Real estate investment in Andorra: how to invest without being a resident

Investing in Andorra: a stable opportunity with international vision

In recent years, Andorra has emerged as a preferred destination for European and international investors. Economic stability, competitive taxation, and a high-quality real estate market make the country a safe environment to invest, diversify assets, and plan for potential tax residency in the long term.

The Andorran property market combines legal security, attractive returns in key areas, and a stable environment that appeals to both entrepreneurs and families seeking a solid asset base in the Principality.

You can invest in Andorra without being a resident

Yes. Any non-resident individual or legal entity can acquire property in Andorra, provided they meet the established legal requirements. Currently, foreign real estate investment requires prior authorization from the Andorran Government — a formal process that ensures transparency and compliance.

Once approved, investors can purchase residential, commercial, or investment properties. This is a common path for those looking to diversify their wealth internationally without immediately applying for Andorran residency.

Tax benefits and legal security

One of Andorra’s greatest strengths is its legal certainty and stable tax framework. The country offers moderate tax rates, a well-regulated financial system, and a transparent business environment.

Unlike many European markets, ownership and transfer costs are competitive. The Property Transfer Tax stands at 4%, and there are no wealth or inheritance taxes, which makes Andorra particularly attractive for long-term asset management.

Rental income can also benefit from a reasonable taxation level, often lower than in neighbouring countries, especially when structured through an efficient company vehicle.

Owning property can support company creation

While not mandatory, owning property in Andorra can strengthen an application for company formation or residency. Having real estate in the country demonstrates genuine commitment and may simplify certain administrative processes.

Many entrepreneurs choose to purchase property as part of a broader strategy: establishing a presence in Andorra, managing business operations, and potentially applying for tax residency. This combination of investment and establishment is common among international professionals seeking stability, efficient taxation, and quality of life.

A growing and balanced market

Andorra’s real estate market remains stable, with consistent demand and moderate growth. Recent urban developments, infrastructure improvements, and the country’s economic openness have further strengthened the sector’s reputation for safety and opportunity.

For many investors, acquiring a property is the best first step toward Andorra — a tangible, steady move compatible with other international or business expansion projects.

If you’re considering investing in Andorra, make sure to understand the requirements and plan strategically. A well-structured decision can be the first step toward building a strong and lasting presence in a country that combines safety, profitability, and quality of life.