Complete guide to buying property in Málaga as a foreigner

Every year, thousands of international buyers acquire property in Málaga and the Costa del Sol. The transaction is fully accessible, but you must understand the process to avoid surprises. This guide covers the essentials.

Step 1 — Obtain your NIE

The Foreigner Identification Number (NIE) is mandatory to sign a purchase deed. It is requested at the Spanish consulate or police station and typically takes 1 to 4 weeks.

Step 2 — Open a Spanish bank account

Although not strictly mandatory, a Spanish bank account makes paying community fees, utilities and taxes much easier. We recommend opening one before signing.

Step 3 — Financing: non-resident mortgage

Spanish banks finance up to 60-70% of the appraisal value for non-residents (vs 80% for residents). Rates may be slightly higher. Comparing at least 3 offers is essential.

Step 4 — Taxes involved

Resale property: 7% transfer tax (ITP, Andalusia). New build: 10% VAT plus 1.2% stamp duty (AJD). Add notary (0.5%), registry (0.4%) and processing: roughly an additional 10% on top of the purchase price.

Step 5 — Signing before the notary

After the reservation (1-3% deposit) and arras (10%), the deed is signed before a Spanish notary. A sworn translator is recommended if you are not fluent in Spanish.

The factor that makes the difference

Working with a bilingual local agency with experience serving international buyers prevents tax mistakes and accelerates the entire process. At Inmobiliaria Los Álamos we have spent 20+ years guiding clients from the UK, Netherlands, Belgium, Germany, Sweden and Norway.