Publicado por If you live in another European country and are considering investing in Spanish real estate, this article is for you. Spain continues to be one of the most attractive destinations for property investment in Europe—not only for lifestyle reasons but also for financial returns.
Why Invest in Spanish Real Estate?
A Solid, Transparent Market: Spain offers legal security, a clear buying process, and an established real estate market.
Attractive Returns: Many cities and coastal areas provide high rental yields and consistent demand.
Eurozone Investment: No currency exchange risk for investors within the euro area.
High Rental Demand: Especially in major cities and tourist regions, where rental housing is in short supply.
Spain’s Housing Crisis: Why Prices Keep Rising
Spain is currently facing a severe housing crisis, and it’s one of the key reasons real estate investment remains so attractive:
Chronic undersupply: New housing construction in Spain is at historically low levels. In the last decade, the country has built far fewer homes than needed to keep up with demand—particularly in cities like Madrid, Barcelona, Valencia, Málaga, and Palma de Mallorca.
Population growth and urbanization: Spain’s population is increasing, especially in urban areas due to migration (both internal and international), student demand, digital nomads, and remote workers relocating to Spain.
Regulatory bottlenecks: Building permits and land reclassification are slow, which delays new development. In some cities, local restrictions limit the number of new builds or short-term rentals.
Rising rents and purchase prices: According to Idealista and Eurostat data, average rental prices in Spain have increased over 40% in the past 5 years in key cities, and purchase prices continue to rise, especially for small and medium-sized flats.
Affordability gap for locals: Many Spanish residents, especially young professionals, cannot afford to buy a home—creating sustained demand in the rental market, which benefits property owners and investors.
👉 In short: high demand + limited supply = rising prices and strong rental yields, which positions Spain as one of Europe’s most dynamic residential investment markets.
What You Need to Buy Property in Spain
Investing in Spain is a straightforward process. Here’s what you’ll need:
NIE (Foreigner Identification Number): Required for any property purchase in Spain.
Spanish Bank Account: Not mandatory, but highly recommended to manage expenses and receive rental income more easily.
At Inviertis, we assist with both, making the process simple and remote-friendly.
Ready to start investing? Contact us now and let’s make it happen
Taxes and Costs for Foreign Buyers
Regardless of your residency status, property purchases in Spain involve some common taxes:
Transfer Tax (ITP): Applies to resale properties (typically 6–10% depending on the region).
VAT (IVA): Applies to new-build properties (generally 10%).
Municipal Capital Gains Tax (Plusvalía): Usually paid by the seller, though this can be negotiated.
Non‑Resident Income Tax (IRNR): 19% for EU/EEA residents on rental income and gains, filed quarterly.
Annual Tax Filing: Required if you earn rental income, even as a non-resident.
Hands-Free Investment with Inviertis
With Inviertis, you can invest in fully managed, already rented properties—without needing to travel or manage tenants yourself. We handle:
Legal paperwork and administrative setup
NIE and bank account coordination
Tax compliance and declarations
Ongoing rental management
You simply receive your rental income in your bank account each month. No hassle, no surprises—just passive income from day one.
Ready to start investing? Contact us now and let’s make it happen
