Buying property in Andorra as a foreigner

Foreigners can buy property in Andorra, and you do not need to be resident to do so. What you need is the Government's authorisation before the deed, and since 2024 you also pay a tax on foreign real-estate investment. This guide explains who needs what, how long it takes, how property relates to residency, and the practical steps for a buyer who lives abroad. The general process is in Buying property in Andorra and the other taxes in Taxes and costs of buying in Andorra.

Who needs the authorisation

Anyone who is not an Andorran national, and has not been resident in Andorra for the required period, needs the foreign-investment authorisation (autorització d'inversió estrangera) to buy real estate (2026). The required period is three years of residence. The rule covers homes, parking spaces, storage rooms and land. A company with foreign ownership needs it too (see "Buying through a company" below).

How it is obtained

The application goes to the Government's foreign-investment service. In most purchases the notary who will sign the deed, or a lawyer, prepares and files it for you. It identifies the buyer and the property and states the price and the source of the funds; expect to provide a passport copy, proof of address, the signed deposit agreement and evidence of where the money comes from. The notary cannot sign the deed until the authorisation is granted, so the deposit agreement should make it a condition, with the deposit returned if it is refused.

Timing

The authorisation takes several weeks (2026). With the checks and the deed, a non-resident buyer should allow two to three months or more from accepted offer to keys.

The tax on foreign real-estate investment

Since February 2024 (Llei 3/2024) a buyer who needs the authorisation also pays a tax on foreign real-estate investment, on top of the transfer tax or IGI (2026):

• 3% of the value for a first home, which can include up to two parking spaces and a storage room;
• higher rates of 5%, 8% and 10% as the number of properties the buyer holds rises, and for land and development purchases.

The tax is paid before or at signing. An exemption or a refund applies if the buyer becomes resident and uses the home as their main residence for a minimum period.

Temporary restrictions

In 2024 and 2025 the Government announced and processed temporary measures to limit new foreign investment in housing, as part of its response to housing shortages. Before you pay a deposit, ask the notary whether any such measure affects the property you want to buy, in particular for resale flats in the capital area.

Buying through a company

Buying through an Andorran or foreign company is possible and common for larger holdings or for several properties. The authorisation applies to the company as the buyer, and a company with foreign shareholders needs its own authorisation to be set up or to invest. Take advice on how the company, its income and a later sale are taxed before choosing this route.

Residency routes that involve property

Buying a home does not give you residency, and residency is not required to buy. Two routes relate to property:

• Passive residency (residència passiva, for people who do not work in Andorra): an investment of €600,000 in Andorran assets, which can be real estate, plus a non-interest-bearing deposit of €47,500 with the AFA (Autoritat Financera Andorrana, the financial authority) and €9,500 for each dependant, private health insurance, and at least 90 days a year in Andorra (2026).
• Active residency (residència activa), through employment with an Andorran employer or as a self-employed person with your own company. The self-employed route requires a deposit with the AFA of €50,000 and at least 183 days a year in Andorra. A home is not required for this route, but you must show where you will live, by lease or deed.

Holders of a residence permit need a home they own or rent in Andorra. The residence authorisation is handled by the Government's immigration service; a lawyer or a specialist firm usually prepares the file.

Banks and mortgages for non-residents

Andorran banks lend to non-residents, but they lend less of the value than to residents and ask for more evidence. As a rough guide, residents borrow up to 60 to 80% of the bank's valuation over up to 25 to 30 years, and non-residents a lower share (2026). Expect to open an account with the lending bank, to explain the source of your deposit and income, and to have your file checked under the anti-money-laundering rules. Some buyers borrow in their home country against other assets instead.

Practicalities

• Tax number. You need an Andorran tax number, the NRT (número de registre tributari), to buy. The notary or your lawyer can apply for it with your passport.
• Bank account. Opening an account as a non-resident is possible but slow; banks usually want to meet you and will ask for proof of address, source of funds and references. Start early, because the price is paid from an Andorran account or by banker's draft at signing.
• Power of attorney. If you cannot attend the deed, you can give a power of attorney before a notary in your country, apostilled and translated. Ask the Andorran notary for the wording before you sign it abroad.
• Translations. Deeds and agreements are in Catalan. The notary can explain the deed in Spanish, French or English, but ask for a translation of the deposit agreement before you sign it.

Laws and taxes change. This guide is general information, not legal advice: check with a notary or an adviser before you sign.