6 Steps for buying a car in spain

A few years ago, before I moved to Spain, I used to travel all over the world. The further away, the better. This changed completely when I moved to Spain, because Spain is so beautiful, so big and the different regions are so varying. Therefore, one of the first inversions we did when we arrived as brand-new immigrants in Spain, was to buy a car and explore this beautiful country from North to South and from East to West.

If you are wondering what do you need to be able to buy a car in Spain, here you have the six steps for buying a car in this beautiful country:

1. Finding the right car

First, you’ll have to search for a car that will suit your needs. You can either buy a car from an official car dealer, who will give you some guarantee or directly from a private seller, but he or she won’t give you any warranty at all. You will save some money by buying from a private seller, and by law they are obliged to give you six months of warranty but if they don’t, it’s hard to proof. If you buy privately, you’ll have to draw up a legal purchase agreement. You can download one of these from Google in case you need it.

2. Paperwork required for buying a car in Spain

Once you have decided which car you want to buy, you will have to make sure you have all the paperwork that is required for buying a car in Spain. Another advantage of buying through a reputed dealer is that they will probably also help you out with the bureaucratic paperwork that comes with buying a car. You will need:

a.- Your NIE (Número de Identidad Extranjero), this is your foreign ID number

b.- Your “Empadronamiento”, this is your official registration with the local town hall.

3. Additional Expenses

Extra costs you will have beside the price of the car:

a.- When you buy the car from an official dealer, you will automatically pay sales tax, which should be included in the agreed price. When you buy from a private seller you will have to pay transfer tax (impuesto de transmisiones patrimoniales). This amount is not included in the agreed price and will be calculated over the official current value of the car, not the sales price.

b.- You will have to pay the Spanish road tax (impuesto sobre vehículos de tracción mecánica o impuesto de circulación). This payment is made on a yearly base. The amount you will have to pay varies according to the type of car, the weight of the car, the Comunidad Autónoma you live in and a couple more things. An average to have in mind should be between 120 and 300 euros a year.
Here you can calculate the exact amount you will have to pay: https://www.dieselogasolina.com/calcular-precio-impuesto-circulacion-ivtm.html

c.- Spanish MOT test: ITV (Inspección Técnica de Vehículos). The price for a normal car will be between 30 and 60 euros.

d.- Car insurance. In Spain a car that is on the public road always needs to be insured. The minimum coverage is a third-party coverage. Caser Insurance can offer you the best quotes for your car insurance and they can even offer you the policy in English, German, Dutch or French.

Caser´s Basic Third-Party Insurance includes Caser Autohelp (a rescue alert service throughout Spain), Legal Defence, Travel Support 24/7, among other basic coverages. You also have the option of taking out additional cover, for example, to have a replacement car available, to be covered against fire, or even in the event your licence is revoked. If you think this insurance is for you, please don't hesitate to try Caser's quote calculator, through which you can get a quote for your new insurance in less than a minute.e.- Depending on where you will use the car in Spain, you might also have to pay Toll (peaje) on certain main roads. You can pay this with your credit card or in cash.

4. Register your car

The car will have to be put in your name. You can either ask for an appointment with “Tráfico” yourself and save some money or ask the dealer or a “gestoría” to take care of this. You will first receive a temporary proof that the name change is in process (Permiso de Circulación Temporal) and about one month later you normally receive the final official paperwork in your name (Permiso de Circulación Definitivo).

5. Tax payments

The Spanish Tax authorities will not send you a letter to remind you to pay your road taxes each year. In my experience, it is therefore a risk to forget to pay this and get fined. You can contact your local town hall and ask them to make this payment automated. This is usually the preferred option for Spaniards.

6. Documentation

Finally, please don´t forget that when using your car in Spain, you must have the following documents always with you:

- Car´s Permiso de Circulación
- Driver’s license.
- Insurance policy.
- MOT certificate (ITV).
- Two signalling triangles, in order to signal the vehicle in case of breakdown or accident.
- One fluorescent jacket, at least.
- One spare tire and tools to change it

In addition, it is also recommended to carry a fire extinguisher and chains in case of driving in snowy areas during the winter season.

Through these 6 steps we have summarized everything you should bear in mind when buying a car and driving it in Spain. Over the last few years, the DGT (Dirección General de Tráfico) has made an effort to increase safety measures to the maximum in order to reduce accidents on the road. That is why it is so important to have the documentation, insurance and annual controls up to date.

We hope you find this information useful and please remember that you can leave us a comment if you have any questions. So, now that you have read all these 6 steps for buying a car in Spain, you only have to enjoy it!