Dreaming of owning your own home in Spain or a flat by the sea? Buying a property in Spain can seem complicated, but with the right knowledge and support from professionals, the process becomes simple and safe. Here is a step-by-step guide to help you realise your dream of a Spanish property.
Step 1: Determine budget and funding
The first step is to determine your budget and sources of finance. If you are planning to buy a property in Spain on credit, it is worth checking your creditworthiness with a Spanish bank beforehand. Normally, banks in Spain offer foreigners financing of up to 70% of the value of the property. It is also worth taking into account additional costs such as taxes, notary and registration fees.
Step 2: Choice of location and type of property
Spain offers a variety of regions and property types – from seaside flats to villas with a swimming pool. The Costa Blanca, Costa del Sol or Mallorca are some of the most popular locations. It is worth considering whether a property in Spain is to be used as a holiday home, a rental investment or a place for permanent residence.
Step 3: Work with a professional estate agent
Using the services of an experienced real estate agent in Spain is key to a successful purchase. A professional will help you find the right offer, negotiate the price and complete the transaction in accordance with Spanish law.
Step 4: Viewing the property and selecting the ideal offer
After the initial selection, it is advisable to go and see the selected properties in Spain in person. This is the moment to check the location, the standard of finish and the surroundings.
Step 5: Booking the property and signing the preliminary contract
Once you have decided on a particular property, a reservation contract and a preliminary contract (Contrato de Arras) are signed. This requires a down payment (usually 10% of the value of the property), which secures the transaction.
Step 6: Obtain an NIE number and open a bank account
The NIE (Número de Identificación de Extranjero) number is necessary to carry out a property purchase in Spain. It should be obtained from the local authority or through an attorney. A Spanish bank account for the payment of the purchase will also be useful.
Step 7: Finalisation of the purchase and signing of the deed
The final step is the signing of the deed (Escritura Pública) in the presence of a notary in Spain. Once payment has been made, the property is registered as the new owner with the relevant authority.
Step 8: Post-purchase fees and taxes
Buying a property in Spain involves additional costs, such as:
- Purchase tax (ITP or VAT, depending on the type of property)
- Notary and registration fees
- Legal costs
- IBI property tax (paid annually)
- Fees for utilities and estate administration
Additional information – what to look out for?
- Checking the legal status of the property (whether there are any mortgages or legal problems).
- Making sure that all fees are paid by the seller.
- In the case of secondary market properties, an analysis of the technical condition of the building.
- Selecting a proven law firm to handle the transaction.
- If you are planning to rent, familiarise yourself with local regulations on short-term rentals.
Summary
Buying a property in Spain can be easy and safe if you have the right professionals by your side. Working with our estate agency is a guarantee of professional advice, access to the best offers and full service of the transaction from A to Z.
Don’t waste your time with complicated formalities – let us find the perfect house in Spain for you!
Contact us today and we’ll help you fulfil your dream of owning your own property under the Spanish sun!
