Buying property in Spain as a foreigner is one of the most exciting investments you can make, but also one of the most legally complex… Like in most countries, due diligence is not an automated process: it requires active research, official registrations, and the expertise of a qualified property lawyer.
This checklist covers every essential step you must take before signing any contract or transferring any funds. Skip even one item, and you risk inheriting the seller’s debts, buying an illegal structure, or losing your investment to a dispute you never knew existed.
1. Obtain the Nota Simple from the Land Registry
The Nota Simple (Nota Simple Informativa) is the cornerstone of any property purchase in Spain. Issued by the Registro de la Propiedad, it confirms:
- Who legally owns the property
- Whether there are mortgages, liens, embargoes, or any other charges registered against it
- The surface area and description of the property that is officially recognised, and whether this matches what the seller claims to be selling
- A Nota Simple must be requested shortly before signing, as it reflects the status of the property at a specific point in time. Your lawyer will obtain this on your behalf and interpret any charges that appear.
2. Verify Local Property Tax Payments
IBI – Impuesto sobre Bienes Inmuebles, is the annual council tax on property in Spain. If the seller has unpaid IBI debts, these automatically transfer to the new owner – meaning you inherit the liability the moment you complete the purchase.
Your lawyer will request official proof from the seller that all IBI payments are up to date, in addition to conducting their own research. For extra peace of mind, your lawyer will also verify this directly with the local Town Hall (Ayuntamiento).
3. Community of Owners Bylaws and Status
If the property forms part of an apartment building or urbanisation, it will be subject to a Comunidad de Propietarios.
As a future new owner within the complex, it’s important to know and understand the community rules, since you’ll soon be part of it. Your lawyer will review the statutes, the overall financial status, and the minutes of recent meetings, keeping you informed of any key points you should be aware of.
4. First Occupancy License
The First Occupancy License is an official certificate from the local council confirming that a property has been built according to regulations and is legally fit to be occupied.
While not having a First Occupancy License does not legally prevent the purchase of a property, it is important to understand why the license is missing. Its absence may indicate structural, legal, or planning issues that could advise against proceeding with the purchase.
5. Certificate of No Urban Planning Non-Compliance (CNIU)
As part of the due diligence process, it is important to verify that the property is free from any urban planning infringements, ongoing administrative proceedings, or sanctions. The CNIU is an official certificate issued by the local council confirming that the property has no recorded irregularities or non-compliance issues.
Obtaining this certificate provides legal assurance, confirming that the property can be bought, sold, or financed without risks related to planning or construction.
6. Certificado de Eficiencia Energética (CEE)
The CEE (Energy Efficiency Certificate), shows a property’s energy efficiency, indicating how much energy it consumes and how efficient it is. By law, it is mandatory to have this certificate when selling or renting a property in Spain.
Your lawyer will ensure that the seller provides the Certificado de Eficiencia Energética (CEE)for the property before completion.
7. Investigate the Urban Planning Classification
One of the key elements to analyze when buying a property in Spanish is the property’s urban planning status. While there are various types of land classifications, the ones you are most likely to encounter when buying a property or plot are:
- Urban land (suelo urbano) – fully legal and usually connected to utilities and services.
- Urbanisable land (suelo urbanizable) – can be developed, but only subject to planning approval.
- Rural or protected land (suelo no urbanizable) – construction is highly restricted or prohibited.
In Andalusia, there are many cases of properties built on rural land without the proper planning permissions. Purchasing such a property can prevent you from renovating, extending, or even selling it, and in some cases, demolition orders have been issued.
Your lawyer should always verify the property’s classification with the Town Hall and the Land Registry before you proceed, to avoid legal and financial risks.
8. Confirm There Are No Ongoing Legal Disputes or Litigation
Ask your lawyer to check whether any legal proceedings (litigios) are registered against the property or the seller. This includes disputes with neighbours, ongoing community proceedings, or any court-ordered injunctions that may affect your ability to take clear title.
9. Review the Private Purchase Contract (Contrato de Arras) Carefully
Before the notarial deed is signed, it is standard practice in Spain to formalise the purchase with a Contrato de Arras. This private purchase contract commits both parties and usually involves a 10% deposit. There are different types of arras under Spanish law, and the consequences of withdrawal differ significantly between them.
Never sign a Contrato de Arras without your lawyer reviewing it first. The contract should cover the agreed price, completion date, inventory of included items, and the exact consequences if either party pulls out.
Why Foreign Buyers Need a Lawyer When Buying Property in Spain
At Manzanares Lawyers, we carry out every step of this due diligence process on behalf of our clients. From the initial Nota Simple to final registration at the Land Registry, our team ensures that your purchase is legally sound before a single euro changes hands.
We work with foreign buyers across the Costa del Sol, Málaga, and Ibiza, and we can act through a Power of Attorney (Poder Notarial) if you are unable to be present in Spain during the transaction.
Contact Manzanares Lawyers today for a free initial consultation on your Spanish property purchase. We will guide you through every step of the process.
