Can I Put My Spanish Property in Someone Else’s Name?

One of the most frequent questions we receive from our international clients is, “Can I put my property in someone else’s name?” This might be in the context of transferring a property to a spouse, children, or another individual or company. While this phrase is often used colloquially, it doesn’t reflect how property transfers work under Spanish law.

In Spain, there is no simple mechanism to “put” a property in another person’s name without a legal transaction. Property ownership cannot be transferred through informal means; it requires a formal legal act known as a *“traslativo de dominio”* (transfer of ownership).

How Can Ownership Be Transferred in Spain? There are several ways to legally transfer ownership of a property in Spain. These include:

1. Sale (Compraventa). The most common method is a sale, where the property is purchased by the recipient in exchange for payment. This transaction must be formalised through a notarial deed and registered in the Land Registry (*Registro de la Propiedad*). And of course, a property sale cannot be “faked.” There must be an actual price paid, and that price must be reasonable. For more information on the minimum value required to declare for tax purposes, please read this article.

2.Gift (Donación). A gift allows property to be transferred without payment. However, this option often incurs gift tax (*Impuesto de Sucesiones y Donaciones*), which varies depending on the region and the relationship between the parties. And other two taxes would apply: Plusvalía and Capital Gains Tax. Yes, Capital Gains Tax applies to the seller because, believe it or not, for the Tax Office, a donation is treated like a sale. This means that if the declared value of the property at the time of transfer is higher than the value declared at the time of purchase, the donor (considered the “seller”) will have to pay tax on the “profit.”

3. Inheritance (Herencia). If the transfer occurs after the owner’s death, the property can pass to the heirs through inheritance, following the instructions of a will or the rules of intestacy. Inheritance tax may apply. However, in most of Spain, there are substantial tax allowances available for close relatives.

4.Transfer of real property to a private limited company as a capital contribution. Plusvalía and Capital Gains Tax will apply.

5. Award by Auction or Other Legal Procedure (Adjudicación). In some cases, property can be transferred through a legal process, such as an auction, domain proceeding (*expediente de dominio*), or court ruling. These situations are less common but follow strict procedural rules.

6. Liquidation of the Company. If the property is held in the name of a company, it can be transferred to its shareholders during the company’s liquidation process.