market for seasonal and tourist rentals. As of 2025, new regulations (e.g., Article 3 of the Urban Leasing Law) require landlords to justify seasonal rentals and register contracts online. Key points:

  • Types of Rentals: Long-term leases (minimum 1 year), seasonal rentals (short-term), and tourist rentals (e.g., Airbnb).
  • Costs: Average monthly rent ranges from €600-€1,200 depending on location (e.g., Madrid vs. rural areas).
  • Process: Provide ID, proof of income, and a deposit (1-2 months’ rent). Contracts must be registered with local authorities.
  • Regulations: Homeowners’ associations can veto tourist rentals, and landlords may face VAT on short-term leases.

Tip: Contact a local agent to find rentals in Spain.

Top Regions for Housing in Spain

Spain’s diverse regions offer unique housing opportunities:

  • Andalusia (30.6% of foreign purchases): Affordable coastal homes in Málaga and Costa del Sol.
  • Valencian Community (29%): Popular for Alicante and Valencia city apartments.
  • Catalonia (11.5%): Luxury properties in Barcelona and Costa Brava.
  • Canary Islands (10.9%): Year-round warm climate attracts investors.
  • Madrid (7.7%): Urban housing for professionals.
  • Balearic Islands (5.5%): High-end villas in Mallorca and Ibiza.
  • Murcia (4.4%): Emerging market with lower prices.

Foreign buyers, especially from the UK, Netherlands, and Spain’s expat community, dominate these regions, with a loan-to-value ratio of 57.2% for mortgages.

Tips for Housing in Spain

  • Check Legal Requirements: Non-EU buyers need an NIE. Apply at Spanish consulates in Canada or the USA.
  • Visit Properties: Schedule viewings to assess condition and location.
  • Understand Taxes: Research IBI (property tax) and annual wealth tax obligations.
  • Plan for 2025 Changes: Stay updated on rental law amendments via the Spanish Ministry of Housing.

Explore Housing Opportunities in Spain Today

With its affordable prices, vibrant lifestyle, and strong real estate market, Spain is ideal for buyers and renters in 2025. Start your journey on Idealista or contact a local real estate agent. For legal or visa support, visit your nearest Spanish Consulate.