More than half of our buyers are not Spanish, so we answer this question almost weekly: can a foreigner buy a house in Mallorca? Yes, without restrictions — EU and non-EU citizens alike. The difference is not the right to buy but the preparation: the foreign buyer who arrives with homework done signs within weeks; the one who improvises loses the house they wanted.
The NIE: always the first step
The NIE (foreigner identification number) is essential for signing the deed, paying taxes and setting up utilities. You apply at the police station in Palma with an appointment, at the Spanish consulate in your country, or through a lawyer with power of attorney — the most convenient route if you do not live here. Realistic timing: from a few days (via POA) to several weeks (consulate). Our advice: apply when you start searching, not when you find the house.
Bank account and source of funds
A Spanish account is not legally required but simplifies everything: payment is usually made by Spanish banker's draft at the notary, and utilities are paid by direct debit. Banks apply strict anti-money-laundering checks: prepare documentation of your source of funds (sale of another property, savings, inheritance), with translations where needed. Opening an account as a non-resident takes days to a couple of weeks.
An independent lawyer: not optional in practice
In Spain the notary certifies but defends neither party, and due diligence is the buyer's job. An independent local lawyer checks charges, licences, planning legality (critical on rustic fincas) and drafts or reviews the contracts. Typical fee: around 1 % of the price. With power of attorney they can also sign everything on your behalf without you travelling.
Reservation, deposit, notary: the three steps
- Reservation contract: takes the property off the market with a holding deposit (typically 1 % or a fixed amount) while your lawyer does due diligence.
- Arras (deposit) contract: the serious commitment — normally 10 % of the price. If the buyer withdraws, they lose it; if the seller withdraws, they return double.
- Deed at the notary: payment of the balance, keys and signatures. With POA, your lawyer can represent you.
The well-prepared foreign buyer — NIE in hand, funds documented, lawyer chosen — competes on equal terms with the local buyer. Everyone else arrives late to the best houses.
Timelines and costs, in short
From accepted offer to keys: 6 to 12 weeks is typical without a mortgage; somewhat longer with financing. On top of the price, budget an extra 10–13 % in taxes and costs (banded Balearic ITP from 8 to 13 %, notary, registry, lawyer). If you finance the purchase, add the valuation and bank costs.
The buying guide you can download at the end covers the full process with checklists. And if you would rather talk it through with someone who does this every week, you will find us on Santanyí's Plaça Major.
