Updated: September 2025
Purchasing real estate abroad is exciting, but it also means adapting to a new legal framework. Each European country has its own property laws, procedures, and sometimes ownership restrictions for foreigners. Understanding these rules is essential to avoid costly surprises and ensure your investment is secure. This guide explains the key legal requirements for buying property in Europe, covering everything from foreign ownership rules and property transfer taxes to the role of notaries and contracts.
Can Foreigners Buy Property in Europe? (Ownership Restrictions)
The short answer: foreigners can buy property in Europe in most cases. Popular destinations like Spain, France, Italy, Germany, and the UK impose no blanket prohibition, making buying property in Europe as a foreigner straightforward. This openness has turned Europe into one of the world’s top regions for real estate investment.
Countries with Restrictions
However, several countries enforce restrictions or approval requirements:
Liechtenstein: Perhaps the strictest case – only residents can purchase property, essentially closing the market to non-locals.
Denmark: Non-EU foreigners (and even EU citizens who haven’t lived in Denmark for at least 5 years) need approval from the Ministry of Justice, especially when buying holiday homes.
Malta, Poland, and Hungary: A government permit is required. For example, Poland obliges non-EU buyers to obtain approval from the Ministry of the Interior when purchasing land and real estate in border regions, while buying an apartment is generally simpler, while Malta issues an AIP permit (Acquisition of Immovable Property) for purchases outside designated zones.
Austria and Switzerland: Both countries impose regional rules. In Switzerland, the Lex Koller law limits foreign ownership to certain resort areas with strict size caps (e.g., max 200 m² for an apartment). In Austria, some provinces such as Tyrol and Salzburg have quotas or approval systems for non-EU buyers.
Greece and Finland: Greece restricts purchases in border regions and some islands for national security reasons, while Finland prohibits non-locals from buying land in the autonomous Åland Islands.
EU/EEA citizens usually enjoy broader rights: they can buy under the same conditions as locals. The stricter rules generally apply to non-EU buyers.
If you’re curious about country-specific policies, explore our Countries section for in-depth guides.
The Property Purchase Process in Europe
Role of Notaries and Lawyers
Most civil law countries require a notary to oversee the transaction. In Germany, France, Spain, and Italy, the notary drafts the deed, verifies title transfer, and registers the property. Notary fees when buying property in Europe typically range from 1–2% of the purchase price. In England and Wales, property transactions are usually managed by solicitors or licensed conveyancers, rather than notaries, who play only a limited role in domestic real estate deals.
Preliminary Contracts and Deposits
It’s common to sign a preliminary contract and pay a deposit (around 10%). This preliminary contract deposit in Europe binds both parties: if the buyer withdraws, the deposit may be forfeited; if the seller withdraws, they might pay back double.
Title Search and Due Diligence
A title search ensures the property has no liens, debts, or illegal constructions. In Spain, for example, the nota simple provides details about encumbrances. This step is critical for real estate due diligence in Europe.
Completion and Registration
On closing day, the buyer and seller (or their representatives) sign the final deed, the funds are transferred, and the notary registers ownership in the land registry. Without this title deed registration in Europe, ownership is not legally recognized.
For insights into market trends and to avoid common pitfalls during the purchase process, see Top 5 Mistakes Foreign Investors Make in European Real Estate.
Taxes, Fees, and Financing for Foreign Buyers
Transfer Taxes and Stamp Duty
Every country charges property transfer taxes in Europe. Examples:
Spain: 6–13% (varies by region)
France: 3.8–5.81%
Germany: 3.5–6.5% depending on the state
Belgium: 10–12%, with reductions for primary residences
These taxes on buying property in Europe can significantly raise the upfront cost. Buyers should also budget for registration and notary fees (~1–3%).
Financing and Mortgages
Foreign buyers often ask: “Can I get a mortgage as a non-resident?” Yes, but conditions vary. Banks require a fiscal number (e.g., NIE in Spain, codice fiscale in Italy) and may restrict loan amounts. This falls under the broader topic of mortgages for foreigners in Europe.
Residency, Golden Visas, and Inheritance Laws
Residency Through Property Investment
Several European countries link residency through property purchase in Europe with Golden Visa programs.
Portugal: Ended its property-based Golden Visa in 2023.
Spain: Terminated its Golden Visa scheme in April 2025.
Greece: Still offers a Golden Visa for €250,000–500,000 in property (depending on region).
These schemes once made Europe a hotspot for real estate investment legal aspects, but changes show the importance of staying updated.
Inheritance Law and Wills
Civil law countries enforce forced heirship, meaning heirs are predetermined by law. However, EU Regulation 650/2012 allows you to choose your home country’s inheritance law in your will. This is vital for foreigners to avoid disputes.
For immigration and residency insights, read Visa and Tax Changes for Property Buyers in Portugal, Greece & Spain 2025.
Final Thoughts
Buying property in Europe as a foreigner is possible and often straightforward, but it requires careful attention to local laws, real estate due diligence, and the financial burden of transfer taxes and fees. Always hire a local professional to represent your interests, especially if you are a non-EU buyer. With the right preparation, you can confidently navigate European real estate laws for foreigners and secure your piece of the continent.
Interested in specific destinations? Check our Countries section for step-by-step legal and tax guides.