Buying property in Spain as an Australian – is it hard?

According to recent reports, foreign investors bought over 130,000 properties in Spain in the 12 months to Q1 2025. It’s a popular destination for expats from all over the world, with a great mix of city and beachside properties to choose from. So – can Australians buy property in Spain?

Aussies can buy Spanish properties with no specific restrictions – but having a home there won’t get you a visa automatically. Read on to find out how buying a property in Spain works, from taxes to money transfers. We cover all the basics, and introduce Wise as a good way to get your money from AUD to EUR ready for your purchase.

Can Australians buy property in Spain?

Yes. Australians can buy property and land in Spain with no specific restrictions.

If you’re thinking of buying a place abroad you’ll need smart ways to handle the financial side. Why not check out Wise as an easy-to-use, low-cost way to move money abroad for a property purchase – more on that later.

How difficult is the process?

While buying a property in Spain isn’t super complicated, there are risks when navigating a foreign process which mean you’ll definitely need a competent local team to help you.

It’s important to use a lawyer who specialises in Spanish land law (urbanismo), and you’ll also need a notary public who will prepare the contract of sale and issue the public deeds. As the buyer you’ve got a right to choose the notary you will work with, so ask for advice from local friends or your agent to help you find someone who knows the area well and is familiar with working with expat buyers.

You may also like to check out the Guide to Buying Property in Spain from the Spanish Land Registry which has invaluable advice on the process.

Even with your legal team lined up, there are a few other aspects and documents to consider. Here are a couple:

NIE (Número de Identidad de Extranjero)

The NIE (Número de Identidad de Extranjero) is a tax identifier issued by the Spanish authorities and it’s needed for registering your property and dealing with the government on things like tax payments.

You’ll be asked for this when you buy a home – get your NIE in person in Spain or have an agent act on your behalf – your notary can advise on the best route based on your needs.

Land registry extract (nota simple)

You’ll need to check various important facts in the land registry extract which you can get from the Colegio de Registradores. English translations of the documents are available for a fee if you need them.

Your lawyer will support this step, which requires you to check the seller is listed as the owner of the property in question, and that there are no outstanding debts on the property which may pass to you.

Other property paperwork

You’ll also need to check paperwork including the following:

• Previous owner’s annual property tax (IBI) showing nothing is owed
• The cadastral certificate which shows the boundaries of the land
• Licence of first occupancy or habitation certificate – needed to get utilities set up
• Valid energy efficiency certificate

Other documents may also be needed – check with your notary to make sure you have seen everything required to allow the purchase to go through smoothly.

Typical timelines

Buying a home in Spain may take several months including the time needed for due diligence and completion of legal steps. The exact time taken depends on the specific property as well as your own financial situation and the seller’s circumstances.

Talk through the timelines that are likely to apply on your purchase with your notary so you know what to expect.

Transferring money to Spain for the purchase

Wise can help you cut the costs of transferring money from AUD to EUR for your new home.

Buying a high ticket item like a house can come with big bills. And getting a bad exchange rate makes a huge difference to the amount you pay overall. Even a small percentage fee added to the rate quickly mounts up.

To make things simple, Wise uses the mid-market exchange rate with transparent fees and applies automatic discounts when you convert or send 40,000 AUD or more over the course of a month.

You can use Wise to send your money to the seller directly – or to move money to your Spanish bank in euros so you have it ready to use when you close on your new home.

What are the tax implications?

Managing taxes across borders can get complicated, particularly when making a major purchase. You might need to pay tax at the point of sealing the deal on your new home, and ongoing costs in Spain, plus you’ve got to take into account your duties on the Australian side too.

This guide is for information only. Get professional tax advice to navigate the tax implications of your new Spanish home both in Spain and in Australia.

In Spain

The tax you pay when you buy a property in Spain is largely dictated by the location of the home, as many taxes and fees are arranged at a local level. You’ll need to talk through the one off costs that apply on property purchases in Spain with your lawyer. These can include:

• Property Transfer Tax (Impuesto sobre Transmisiones Patrimoniales – ITP) which is variable for resale properties, or Value Added Tax (VAT) for new build properties, set at 10%.
• Stamp duty – Actos Jurídicos Documentados (AJD) – set regionally and typically applies on new build properties
• Variable Notary, Land Registry and Legal Fees

In 2025 the Spanish authorities hit the headlines with a proposal to add taxes of up to 100% of property value for non-resident buyers, in an effort to cool the property market in Spain and bring down costs for locals. This has not happened at the time of research (April 2026) but it’s worth checking for developments before you proceed with your purchase, just in case.

Your notary or solicitor can also advise you about ongoing costs set by local municipalities including Impuesto sobre Bienes Inmuebles or IBI. This is decided using your home’s cadastral value rather than the price you actually bought at – you can look up the cadastral value online with the help of your lawyer, to calculate the tax you’ll need to pay.

In Australia

The tax you pay in Australia depends on your residency and how you use your property. If you’re an Australian tax resident you’ll pay tax to the Australian Taxation Office (ATO) on your worldwide income. This includes rental income from Spain if you let your place out and make a profit from it. Rental income is declared in your annual tax filing along with other similar income.

You’ll also usually need to pay capital gains tax in Australia if you sell your Spanish property at a profit in future, and you’re an Australian tax resident. However, if you’re also paying tax in Spain you may be able to claim a foreign income tax offset from the ATO.

If you’re not sure how to navigate your cross border tax it’s crucial you get professional advice.

Local laws and regional variations

Foreigners are fairly free to buy properties in Spain without specific restrictions. However there are a few things to look out for, particularly if your property happens to be anywhere near sensitive sites such as military bases or the coastline. Check the property location and ensure it has proper planning permissions before you buy – your lawyer can help.

What buying property gets you

You might be buying a property in Spain ahead of relocating there, or looking for a foothold in Europe for vacations. Or maybe you’re thinking of the property more as an investment. Spain has relatively low real estate costs for Europe, and you might be able to rent your place out for income and then sell it later.

It’s important to note the limits to what you get when you buy a property in Spain. Specifically, owning a home there will not get you a visa automatically and does not give you the right to live in Spain long term.

It used to be the case that the Spanish ‘Golden Visa’ allowed for real estate investment as a qualifying criteria. This previously meant that having a home in Spain could be a good way to also get your long term visa. However, this visa was abolished in 2025.

What buying property does not get you

Buying a property in Spain doesn’t offer you a visa or residency rights.

If you’re travelling to Spain as an Australian you can enter for up to 90 days in any 180 day period for tourism purposes. This is part of the Schengen agreement which states you can spend 90 days in total in any of the Schengen countries, so if you’ll be travelling elsewhere in Europe it’s crucial you check the rules and how long you can be in the area as a whole.

If you intend to be in Spain for longer than this you’ll need an alternative. For retirees, the Non-lucrative residence visa (NLV) has proved a popular replacement to the Golden Visa. Or there are also long stay visas to work or study if that’s what you plan to do on arrival. Check out the options through the Spanish Embassy and apply for the one which best fits your needs.

Renting out your property: is it allowed?

Rental rules in Spain are quite complicated and can depend on the type of rental agreement you want to make and where the property is. If you’re thinking of letting your place for the long term you’ll need to get professional advice to make sure you comply with safety and renters rights laws.

For short term lets there are often local level laws which may restrict what you can do, or even prevent you from letting your place for holidaymakers at all.

If you rent your property in Spain you’ll need to pay Spanish income tax on the profits you make. What you pay depends on whether you’re a resident or non-resident from a tax perspective.

Spanish income tax for residents pay tax runs from 19% – 30% while non-residents whose home country is outside the EU are likely to pay 24% as a flat rate.

Buying land in Spain

Australian citizens can buy land in Spain with no specific restrictions. The process works very similarly to buying a property.

Getting a mortgage: should I get one in Spain or Australia?

Lenders in Australia tend not to offer mortgages for overseas purchases – but you may be able to get a loan through a bank in Spain instead.

Spain has a large expat community and so banks are used to dealing with the needs of foreign home buyers. The deposit amount needed may be higher compared to a resident buyer, but mortgage options are available for many customers.

If you get your mortgage locally in Spain, you’ll need to repay it in euros. If you’re earning an income in AUD this will mean that currency conversion costs will apply and may push up your monthly bills.

Using a low cost currency service like Wise can help you minimize the fees you pay for international transfers, and bring down your bills in the end.

The verdict: should you buy a house in Spain as an Australian?

Spain is a very attractive destination for Australians looking for a laidback beachside life, or to pursue career opportunities in Europe. Even though you can no longer use a real estate purchase as a route to residency in Spain, the relatively low costs of properties makes it a popular place to buy.

If you’re thinking about investing in a new place abroad, use Wise to send money from AUD to EUR with low costs and secure, fast payments whenever you need them.

Pros	Cons
✅Buy properties or land with no specific restrictions ✅Possibility to invest or make a rental income from your property ✅Visa options for people who want to work, study or retire ✅Relatively low housing costs ✅Many English speaking agents and legal advisors available to support	❌Property prices may go down as well as up ❌Exchange rates can change your mortgage payments ❌High taxes on rental income if you’re a non resident

Useful resources

Real estate agents

Find licensed real estate agents here or check out these options:

• Mercers – English services from an agent with over 40 years in business
• TEKCE Real Estate – Global provider with a presence in Spain for expat needs
• Idealista – umbrella website with good search tools to find property in Spain

Main expat areas in Spain

• Madrid and Barcelona – for working families and people looking for city life
• Málaga and Marbella – for retirees and anyone looking for beachside living
• Seville and Granada – for people who’ve fallen in love with Spanish culture