The Purchase Process in Spain
Once you have chosen a property you’re keen to purchase the first stage is to sign a Reservation Agreement, this details the property, the price and when it is to be sold. At this stage, a deposit typically between €5000 to €10,000 must be paid. The property is then withdrawn from the market for period of 15–30 days for due diligence and finalising mortgage arrangements. You are at risk of losing all or part of this deposit if you withdraw from the sale.
If you are non-resident in Spain you must now obtain an NIE; a fiscal identification number and open a local bank account. All persons to be included on the deeds must have an NIE number. We can do all of this for you.
It is strongly recommended that you appoint a Lawyer, you then must decide if you wish to grant them Power of Attorney (Poder Notarial), this will enable them to represent you as the purchaser during the sale process and in your absence. A Power of Attorney must be signed and witnessed by a notary. This can be arranged in the UK with a Spanish speaking notary. Granting a power of attorney to our lawyers is the most efficient way to purchase and also means you do not need to be here in Spain during the process.
When buying a resale property, it is common practice in Spain at this stage to pay a deposit of around 5% to 10% of the purchase price committing you to purchase the property. This stage can often be open to reasonable negotiation.
Buying a new property during construction however often requires staged payments, normally between 30-40% of the purchase price 30-60 days after the reservation deposit has been paid.
The deeds must be signed before a notary. The seller and buyer must both be physically present with the notary or be represented by counsel with power of attorney. The meeting with the notary can take anything from an hour to several hours. We strongly recommend that you will be represented by your lawyer. If you choose to represent yourself, you must know Spanish or take an interpreter with you. The final balance must now be paid.
Now you are a Spanish property owner it is strongly recommended that you make a Spanish Will and seek advice on inheritance planning. We can guide you in Spanish inheritance and tax laws.
Our team can arrange insurance for your property, we can set up the services and we can also establish direct debit agreements with your bank for all of your immediate expenses; insurance, electricity, taxes, water etc… we can even help set up your TV and internet connections.
On your arrival in Spain your home can be ready to move into. It would be a pleasure to collect you from the airport and take you to your new home. Prior to your arrival we will have already conducted a Property Inspection making sure everything is in order and ready for you.
We offer extensive aftersales care. We will help with any unforeseen issues and our team can help purchase furniture, white goods and air conditioning. We will provide all the support and advice you require after your purchase. You’ll potentially have lots of questions about your new home and living in Spain; we can offer advice and help with healthcare or registering with a doctor, we can also help register your children in the local school, we’re here as you need us. We can also assist with a Property Service company, please see the Property Service section of our website for details.
It takes 4-8 weeks from the transfer of the property to the time we receive the final deeds. We then agree to a meeting in our office where we will go through all the paperwork and costs.