7 Biggest Mistakes When Moving to Spain (and Buying a Home on the Costa del Sol)

The 7 biggest mistakes when moving to Spain are choosing a route to residency too late, underestimating the NIE and purchase costs, skipping an independent lawyer, picking a town from holiday memories, ignoring healthcare and local registration, misjudging tax residency, and buying before renting. Here is each one in turn, with Costa del Sol figures as of November 2026.

These are the things to know before moving to Spain, but this article is a general guide and does not replace an immigration lawyer or a tax adviser. The rental data come from idealista's October 2026 price report, and the sales data from the EVS Property market report of November 2026.

Mistake 1: Moving or buying without a route to residency

If you are a citizen of the EU, the EEA or Switzerland, you do not need a visa. If you plan to stay more than three months, you must obtain the EU citizen registration certificate (form EX-18) in person within three months of arriving. It includes your NIE, and you will need to show that you work in Spain or have sufficient funds and health insurance.

For Britons (since 2021) and other third-country nationals, the limit without a visa is 90 days in any 180-day period across the whole Schengen area, and owning a home does not extend it. The visa is requested at the Spanish consulate in your country of residence before you travel. These are the most common routes:

• Non-lucrative residence: income of 400% of the IPREM, around €28,800 a year per applicant in 2026, plus 100% of the IPREM (€7,200 a year) for each family member; private health insurance without co-payments (or form S1); a criminal record certificate covering five years (ACRO in the UK) with apostille and sworn translation; and a medical certificate. It does not allow you to work in Spain.
• Teleworking visa ("digital nomad"): for people working remotely for companies or clients outside Spain, with income of at least 200% of the minimum wage (SMI) per month, a working relationship of at least three months and health insurance. The visa lasts up to one year, after which a permit of up to three years is possible.

One key point: the golden visa for property purchases was abolished on 3 April 2025, so buying a home no longer gives you the right to reside in Spain. Once you arrive on a visa, you have one month to request your TIE by appointment (cita previa) at the Oficina de Extranjería or the Policía Nacional; on the Costa del Sol, appointments go quickly.

Mistake 2: Underestimating the NIE, taxes and purchase costs

The NIE is essential for buying, signing the contract, opening an account and paying taxes. You can request it in advance through the consulate. Many buyers budget only for the property price and are surprised by the extras: in Andalusia, a resale home adds roughly 7.5–8% of the price (7% ITP plus notary, land registry and gestoría fees), and a new build around 12% (10% VAT plus 1.2% stamp duty, AJD).

Bear in mind that ITP is calculated on the higher of two values: the price in the deed or the Catastro reference value. For 2027, the Junta de Andalucía has announced a cut in the general ITP rate to 6.75%, but this depends on the 2027 budget, which has yet to be approved.

Other details that get forgotten: if the seller is a non-resident, the buyer must withhold 3% of the price and pay it to Hacienda (modelo 211). With a mortgage, the bank pays the notary, land registry, gestoría and mortgage tax (Ley 5/2019), while you pay the valuation (tasación), around €300–600. And as a non-resident owner you will file modelo 210 (imputed income) every year, even if you do not rent the property out, plus IBI and the refuse charge.

Mistake 3: Not hiring an independent lawyer or checking the paperwork

Hiring a lawyer is not compulsory, but it is the norm for checking what matters: the nota simple from the Registro de la Propiedad (owner, charges and mortgages), that the Registro and the Catastro match, that there are no IBI or community-fee debts, the licencia de primera ocupación, and the legality of any extensions or pool. If you are considering holiday lets, also check whether the community statutes and the town council allow them.

Do not sign the contrato de arras or pay a deposit before that review. The notary certifies the transaction but does not carry out a full check of the property on your behalf. And make sure your lawyer is independent of the seller and the developer.

Mistake 4: Choosing a town from holiday memories

A charming town in August can feel very different in February. Think about daily life: transport, hospitals, schools and the time to the airport. Malaga city offers an airport, the AVE high-speed train, hospitals, a university and year-round life. Torremolinos, Benalmádena and Fuengirola are compact towns linked to Málaga and the airport by Cercanías trains, with large foreign communities.

Mijas combines a white mountain village, residential developments and the La Cala coast, with more space for the same money. Marbella and Benahavís are the most expensive market, with international schools and golf. Estepona has plenty of new builds and is cheaper than Marbella per square metre. Manilva and Casares, in the west, have the lowest prices in our report and are quieter out of season.

Our advice: visit in the low season and check journey times and schools. Compulsory education runs from age 6 to 16; in Andalusia, a place at a state school depends on your address (padrón), and applications for the following year are made in spring.

Mistake 5: Forgetting about healthcare, the padrón and a bank account

Registering with the town hall (empadronamiento) requires your passport or TIE and your rental contract or deed, and it opens the door to the health card, school places and local benefits. Do it in your first few days rather than leaving it until last.

On healthcare, retirees from the UK or the EU who are entitled to care in their home country use form S1, registered with the Seguridad Social, which gives access to public healthcare; those working in Spain pay contributions. Without an S1 and without a job, the options are private insurance or the convenio especial, available after at least one year of legal residence and padrón registration: €60 a month up to age 65 and €157 a month from 65 (Ministry of Health). Finally, a Spanish bank account makes it easier to set up direct debits for IBI, community fees and utilities.

Mistake 6: Not knowing when you become a tax resident

You are a tax resident if you spend more than 183 days a year in Spain or if your centre of economic interests is here. In that case you pay IRPF on your worldwide income, including pensions and rental income from abroad, taking double taxation treaties into account.

Residents must also report assets held abroad (accounts, securities, property) on modelo 720 if any category exceeds €50,000. While you remain a non-resident, what applies is modelo 210 for your Spanish home. Before moving, talk to an adviser about how your pension and income will be taxed.

Mistake 7: Buying too soon, without renting in the area first

Renting for a while is the cheapest way to find out whether an area suits you. Many EVS Property clients rent for between six months and a year before buying, to see the neighbourhood in winter and in summer. Here is the benchmark by town:

Málaga province stands at €18.8/m² per month, up 6.8% on a year earlier, and is the third most expensive province in Spain for renting, after Madrid and the Balearic Islands. For sales, the median across the whole Costa del Sol is €649,000, or €4,744/m². The rental figures are long-term asking prices; the sales figures are medians from the EVS catalogue (8,432 listings).

Work out a "trial year" in an 80 m² flat: 12 months in Fuengirola comes to about €16,800, in Estepona about €19,968 (nearly €20,000) and in Marbella about €22,560. Buying a €549,000 resale home (the Fuengirola median) with costs of 7.5–8% means €41,000–44,000 that you cannot recover if the area turns out not to suit you.

Long-term rentals on the coast are expensive and scarce, so start looking early. In the contract, the legal deposit (fianza) is one month (art. 36.1 LAU); any additional guarantee cannot exceed two months in contracts of up to five years, and agency fees and the cost of drawing up the contract cannot be passed on to the tenant (art. 20.2 LAU).

Conclusion: plan first, buy later

Almost all of these mistakes can be avoided by following the same order: sort out residency, understand the costs and taxation, work with an independent lawyer, get to know the area by renting, and only then buy. At EVS Property, a Costa del Sol agency with an office in Benalmádena, we help people moving here choose an area, find a home to rent or buy, and coordinate the NIE with the notary and the bank. If you would like to talk through your situation, we would be glad to hear from you.

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