Buying a house in Spain can sometimes be a complicated process, and different language and local habits won’t make it easier.

Here we offer a simple informative guide to buyers:

If the property is a resale the contract will be with the current owner and the procedure is as follows:

· A deposit of 10% will secure the property.

· The remaining balance will be paid on completion and signature of the Title Deeds.

· After accepting a deposit, the seller is legally obliged to sell the house at the agreed price.

In addition to the cost of the property you will need to allow for the following:

· Capital Transfer Tax, the standard rate is 7% on the deed amount but there are regional differences.

· Fees for Notary, Land Register and Solicitor.



If you are purchasing an unfinished property in Spain, the developer is legally required to provide the following information:

  1. First information.

    • House layouts and general location of the unit.
    • Building specifications.
    • Property description, common areas and accessory services.
    • Price of the property and terms of payment.

  2. Deposit and advanced payments.

    • Normally a buyer can reserve a property while it is under construction by making a non-returnable deposit and signing a private contract with the seller agreeing the price and payment terms.
    • The seller will deliver bank guarantees to the buyer securing instalments paid by the buyer to the seller prior to the execution of the sale and purchase deed.

  3. Signature of the deed and registration.

    • As soon as the construction is finished the buyer will sign the purchase deed before a Notary which is the official who makes this contract legal.
    • The purchase deed must be registered with the Spanish Property Registry. The registered contract transfers ownership of the property.

  4. Taxes to pay only on purchasing a new property.

    • VAT 7% on the deed amount.
    • Transfer Tax – the standard rate is 0.5% on the deed amount but there are regional differences.

  5. Fees to pay.

    • Notary fees (fixed on official scale), Land Registry and Solicitor’s fees
Any property purchase will involve paying taxes. In order to pay taxes in Spain you will be required to obtain the Spanish identification number (NIE). We can guide you through this process.

These are only general guidelines and not definitive statements of the law, all questions about the application of the law to individual cases should be directed to a lawyer.

We can provide expert advice whether or not you need a mortgage, on all the steps to be taken and the professionals to be contacted, so that your time in Spain is spent enjoying your home and not chasing bureaucracy.

You can rely on our proven experience in the real estate and mortgage business that enables us to find the solution that best suits your needs and, above all, avoids unnecessary costs, which do so often arise.

With Maser World the purchase of your home becomes as easy and trouble-free as possible!

 


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