Knowledge base
Buying a house in Spain
What it costs, how it works, and where it goes wrong. Written for rural Galicia, where different rules and different risks apply than on the Costas. Updated 2026.
1 · Buyer's costs
What's added on top of the asking price?
Budget roughly 10 to 13 percent of the purchase price in Galicia for additional costs. The largest item is the transfer tax.
Transfer tax (ITP)
On an existing home you pay Impuesto de Transmisiones Patrimoniales. The rate is set by each autonomous region. In Galicia, as of 1 January 2026:
| Situation | ITP | Condition |
|---|---|---|
| General rate | 8% | Applies to second homes and holiday properties — so most Dutch buyers |
| Primary residence | 7% | Property and net worth both under € 240,000 (+ € 30,000 per extra family member) |
| Reduced rate | 3% | Buyers under 36, large or single-parent families, or buyers with ≥65% disability |
Buying new-build instead means no ITP but 10% VAT plus 1.5% AJD (stamp duty). This rarely comes up in rural Galicia.
The other costs
| Item | Guide price | Notes |
|---|---|---|
| Notary | € 700 – € 1,400 | Statutory rate based on the purchase price |
| Land registry | € 400 – € 800 | Registering the deed |
| Gestoría | € 300 – € 600 | Administrative handling and tax filing |
| Lawyer | ≈1% of the purchase price | Legal review. Optional, and strongly advised in rural areas |
| Building survey | € 400 – € 900 | Essential for older or to-be-renovated properties |
| Topographic survey | € 500 – € 1,200 | Where a plot's boundaries are unclear |
Worked example
A € 139,000 house as a second home: 8% ITP is € 11,120, plus notary, registry, and gestoría (≈€ 1,900) and a lawyer (≈€ 1,400). Total roughly € 14,400, or 10.4% on top of the purchase price. Add a building survey and you're looking at around € 15,000 in total additional costs.
2 · The process
The purchase process in seven steps
1. Apply for your NIE number
The Número de Identidad de Extranjero is your Spanish tax number. Without an NIE, a property can't be registered in your name. Apply at the Spanish consulate in The Hague, or in Spain itself at a police station with a foreigners' office. Budget two to six weeks.
2. Offer and reservation
Once an offer is accepted, a contrato de reserva often follows: you pay € 3,000 to € 6,000 and the property comes off the market for a few weeks. Get it in writing under what conditions you'd get that amount back — for example if the legal check turns up a problem.
3. Legal and structural checks
This is the most important step, and the one most often skipped. What gets checked: the nota simple from the land registry, the cadastre, the zoning of the land, building and habitability permits, easements, outstanding mortgages, unpaid local taxes, and unpaid community fees. In Spain, debts on a property carry over to the new owner.
4. Contrato de arras
The purchase agreement with a deposit, usually 10% of the price. The standard form (arras penitenciales) means you lose your deposit if you pull out, and the seller pays double if they do. Always have this contract reviewed by a lawyer before signing.
5. Spanish bank account and financing
You'll need a banker's draft for the notary. You'll need a Spanish account for water, power, and taxes. Arrange this well in advance — as a non-resident, opening an account can take weeks.
6. The notary
The escritura pública is signed at the notary, and that's when you pay. Important: the Spanish notary verifies identity and formalities — they are not your adviser and don't assess whether the purchase is a good idea. If you don't speak Spanish, an interpreter is legally required.
7. Registration and transfer
Within thirty days the ITP is declared and paid, after which the deed is registered at the land registry. Water, electricity, and IBI (the local property tax) are then transferred into your name.
3 · Risks
Seven pitfalls specific to rural Galicia
This list isn't about the Costas. These are the things that go wrong specifically in inland Galicia.
1. Cadastre and land registry don't match
Spain has two separate registries: the catastro (for tax purposes) and the Registro de la Propiedad (for ownership). In rural areas these regularly diverge in surface area, boundaries, or even the number of buildings on record. A hundred-square-metre discrepancy isn't unusual. It can be corrected, but do that before the purchase, not after.
2. Building on suelo rústico
A house in Galicia can stand on suelo rústico (rural land) or within a núcleo rural (a village core). That distinction determines what you're allowed to do. On suelo rústico, extending the house, adding a pool, or rebuilding a ruin is often not permitted, and unpermitted additions can lead to fines or a demolition order — even years later, and even if you weren't the one who built it.
3. Fragmented land ownership
Galicia is the land of the minifundio: generations of inheritance have sliced land into ever smaller pieces. What's advertised as "the plot with the house" can turn out to consist of five separate registered parcels, two of which belong to a cousin in Argentina.
4. Heirs who haven't all signed off
Many rural houses are still registered to a deceased owner. Before a sale can go through, the estate has to be settled and every heir has to agree. That can take months, or stall entirely.
5. No habitability certificate
Without a licencia de primera ocupación or cédula de habitabilidad you may not be able to get water and power connected, and you can't legally rent the property out. This is a real issue with houses that have stood empty for a long time.
6. Access roads and easements
The road to the house often crosses someone else's land. Sometimes that's formalised, often it isn't — it's simply "always been that way." Water from a spring on a neighbouring plot, and any pipes crossing your land, should also be recorded in the deed.
7. Renovation costs that double
A cheap house is rarely a cheap project. Roof, insulation, wiring, plumbing, drainage, and heating in a 150-square-metre stone house quickly add up to € 100,000 or more. Always get two quotes from local contractors before the purchase, not after.
The common thread
Every one of these risks is manageable — as long as it surfaces before the transfer. After the notary, it's yours. That's exactly why we never put a property forward without lifting the dossier first.
4 · After the purchase
What follows after the purchase
- IBI — the annual local property tax, usually between € 100 and € 400 a year in rural Galicia
- Non-resident tax — if you use the property yourself, Spain levies an annual flat tax on the cadastral value (filed via form Modelo 210)
- Buildings insurance — not mandatory in Spain if you're buying outright, but sensible, especially if the property stands empty part of the year
- Land maintenance — Galicia has legal requirements to clear flammable vegetation within a set distance of buildings
- Dutch tax — a second home in Spain is declared under Box 3; the tax treaty prevents double taxation. Get advice on this from a tax adviser
This page is general information, not legal or tax advice. Rules change and every situation is different. Always use an independent Spanish lawyer and a tax adviser for an actual purchase.
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