Buying a property in Tenerife is an exciting investment — whether it’s a holiday home, relocation, or rental property. However, the Spanish legal process can be complex for foreigners unfamiliar with local requirements. Here we explain the key steps and how a lawyer can protect your interests throughout the transaction.
Can foreigners buy property in Tenerife?
Yes. Foreigners — whether EU citizens or not — can freely buy property in Spain. There are no restrictions on ownership. The main requirement is to have a NIE (Número de Identificación de Extranjero), a personal identification number used for all legal and tax matters. Without it, you cannot complete the purchase or pay the related taxes.
What is the role of a lawyer in the buying process?
A lawyer ensures that your purchase is legally secure. This means verifying who owns the property, checking that there are no debts, mortgages, or urban infractions, and confirming that the seller has the right to sell. At Atlantic Law, we also handle communication with the real estate agent, notary, and bank, so you have one single point of contact for everything.
What is due diligence and why is it essential?
Due diligence is the legal investigation carried out before signing the contract. It includes checking the Land Registry, the Catastro (property tax database), and the community of owners to make sure there are no unpaid fees or irregularities.
This step protects you from buying a property with hidden problems or future liabilities.
How does the notary signing work?
Once all checks are complete, the purchase deed (escritura pública de compraventa) is signed before a Spanish notary. The notary confirms that the transaction meets all legal requirements, but does not advise you personally — that’s your lawyer’s job.
If you cannot attend the signing in person, you can give a power of attorney to your lawyer, who will sign and register the property on your behalf.
What taxes do buyers need to pay?
Taxes depend on whether the property is new or second-hand.
-
For resale properties, buyers pay the Transfer Tax (ITP), usually between 6.5% and 10%.
-
For new properties, you pay VAT (IVA) and Stamp Duty (AJD).
A lawyer will calculate the exact amount and make sure all payments are made on time to avoid penalties.
What happens after the signing?
After the notary signing, your lawyer registers the property at the Land Registry, pays the necessary taxes, and collects the official title deed in your name. This ensures your ownership is fully legal and recorded.
At Atlantic Law, we also help with utility transfers, community registration, and tax declarations after completion.
Why should you hire an independent lawyer?
Many buyers rely solely on real estate agents or developers, but their role is commercial, not legal. An independent lawyer ensures that your interests come first — reviewing contracts, identifying risks, and ensuring full transparency.
At Atlantic Law Tenerife, we provide bilingual legal assistance, combining local expertise with an international understanding of how foreign clients prefer to work: clear communication, fixed fees, and complete peace of mind.
