Americans Buying Property in Spain - Complete 2026 Guide

Spain remains one of the world’s most attractive destinations for real estate investment, lifestyle relocation, and holiday home ownership. With sun-soaked beaches, world-class cities, solid legal protections, and relatively affordable markets compared to many U.S. metros, demand from Americans has grown significantly in recent years.

In 2026, foreigners, including U.S. citizens, will continue to enjoy full ownership rights without nationality-based purchase restrictions. Property ownership does not automatically grant Spanish residency, but it remains a viable pathway for lifestyle, retirement, investment, or future relocation.

1. Can Americans Buy Property in Spain?

Yes. The Spanish government allows citizens of any country, including the United States, to buy properties in Spain without prior residency or citizenship requirements. Foreign buyers enjoy the same ownership rights as Spanish citizens: they may acquire apartments, villas, land, and investment properties anywhere in the country.

However, certain military, protected, or strategic zones may require government approval for non-EU buyers, although these cases are rare.

2. Residency & Visas: What’s Changed in 2026

Golden Visa Program Ended

Spain’s investor-visa program (the Golden Visa), which once granted residency for a €500,000 real estate investment, was abolished in April 2025. New applications based on property purchases are no longer accepted. Existing holders may still renew under prior rules.

Visa Options Still Available

Owning property in Spain does not give automatic residency. Americans can instead pursue:

• Non-Lucrative Visa (NLV): For retirees and those with passive income.
• Digital Nomad Visa: For remote workers with non-Spanish employment.
• Work/Employment Visa: With a local employer sponsorship.
• Student or Entrepreneur Visas: Depending on circumstances.

Under the Schengen Agreement, Americans may also stay up to 90 days in any 180 days visa-free, suitable for holiday homes.

3. Step-by-Step Buying Process

1) Get Your NIE

The NIE (Número de Identidad de Extranjero) is a foreigner tax ID number required for all property transactions, taxes, and banking. It can be applied for at a Spanish consulate in the U.S. or in Spain.

2) Open a Spanish Bank Account

Necessary for paying purchase costs, taxes, utilities, and potentially mortgage installments. Many banks now allow remote applications with video verification.

3) Due Diligence

• Order a Nota Simple from the Land Registry to verify ownership, liens, or encumbrances.
• Survey the property for structural issues.
• Use a Spanish property lawyer experienced in foreign buyer transactions.

4) Sign the Reservation & Contract

A deposit secures the property while legal checks continue. Typical arrangements are documented in arras (reservation contracts).

5) Closing at the Notary

All tax payments, transfers, and legal documents are finalized in front of a public notary, who confirms identity and legality before the title deed (escritura) is signed.

6) Registration

After the deed, the property must be registered in the Registro de la Propiedad (Land Registry) to protect the title.

Purchases can be completed remotely with a Power of Attorney (POA), but most buyers still visit Spain at least once for due diligence and selection.

4. Taxes and Costs: What Americans Should Budget

At Purchase (One-Time Costs Approximately)

• Property Transfer Tax (ITP) – resale: ~6–10% of property value
• VAT (IVA) – new build: 10% + Stamp Duty (AJD) ~1–1.5%
• Title Deed Registration + Notary Fees: €2000 2500+
• Land Registry Fees: €400–800+
• Lawyer Fees: ~1% of purchase price + VAT

Long-term budgeting should include an extra ~10–15% of the property price to account for all fees and taxes

Annual Ongoing Taxes

• Property Tax (IBI): A local municipal tax based on cadastral value, typically ranging from ~0.3% to ~1.1% of cadastral value annually.
• Non-Resident Income Tax: Non-residents not living in Spain are taxed on imputed income (a notional rental income based on cadastral value), usually at 24% for non-EU citizens. Actual rental income is taxed when rented out.
• Wealth Tax: Applies if your total assets in Spain exceed regional thresholds (often ~€700,000+); this is progressive with variable rates
• US Tax Reporting: Americans must report worldwide income, including Spanish rental revenue and gains, to the IRS. The U.S.–Spain tax treaty and foreign tax credits help prevent double taxation, but professional tax advice is essential.

5. Mortgages & Financing for U.S. Buyers

Spanish banks offer non-resident mortgages, typically financing 60–70% Loan-to-Value (LTV) with stricter documentation than for residents. Proof of income, assets, and a clean credit history is generally required.

Due to lender requirements and currency exchange considerations, many American buyers choose to pay cash or arrange financing both in Spain and through U.S. banks with international divisions. Currency exchange risk should be actively managed.

6. Renting Out Spanish Property

Americans may rent their Spanish properties long-term or short-term, but must:

• Register for tax purposes and declare rental income.
• Comply with regional rental regulations, which vary widely across autonomous communities.

Tourist rentals can yield competitive annual returns, but local licensing and compliance are essential to avoid fines.

7. Choosing Locations: Where Americans Prefer

Coastal & Tourism Hotspots

Costa del Sol: Marbella, Málaga (frequently top choices for U.S. buyers).

Costa Blanca: Alicante: Forecast strong demand and rental appeal

Major Cities

Madrid: Capital market with capital-growth potential.

Barcelona: Urban lifestyle and investment appeal.

Looking Ahead

As interest from American buyers continues to shape Spain’s real estate market, purchasing property in 2026 stands out as both an investment decision and a lifestyle choice. Spain’s transparent ownership laws, enduring global appeal, and diverse regional markets continue to attract U.S. buyers seeking stability, quality of life, and long-term value.

Americans can confidently explore the Spanish property market and secure a foothold in one of Europe’s most enduring real estate destinations with informed planning, legal due diligence, and awareness of evolving regulations.