Quick answers to common homebuying questions
PropertySquares is a free, educational guide to help homebuyers navigate the process of purchasing property on the Costa del Sol. We break down the journey into 48 manageable steps organised across 6 phases, with content tailored specifically for international buyers looking at this stunning coastal region of southern Spain.
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The typical Costa del Sol property transaction takes 6-12 weeks from signing the arras (deposit contract) to the escritura (deed signing). However, getting a mortgage can add time, and the preparation phase (saving for deposit, obtaining NIE) can take much longer. Non-residents should allow extra time for paperwork, especially if applying for a Golden Visa.
Yes! Non-residents can freely buy property on the Costa del Sol. You will need a NIE (Número de Identidad de Extranjero) before you can complete any property transaction. Non-residents typically need a larger deposit (20-30%) and may pay slightly higher mortgage rates than residents.
An NIE (Número de Identidad de Extranjero) is a foreigner's identification number required for all property transactions, opening bank accounts, and paying taxes in Spain. You can apply at a Spanish police station in Spain (there are offices in Málaga, Marbella, and Fuengirola), at a Spanish consulate in your home country, or through a gestor. Processing takes 2-4 weeks.
Spain's Golden Visa program grants residency to non-EU citizens who invest €500,000 or more in Spanish property (debt-free). It allows you and your family to live and work in Spain, travel freely in the Schengen area, and apply for permanent residency after 5 years. The Costa del Sol is popular for Golden Visa purchases due to its lifestyle appeal and property values. Note: Golden Visa rules may change, so always verify current requirements with an immigration lawyer.
For families, Marbella and its surroundings offer excellent international schools (Aloha College, Swans International), family-friendly beaches, and good healthcare. Benalmádena is popular for its theme parks and family amenities. Estepona has a more traditional Spanish feel with good schools. Consider proximity to international schools, healthcare, and your workplace when choosing.
Fuengirola and Benalmádena have large, established expat communities with English-speaking services, social clubs, and good healthcare access. Nerja offers a quieter, more authentic Spanish experience. Mijas Pueblo provides mountain village charm with Costa del Sol convenience. Consider healthcare access (private hospitals like HC Marbella and Hospiten), walkability, and social opportunities.
Marbella and Puerto Banús offer the highest rental yields for luxury properties. Fuengirola and Torremolinos attract steady tourist rentals year-round. Nerja commands premium rates in summer. Look for properties near the beach, with pool access, and good transport links to Málaga airport. You'll need a VFT (holiday rental licence) to rent legally in Andalucía.
Marbella is upmarket with luxury villas, designer boutiques, and premium prices — ideal for high-end buyers or Golden Visa applicants. Fuengirola is more affordable, with a large British expat community, excellent public transport, and a lively town centre. Marbella attracts affluent buyers seeking prestige; Fuengirola suits those wanting value and community.
Spring and autumn offer pleasant weather for viewings. Summer is peak tourist season with fewer listings but motivated sellers. Winter (November-February) can offer better negotiating opportunities as the market slows. The best time depends on your urgency and whether you want to experience the property in high season.
Beachfront or 'first line beach' properties command premium prices but offer unbeatable locations. 'Second line' properties are a short walk from the beach and often more affordable. In urbanizaciones set back from the coast, you may be 5-15 minutes' drive from the beach but enjoy more space and amenities. Consider your budget and how important beach access is daily.
Mortgage rates for non-residents typically range from 3-5% for fixed rates and Euribor + 1-2% for variable rates. Rates depend on your financial profile, loan-to-value ratio, and residency status. Non-residents usually pay 0.25-0.5% higher than residents. Many Costa del Sol estate agents can recommend mortgage brokers experienced with international buyers.
Residents typically need 10-20% deposit, while non-residents usually need 20-30%. Spanish banks typically lend up to 80% LTV to residents and 60-70% LTV to non-residents. Remember you also need funds for taxes and fees (add 10-12% to your budget — ITP in Andalucía is 7%). For Golden Visa purchases, the full €500,000+ must be your own funds (not mortgaged).
Major Spanish banks that lend to non-residents include Santander, BBVA, CaixaBank, Sabadell, and Bankinter. On the Costa del Sol, many expat mortgage brokers specialise in helping international buyers navigate the Spanish system. A broker can compare offers and assist with applications, which is particularly helpful if you don't speak Spanish.
Yes, you can get pre-approval (approval in principle) from Spanish banks before finding a property. This shows sellers you are a serious buyer and helps you understand your budget. Pre-approval is particularly valuable on the Costa del Sol's competitive market. The bank will do a final valuation (tasación) once you identify a specific property.
Spanish mortgages come in three main types: Fixed-rate (tipo fijo) with a set rate for the entire term, Variable-rate (tipo variable) linked to Euribor plus a margin, and Mixed (mixto) with a fixed period followed by variable. Fixed rates are popular for non-residents who want predictable payments in euros regardless of exchange rate movements.
Typically you need: NIE, passport copy, proof of income (payslips, tax returns, or company accounts if self-employed), bank statements (3-6 months), proof of existing assets and debts, employment contract or proof of pension, and proof of deposit funds. Non-residents may need documents translated and apostilled.
Estate agents in Spain are paid by the seller, so using one is free for buyers. On the Costa del Sol, many agents specialise in international buyers and speak English, German, and Scandinavian languages. They can show you properties, help negotiate, and provide local knowledge. You can also search directly on Idealista, Kyero, and specialist Costa del Sol property portals.
Community fees (gastos de comunidad) vary widely: a simple apartment building might be €50-100/month, while a luxury urbanización with pools, gardens, 24-hour security, and gyms could be €200-500/month. Beachfront and golf developments tend to have higher fees. Always ask for the exact amount and what's included (building insurance, pool maintenance, gardens, security).
Always check: the Nota Simple (registry extract) confirms the owner and any charges, that all construction is legal and licensed (very important for older coastal properties), there are no outstanding debts (IBI, community fees), and the energy certificate. Crucially, in Andalucía, check if the property needs an AFO (Asimilado a Fuera de Ordenación) certificate if it has older construction that wasn't fully licensed.
An AFO (Asimilado a Fuera de Ordenación) certificate is specific to Andalucía (where the Costa del Sol is located). It regularises older properties built without full planning permission — common in rural areas and some coastal developments built decades ago. Properties with AFO status can be bought, sold, and insured, but cannot be extended. Your lawyer must check if an AFO is needed or already in place.
Yes, but you need a VFT (Vivienda con Fines Turísticos) licence to legally rent to tourists in Andalucía. The Costa del Sol is popular for holiday rentals, especially near beaches and golf courses. Your lawyer can advise on licence requirements and tax implications. Properties in tourist-friendly locations can generate good rental income, especially in summer.
Málaga airport (AGP) is centrally located on the Costa del Sol. Typical drive times: Torremolinos 10 mins, Fuengirola 25 mins, Marbella 45 mins, Estepona 60 mins, Nerja 45 mins. The Cercanías train connects the airport to Málaga, Torremolinos, Benalmádena, and Fuengirola. Regular airport buses serve most towns. Easy airport access is a key selling point for rental properties.
A Nota Simple is an extract from the Spanish Land Registry (Registro de la Propiedad) showing the property's registered owner, description, and any charges or mortgages against it. Your lawyer should always obtain a recent Nota Simple before you sign any contract. It costs around €10 and can be obtained online. This is essential due diligence for any Costa del Sol purchase.
The contrato de arras is a binding deposit contract signed when the seller accepts your offer. You typically pay 10% of the purchase price. If you withdraw, you lose the deposit. If the seller withdraws, they must return double the deposit. This makes both parties committed to completing the sale. Always have a lawyer review it before signing.
While not legally required, having an independent lawyer (abogado) is strongly recommended, especially for foreign buyers. They verify the property's legal status (including AFO checks), review contracts, check for debts and charges, and represent your interests at the Notary. Many Costa del Sol lawyers specialise in British and international clients. Budget 1-1.5% of the purchase price for legal fees.
Conveyancing typically takes 6-12 weeks from signing the arras to the escritura. Your lawyer will conduct due diligence (including AFO checks if needed), your bank will arrange the mortgage and valuation, and the Notary appointment will be scheduled. Cash buyers can complete faster. Delays can occur if there are issues with documentation or AFO regularisation.
ITP (Impuesto de Transmisiones Patrimoniales) is the transfer tax paid on resale properties. In Andalucía (Costa del Sol), the rate is 7% of the purchase price or the catastral reference value, whichever is higher. This is lower than some other Spanish regions like Catalonia (10%). Budget for 7% ITP plus Notary and legal fees (total around 10-12% of purchase price).
Yes. Resale properties pay ITP (7% in Andalucía). New properties from developers pay IVA (VAT) at 10% plus AJD (stamp duty) at 1.2% in Andalucía. New builds are therefore more expensive in tax terms (11.2% vs 7%). Always confirm whether a property is new (first transfer) or resale (second transfer onwards).
Buildings insurance (seguro de hogar) is required by mortgage lenders and should be in place before the escritura. For holiday homes left empty for periods, consider extended cover for unoccupied properties. If you plan to rent, you'll need landlord insurance. In urbanizaciones, building insurance is often covered by community fees, but you still need contents and liability cover.
Notary fees (aranceles notariales) are regulated and typically 0.3-0.5% of the purchase price. Land Registry fees (Registro de la Propiedad) are around 0.2-0.3%. For a €400,000 property, expect to pay approximately €2,500-3,500 for both combined. These are standard costs in every Spanish property purchase.
At the Notary's office, the Notario reads the escritura (deed) aloud, verifies everyone's identity, and witnesses signatures. You pay the balance (usually by bank cheque). The seller hands over the keys. If you don't speak Spanish, you'll need a sworn translator. The whole process takes 1-2 hours. Then celebrate — you own property on the Costa del Sol!
You can grant Power of Attorney (poder) to your lawyer or another representative to sign on your behalf if you cannot attend. The power must be notarised and, if granted abroad, apostilled. Many international buyers on the Costa del Sol use this option, especially if travelling from the UK, Germany, or Scandinavia is inconvenient.
You can transfer funds via your regular bank (often with high fees and poor exchange rates) or use a currency specialist like Wise, Currencies Direct, or Moneycorp for better rates. For large property purchases, currency specialists can save thousands. Ensure funds are in your Spanish bank account in time for the escritura. Consider forward contracts to lock in exchange rates if buying from GBP or other currencies.
Take meter readings for electricity and water, change locks if desired, register at the town hall (empadronamiento) if you'll be resident, transfer utilities into your name (your gestor can help), set up standing orders for community fees and IBI, and enjoy your first sunset from your Costa del Sol terrace!
Yes, the Costa del Sol has excellent international schools. Notable ones include: Aloha College (Marbella, British curriculum), Swans International School (Marbella), The British School of Málaga, Laude San Pedro International College, and Deutsche Schule Málaga (German curriculum). Most follow British or International Baccalaureate curricula. Places can be competitive, so apply early.
The Costa del Sol has excellent private healthcare. Major hospitals include HC Marbella, Hospiten (Benalmádena and Estepona), Quirónsalud Málaga, and Vithas Xanit (Benalmádena). Many doctors and specialists speak English and German. Private health insurance from providers like Sanitas, Adeslas, or international insurers is popular among expats.
The Costa del Sol has one of the largest expat communities in Europe. British residents are the largest group, with significant German, Scandinavian, Dutch, and Irish communities. Towns like Fuengirola, Benalmádena, and Mijas have particularly established expat populations with English-speaking services, social clubs, and community groups. You'll never feel isolated.