Selling Property in Chile as a Foreigner: Complete Guide

Can a foreigner sell property in Chile?

Yes. Foreigners have the same property rights as Chilean citizens when selling real estate in Chile. You need a RUT (Chilean tax ID), all standard documents, and must comply with the same tax rules. The 8,000 UF capital gains exemption (approximately USD $300,000 in lifetime gains) applies equally to foreign natural persons. Chile places no restrictions on repatriating sale proceeds, though transactions above certain thresholds require Central Bank reporting. If you cannot be present in Chile, you can sell remotely using an apostilled power of attorney.

This guide covers every step for foreign property owners, whether you are an expat living abroad or a resident foreigner selling your Chilean home.

Do I need a RUT to sell property in Chile?

Yes. Every property owner in Chile must have a RUT (Rol Unico Tributario), Chile’s tax identification number. You cannot sign a deed, pay taxes, or file a return without one. If you already own property in Chile, you should already have a RUT (it was required when you purchased).

If you need to verify or recover your RUT:

Check online: The SII website allows RUT lookups
Visit an SII office: Any SII office in Chile can verify your records. In the Aysen Region, offices are located in Coyhaique and Puerto Aysen
Through a representative: Your lawyer can verify and manage your RUT matters via power of attorney

If you somehow own property without a RUT (rare but possible with very old acquisitions), you must obtain one before selling. Application is free and takes 1-5 business days for in-person requests.

Source: SII, RUT for Foreigners

How do I sell property from abroad using a power of attorney?

If you cannot travel to Chile for the sale, you can grant a power of attorney (poder notarial) to a representative (typically your Chilean lawyer) who will act on your behalf at every stage: gathering documents, signing the promise of sale, signing the deed, and collecting payment.

Step-by-step process

Draft the power of attorney: Your Chilean lawyer prepares the document specifying exactly what powers you grant (selling the specific property, signing deeds, collecting payment)
Sign before a notary in your country: The document must be notarized in your country of residence
Apostille: Chile has been a member of the Hague Apostille Convention since 2016. The notarized power of attorney needs an apostille from the competent authority in your country (for example, the Secretary of State in the US, the Foreign Office in the UK)
Send to Chile: Mail the apostilled original to your lawyer in Chile
Protocolize in Chile: Your lawyer presents the apostilled document to a Chilean notary for protocolizacion (official registration in Chile’s notarial system)

Timeline: Allow 2-4 weeks for the full process (notarization, apostille, international shipping, protocolization).

Cost: Varies by country. US notarization plus apostille costs approximately USD $50-$150. Chilean protocolization costs approximately 0.5-1 UF (CLP $19,000-$38,000).

Countries with apostille agreements

Chile accepts apostilles from all Hague Convention member states, which includes the United States, United Kingdom, Canada, Australia, Germany, France, Spain, New Zealand, Japan, South Korea, Brazil, and over 100 other countries.

What are my tax obligations as a foreign seller?

Foreign sellers follow the same tax rules as Chilean nationals. There is no foreign seller surcharge or special tax regime.

The 8,000 UF exemption

The 8,000 UF lifetime capital gains exemption (Article 17 No. 8, Ley de la Renta) applies to foreign natural persons. Your gain is tax-free if:

The property is in Chile
You are a natural person (not a company)
You are not in the real estate business
The sale is not to a related party
The property was acquired after January 1, 2004

If your gain exceeds 8,000 UF, you choose from three options: progressive rate (0-40%), average rate over holding period, or flat 10%. For full details, see our capital gains tax guide.

Tax treaties to prevent double taxation

Chile has double taxation treaties (convenios de doble tributacion) with numerous countries:

Region	Countries with Treaty
North America	United States, Canada, Mexico
Europe	United Kingdom, Germany, France, Spain, Italy, Belgium, Denmark, Sweden, Ireland, Switzerland, Austria, Czech Republic, Poland, Portugal, Norway
Asia-Pacific	Australia, New Zealand, Japan, South Korea, China, Malaysia, Thailand
South America	Argentina, Brazil, Colombia, Ecuador, Paraguay, Peru, Uruguay

Under most treaties, Chile (where the property is located) has primary taxing rights. The treaty then provides a mechanism (credit or exemption) to avoid paying tax twice on the same gain. Consult a tax advisor in both Chile and your home country.

Non-resident withholding

If you are a non-resident seller, the buyer or notary may be required to withhold a percentage of the sale price and remit it directly to the SII. This withholding is credited against your final tax liability when you file your annual return in April.

Filing requirement

You must file an annual tax return (Declaracion de Renta) in Chile for the year you sell the property, even if the gain is fully exempt. The return is due in April of the following year and can be filed online at sii.cl. Your Chilean lawyer or accountant can file on your behalf.

Can I repatriate the sale proceeds?

Chile has no general restrictions on repatriating funds from property sales. You can transfer the full sale amount to your home country bank account.

What you need to know

No capital controls: Chile does not restrict outward capital flows for property sale proceeds
Central Bank reporting: Transactions above certain thresholds must be reported to the Banco Central de Chile under Chapter XIV of the Foreign Exchange Regulations (Compendio de Normas de Cambios Internacionales)
Bank documentation: Your Chilean bank will require proof of the fund’s origin: the deed of sale (escritura de compraventa), tax payment receipts, and identification
Exchange rate: You can convert CLP to your home currency through your Chilean bank or use an international wire transfer. Rates vary by bank

Practical steps

Open or maintain a Chilean bank account (Banco de Chile, BancoEstado, and Santander Chile all serve foreign clients)
Receive the sale proceeds into your Chilean account
Request an international wire transfer to your home bank
Provide the bank with the sale deed and tax compliance documentation
The bank processes the transfer (typically 2-5 business days)

Source: SII, Repatriation of Capital

What are the border zone restrictions for foreign sellers?

If your property is located within 10 km of the Argentine border in the Aysen Region, DL 1939 (1977) restricts who can buy it.

Buyer Nationality	Can Buy in Border Zone?
Chilean	Yes
Non-neighboring foreigner (US, UK, EU, etc.)	Yes
Argentine	No (unless presidential exemption granted)
Bolivian	No (unless presidential exemption granted)
Peruvian	No (unless presidential exemption granted)

As a seller, this means: Your buyer pool may be restricted if your property is in a border zone. You can sell to Chileans and most foreigners without any issue, but Argentine nationals cannot purchase. This is relevant in areas around Chile Chico, Cochrane, and parts of the Carretera Austral near the border.

The restriction does not affect your right to sell. It only limits who can buy.

Source: DIFROL, Border Zone Procedures

What is the step-by-step process for selling remotely?

Here is the complete process for selling your Chilean property from abroad:

Hire a Chilean lawyer (ideally one who handles foreign client transactions and speaks English). Budget 10-30 UF (CLP $380,000-$1,140,000)
Prepare and apostille your power of attorney (2-4 weeks)
Your lawyer gathers all 14 required documents on your behalf (2-3 weeks). See our documents checklist
List the property through an agent or on platforms like Propiedades Patagonia
Negotiate with buyers (your agent or lawyer can handle this remotely)
Sign the promise of sale (promesa de compraventa) through your lawyer via power of attorney
Buyer conducts title study (1-2 weeks)
Sign the deed of sale (escritura de compraventa) through your lawyer at the notary
Receive payment into your Chilean bank account (typically at deed signing)
CBR inscription completes the transfer (approximately 20 business days)
File your tax return in April of the following year
Repatriate funds to your home country (2-5 business days for wire transfer)

Total timeline from start to completion: approximately 3 to 4 months when selling from abroad.

What are common mistakes foreign sellers make?

Not filing the tax return: Even with zero tax owed, you must file. Penalties apply for non-filing
Forgetting water rights: If you own rural land, water rights transfer separately and require their own deed
Expired power of attorney: Some powers of attorney have expiration dates. Ensure yours covers the full expected timeline
Ignoring property tax debt: Unpaid contribuciones (property taxes) must be cleared before sale. Check your balance at tgr.cl
Not budgeting for Chilean costs: Even selling remotely, expect to spend approximately 3% of the sale price. See our costs guide

Ready to sell your property in Patagonia?

Whether you are in Santiago, London, or Sydney, you can sell your Chilean property efficiently with the right legal support. List your property on Propiedades Patagonia to connect with buyers searching for houses in Coyhaique, land in the Aysen Region, and properties across Chilean Patagonia.

For the complete selling process, read our guide to selling property in Patagonia.