Buying a property in Spain
A simple buyers guide
Before purchasing a property in Spain, it's crucial to familiarize yourself with the Spanish buying process, including aspects such as the private contract, notary title deed, and property registration. This process may be quite different from what you're accustomed to.
We will guide you through the Spanish buying process and make sure that you are buying a property in Spain entirely legally. We will accompany you throughout the whole purchasing process (reservation, private contract, signature of the title deed) right through to registration with the Spanish Land Registry.
To ensure that the process is conducted correctly and complies with Spanish law, it's advisable to have a legal representative in the same location as your purchase. It's particularly recommended to hire a solicitor if the property is located outside the urban center, such as in the mountains.
To buy a property in Spain, it is necessary to:
- Obtain a 'NIE'. This is an identification number assigned to foreigners. All owners are required to have a NIE on completion, at the notary.
- Have a legal representative who speaks your language and will ensure the following:
- 1. That you buy a property legally registered.
- 2. That the property is without encumbrances at the Land Registry, Cadaster, and the Town Hall.
- 3. They will make a private agreement in Spanish (compulsory) and in your language (essential).
- 4. They will explain all payments on the day of completion and will advise you on how to transfer funds from your country.
- 5. They will accompany you to the signing of the title deed at the notary and will translate the document into your language (the deed is written in Spanish only).
- 6. They will pay your transfer tax, present the deeds to the Land Registry, the Town Hall, the Tax Office, and ensure that all utility contracts are in your name (water, electricity, community, etc.).
The costs of purchasing in Spain vary between 9% and 10% of the purchase price.
Buyers frequently asked questions
A legal representative's role is essential in this transaction. Please don't hesitate to contact us if you have further questions.
An NIE is an identification number for non-Spanish people. This number is a mandatory requirement for any purchase in Spain particularly the acquisition of property in Spain. The Notary will not sign the deed of purchase if you do not have your NIE. You will be required to have your NIE to sign any contract (telephone, water, electricity ...) in Spain.
Yes, it is essential in order to ensure the paperwork before signing the private contract and the title deeds to ensure that the property is free of any charge ... hence the importance of taking a legal representative who is also responsible for the registration of ownership at the Land Registry.
He can be a property manager, an administrator of properties... However, when you buy outside of the urban area, it is advisable to take a lawyer. Above all, it is important that this representative is based in the place you buy the property and that you can understand him/her perfectly.
It is advisable to make a financial comparison between your bank (in your country) with what your bank in Spain can offer.
The Notary authenticates the title purchase/sale. He verifies the authenticity of the certificates provided by your legal representative (certificates obtained to ensure that you buy a property free of any charge ...) and prepares the signature of the deeds.
In Spanish only. Your legal representative will translate and assist you when signing the title.
Yes, buyers and sellers must be present. If they can't, they have to sign a Power of Attorney to someone else to sign on their behalf.
It can be made by transfer or Spanish bank draft (only if you have Spanish account). Usually, the buyers send the funds to their representative who makes the payment.
Fees vary between 9 and 10% of the purchase price.
You have two types of taxes to be paid per year. The local taxes (IBI, refuse collection ...) and the 'tax return' which is the declaration of your assets as a non-resident in Spain. The local taxes are paid automatically, by direct debit. The 'tax return' must be calculated by an accountant/professional. Your legal representative will be able to help you to complete this tax.