What documents and steps are actually needed to buy property in Spain?

I'm planning to purchase an apartment on the Costa del Sol next year and I'm trying to figure out the exact bureaucratic process. Could someone who has already been through this share what documents are strictly necessary, especially regarding the NIE number and opening a Spanish bank account? Also, what are the hidden taxes and additional costs I should expect on top of the property price?

Getting your NIE number is definitely step one before you can do anything else. You can apply for it at a Spanish consulate in your home country or directly at a police station in Spain. For the bank account, you'll need proof of income or employment to comply with anti-money laundering regulations.

As for hidden costs, expect to pay around 10-13% on top of the purchase price if it's a resale property, mainly due to the Property Transfer Tax (ITP), notary fees, land registry, and legal fees. If it's a brand new build, it's VAT (IVA) plus stamp duty instead.

When I bought my place in Marbella last year, my lawyer handled most of the NIE paperwork and the bank account setup for a flat fee. It saved me so much headache since Spanish bureaucracy can be notoriously slow.

Make sure your bank account is active and funded before signing the private purchase contract (contrato de arras). You'll typically need to wire a 10% deposit right then and there.

Some people ask me if you can use digital assets for these transactions, and while it's complicated, you can check out this guide on which countries currently allow real estate purchases using cryptocurrency to see how Spain compares.

Don't forget that utilities and community fees (comunidad) are ongoing costs you'll have to pay monthly or quarterly, so budget for those as well, especially if you're buying in a complex with a pool and gardens.

To open a non-resident bank account, most banks will ask for your passport, your NIE (eventually, though some let you start the process without it), a certificate of non-residency, and proof of funds like tax returns or pay slips.

The whole process takes about 2 to 3 months from finding the property to the final signing at the notary. Having a good independent lawyer (abogado) who speaks English is non-negotiable.

Make sure your lawyer checks the Nota Simple at the land registry to ensure the property has no hidden debts, illegal extensions, or mortgages attached to it before you hand over any deposit money.

Budgeting accurately is key because the notary fees, gestoria, and taxes will catch you off guard if you only look at the listing price. Always have at least 12% extra liquid cash ready.