What you can and cannot do as a non-resident in Spain

If you're a non-resident in Spain, there are certain services and rights you will have access to and others that you won't. Read on if you're on the fence about whether you should become a Spanish resident or remain a non-resident.

Being a non-resident in Spain typically refers to someone who has a property or some type of investment here.

They do not have any residency rights allowing them stay any longer in Spain than what a tourist visa allows if they're non-EU (typically 90 out of 180 days), and even if they're EU nationals they should register as residents after 90 days in Spain.

Spending less than 183 days a year in Spain also indicates non-residency from a tax point of view, meaning that their main centre of economic interest is abroad.

Deciding whether to make Spain your main base can be challenging, so we've broken down what a non-resident in Spain can and cannot do.

What can a non-resident in Spain do?

Get an NIE

NIE stands for Identificador del Extranjero or Foreigner Identity number. As a non-resident who wants to make a large financial transaction in Spain – such as buying a house - you will need to apply for one. It’s important to remember, this number doesn’t give you any rights beyond making this transaction. It doesn’t allow you do stay for longer for example.

Buy a property

As a non-resident you are permitted to buy a property in Spain. This can be used as a holiday home or investment to rent out, but you can’t live in it permanently. You can only stay there as long as your visa allows. If you’re from the EU, you can stay in Spain as long as you want, but Spanish law says you must register as a resident if you’re living here for more than three months.

Property purchases by non-residents have been making headlines recently, with several proposal to either tax them or limit their abilities to buy homes. Most recently, the Canaries and the Balearics called for limits on foreign home ownership, but for now Spain's Congress has rejected this.

Rent a property

If you turn up in Spain and want to stay for up to three months, you can rent a property. According to Idealista, one of Spain’s top property websites: “You can sign a rental agreement with a valid passport, even if you do not have an NIE. You just have to put your passport number as your main identity document on the rental agreement.” However, there are some caveats you can find more about in the link below.

Buy a car

Just like being able to buy a property, you are able to buy a car in Spain, even if you don’t live here. This could be while you’re here temporarily and then sell it on or if you keep it to use during the months of the year you live in your holiday home, for example.

Open a Spanish bank account

While you can buy a property here without having a Spanish bank account, it will be easier and more cost effective if you do have one. Although, if you’re buying a property with a mortgage, then you will need one. You may also need one for paying utility bills, community fees and IBI property tax. Some banks require you to have an NIE, while others you can open with your passport number instead.

Pay taxes

This isn’t exactly a benefit, but it’s something that you must do if you own a property or carry out other large financial transactions in Spain. As a non-resident you are subject to 19-24 percent tax for rental income and capital gains in Spain, as well as investment interest and dividends here. It’s 19 percent for non-residents from EU and EEA countries and 24 percent for non-residents from third countries.

What can I not do as a non-resident in Spain?

Spend more than 90 days a time in Spain if you’re from a non-EU country

Being a non-resident in Spain, such as owning a holiday home, gives you no extra rights to stay in Spain any longer than 90 days at a time if you’re from a non-EU country. As an EU citizen you can stay as long as you wish, but as mentioned above, you will have to register as a resident after three months, the difference being that you won't be subject to the same stringent Schengen rules.

Have the right to work if you’re from outside the EU

Likewise, being a non-resident and owning a property doesn’t give you any working rights in Spain if you’re from a non-EU country. If you’re from the EU, you can apply for and be offered a job, but then you’ll have to switch to being a resident.

Vote in municipal projects

EU citizens residing in Spain can vote in Spain's municipal elections. As for non-EU citizens living in Spain, their voting rights in local elections depend on whether there's a bilateral voting arrangement between Spain and their country.

Spain currently has bilateral agreements with Norway, Iceland, Bolivia, Cape Verde, Chile, Colombia, Ecuador, New Zealand, Peru, Paraguay, South Korea, Trinidad and Tobago and the UK.

Non-residents have no voting rights in any elections in Spain, unless they are Spanish nationals.

Get on the padrón

You can register on your local town hall’s census as a non-resident sometimes, but the general advice is that you shouldn’t. The padrón is designed to find out how many people are living in the area and depends on how much money the town hall will get from the government. If you’re a non-resident and register, however, you could face issues if you get asked to prove your status in Spain for tax purposes and when bringing your car over to the country.

Have general access to healthcare, apart from in emergencies

You also can’t get access to public healthcare if you’re a non-resident as this depends on your social security payments, mainly through being employed or self-employed here. If you’re from an EU country you can apply for the European Health Insurance Card (EHIC) and you’ll be covered for emergencies. If you are from the UK, you can apply for a UK Global Health Insurance Card (GHIC) which also allows you emergency healthcare here. It’s important to remember that these don’t replace travel insurance, so it’s important you get these too.

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