Buying property in Spain can be an exciting investment or a dream home acquisition — but if you rely on outdated or incorrect information, it can also become a legal and financial disaster. At Lextax, we specialize in guiding international clients through the complex Spanish legal landscape, and we’ve seen firsthand how certain myths about Spanish property law can lead to costly mistakes, legal battles, or failed investments.

Here are 10 persistent myths about Spanish property law that international buyers need to stop believing — and the truth behind each one.

1. “If it’s listed online, it must be legal and ready to buy.”

Just because a property is advertised on a major portal or agency website doesn’t mean it’s legally compliant. Properties can be promoted despite having: – Planning violations – Outstanding debts or encumbrances – Missing licenses or certificates (e.g., the habitation certificate)

The Truth: Always conduct independent due diligence. A qualified real estate lawyer in Spain will investigate all legal, urbanistic, and tax issues before you sign anything.

2. “I don’t need a lawyer — the agent handles everything.”

Real estate agents in Spain often work for the seller and are not regulated like in some other countries. Their job is to close the deal, not to protect your legal interests.

The Truth: Only a lawyer acting on your behalf ensures you’re not exposed to legal risks. Learn more about our legal services for foreigners.

3. “Foreigners can buy any property without limitations.”

While Spain is generally open to foreign property buyers, certain areas — particularly coastal or military zones — may require additional government authorizations.

The Truth: A location-specific legal check is crucial, especially for non-EU nationals. Our legal team verifies whether any restrictions apply before proceeding.

4. “Owning property means I get Spanish residency.”

This used to be partly true under the Golden Visa scheme, but as of April 2025, Spain has officially abolished the Golden Visa program.

The Truth: Property ownership does not grant you the right to live in Spain. Residency must be obtained through valid visa routes such as non-lucrative, digital nomad, or work visas. (Official source)

5. “Taxes are only paid at the time of purchase.”

Many foreign owners overlook recurring taxes and obligations, which include: – Annual property tax (IBI) – Non-resident income tax (Form 210) – Wealth tax (in some regions) – Community fees and other municipal costs

The Truth: Ownership comes with ongoing obligations. Lextax offers complete non-resident tax advisory services.

6. “The notary ensures the property is legally sound.”

In Spain, the notary’s job is to formalize the transaction, not to investigate planning violations, debts, or illegal construction.

The Truth: Legal risk assessment must happen before reaching the notary — and only your lawyer will do it thoroughly.

7. “Buying with a partner or friend is simple — we trust each other.”

Many co-purchases end in disputes when there’s no formal agreement.

The Truth: Draft a co-ownership contract outlining rights, duties, and exit clauses. In some cases, it may be advisable to purchase through a company. Read more on company formation in Spain.

8. “New-build properties are safer than older homes.”

New developments can involve their own risks: – Delayed completion – Missing permits – Insolvent developers

The Truth: Every property — new or old — requires legal vetting to ensure you’re not buying into hidden liabilities.

9. “Donating my property to my children is tax-free.”

Even gifts between family members can trigger tax consequences.

The Truth: Spanish gift and inheritance taxes apply in many cases and vary by region. Learn more in our article on donations by foreigners in Spain.

10. “Once the purchase is complete, I’m legally protected.”

Legal problems can still emerge after purchase: – Previously unknown debts – Inheritance claims – Undeclared modifications or extensions

The Truth: Ongoing legal maintenance is just as important as due diligence during the purchase.

Final Thoughts

Spanish property law has its nuances, and believing the wrong things can cost you time, money, and peace of mind. At Lextax, we serve as your legal translator — simplifying Spain’s complex legal system for international investors.

Ready to buy property in Spain with complete legal confidence?

Contact our expert team today for a personalized consultation.

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