Andorra Property Buying Guide: Rules for Non-Residents

Andorra permits foreigners to own property, but non-residents must obtain prior authorisation from the government before completing a purchase. Conditions, annual limits and the treatment of different property types have been adjusted over the years, so the current rules should be confirmed with an Andorran lawyer rather than assumed from older guides.

Residents of Andorra have a simpler route, which is one reason many buyers combine a purchase with an application for residency. The market itself is small: land is scarce, most of the territory is mountainous or protected, and new construction is limited. That scarcity supports prices but also means few listings and slow turnover. If you need a lower entry point, check lower-priced property in Andorra.

1. Define your purpose: second home, residence under a passive or active residency, or investment. It affects the authorisation route.
2. Engage an Andorran lawyer and, if applicable, a local agent registered with the sector association.
3. Agree the price and sign a reservation or preliminary contract that is conditional on government authorisation.
4. Your lawyer submits the non-resident authorisation request and, where relevant, a residency application in parallel.
5. On approval, instruct the notary to prepare the deed of sale. Andorran deeds are executed before a notary.
6. Pay the balance and the transfer tax, then have the deed registered at the property registry.
7. Arrange utilities, parish registration and insurance, and diarise any annual obligations tied to your authorisation or residency.

In Andorra the lawyer and the notary do the heavy lifting. The lawyer runs the authorisation, checks the registry, reviews the building's community rules and coordinates with the notary, who executes the deed. Costs for each are modest relative to the price.

Agents usually charge a percentage of the price, often shared with the seller; confirm in writing. If you are considering a mortgage from an Andorran or neighbouring bank, learn the loan-to-value limits first through mortgage options in Andorra for foreigners and model repayments with the mortgage calculator.

• Authorisation status: confirm in writing that the purchase is conditional on, or covered by, the government's approval.
• Registry extract showing owner, mortgages and any easements.
• Community of owners' minutes, fees and any planned major works for apartments.
• Building quality and heating costs: altitude and winters make insulation a real running cost.
• Parish and communal charges, and whether the property can be let short term.
• Valid cadastral and urban-planning status for any plot or chalet.

Andorra's tax profile is a major reason people look at it. All figures are approximate and subject to change, so verify the current rates and any reliefs locally.

Passive residency in Andorra is generally linked to a significant investment in Andorran assets, with a portion in real estate, plus a requirement to spend a minimum number of days in the country each year. Thresholds and conditions have changed, so check the latest figures with a lawyer before structuring a purchase around residency.

Active residency, by contrast, is tied to working or running a business in the principality. Property alone does not grant a right to live there, so the legal advice should cover both the purchase and the permit at once.

• Agreeing the price without making the contract conditional on authorisation.
• Underestimating heating, maintenance and community costs in mountain buildings.
• Assuming short-term letting is allowed in every building.
• Relying on out-of-date residency thresholds from old articles.
• Choosing a lawyer who is not familiar with both the property and immigration sides.