Real estate investment in Spain

The sale of real estate to foreign investors is not limited in Spain: one can buy and sell housing and commercial real estate or rent it out.

Statistics confirm the liquidity of investments: residential real estate prices grow by an average of 1,3% every quarter. Five years ago, an apartment of 100 m² cost €203,000, and today it is sold for €253,000.


Average price per 1 m² of housing in Spain


Minimum investment amount to get permanent residence


Buyers’ related expenses, of the transaction amount

How the residential property price index is growing in Spain


Cost of a 3-bedroom apartment in Spain

€2 million

Apartment in the centre of Madrid or Barcelona


Apartment with a sea view, 500 metres from the beach


Apartment in 2 kilometres
from the sea

Spain residence permit or citizenship by real estate investment

Spain has a state residence permit program for investors. A residence permit is obtained by purchasing real estate worth at least €500,000. A residence permit is valid for two years and renews for another five years. Investors with Spain residence permits travel across the Schengen Area without visas.

It is not necessary to live in Spain if there are no plans to obtain permanent residence or citizenship.

Advantages of a real estate investment in Spain

Spain is one of the most attractive countries for property investments in Europe. Its location, safety, rich history and developed infrastructure create a favourable investment environment for expats and immigrants in the real estate market.

Easy access to the country. Spain, with the most accessible entry to Europe, has many routes from other parts of the world, such as the USA. In addition, Spain has connections with countries such as France and Portugal and is a gateway to Africa.

Investment return. The return on investment in real estate in Spain is achievable. There are options here with positive returns, thanks to strong rental demand, the role of tourism and an expanding real estate market.

Growth in immigration and tourism. More and more people decide to move to Spain to improve their quality of life. It is a great benefit as the demand for apartments for rent tends to rise.

Plan B and moving to Spain. A residence permit by real estate purchase allows you to travel to Spain anytime, even if the borders are closed for foreigners without residency.

Expanding real estate market. The availability of real estate transactions is growing. There is a wide range of investment options — greater availability of buildings and apartments for sale or more companies building different real estate types.

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Frequently asked questions

  • Can foreigners buy property in Spain?

    Yes. Foreigners in Spain can freely buy, sell, and rent out residential and commercial real estate.

  • Are property prices still falling in Spain?

    No. Property prices in Spain have been growing by 1,3% every quarter on average. Five years ago, an apartment of 100 m² was worth an average of €203,000, and today it can be sold for €253,000.

  • Can I get residency in Spain if I buy a house?

    Yes. Foreigners can participate in the Spain Golden Visa Program and get a residence permit by investment in real estate. To maintain the status, investors need to keep the property. But if they have lived in Spain for 5 years and got permanent residence status, they are allowed to sell the property.

    Investing in real estate is an opportunity to get additional income in Spain. Investors can make money on reselling the property on average, prices for Spanish real estate are growing by 5% per year. If an investor had bought an apartment worth €200,000 in 2017, he could now sell it for €250,000.

  • What is the average price of a house in Spain?

    The cost of Spanish real estate increases by an average of 1,3% quarterly. The dynamics are confirmed by Eurostat statistics: since 2015, housing prices have increased by 32%.

    The average cost of housing in Spain is €2,533 per 1 m². An apartment by the sea will cost around €500,000. For apartments in the centre of Madrid or Barcelona, you will have to pay about 2 million euros.

  • Do I have to pay tax on my Spanish property?

    Yes. Buyers of new buildings pay a VAT plus a regional tax of 7—12% of the purchase price. For secondary real estate property, buyers pay a 6—10% transfer tax.

    The annual property tax in Spain ranges from 0,4% to 1,1% of the cadastral value. The rate depends on the region where the property is located.

    Foreign owners who rent their property in Spain pay a 24% income tax. Foreigners may be charged a tax on imputed income, even if the property is not rented. The imputed income tax rate ranges from 1б1% to 2% of the cadastral value of the object. The tax is levied on non-resident owners who live in Spain less than 183 days a year.