Legal checklist for buying property in Spain: what to verify before you sign

Buying property in Spain as a foreigner requires a series of legal verifications that can make the difference between a secure investment and a costly mistake. This guide covers the five essential checks every buyer should complete before signing: land registry verification, cadastral review, urban planning compliance, debt searches, and the deposit contract. At Ábaco Advisers, our team of 49 professionals working across 10 languages has been guiding foreign property owners through these checks for over 25 years, with one key principle — we maintain complete independence from estate agents and developers, so our advice is always in your interest alone.

What legal checks should you complete before buying property in Spain?

A thorough legal due diligence involves five key areas: verifying ownership at the Land Registry, checking the cadastral records, confirming urban planning compliance, searching for outstanding debts, and reviewing your deposit contract with proper legal safeguards.

Foreign buyers face additional complexity because the Spanish notary (notario) is a public official who verifies the legality of the transaction but does not represent either party’s interests. Unlike a solicitor in England or a advocaat in the Netherlands, the notary will not flag problems on your behalf. You need your own independent lawyer to carry out these checks.

According to the Colegio de Registradores de España, foreign buyers accounted for approximately 15-20% of all property transactions in 2023, rising to 40-50% in coastal areas. The total additional costs of buying typically add 10-15% on top of the purchase price. Failing to conduct proper due diligence can add thousands more in unexpected expenses — cases involving unlicensed construction and undisclosed community debts have cost buyers over €35,000 to resolve after completion.

How do you verify property ownership at the land registry?

The first step is to obtain a nota simple from the Registro de la Propiedad. This document provides a summary of ownership details, boundaries, and any charges registered against the property.

The nota simple is regulated under Article 222 of the Ley Hipotecaria, which establishes that property registry information is public for anyone with a legitimate interest. Note that the nota simple is purely informative — for certified proof you would need a certificación registral, a formal public document signed by the registrar.

When reviewing the nota simple, your lawyer should check:

• Ownership: does the registered owner match the seller? Are there multiple owners requiring all signatures?
• Charges: outstanding mortgages, judicial seizures (embargos), or other liens
• Servitudes: right-of-way obligations or other restrictions
• Description: does the registered description match the actual property?

Always request an updated nota simple close to the signing date. Your lawyer should obtain one during due diligence, and the notary will request another on the day of signing to prevent any fraudulent changes in between.

Why is the cadastral check essential for your property purchase?

The cadastral certificate (certificado catastral) provides the physical and tax description of a property. While the Land Registry records legal ownership, the Cadastre records physical reality — location, built area, plot boundaries, and the value used to calculate local taxes like IBI.

You can obtain it free from the Sede Electrónica del Catastro. This check is essential because discrepancies between the registry and cadastre are common, particularly in older or modified properties: unregistered extensions, swimming pools built without declaration, or boundary differences. These can affect your mortgage application, insurance cover, and ongoing tax obligations.

What urban planning checks protect you from illegal construction?

Spanish building regulations distinguish between two types of building work:

• Obra menor (minor work): internal modifications such as new kitchens, windows, re-tiling, or awnings — requires a town hall licence
• Obra mayor (major work): structural changes such as swimming pools, extensions, garages, or raising boundary walls — requires full planning permission

You should also verify whether the property has a cédula de habitabilidad (habitation certificate) confirming it meets minimum residential standards, and that a valid Energy Performance Certificate exists. For rural properties, check whether an AFO certificate (Asimilado Fuera de Ordenación) is needed — without it, you may face difficulties obtaining building permits, utilities, or mortgages.

How can you check for debts and financial encumbrances on a property?

Outstanding debts attached to a Spanish property can transfer to the new owner in certain cases. Your lawyer should verify:

• Community fees: request a certificate confirming all fees are current. Under the Ley de Propiedad Horizontal, a buyer can be liable for debts from the current year and three preceding years
• IBI: check the latest receipt to ensure payments are current
• Utility bills: settle outstanding water, electricity, or gas debts before completion
• Existing mortgage: verify it will be cancelled on signing day
• Plusvalía municipal: the seller’s responsibility — confirm it is addressed in the purchase contract

Non-residents must also appoint a fiscal representative and file annual declarations (Model 210) with the Agencia Tributaria.

What should you know about the deposit contract before signing?

The contrato de arras typically involves paying around 10% of the purchase price. Understanding the type of deposit is essential, as legal consequences differ significantly.

Spanish law recognises three types. The arras penitenciales (withdrawal deposit) is the only type expressly regulated in the Civil Code, under Article 1454: if the buyer withdraws, they lose their deposit; if the seller withdraws, they return double. The other types — arras confirmatorias and arras penales — have been developed through case law, each with different consequences. Courts have consistently held (including STS 23 September 2014) that penitential arras must be expressly agreed, otherwise they default to confirmatory.

A well-drafted deposit contract should include:

• The type of arras explicitly stated
• A clear deadline for signing the notary deed
• Conditions allowing deposit recovery if serious problems are discovered
• An accurate property description including cadastral reference
• Confirmation the seller has disclosed all relevant information

Your lawyer should also verify that you have a valid NIE (Número de Identificación de Extranjero) before signing any title deed, as it is required for all property transactions in Spain.

This is where independent legal advice makes the greatest difference. The cost of professional guidance — typically 1-2% of the purchase price — is modest compared to the financial risk of proceeding without it.

Your next steps towards a secure property purchase

The checks outlined in this guide form the foundation of a secure purchase in Spain. For foreign buyers navigating an unfamiliar system in a different language, independent professional advice is the most practical investment you can make. Contact Ábaco Advisers for a free consultation in your own language.

Frequently asked questions

Can I buy property in Spain without a lawyer?

Legally, yes — there is no requirement to hire a lawyer. However, the Spanish notary does not perform the same protective role as a solicitor in England. The notary verifies legality but does not investigate the property’s history or negotiate clauses on your behalf. Professional legal representation is strongly recommended for any foreign buyer.

How long does the legal due diligence process take?

A standard process takes approximately 2 to 4 weeks, depending on complexity. Rural properties, older buildings, or those with potential planning irregularities may require additional time. Avoid pressure to sign before all checks are complete.

What happens if I discover legal problems after paying my deposit?

This depends on the clauses in your contrato de arras. With appropriate condiciones suspensivas, you may recover your deposit if significant issues are found. Without these protections, particularly with arras penitenciales, you risk losing your deposit even if problems are serious.

What are the ongoing obligations after buying as a non-resident?

Non-residents must file an annual tax declaration (Model 210), even if the property is not rented. EU/EEA residents are taxed at 19% and can deduct expenses; non-EU residents face 24% on gross income. You must also pay IBI annually and maintain community fees. It is also strongly recommended to make a Spanish will to protect your assets and simplify the inheritance process for your heirs.