Buying a car in Spain can open up a world of freedom and convenience, especially if you are new to the country or planning to settle here. If you are asking “Can foreigners buy a car in Spain?” the answer is yes! Fortunately, the country makes it accessible not only to residents but also to non-residents to legally buy and own vehicles here. While the whole process for buying and registering a car in Spain might seem complex at first sight, by following a clear sequence and understanding the key steps, you will ensure a smooth and successful purchase. From finding the perfect cars in Spain to buy to completing the paperwork, this guide, prepared by Spain Homes ®, will guide you through your journey!

How to Buy a Car in Spain as a Foreigner?

Typically, buying a car in Spain as a non-resident follows almost the same process as for locals, with only a few differences. It involves selecting the right vehicle (new or used), verifying its technical and legal status, negotiating the price, signing a sales contract, paying required taxes, and registering ownership under your name. Each stage has nuances, especially for foreign buyers who need additional documentation such as proof of identity and a valid address.

Moreover, whether you are planning on exporting it or using it within the country, buying a car in How can foreigners buy a car in Spain?Spain as a foreigner involves ongoing responsibilities like insurance, road tax payments, and periodic vehicle inspections. Being aware of these obligations in advance and familiarizing yourself with Spain’s driving regulations can help you avoid unnecessary costs and difficulties.

Now, let’s answer a common question that might be on your mind: What do I need to buy a car in Spain? While the process is usually straightforward for locals, foreigners often need to complete extra administrative steps, such as obtaining a NIE (Foreigner Identification Number). If you’re asking, “Can I buy a car in Spain without a NIE?” the answer is no, you cannot buy or register a vehicle without a NIE. Also, you will need to provide proof of address, which can be shown through an “empadronamiento” (local town hall registration) or a lease agreement.

To find a car, most people start their search online. Popular platforms like AutoScout24, Coches.net, and Milanuncios list thousands of vehicles whether you are buying a used car or a new one. Here, online repurchasing is convenient, but it also requires caution. You should always double-check the seller’s credibility and ask for a full vehicle history report, especially if you are comparing used vs new cars in Spain to find the perfect one.

Car dealers remain as trusted options throughout the country, offering warranties, financing, and help with all the necessary steps involved in buying a car in Spain paperwork for new or certified pre-owned cars. In major cities such as Madrid, Barcelona, and Valencia, you’ll find plenty of dealership options that serve both residents and expats.

Once you’ve chosen a vehicle, you sign a “contrato de compraventa” (sales contract) with the seller. Taxes must then be paid including VAT on new vehicles or a Transfer Tax on used ones. Then the ownership needs to be officially transferred at the Dirección General de Tráfico (Spanish Traffic Authority) within 30 days.

When it comes to how to buy a car in Spain for export, the process is largely similar to purchasing for local use, but there are a few extra steps involved. Foreign residents with non-EU licenses may need an international driving permit or can later exchange their licenses for Spanish ones.

When buying a car in Spain for export, you also need to arrange export plates and make sure you have valid insurance with at least third-party coverage before driving. These additional steps ensure that the car can legally leave the country and be registered in its new destination.

What You Need to Buy a Car in Spain: Required Documents

To successfully complete a purchase, it’s important to have all the necessary documents ready. Since you might be wondering what documents are needed to buy a car in Spain, we can say that locals typically use their DNI (Spain’s national ID card) meanwhile foreigners need to prepare their passport, NIE, and proof of residence.

Below are the documents needed to buy a car in Spain that every buyer should have:

1. Proof of Address:

You will need to provide a town hall registration (empadronamiento) certificate or a lease contract. This document usually needs to have been issued within the last three months to be considered valid, so make sure it’s up to date.

2. Valid Driving License:

It is essential to provWhat are the required documents to buy a car in Spain as a foreigner?ide a valid driving license recognized in the county. EU licenses are accepted directly, but if you have a non-EU license, you may need an International Driving Permit or eventually exchange yours for a Spanish license.

3. Signed Sales Contract (Contrato de Compraventa):

You will need a legally binding sales contract signed by both you and the seller. This document outlines all the terms of the sale and the vehicle’s details, ensuring that everything is clear and official.

4. Vehicle Registration Certificate (Permiso de Circulación) and Technical Sheet (Ficha Técnica):

It is important to have the vehicle’s registration certificate and technical sheet, as these documents confirm that the car is properly registered and provide its full technical specifications.

5. Valid ITV (Technical Inspection) Certificate:

If the car is over four years old, you must provide a valid ITV certificate to show that it is roadworthy. Make sure you have the most recent inspection report available.

6. Proof of Up-to-Date Insurance:

Before driving your car, you must have valid insurance. Many drivers start searching for car insurance online to compare policies and find the best coverage for their needs, so you can also watch this step closely.

7. Tax Payment Evidence:

You will need to provide proof that all taxes when buying a car in Spain have been paid. This includes VAT for new vehicles or Transfer Tax (Impuesto de Transmisiones Patrimoniales) for used cars, ensuring that your purchase is fully legal and recognized by the authorities.

8. Additional Documents for Importing or Exporting a Car:

And if you want to export or import car to Spain, you should also have customs clearance certificates, a Certificate of Conformity, and ITV inspections that meet the county’s standards. These documents ensure the car can legally move between countries and comply with local regulations.

The Cost of Buying a New Car in Spain As a Non-Resident: Taxes and Insurances

When cWhat are the costs of buying a car in Spain?onsidering car ownership in Spain, both locals and foreigners should budget carefully for various taxes and ongoing expenses, as these costs can significantly affect the total cost of owning a vehicle. Now, let’s see the details!

If you are asking “What are the taxes on buying a car in Spain?”, it can be said that one of the major upfront costs is the Value Added Tax (IVA), set at 21% for new car purchases. It is generally included in the purchase price when buying from car dealerships. For second-hand cars, buyers are required to pay the Transfer Tax (Impuesto de Transmisiones Patrimoniales or ITP), which varies by region but typically ranges from 4% to 8% of the purchase price.

Another important tax is the Registration Tax (Impuesto de Matriculación or IEDMT), calculated primarily based on the vehicle’s CO₂ emissions. This environmental tax encourages the purchase of lower-emission vehicles by offering exemptions or lower rates, notably benefiting electric and hybrid cars.

On an annual basis, car owners must pay the Road Tax (Impuesto sobre Vehículos de Tracción Mecánica or IVTM), levied by local municipalities. The amount depends on the vehicle’s characteristics such as horsepower and fuel type, and the region where the car is registered. For instance, rates typically range from around €50 to €180, with some cities offering discounts or exemptions for eco-friendly vehicles.

Further, car insurance is legally required before driving, with a minimum of third-party liability coverage. While insurance costs in Spain for cars can range from €300 to €900 annually. And when it comes to how to get car insurance in Spain as an expat, owners generally need to provide a valid driving license, NIE number, and vehicle details to a local insurer or broker.

Additional routine expenses include fuel costs, which fluctuate but typically range around €1.50 to €1.85 per liter as of 2025. Also, regular maintenance and servicing, including oil changes, tires, and unexpected repairs are all part of the ongoing costs of owning a car in Spain, which you should consider before purchasing.

So, budgeting comprehensively for these taxes and ongoing expenses gives you a clear picture, especially if you are asking yourself: “How much does it cost to buy and register a car in Spain?”

Incentives and Deductions for Electric and Low-Emission Vehicles in Spain

If you are considering buying an electric or hybrid car, there is good news for you! There are significant incentives to and deductions for car buyers Spain offers to encourage the use of environmentally friendly vehicles.

Launched in 2021 and planned to continue until the end of 2025, the MOVES III program provides financial support to car buyers who choose electric or low-emission cars. Under this program, you can:

  • Get up to €7,000 when you buy a brand-new battery electric or hydrogen car,
  • Enjoy up to €5,000 off if you choose a plug-in hybrid with 30–90 km of electric range,
  • Take advantage of subsidies up to €9,000 for commercial electric vehicles,
  • And get deductions when buying used electric vehicles (up to 12 months old).

And in addiHow to make a smooth car purchase in Spain?tion to direct subsidies, there are tax benefits, too. A key advantage is a 15% personal income tax deduction on the purchase price of new electric vehicles, up to a maximum deduction base of €20,000.

Tips for Car Purchase: Spain Foreigners’ Checklist

Making a smart car purchase hinges on practical decisions and preparation, that’s why we have prepared a checklist for you to look at before going through the purchasing process. Here is the checklist covering what is needed to buy a car in Spain:

  • Choose the right type of vehicle for your driving needs.
  • Perform a thorough check of used cars before buying.
  • Verify the credibility and trustworthiness of the seller.
  • Take the car for a comprehensive test drive before purchase.
  • Prepare all necessary documents in advance.
  • Carefully review all vehicle papers and certifications.
  • Sign a detailed sales contract and keep copies.
  • Complete the ownership transfer at the DGT promptly.
  • Obtain mandatory car insurance before driving.

In addition to seeking professional assistance to overcome the language barrier and ensure all procedures are carried out legally, following this checklist can also help the process move forward more smoothly, allowing you to enjoy your new life. Whether with a car or with using Spain’s public transportation, if you are ready to live in this beautiful country, Spain Homes ® is here to assist you to find your perfect property to make your transition seamless and enjoyable!