Purchase Checklist Mallorca: the safe way to your property

Buying a property on Mallorca can be well planned if the decision is not made solely based on location, view and gut feeling. Crucial are a clear search profile, a complete budget, verified documents and a clean process up to registration in the land registry. This checklist guides international buyers through the most important steps and shows which points should be clarified before reservation, arras contract and notary appointment.

Preparation: purchase objective, team and timeline

Start with the use: primary residence, second home, holiday property for the family, long-term rental or tourist rental. This decision influences location, budget, tax treatment, permits, financing structure and ongoing management.

Apply for NIE or schedule an appointment early.
Realistically clarify financing, equity, currency risk and ancillary costs before viewings.
Plan for your own lawyer, tax advisor and, for houses, an architect or technical expert.
If absent, prepare a notarised power of attorney; for foreign powers of attorney, check apostille and translation.
Document the source of funds so that the bank, notary and advisors can handle the money laundering check smoothly.

Search profile: first the use, then the address

A good search profile saves time and prevents expensive compromises. Define not only location, size and price, but also everyday suitability: accessibility, parking, internet, winter suitability, noise, neighbourhood, community fees and renovation needs.

For own use: check shopping, medical care, heating, shading, humidity and maintenance effort.
For city apartments: check lift, reserves, minutes, noise, community rules and rental restrictions.
For fincas and houses in rural areas: check building law, legal areas, water, wells, electricity, access, sewage and pool permit particularly carefully.
For rental intention: calculate permissibility, demand, ongoing costs and tax treatment separately.

Budget: purchase price is not total cost

Cost item	What buyers should pay attention to
Resale property	Generally, ITP applies in the Balearic Islands. The general rate is progressive and ranges from 8% to 13% for properties.
New build from developer	Usually VAT applies; for residential property generally 10%. Additionally, AJD must be budgeted.
Notary and land registry	Fees depend, among other things, on the purchase price, scope of the deed and registrations.
Advisory and technical inspection	Agree on fees for lawyers, tax advisors, gestoría and experts in writing before engagement.
Ongoing costs	Budget for IBI, rubbish fees, comunidad, insurance, maintenance, garden, pool, utilities and, for non-residents, IRNR.

For ITPAJD, the purchase price alone is not decisive. The cadastral reference value can be relevant for tax assessment if it is higher than the declared value. Therefore, the tax reference value should be checked before signing the contract.

Viewing and documents

A viewing should be treated like a short audit. Check actual areas, room layout, terraces, pools and outbuildings against the land registry, cadastre and plans. Look for damp, cracks, roof, windows, air conditioning, electrics, water pressure, sewage and technical installations.

Document	Purpose of review
Nota Simple	Owner, rights, mortgages, encumbrances and registered property description.
Escritura	Title deed, acquisition history and special agreements.
Cadastral data and reference value	Identification, area check and tax classification.
IBI receipt	Municipal property tax data, cadastral reference and ongoing payments.
Cédula de habitabilidad	Occupancy permit; central for sale and rental on Mallorca.
Energy certificate	Mandatory document for sale and rental.
Community certificate	For apartments and complexes: debt status, minutes, bylaws, special assessments.
Building and licence documents	Legality of house, extensions, pool, renovations and changes of use.

Due diligence, contracts and notary

Due diligence should clarify whether you are acquiring exactly what you believe you are buying: legally, structurally, tax-wise and economically. Mortgages, usufruct, easements, embargoes, pre-emption rights or restrictions must be cleared or contractually secured before or at the latest at the notary appointment.

No payment without seller identity, current Nota Simple and clear property description.
Include due diligence conditions if documents are still missing.
Agree on a financing condition if the purchase depends on a bank commitment.
Regulate inventory, furniture, technical equipment and art separately and clearly.
Precisely define date, notary, release of encumbrances, tax payments and handover condition.

The notary checks identity, representation, capacity to execute deeds, essential contract contents and current register information. Afterwards, taxes must be processed on time and the final registration in the Registro de la Propiedad must be monitored.

Handover and post-purchase management

The handover should be documented: meter readings, keys, remote controls, alarm codes, maintenance contracts, inventory and condition. Anyone who does not live on Mallorca year-round should organise management, maintenance and tax obligations professionally.

Set up a tax calendar for IBI, rubbish fee, IRNR, rental and local taxes.
Check insurance for building, contents, liability, vacancy and rental.
Plan maintenance for air conditioning, dehumidification, roof, pool, garden, alarm and water installation.
Keep a document folder with Escritura, Nota Simple, IBI, Cédula, energy certificate, insurances, minutes, invoices and tax returns.