Spanish Property Law Explained
Spanish property law is based on a civil-law system and differs significantly from common-law systems. The land registration system, the taxes and the contract structure all work differently — but it's manageable with the right knowledge. Here we explain the key concepts.
Nota Simple — your most important document
The nota simple is an extract from the Spanish land registry showing ownership, a description of the property, and any charges, mortgages or easements. It costs around 10 EUR and can be ordered online via registradores.org. Your lawyer should always obtain the nota simple before you sign anything.
The arras contract
The private reservation contract signed before completion at the notary. There are three types:
- Arras confirmatorias: a simple confirmation — no automatic forfeiture clause
- Arras penitenciales: the most common type — the seller pays back double on withdrawal; the buyer loses the deposit
- Arras penales: the withdrawing party is liable for damages that can exceed the deposit
Completion and the escritura pública
The escritura pública is the public title deed signed before the notary and registered. It is the legal proof of ownership. The notary is a public official who verifies identity and that the transaction complies with Spanish law — but the notary does not represent the buyer or seller specifically.
Registro de la Propiedad
The Spanish land registry. Registration is not legally required but is strongly recommended — it protects your ownership against claims from third parties. A property cannot be resold without the new buyer's lawyer checking the registry.
Catastro and the cadastral reference
The Catastro is the Spanish cadastral register — a separate database from the land registry. The cadastral reference (referencia catastral) is the property's unique ID for tax purposes. It is used to calculate IBI and must appear on energy certificates and invoices.
Comunidad de propietarios
The owners' association in urbanisations and multi-unit buildings. All owners are automatically members and are liable for any unpaid fees left by the previous owner. Always check for arrears before buying.