Alicante Guide

Last Updated: February 3, 2026

Buying property in Spain offers excellent value compared to Northern European markets, with Costa Blanca providing year-round sunshine, modern infrastructure, and established international communities. Whether you're purchasing a €150,000 apartment in Torrevieja or a €500,000 villa in Javea, the legal process remains consistent and transparent when you work with experienced professionals.

At Hansson & Hertzell, we've guided over 500 international buyers through Spanish property purchases since 2009. Our multilingual team (Swedish, English, Spanish, Dutch, French) ensures you understand every step—from initial viewing to collecting your keys and beyond.

Step 1: Define Your Requirements & Budget

Before viewing properties, clarify your priorities. Our experience confirms that buyers who define their needs upfront make faster, more confident decisions.

Key considerations:

• Location priorities: Beach proximity (within 200m-5km?), golf courses, international schools, airports (Alicante-Elche 45 min, Murcia-Corvera 35 min)
• Property type: Apartment (€85,000+), townhouse (€150,000+), villa (€250,000+), new build vs resale
• Essential features: Bedrooms, outdoor space, pool (private/communal), parking, ground floor/elevator access
• Usage pattern: Holiday home (rental income 6-8% yield?), permanent residence, retirement property
• Budget clarity: Purchase price + 12-15% costs + furnishing (€5,000-20,000) + annual costs (IBI €300-1,200, community fees €400-2,000)

Costa Blanca pricing benchmarks (2026):

• Torrevieja: €1,850/m² average (apartments from €85,000, villas from €250,000)
• Orihuela Costa: €2,100/m² average (beach proximity premium)
• Javea: €3,500/m² average (North Costa Blanca prestige location)
• Altea: €3,200/m² average (hillside views, artistic community)

Step 2: Obtain Your NIE Number

The NIE (Número de Identificación de Extranjero) is Spain's tax identification number for foreigners. You cannot purchase property without it.

How to obtain your NIE:

• Option 1 - From your home country: Apply at Spanish consulate (2-4 weeks processing, €12-15 fee)
• Option 2 - In Spain: National Police station with appointment (same-day to 1 week, €12 fee)
• Option 3 - Through lawyer: Power of attorney allows your Spanish lawyer to obtain NIE on your behalf (€150-300, recommended for efficiency)

Required documents:

• Valid passport (original + photocopy)
• Completed EX-15 form (NIE application)
• Justification for NIE (property purchase reservation contract or offer letter)
• Fee payment proof (Form 790 Code 012)

The NIE is permanent and doesn't expire. You'll use it for property registration, opening bank accounts, setting up utilities, and annual tax declarations.

Step 3: Engage a Spanish Property Lawyer

Hiring an independent Spanish lawyer (separate from the estate agent) is essential. They protect your interests and verify legal compliance before you commit financially.

Your lawyer's responsibilities:

• Property registry checks: Verify legal ownership, no undisclosed mortgages/charges, boundaries match cadastral records
• Town hall verification: Confirm building licenses (licencia de obra), no planning violations, IBI tax paid to date
• Debt clearance: Check community fees current, utilities paid, no outstanding taxes
• Contract review: Examine reservation contract (contrato de arras) and final deeds (escritura) before signing
• Tax guidance: Calculate exact purchase costs, advise on annual obligations (IRNR non-resident income tax, Modelo 210)
• Bank account setup: Assist opening Spanish bank account for utility direct debits
• NIE assistance: Obtain NIE on your behalf if granted power of attorney
• Representation at notary: Attend completion appointment, verify payment/title transfer

Legal fees: €1,500-2,500 (0.5-1% of purchase price) depending on property value and complexity. Services are typically fixed-fee, agreed upfront.

We partner with reputable Spanish law firms experienced in international property transactions. They communicate in your language and understand foreign buyer concerns.

Step 4: Property Search & Viewings

Costa Blanca property market operates differently from Northern Europe. Understanding the system helps you navigate efficiently.

MLS database access: Hansson & Hertzell belongs to MLS (Multiple Listing Service) cooperatives covering Costa Blanca, Costa Cálida, and Costa del Sol. This gives us access to properties from hundreds of agencies—far more than any single website shows.

Viewing process:

• Individual appointments: Group viewings are uncommon; we schedule one-on-one property tours
• Seller presence: Some owners attend viewings with their listing agent—we accompany you to ask technical questions
• Multiple properties: We typically arrange 5-8 viewings per day when you visit (morning and afternoon sessions)
• Virtual tours available: Video walkthroughs for initial filtering before traveling to Spain

Important differences from other markets:

• Exclusive vs non-exclusive listings: Properties may be listed with multiple agencies at different prices—we verify best available terms
• Pricing transparency: Closing price data isn't publicly available like in UK/Scandinavia—we provide market analysis based on our transaction database
• Commission structure: Seller typically pays agent fees (5-7%) included in asking price; buyer pays nothing to the agent

We provide detailed area tours showing beaches, amenities, golf courses, international schools, and transport links so you understand the full neighborhood context.

Step 5: Make Your Offer

Once you've found your ideal property, it's time to formalize your interest.

For resale properties: Negotiation is common practice. Asking prices often include room for adjustment—typically 5-10% below asking price is reasonable, depending on market conditions, time on market, and seller motivation. We advise on realistic offers based on comparable sales data.

For new build properties: Prices are fixed by the developer. Negotiation focuses on extras (furniture packages, parking spaces, upgrades) rather than the base price. Developers occasionally offer incentives (paying notary fees, including white goods) but the per-square-meter price remains non-negotiable.

Offer components:

• Purchase price (specify if includes furniture/fixtures)
• Proposed completion timeline (typically 6-10 weeks)
• Conditions (subject to mortgage approval, survey, lawyer's checks)
• Deposit amount (see Step 6)

We present your offer professionally to the seller or their agent, negotiate on your behalf, and coordinate responses until agreement is reached.

Step 6: Reservation Deposit & Purchase Contract

When your offer is accepted, you secure the property through a two-stage deposit process.

Stage 1 - Reservation Deposit (€3,000-6,000):

• Paid immediately to remove property from market (typically €6,000 on Costa Blanca)
• Refundable if lawyer's checks reveal serious undisclosed issues
• Gives you 7-14 days for lawyer to complete due diligence
• Non-refundable if you withdraw for non-contractual reasons

Stage 2 - Private Purchase Contract (Contrato de Arras):

Once lawyer confirms property is legally sound, you sign the formal purchase contract and pay a larger deposit.

• Deposit amount: 10% of purchase price (minus reservation already paid)
• Contract type: Typically "arras confirmatorias" (confirming deposit) or "arras penitenciales" (penalty deposit)
• Completion date: Fixed date for notary appointment (usually 6-10 weeks later)
• Penalty clauses: If buyer withdraws, seller keeps deposit. If seller withdraws, buyer receives double deposit back

Contract contents:

• Full property description (address, cadastral reference, registry details)
• Agreed purchase price
• Payment schedule (10% deposit, 90% at completion)
• Completion date and location (specific notary office)
• What's included (furniture, appliances, pool equipment, parking spaces)
• Seller guarantees (IBI paid to date, community fees current, no hidden charges)

Your lawyer reviews the contract line-by-line before you sign, ensuring all verbally agreed terms are properly documented.

Step 7: Arrange Financing (If Required)

Foreign buyers can secure Spanish mortgages, though terms differ from domestic buyers.

Mortgage availability:

• Loan-to-value: 60-70% maximum for non-residents (Spanish residents: 80-90%)
• Interest rates (2026): 3.5-5.5% variable, 4-6% fixed
• Term: Up to 25-30 years (age + loan term typically can't exceed 75)
• Processing time: 4-6 weeks for approval

Required documentation:

• NIE number and valid passport
• Proof of income (3-6 months payslips, tax returns, pension statements)
• Bank statements (3-6 months)
• Employment contract or proof of business ownership
• Credit report from home country (if available)
• Property valuation (arranged by bank, €300-500)

Banks serving foreign buyers:

• Sabadell (strong international department)
• BBVA (competitive rates for non-residents)
• Santander (multilingual service)
• CaixaBank (good for Scandinavian clients)

We connect you with mortgage brokers who compare multiple banks, securing best available terms for your situation.

Cash buyers: Bank still requires proof of funds origin (anti-money laundering regulations). Provide bank statements showing funds accumulated over time, or documentation if from property sale/inheritance.

Step 8: Completion at the Notary (Escritura Pública)

The notary appointment is when legal ownership transfers. All parties meet at the notary office on the scheduled date.

Who attends:

• Buyer (you) or your legal representative with power of attorney
• Seller or their representative
• Buyer's lawyer
• Seller's lawyer (if they have one)
• Notary (independent state-appointed official)

The notary's role:

• Verify identities of all parties
• Confirm funds are available (certified bank check or proof of mortgage)
• Read the title deeds (escritura de compraventa) aloud
• Ensure both parties understand and agree to all terms
• Witness signatures on official documents
• Register the sale with Property Registry

Payment at completion:

• Remaining 90% of purchase price (via certified bank check/banker's draft)
• Property transfer tax (10% ITP on resale properties)
• Notary fees (€600-1,200 depending on property value)
• Land registry fees (€400-800)
• Legal fees (if final payment due)
• Gestor fees (€300-500 for tax filings)

Total costs paid at notary typically equal 12-15% of purchase price.

After signing:

• You receive keys immediately (or we hold them securely until your arrival)
• Notary registers the purchase with Land Registry (automatic, 2-4 weeks)
• You receive registered title deeds by post (3-6 months) showing you as legal owner
• Utilities transfer to your name (we arrange electricity, water, internet)

After-Sales Services: Your Long-Term Partner

Completion isn't the end of our relationship—it's the beginning. We provide comprehensive after-sales support to ensure your Spanish property ownership is stress-free.

Our after-sales services include:

• Key handover: We hold your keys securely in our Torrevieja office until you arrive, or arrange professional handover with property walkthrough
• Utility setup: Transfer electricity, water, internet to your name (or set up first-time contracts for new builds)
• Property maintenance: Deep cleaning before your arrival, garden/pool maintenance packages, regular property checks if you're abroad
• Renovation coordination: Connect you with licensed contractors for kitchen/bathroom updates, pool installation, terrace enclosures
• Furnishing assistance: Recommend trusted furniture suppliers with delivery, help source appliances at local prices
• Rental management: Holiday let setup (Airbnb/Booking.com), guest management, cleaning between bookings, typical yields 6-8% gross on Costa Blanca
• Annual tax support: Coordinate with tax advisors for Modelo 210 (non-resident income tax) and wealth tax declarations
• Community liaison: Attend community meetings on your behalf, resolve disputes, ensure fees are paid

We're here for the life of your Spanish property ownership—not just the transaction.

Frequently Asked Questions

Based on 15+ years guiding international buyers, these are the questions we hear most often:

1. Can foreigners buy property in Spain without restrictions?

Yes, there are absolutely no restrictions on foreign property ownership in Spain. Non-EU and EU citizens have identical rights to purchase residential, commercial, or land properties. The only requirement is obtaining a NIE (tax identification number), which is a straightforward administrative process. Brexit hasn't changed this—British citizens retain full buying rights post-2020.

2. What are the total costs of buying property in Spain?

Total costs are approximately 12-15% above the purchase price. This includes 10% ITP tax (resale properties) or 10% IVA (new builds), notary fees (€600-1,200), land registry fees (€400-800), legal fees (€1,500-2,500), and gestor fees (€300-500). For a €200,000 property, budget €224,000-230,000 total. These are one-time costs paid at completion.

3. How long does it take to buy property in Spain?

The typical timeline is 6-10 weeks from accepted offer to completion. This includes obtaining NIE (1-4 weeks if not already held), lawyer due diligence (2-3 weeks), mortgage approval if needed (4-6 weeks running concurrently), and scheduling the notary appointment. Cash buyers without mortgage requirements can complete in as little as 4 weeks.

4. Do I need to visit Spain to buy property?

Not necessarily. You can grant power of attorney to your Spanish lawyer, allowing them to sign documents and complete the purchase on your behalf. However, we recommend visiting to view properties in person, understand the area, and attend the notary appointment if possible. Virtual viewings work for initial filtering but most buyers prefer seeing their purchase before committing.

5. Can I get a mortgage as a foreign buyer?

Yes, Spanish banks offer mortgages to foreign buyers at 60-70% loan-to-value (LTV) ratio. Interest rates in 2026 range from 3.5-5.5% variable or 4-6% fixed. You need NIE, proof of income, bank statements, and employment verification. Sabadell, BBVA, Santander, and CaixaBank actively serve international clients. Approval takes 4-6 weeks with property valuation required.

6. What annual costs should I budget for?

Annual costs for a typical Costa Blanca apartment: IBI property tax (€300-600), community fees (€400-1,200), utilities if year-round residence (€800-1,500), buildings insurance (€150-300), and non-resident income tax Modelo 210 (€60-200 for non-rental properties). For a villa add pool maintenance (€500-800) and garden upkeep (€400-1,000). Total annual costs typically run €2,000-4,000 depending on property type.

7. What's the difference between buying resale vs new build?

Resale properties have 10% ITP transfer tax, negotiable pricing (5-10% below asking is common), immediate availability, and established communities. New builds have 10% IVA VAT, fixed developer pricing (no negotiation on base price), modern specifications, energy efficiency, and potential construction delays (check guarantees). New builds often include 10-year structural warranties. Both have identical 12-15% total purchase costs.

8. Is hiring a lawyer really necessary?

Absolutely essential. Your independent lawyer (not connected to the estate agent) performs property registry checks, verifies no hidden debts or charges exist, confirms building licenses are valid, reviews contracts before signing, and represents you at the notary. Legal fees (€1,500-2,500) are small compared to the financial protection provided. Never rely solely on the agent or seller's lawyer.

9. What happens if I can't attend the notary appointment?

You can grant power of attorney to your Spanish lawyer, allowing them to sign the escritura (title deeds) on your behalf. The power of attorney must be notarized either at a Spanish consulate in your home country or at a notary office in Spain. This costs €150-300 and takes 1-2 weeks to arrange. Many international buyers use this option for convenience.

10. Can I rent out my Spanish property?

Yes, both long-term and short-term (holiday) rentals are permitted. Holiday lets (Airbnb, Booking.com) typically generate 6-8% gross annual yields on Costa Blanca but require registration with regional tourism authorities. Long-term rentals provide 4-5% yields with less management. Rental income is taxable in Spain at 19-24% for non-residents. We offer full rental management services including guest coordination and cleaning.

11. What is IBI and how much does it cost?

IBI (Impuesto sobre Bienes Inmuebles) is Spain's annual property tax, equivalent to council tax. It's calculated on the cadastral value (typically 50-70% of market value) and varies by municipality. In Torrevieja, IBI averages €300-600 for apartments and €600-1,200 for villas. It's paid annually, either in lump sum or split installments. The seller must prove IBI is paid to date before completion.

12. Do I pay tax on my Spanish property if I don't rent it out?

Yes, non-residents pay Modelo 210 deemed income tax even if the property isn't rented. The Spanish government imputes theoretical income at 1.1-2% of cadastral value annually. Tax on this imputed amount is 19% for EU residents, 24% for non-EU. For a property with €100,000 cadastral value, expect €210-480 annual tax. This is filed annually between January 1 - December 31 of the following year.

13. What's the difference between NIE and residency?

NIE is a tax identification number required for property purchase—it doesn't grant residency rights. Spanish residency requires physically living in Spain 183+ days per year, registering on the padron (municipal register), and obtaining a residency certificate. UK citizens post-Brexit need TIE (residence card) for stays beyond 90 days. Most foreign property owners hold NIE only, visiting as tourists within 90/180-day Schengen limits.

14. What happens if the seller backs out after I've paid the deposit?

Under standard "arras penitenciales" (penalty deposit) contracts, if the seller withdraws after signing the private purchase contract, they must return double your deposit. For a 10% deposit (€20,000 on €200,000 property), you'd receive €40,000. This penalty clause protects buyers from seller speculation. Your lawyer ensures this clause is clearly stated in the contrato de arras.

15. Is Costa Blanca a good investment in 2026?

Costa Blanca property prices increased approximately 40% from 2020-2026, driven by international demand (Dutch and Scandinavian buyers dominate). Torrevieja apartments now start at €85,000 (up from €60,000 in 2020), while Orihuela Costa villas reach €400,000-600,000. Rental yields of 6-8% for holiday lets remain strong. Limited new construction maintains price pressure. The region's year-round climate, healthcare infrastructure, and established expat communities support long-term value.

Popular Costa Blanca Areas for Property Buyers

We specialize in Costa Blanca South and North, each offering distinct advantages:

Costa Blanca South (Alicante Province)

• Torrevieja: €1,850/m² average, large international community, salt lakes, Friday market, 300+ sunshine days
• Orihuela Costa: €2,100/m² average, blue-flag beaches (La Zenia, Cabo Roig, Punta Prima), Zenia Boulevard shopping
• Villamartin: €1,750/m² average, 3 championship golf courses, established expat community, 10 minutes to beaches
• Guardamar del Segura: €1,700/m² average, 11km of sandy beaches, pine forest dunes, authentic Spanish town atmosphere

Costa Blanca North (Alicante Province)

• Javea (Xàbia): €3,500/m² average, premium location, Montgó Natural Park, upscale dining, international schools
• Altea: €3,200/m² average, hilltop old town, artist community, stunning sea views, boutique shopping
• Calpe: €2,600/m² average, iconic Peñón de Ifach rock, sandy beaches, large marina, established expat infrastructure
• Benidorm: €2,200/m² average, high-rise beach resort, year-round entertainment, theme parks, excellent connectivity

Explore our complete Costa Blanca South and Costa Blanca North guides, or contact us for personalized area recommendations based on your budget, lifestyle preferences, and property requirements.