Property
Spain — Property: Investment Market
Spain has no general ban on foreigners buying property, but Law 8/1975 on zones of interest to national defence allows restricted-access zones where acquisition by people of foreign nationality or control can be prohibited, limited or conditioned. In those zones, foreigners acquiring rural or urban property need military authorisation, as do mortgages and other rights over the property and construction works; notaries and registrars must see the authorisation before executing or registering the deed. The total area owned by foreigners cannot exceed 15% of the zone, with lower limits set for some zones (10% for the Strait of Gibraltar and the Bay of Cádiz). The limits do not apply to nationals of EU member states, and the authorisation also applies to Spanish companies more than 50% owned by non-EU foreigners. A Ministry of Defence order of 2021 streamlines authorisations for non-EU buyers; check the current rules and your property's location.
Key facts
- Law 8/1975 allows restricted-access zones where acquisition by people of foreign nationality or control can be prohibited, limited or conditioned.
- In those zones, foreigners need military authorisation to buy property, take a mortgage or build; notaries and registrars must require it.
- Foreign-owned area cannot exceed 15% of a zone; the 1978 regulation sets 10% for the Strait of Gibraltar and the Bay of Cádiz.
- The limits do not apply to nationals of EU member states; the authorisation also applies to Spanish companies more than 50% owned by non-EU foreigners.
- A 2021 Ministry of Defence order simplifies authorisations for non-EU buyers; check current rules.
Common mistakes
- Buying near a military or border zone without checking whether authorisation is needed — a registrar can refuse to register the deed.