Buying guide Menorca

THINKING OF BUYING A PROPERTY ON MENORCA - START HERE

Your Local Link to Menorca’s Property Market. Enjoy a first-class, personal property finding service on Menorca with our personal property finder. Whether you are looking for an apartment or a house, in a village or in the countryside, we can help you find the perfect property or investment project. Thanks to our wide network of contacts—owners, builders, and brokers—we present a relevant and unique selection of properties. With our service, you only need one point of contact: us.

Our process begins with an analysis of your needs, conducted by phone or in person on the island. We ask questions to narrow down the best location and property type. From there, we present a curated selection and, based on your feedback, a shortlist for viewings. Once on Menorca, we escort you to the viewings. Best of all—our service is free for buyers; our commission is paid by the seller.

Our Step-by-Step Service:

• Analysis of needs and preferences
• We send a selection of matching properties
• You choose what you'd like to view
• We schedule a full day of property visits
• Ongoing dialogue until we find the right match
• Support with banks, lawyers, builders, and management

Contact us: +34 638 02 30 05 or menorca@fantasticfrank.com.

THE ULTIMATE BUYING GUIDE FOR MENORCA

Whether you're looking for an apartment, a luxury villa, or a penthouse with rooftop views, this guide offers expert tips, advice, and must-know facts.

COMMON PITFALLS AND KEY CONSIDERATIONS

Buying property in Menorca doesn't have to be complicated. After an initial meeting, most clients feel more confident about the process. We guide you from the first viewing to receiving the keys. Our experienced team collaborates with experts in law, finance, architecture, construction, and property management.

3 QUICK TIPS:

1. Choose One Trusted Broker – With more brokers than properties, build arelationship with one who knows the market.
2. Secure Your Financing Early – Be ready to act quickly when you find the rightproperty.
3. Trust Your Instincts – If it feels right, act. Opportunities may not return. Always usea lawyer to ensure a secure purchase.

HOW TO BUY A PROPERTY ON MENORCA

1. PREPARATIONS

Where to look? Explore different areas to find your favourite spot.

How Do I Best Finance My Purchase? Investigate loan options early. While you can explore mortgages in your home country, Spanish banks also offer mortgages to non-residents. Be aware that non-residents typically get lower Loan-to-Value ratios (around 60-70%) compared to residents (up to 80%), meaning a larger deposit (30-40% plus costs) is needed. Have your financing arranged before making offers. We can provide contacts for banks we cooperate with.

2. THE BUYING PROCESS

What is an option contract? Once terms are agreed upon, an option contract is signed with a 10% deposit. This reserves the property and provides time for legal checks. It includes the price, inclusions (e.g., furniture), and the completion date (usually 4–6 weeks away).

Responsibilities:
• Hire a lawyer to draft the option contract and oversee due diligence.
• Ensure you obtain an NIE number, open a Spanish bank account, and arrange financing.

Legal Checks:
• Verify ownership, property registration, existing mortgages, and potential planning issues.
• A technical architect may assess the property’s physical condition.

Obtaining a NIE Number: A tax ID is required to own property, open a bank account, and sign the deed. Apply via a lawyer or your local Spanish consulate.

Do You Need a Lawyer? Not legally, but highly recommended. The lawyer:
• Drafts the contract
• Manages NIE, payments, and legal checks
• Provides purchase documentation to banks
• Attends the notary appointment

Completion Day:
• Final inspection with seller
• Signing of the purchase deed at the notary
• Final payment and key handover
• Property registered at the Land Registry (can take up to 3 months)

The Notary’s Role: Verifies identity, legal standing, and payment validity—but not the property’s physical condition or alterations.

3. FEES AND TAXES

Estimated Additional Costs: 10–15% of Purchase Price.

Transfer Tax (ITP):
• 8% up to €400,000
• 9%: €400,001–€600,000
• 10%: €600,001–€1,000,000
• 12%: €1,000,001–€2,000,000
• 13%: €2,000,001 and above

VAT:
• 10% on new builds
• Up to 21% on land, commercial property, and parking

Notary + Stamp Duty: ~1% Legal Fees: ~1%

Wealth Tax (for large holdings):
• 0.28%–3.5% on net value
• €3 million tax-free allowance

Wealth Tax Strategies:
• Co-invest with others to maximize allowance
• Finance at time of purchase to offset debt
• Purchase via foreign companies with 50%+ assets abroad

Annual Costs:
• Property Tax (IBI): 0.4–1.1% based on appraised value
• Waste Tax: ~€100/year
• Utilities, community fees, internet
• Non-residents must have a Spanish tax representative

SPECIAL NOTE FOR NON-EU BUYERS OF RUSTIC LAND.

Non-EU residents (including UK citizens post-Brexit) must obtain a military permit to buy rustic land in Menorca.

Key Points:
• Military Authorization Required – Issued by Spain’s Ministry of Defense
• Restricted Zones – Includes Balearic Islands and other protected areas
• Application Process – Requires documents like a criminal record certificate; takes up to 3 months
• Legal Requirement – Notary cannot authorize the sale without the permit
• Registry Deadline – Property must be registered within 18 months of completion

Failure to comply may invalidate the transaction.

For a complete consultation and property search experience with Fantastic Frank Menorca: +34 638 02 30 05 or menorca@fantasticfrank.com.

This information should be seen as a guide, for legal matters we always recommend to get help from a lawyer.

Are you selling your property? On Menorca we can offer the most competitive sales and marketing package in the business. We have local offices in Ibiza, Palma, Barcelona, Marbella, Sweden, Denmark, Germany, Dubai and also in the US - Denver, that we work tightly to find your buyer through smart marketing and with many agents with client registers. Our team of photographers and stylist puts in a great effort to make your home reach its full potential. We bet that our marketing and sales tactics are so much better you don’t need another agent.

Get in touch with us by calling +34 638 023005 or emailing us at menorca@fantasticfrank.com. We’ll be delighted to assist you and help you find your next home.