Spanish Dictionary of Real Estate Terminology

If you’re thinking about buying or selling your house in Spain, you’ve probably come up against a whole new vocabulary that you never knew you needed! We’ve put together a list of the most common terms in the Spanish property sector, so you’ll have everything you need to navigate your way around Spanish real estate.

An API (Agente de la Propiedad Inmobiliaria) is a certified real estate agent with specialised professional training. An API has completed formal education that covers not only property sales and mediation, but also the legal, technical, ….

Stamp Duty (AJD, El impuesto de Actos Jurídicos Documentados) is payable when purchasing a newly built property in Spain, along with IVA (VAT), unlike the purchase of a second-hand property, where the Property Transfer Tax ….

Rent-to-own (or Lease with Option to Buy) is a contract (still relatively uncommon in Spain) that combines a rental agreement with the possibility of purchasing the property at the end of the rental period. As part of the contract, the ….

Early repayment of a mortgage involves paying off part (or all) of the borrowed amount before the agreed term ends. If you choose to make a partial repayment, you have two options: shorten the term of the mortgage (so it ….

A guarantee is a commitment by an individual or an institution to cover someone else’s debt if that person fails to pay. It serves as a way to secure a loan, and in the case of mortgages, banks may require ….

Build to Rent is a growing property trend in Spain. Originating in the United Kingdom, entire buildings are developed specifically for rental rather than for sale. This model presents lower risk for the developer, as they sell the entire ….

Encumbrances (cargas in Spanish) on a property are limitations or obligations that restrict its value or use. You can check them by requesting an extract (nota simple) from the Land Registry (Registro de la Propiedad), and it’s ….

The Catastro is a public registry that records all real estate properties in Spain (homes, commercial premises, plots, etc.). It contains detailed information about each property, including the cadastral reference number, exact address, ….

The cédula de habitabilidad  (certificate of habitability) is an official document that confirms a property meets the minimum conditions required for human habitation, according to the standards set by the regional government ….

The Energy Performance Certificate (certificado de eficiencia energética o CEE) is a mandatory document in Spain that assesses a property’s energy consumption and CO₂ emissions. Properties are rated from A to G, with A indicating ….

Shared exclusivity, known as colaboración inmobiliaria or exclusividad multiple in Spanish, are part of a sales model in which several estate agencies work together to sell a property under a single exclusive contract. Exclusive agreements ….

Coliving is a modern form of shared housing managed by specialised companies aiming to provide high-end living spaces at reduced costs. It is primarily targeted at students, young professionals, and digital nomads, and typically ….

The contrato de arras is a preliminary agreement between the buyer and seller of a property, confirming both parties’ commitment to completing the sale. It typically includes a deposit of between 5% and 10% of the property’s value, ….

The copia simple is a simplified version or extract of the official public deed of a property, summarising the key details of the purchase agreement. It includes information such as the buyer and seller, property description (square metres, ….

Horizontal division  is a legal process by which a multi-storey building is divided into separate, independent units. Each unit is granted its own title deed, land registry reference, and a proportional share of ownership over the communal ….

The escritura de propiedad or Title Deed  is a legal document that transfers ownership of a property from the seller to the buyer. It confirms who the legal owner is and under what conditions the property was acquired. It must ….

Euribor (short for Euro Interbank Offered Rate) is a benchmark interest rate used to calculate mortgage repayments. It reflects the average interest rate at which European banks lend money to one another. Typically, banks set the ….

A sole agency agreement is a contract whereby the property seller grants the exclusive right to market their property to a single agency for a specified period. The contract sets out the duration of the agreement—usually 3, 6, or 12 ….

Property flipping is a specialised investment strategy that involves buying properties below market value—often referred to as “fixer-uppers”—renovating them quickly, and selling them at a higher price within a short period. For ….

Gentrification is an urban development process whereby a traditionally low-income neighbourhood begins to attract residents with greater purchasing power, leading to both positive and negative changes for the local community. It ….

Fixed, variable, and mixed-rate mortgages are the three main types of mortgage available in Spain, and they differ based on how interest is calculated in each case. Fixed-rate mortgages apply a single, stable interest rate throughout ….

Home staging is a property marketing technique that combines emotional marketing with interior styling to present homes at their fullest potential. Created by Barb Schwarz in the United States in the 1970s, home staging has since ….

The IBI (Impuesto sobre Bienes Inmuebles) is a council tax used to fund public services provided by the local authorities, such as the maintenance and cleaning of urban areas, local police and emergency services, public ….

The ITE (Inspección Técnica de Edificios) is similar to a car’s MOT, but for buildings: a mandatory periodic inspection that certain properties must undergo to check their condition, structural stability, sanitation, and accessibility. In ….

The ITP (Impuesto de Transmisiones Patrimoniales) is the tax paid when purchasing a second-hand property (it does not apply to new builds, which are subject to IVA (VAT) and a different kind of stamp duty called AJD). The amount ….

Open house events are organised by estate agents and property developers, allowing potential buyers to visit a property without the need for an appointment. Very popular in the United States, the aim is to significantly increase ….

MLS (Multiple Listing Service) refers to professional networks of estate agencies that formalise property collaboration—also known as shared exclusivity—where multiple agencies work together to sell a property under a single exclusive ….

The nota simple is a document issued by the Land Registry (Registro de la Propiedad) that provides a summary of key information about a property, including the current owner, any charges or debts, and a legal description of the ….

Bare ownership (nuda propiedad) is a type of property sale with special conditions, in which the buyer acquires the legal title to the property, but the seller retains the right to live in it as a usufructuary. The most common ….

Properties known as patitos feos (literally “ugly ducklings”) in the real estate market are those that don’t attract much interest due to their appearance or condition but hold great potential value if the right renovation and marketing ….

A property buyer’s agent (known in Spain as a personal shopper inmobiliario) is a professional who works exclusively for the buyer throughout the entire purchase process. Very popular in the United States, this service is gaining ….

 In the Spanish real estate market, you may come across the term piso quemado (literally “burnt property”). Rather than referring to a building damaged by fire, it’s a colloquial way of describing a property that has been on the ….

The municipal capital gains tax, officially known as the Impuesto sobre el Incremento de Valor de los Terrenos de Naturaleza Urbana (IIVTNU), is a tax levied by the local council when an urban property is sold. This tax is charged ….

Capital gains (plusvalía patrimonial) refer to the actual profit made when selling a property, calculated by subtracting the original purchase price (plus associated costs) from the sale price. For example, if you bought a house for ….

The market price (precio de mercado) is a recommended sale price for a property, based on supply and demand in the area, the individual characteristics of the property, the current market conditions, and recent sale prices of similar ….

The asking price is the initial value at which a property is listed for sale. It is entirely at the seller’s discretion, which means it does not always align with the market price or the final sale price. If the ….

A promotora or developer is a company or individual that builds residential or commercial buildings with the aim of selling or renting them out. The developer manages the entire process—from purchasing the land, designing and ….

PropTech is an abbreviation of “property technology” and refers to a wide range of digital technologies designed to optimise and transform the way properties are bought, sold, rented, and managed. Some examples of PropTech ….

Relooking is the term used in the Spanish home staging sector to refer to a non-structural refurbishment, or property makeover. It’s highly recommended to update and depersonalise a property before putting it up for sale or rent in ….

A render is a digitally created image or video that shows a 3D representation of a property. It allows people to visualise the space without needing to be physically present. In real estate, it is mainly used in new developments, ….

Buying a property off-plan means purchasing it before construction is complete, based solely on the plans, designs and renders provided by the developer. Usually, both parties (the developer and the buyer) enter into a pre-sale ….

There are several types of auctions in the real estate market, but they all share the same basic principle: one or more properties are offered to multiple potential buyers, who compete by placing increasingly higher bids to win the ….

Whether you’re thinking of buying or selling a property in Spain, it’s important to understand the difference between useful and constructed surface area, as it affects both the value and functionality of your home. The superficie ….

The TAE or APR (Annual Percentage Rate) is the most important interest indicator to consider when comparing mortgages (or any type of loan) in Spain. The formula, regulated by the Bank of Spain, combines the nominal interest ….

A property valuation, or tasación, is an official assessment carried out by a qualified professional. It is based on the specific characteristics of each property, the current market price, location, age, quality, and a comparison with ….

The TIN (Tipo de Interés Nominal, or Nominal Interest Rate) is the percentage the bank charges for a mortgage or loan, excluding any additional associated costs. It is expressed as an annual percentage. For example, if you take out a ….

Touristification refers to the urban, economic, and social transformation that occurs when an area experiences a high influx of tourists. While it traditionally affects coastal regions (such as Benidorm, Palma de Mallorca, or Málaga), it is ….

An usufruct is a right granted to a person (called the usufructuary or usufructuario in Spanish) to live in and benefit from a property that belongs to another person (the “bare owner”). The most common cases of usufruct occur when ….

The cadastral value of a property is the administrative valuation assigned by the Land Registry (Catastro) to every property in Spain. It is often lower than the market value, as it is primarily used to calculate taxes and does not ….

Literally translated as a “whisper listing” (venta por susurro), an off-market listing is a property sales strategy where the property is not listed on online portals nor publicly advertised. The estate agency may work with personal property ….

Social housing (known as vivienda de protección oficial or VPO in Spain) is aimed at facilitating access to housing for people with financial need. Regulated by public authorities, these properties usually have a lower price, both for sale ….