Now you have found the property that suits your property requirements, the legal & purchase procedures take effect. We will help you throughout the whole buying process to ensure that there are no financial or legal problems, we will also ensure you are provided with sound legal advice so you understand the processes of the Spanish legal system.
Purchasing your property in Spain is a very exciting time and can become a little bewildering, it is completely different from what you will experience in the UK - but do not worry, sit back and enjoy the experience...
The deposit which needs to be paid to the vendor on the property that you have chosen to purchase is usally 1% of the purchase value of the property which needs to be paid to reserve the property and take it off of the market.
A contract of sale will be drawn up, the payment method and signature date will be agreed.
On completion of your property, the official deed of the sale (Escritura Publica Compraventa) is prepared by the Spanish Notary.
Once signed by both you and the property seller, you will receive a copy of the title deed for the property (Escritura Simple).
The original copy is sent to the Land Registry for their records. When returned to the Notary it will then be presented to you.
PROPERTY PURCHASE TAXES....
- Resale properties: (approx) 7% of purchase price (Transmission Tax).
- Notary & Land Registry fees (approx) 0.7%
- Utility contracts: (approx) €240
- Land tax (Plus Valia) (approx) 1%
MORTGAGES & FINANCE....
Spanish Banks interest rates are much more competitive than in the UK.
Rates vary: starting from (approx) Euribor base of 3.88% +1 % = 4.9 % is normal. Lower quoted rates are short term "introductory" deals.
Some banks now offer up to 80%, self certificated, interest only deals. Conditions apply.
Documentation required. Passport & NIE number (the Spanish identity number for foreigners).
Employees: P60 plus 3 or 6 months most recent consecutive payslips & bank statements & the other documents just mentioned.
Self employed: Business accounts for last 3 years & again the other documents just mentioned.
Retired: Pension & other income details, property purchase contract & title deeds (up to the age 72), plus other documents mentioned again.
It takes 1 to 2 weeks for approval, subject to status & valuation.
Usually takes 4 to 6 weeks to the signing of title deeds (completion) at the Notary.
Special mortgage rates & facilities are available specifically for our own clients.
PLEASE NOTE ....
The information provided is an estimation, rates and laws in Spain do tend to change and we will not be held responsible for misinterpretation of the information provided above. This information is ONLY a guide for buyers and we hope that you find this information of use. We do our best to keep our information updated using professionals that we work alongside for you.
We are not financial brokers, however we can help you find the best mortgage available to you through our financial professionals that we have a strong working relationship.