How to Buy a Property in Mallorca: Complete Step-by-Step Guide (2025)
How to Buy a Property in Mallorca: Complete Step-by-Step Guide (2025)
Buying a property in Mallorca is a dream for many international buyers seeking Mediterranean lifestyle, sunshine, and high-quality real estate. Whether you’re searching for a luxury villa in Andratx, a traditional stone finca in Santanyí, or a modern apartment in Palma, understanding the Mallorca property buying process is key to a safe and smooth purchase.
This complete guide walks you through each step of buying a home in Mallorca, including legal requirements, taxes, and essential tips for foreign buyers.
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1. Start Your Property Search in Mallorca
Begin by researching the island’s regions and deciding what suits your needs:
• Southwest (Port Andratx, Santa Ponsa) – luxury villas
• Central Mallorca (Binissalem, Santa Maria) – fincas & country homes
• Southeast (Santanyí, Cala d’Or) – charming villages & coastline
• Palma & surrounding areas – apartments and townhouses
Arrange viewings, request documentation, and compare market prices to make an informed decision.
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2. Obtain Your NIE Number
To buy property in Mallorca, you need an NIE (Número de Identidad de Extranjero) — the identification number required for foreigners in Spain.
You need it for:
• Signing the title deed
• Paying taxes
• Setting up utilities
You can obtain your NIE in Mallorca, at a Spanish consulate in your home country, or through a lawyer using power of attorney.
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3. Hire an Independent Lawyer in Mallorca
Working with a qualified real estate lawyer in Mallorca is highly recommended.
Your lawyer will:
• Check the legal status of the property
• Confirm there are no debts or urban planning issues
• Verify that all licenses and certificates exist
• Prepare or review contracts
• Represent you at the notary if needed
This is essential in Mallorca, especially for rural properties and fincas, where planning regulations can be complex.
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4. Sign a Reservation Contract
When you decide to buy a property in Mallorca, the first formal step is the reservation agreement.
You pay a small reservation fee (usually €3,000–€10,000), which removes the property from the market while legal checks begin.
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5. Sign the Private Purchase Contract (Arras)
The “Contrato de Arras” is the binding private contract.
At this stage:
• Buyer and seller sign the agreement
• You pay a 10% deposit
If the buyer withdraws without legal cause, the deposit is forfeited.
If the seller withdraws, they must return double the deposit.
This step secures your Mallorca property.
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6. Completion at the Notary in Mallorca
On the completion date, both parties (or their legal representatives) meet at the notary office in Mallorca to sign the Escritura Pública (title deed).
During completion:
• The remaining balance is paid
• Ownership is transferred
• Keys are handed over
You officially become the owner of your Mallorca property.
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7. Register the Property in Your Name
After signing the deed, your lawyer registers it at the Land Registry (Registro de la Propiedad) in Mallorca.
This ensures your ownership is legally protected.
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8. Mallorca Property Taxes & Buying Costs
Buying property in Mallorca involves several taxes and fees.
Typical costs include:
For resale properties in Mallorca:
• Transfer Tax (ITP): 8%–13% depending on the purchase price
For new-build properties:
• VAT (IVA): 10%
• Stamp duty (AJD): 1%–1.5%
Other costs:
• Notary: approx. €600–€1,000
• Land Registry: approx. €400–€600
• Lawyer fees: around 1% + VAT
• Bank/mortgage fees (if applicable)
Total buying costs in Mallorca usually range from 10%–13% of the purchase price.
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9. After the Purchase
After you become the official owner, you will need to:
• Transfer utilities (electricity, water, gas, internet)
• Set up property tax payments (IBI + basura)
• Pay community fees (if applicable)
• Arrange home insurance
• Register as a non-resident property owner if you live abroad
Your agent or lawyer can assist with all these steps.
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Summary: Buying a Property in Mallorca Step by Step
1. Start your property search
2. Obtain your NIE number
3. Hire an independent lawyer
4. Sign the reservation contract
5. Sign the private purchase contract (arras)
6. Complete the purchase at the notary
7. Register the property
8. Pay taxes and fees
9. Set up utilities and annual costs
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Interested in Buying Property in Mallorca?
Mallorca offers one of the most attractive real estate markets in Europe. If you need a personalised guide, property recommendations, or professional local assistance, feel free to get in touch here: CONTACT US
