Buying property in Spain

The Spanish property market

Spain has a strong real estate market, developed and well regulated that allowed him to experience an incredible boom in its selection of properties both quantitatively and qualitatively. Until little Spain alone built many buildings as the rest of the European Union combined. Also affected by the current international crisis, prices tend to stagnate or even to decline making the purchase of real estate much more valuable.

If you want to buy a property in Spain and you are not of Spanish nationality, you must first acquire an identification number for foreigners (NIE in Spain).

When you want to buy a property, the first thing to do is find a property that can meet your needs and preferences. The assistance of a real estate agent will be invaluable. This professional, licensed by the State, will assist you in finding the property taking into account your preferences. In addition, it will help you during the acquisition process. To select it, it is also advisable that you need a lawyer, because since the explosion of the Spanish property market there has been an exponential increase in the number of real estate agents, many of whom have neither the knowledge nor the experience to smoothly complete your purchase. Your lawyer will help you find a real estate agent with experience and efficient, allowing you to quickly and easily find the property you are looking for.

Funding

The Spanish financial system has evolved with the continued growth of the Spanish property market for over fifteen years and has developed financial instruments to meet the needs of the growing market. Despite the current international financial turmoil, the Spanish system is, if not the best, at least one of the most durable, safe and reliable that can be found today.

Once you have found the property you want to buy, and before signing a sales agreement, you may need to obtain financial support. For this you need to consider the purchase price of the property plus the cost of acquisitions that are normally in the range of 9 to 11% of the total price of the property. Spanish banks can provide financing up to 80% of the property determined by an official expert approved by the Spanish central bank. This means that the official value may differ from the price you pay, and that is why it is important to work with a realtor official. The bank will help you with the acquisition process as it is of interest that you have no problems in the acquisition of the property.

Traditionally, there are two steps to bring to fruition a real estate transaction. First you have to sign a deposit contract is a private document between the seller and the purchaser, the second step is the signing of a public deed for the transfer of ownership.

The deposit contract

If you already have the funds to purchase your property you wish to purchase, the contract is not required and you can skip to the next step. If not and once you got your mortgage, you will have to sign the counter deposit. The contract must contain a full description of the property to be acquired, the deadline for signing the public document, the final price, the amount of default interest and the amount of the deposit. Generally, the deposit paid in the compromise will be worth between € 3000 to 6000 for properties with a value of about € 240 000. Real estate agents will offer you most of the time to sign a standard contract, but before signing anything you should let your lawyer to study in order to protect your interests. Before signing, it is also advisable to check the seller's title and license requirements, if any Your lawyer will check this. The Spanish property registration system is very reliable and guarantee the purchase of a property safely.

The public act

Given the safety of the Spanish notary and public registry of property it is strongly recommended to formally complete the sale before a notary and to register your purchase in the real estate register.

Once you've found a property and you have the money to pay, it is important to register in the Registry of the Spanish property with a view to avoid any future litigation. To this effect, you must send the following to the notarial office: title deeds from the seller, received payment of taxes, letter from the president of the community of neighbors confirming that the seller has made all payments due to the community, number Passport or identity of all parties. Registration fees are 7% of the value of the property if the purchase was made for use of private housing, 16% in the case of a commercial project.

With all the necessary documents, the notary will ask the registry title and current charges. The two sides will meet at the notary office where the new title deeds are signed. These should include the payment and how the rest of the price will be paid. The keys to your new property will be given at that time and that's when you take possession of the property, unless otherwise agreed to be included in the public document. Once the new title deeds signed, the notary will send a formal notification to the register regarding the acquisition. Two or three days after signing, the notary will issue the bill of sale so that you can liquidate your taxes and formally register in the Register of Real Estate Property All expense paid by the purchaser, to exception of the IBI, which by law, is the seller.

With the registration of your new property over the purchase process. With the assistance of your lawyer, and in various stages of the realtor and the bank, it will be quick and easy, allowing you to enjoy your purchase as soon as possible.