The 7 Biggest Mistakes When Moving to Spain (2026): Visa, Tax, and Bureaucracy Pitfalls

Spain is one of the most popular destinations for expats thanks to its climate, lifestyle and rich culture. On paper, the move can look simple. You find a visa, rent a home, and start a new life in the sun. In reality, however, the process is very different. For most non-EU citizens, the biggest mistakes when moving to Spain don’t come from cultural misunderstandings. They come from navigating visas, taxes, and bureaucracy incorrectly.

The greatest challenge for expats isn’t adapting to Spanish life. The real challenge is navigating the legal and administrative phase without damaging your residency status. These errors can lead to application rejections, fines, or even the loss of your right to stay.

In this guide, we will go beyond generic advice and focus on the 7 most serious legal and financial pitfalls. We will dive into the real mistakes to avoid when moving to Spain, so you can plan your move correctly, protect your residency, and avoid discovering too late just how hard it is to move to Spain when the paperwork goes wrong.

(Article Updated January 2026)

Mistake #1: Assuming You Can Work on a Non-Lucrative Visa (NLV)

Visa applicants often assume working remotely for a foreign company or earning freelance income online is acceptable under Spain’s Non-Lucrative Visa. This is one of the biggest mistakes when moving to Spain, especially for Americans and other non-EU nationals planning to maintain overseas income.

In reality, the NLV strictly prohibits all economic activity, regardless of where the employer or clients are based. This includes:

• Remote work for a US, UK, or Canadian company
• Freelancing or consulting online
• Managing a business or receiving active income

Any form of work is seen as a violation in the eyes of Spanish authorities. If discovered, this can result in visa rejection, renewal refusal, or even loss of residency status.

If you need to work, the NLV is simply the wrong visa. Instead:

• Choose the Digital Nomad Visa (DNV) if you work remotely for a non-Spanish company
• Consider the Highly Qualified Professional (HQP) visa if employed by a Spanish entity

This distinction is critical for non-EU expats planning to work in Spain, and the answer depends entirely on choosing the correct visa from the start. Learn more about your Spanish visa options and discover which ones are suitable for your situation.

Mistake #2: Underestimating Spanish Bureaucracy and Going Solo

Many people assume they can sort things out after they arrive in Spain. This delays critical paperwork like the NIE, visa application, or empadronamiento. In some cases, expats try to manage complex immigration filings on their own.

Spanish bureaucracy is notoriously slow, formal, and unforgiving. Applications often require Apostilled documents, certified translations, strict formatting, and precise timing. Missing a document, using the wrong version, or submitting out of sequence can result in long delays, or even silencio administrativo negativo. This means your application is effectively rejected due to inaction. 

The best way to avoid this is by working with a qualified gestor or immigration lawyer (abogado) from the outset. Professional guidance ensures your documents are correct, deadlines are met, and your application is actively tracked. Working with an expert dramatically reduces the risk of rejection, fines, or loss of legal status.

Mistake #3: Ignoring the Tax Implications of Worldwide Income

A lot of newcomers assume that Spain will only tax income earned inside Spain, especially if their salary, pension, or investments are based abroad.

However, that’s not the case. Once you become a Spanish tax resident, Spain taxes your worldwide income, not just Spanish-sourced earnings. This includes salaries, dividends, pensions, rental income, and capital gains from abroad.

If you hold assets outside Spain exceeding €50,000, you are required to file Form 720 (the foreign asset declaration). Late or incorrect filing of this form carries severe penalties. This is one of the most common compliance traps for expats.

Before spending 183+ days in Spain in a year, triggering tax residency, speak with a cross-border tax advisor who understands Spanish IRPF rules, double tax treaties, and reporting obligations. Proper pre-planning can prevent unexpected tax bills, fines, and long-term compliance issues that are difficult to undo once residency is established.

Mistake #4: Not Researching Visa Requirements for Your Income Source

Another mistake people make is assuming that all Spanish visas are interchangeable. A common example is applying for the Digital Nomad Visa with purely passive income, or applying for the Non-Lucrative Visa (NLV) while intending to continue working remotely.

Spanish visas are strictly income-specific. Authorities assess not just how much you earn, but how you earn it. If your income source does not align perfectly with the visa category, the application is usually rejected.

• Active income (sources include: salary, freelancing, remote work)
  • Requires a work-authorized visa such as the Digital Nomad Visa.
• Passive income (sources includepensions, dividends, rental income, investments)
  • Suitable for the Non-Lucrative Visa.

Applying for the wrong visa is one of the most common mistakes made when moving to Spain, and rejection rates are high because applications are reviewed at the consulate level with little flexibility. 

In most cases, you cannot switch visa types from within Spain, meaning a rejection can force you to restart the entire process from your home country.

To avoid unnecessary rejections or delays, before applying, you should clearly define:

• Whether your income is active or passive
• Whether it is foreign-sourced
• Whether it is stable, recurring, and contractually documented

Only after this analysis should you select the appropriate visa. This step alone can determine whether your experience moving to Spain is smooth.

Mistake #5: Rushing into Property Purchase (Before Renting)

Many newcomers make the mistake of buying property before physically seeing it, or committing to a purchase within their first few months of arrival. The excitement of the move, combined with fear of rising prices, often leads people to skip the “trial period” of actually living in Spain.

Spain has complex property laws that can easily catch foreign buyers off guard. Properties may carry hidden liabilities such as unpaid community fees, outstanding debts, or planning irregularities. 

In addition, purchase costs are high. Property Transfer Tax (ITP) alone can range from 6% to 10% depending on the region, alongside notary, registry, and legal fees. If you buy too quickly and later decide to sell, you may also face significant capital gains tax, turning a rushed decision into a costly mistake. This is one of the most overlooked mistakes to avoid when moving to Spain.

Avoid rushing into purchasing and instead opt to rent for at least 6–12 months before buying. This gives you time to understand neighborhoods, climate differences, local bureaucracy, and whether the area truly fits your lifestyle. When you are ready to buy, always use an independent, unconflicted lawyer (not one recommended by the seller or estate agent) to carry out full due diligence and protect your interests.

Mistake #6: Overlooking the Necessity of Learning Spanish

Assuming you can rely on English indefinitely, especially in major cities like Madrid, Barcelona, or along the coast, is another common mistake.

While English is spoken in tourist areas and some international workplaces, daily life in Spain operates in Spanish. Medical appointments, banks, town halls, utility companies, and most small businesses function almost exclusively in Spanish. This is one of the most underestimated mistakes to avoid when moving to Spain. Without conversational Spanish, integration is difficult, bureaucracy becomes overwhelming, and expats often become dependent on translators, lawyers, or friends for basic tasks.

Start learning Spanish before moving, the earlier the better! Focus on practical, conversational skills rather than perfection. Upon arrival, enroll in local language classes, use daily interactions as practice, and avoid living entirely inside an English-speaking bubble. Reaching a solid A2–B1 level dramatically improves independence, confidence, and long-term quality of life in Spain.

Mistake #7: Delaying Key Initial Paperwork (NIE and Empadronamiento)

The final common mistake we see amongst expats moving to Spain is treating the NIE (Número de Identidad de Extranjero) and Empadronamiento (local town hall registration) as administrative formalities that can be handled later.

These two registrations are the foundation of legal life in Spain. The NIE is required for almost everything, including opening a bank account, signing a rental contract, purchasing property, paying utilities, registering for taxes, and collecting your residence card (TIE). Without it, daily life quickly grinds to a halt.

The Empadronamiento is equally critical. It proves your local address and is required for residency applications, access to public healthcare, school enrollment, and many immigration procedures. Delays here can block or invalidate later applications.

Prioritize securing your NIE and completing your Empadronamiento within the first 30 days of arrival. Book appointments in advance whenever possible, bring multiple copies of documents, and do not assume one process can move forward without the other.

Addressing Common Expat Concerns

In addition to these biggest mistakes when moving to Spain, it’s important to address the most common questions expats ask before committing to the move.

How hard is it to move to Spain?

This is one of the most common questions, and the honest answer is: administratively, moving to Spain can feel difficult. Practically, however, it’s manageable. The paperwork, visa rules, translations, and appointment delays make the process bureaucratically heavy, especially for non-EU citizens.

Once the legal side is handled correctly (ideally with professional guidance), daily life and social integration are relatively easy thanks to Spain’s welcoming culture, lifestyle, and strong expat networks.

Reasons not to move to Spain

While Spain offers an exceptional quality of life, there are valid reasons not to move to Spain that should be considered upfront:

• High taxes for high earners: Spain taxes worldwide income once you become a tax resident and applies Wealth Tax in many regions, which can be a major downside for high-net-worth individuals.
• Slow bureaucracy: Administrative processes move at a deliberate pace, and delays are common.
• Challenging job market: Salaries are relatively low, and finding work can be difficult without fluent Spanish, particularly outside international or remote roles.

Understanding these realities in advance helps set realistic expectations and avoid frustration after the move. This is why many expats choose to work with specialists. Professional guidance can dramatically reduce delays, rejections, and stress throughout the Spanish immigration process.

Ready to Move to Spain?

Relocating abroad is always a balance between lifestyle dreams and legal reality. As this guide has shown, the biggest mistakes when moving to Spain are rarely about culture or climate; they are almost always procedural. Visa misuse, tax misunderstandings, delayed paperwork, and underestimating bureaucracy are the issues that turn an exciting move into a costly setback.

That said, moving to Spain is absolutely achievable. The process is administratively demanding, but very manageable with the right preparation and guidance. Avoiding the aforementioned mistakes can save you years of stress, fines, or even loss of residency.

Do you want to relocate confidently and avoid the most common legal and tax pitfalls? Speak with an experienced immigration professional before you apply! Fill out the form below, and Lexidy’s Spanish immigration experts will help you plan proper visa selection, tax compliance, and correct paperwork from day one.