American and Canadian Property Owners in Spain: 2026 Guide

Property ownership: no restrictions

Neither the United States nor Canada has any restriction on its nationals owning real estate abroad. Spain imposes no special requirements on American or Canadian buyers beyond the standard purchase process: you will need a Spanish NIE (Número de Identificación de Extranjero), a Spanish bank account, and the usual notarial and registration steps.

Purchase costs for non-resident buyers typically run to 10–13% of the purchase price, including transfer tax (ITP) at 8–11% in the Balearics, notary fees, land registry fees, and gestoría costs. These are the same for all non-resident buyers regardless of nationality.

The 90-day Schengen limit

Both the United States and Canada are outside the Schengen Area. American and Canadian passport holders may visit Schengen countries — including Spain — for up to 90 days in any rolling 180-day period without a visa. This is identical to the rule that applies to British nationals post-Brexit.

The 90/180 rule affects owners who want to spend longer seasons at their Spanish property. Options for longer stays include:

• Non-Lucrative Visa (NLV): Requires proof of sufficient income or savings and health insurance. Grants one-year residency (renewable). Does not allow work in Spain.
• Digital Nomad Visa (DNV): Introduced in 2023. Suitable for remote workers employed by non-Spanish companies.
• Golden Visa: Requires a property investment of at least €500,000. Grants residency. No minimum stay requirement.

ETIAS — the EU's new travel authorisation system — is expected to launch in 2026 and will require Americans and Canadians to register before Schengen visits, but will not change the 90-day limit.

Modelo 210: non-resident tax at 24%

As non-EU, non-EEA residents, both US and Canadian nationals pay Spanish non-resident income tax (IRNR) at 24%, filed via Modelo 210. This applies to:

• Imputed income (deemed benefit of owning a property you do not rent out): 1.1% of the cadastral value, taxed at 24%, filed annually by 31 December.
• Rental income: taxed at 24% on gross income, with no expense deductions permitted for non-EU residents. Filed quarterly (20 April, 20 July, 20 October, 20 January).
• Capital gains on sale: generally 19% (subject to treaty provisions).

The US–Spain Double Taxation Treaty

The United States and Spain have a tax treaty in force (signed 1990, in force 1993). Its key provisions for property owners:

• Rental income from Spanish property is primarily taxable in Spain. US taxpayers report it on their US return but claim a foreign tax credit for Spanish tax paid.
• Capital gains on real estate are taxable in Spain. Again, a US foreign tax credit applies.
• The treaty does not eliminate Spanish tax obligations — it prevents double taxation through the credit mechanism.

FBAR and FATCA: US-specific reporting obligations

This section applies to US citizens and US tax residents only. These obligations arise from US law and exist regardless of where you live.

FBAR (FinCEN Form 114)

If you hold a Spanish bank account — which you almost certainly will as a Spanish property owner — and the aggregate balance of all your foreign financial accounts exceeds $10,000 at any point during the year, you must file an FBAR with FinCEN. The deadline is 15 April (with an automatic extension to 15 October). Penalties for non-filing are severe.

FATCA (Form 8938)

FATCA requires US taxpayers to report specified foreign financial assets on IRS Form 8938 if they exceed certain thresholds ($50,000 for single filers living in the US; higher thresholds for those living abroad). A Spanish bank account and, in some circumstances, Spanish real estate held through a company or structure, may be reportable.

Spanish real estate owned directly (not through a company) is generally not a FATCA-reportable asset, but any Spanish bank account, investment account, or Spanish-domiciled company holding property may be. The rules are nuanced and fact-specific.

Health insurance requirements

Neither the US nor Canada has a reciprocal public healthcare agreement with Spain equivalent to the EU's EHIC system. This means:

• There is no state healthcare entitlement for American or Canadian visitors to Spain beyond emergency treatment.
• Comprehensive private travel or health insurance is essential for any visit.
• If you spend significant time at your Spanish property each year, a private international health insurance policy (covering Spain) is strongly recommended. Many insurers offer policies specifically designed for long-stay second-home owners.

Mallorca has good private hospital and clinic provision, but costs without insurance can be substantial.

Driving in Spain

US driving licences are valid for driving in Spain for up to six months from the date of entry, or for the duration of your authorised stay, whichever is shorter. For longer stays or residency, you would need a Spanish licence (US citizens generally cannot exchange — they must sit a Spanish driving test).

An International Driving Permit (IDP) is recommended alongside your national licence. The AAA (US) and CAA (Canada) issue IDPs, which serve as certified translations of your national licence.

Canadian driving licences are treated similarly. Most provinces have no exchange agreement with Spain, meaning that taking up Spanish residency requires sitting a Spanish driving test.