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Buying your New Home

We are here to help

We will be there for you through every stage of the buying process, to make it as straight forward and stress free as possible. The more you know in advance the less surprises there will be later on so we have put together a guide to help you.
Be Prepared


When looking to buy a property in Spain, don't forget to include the purchase fees in your budget. As a rule of thumb these will cost around 13% of the property price and cover the following things:


Property Purchase Tax - 10%


When purchasing a Resale or New Build property the buyer is required to pay the relevant 10% property tax. This is usually payable on completion but for New Build properties may be included as part of the structured payment plan agreed by both parties.

Notary Fees


A legal representative of the Spanish government, the Notary will register you as the rightful owner of a property in Spain’s Land Registry. They will witness the signing of the deeds (Escritura) by the buyer and vendor, and ensure all associated payments and taxes are paid.


Land Registry Fees


To register the property at the relevant Land Registry


Plus Valia


Tax levied by the local Town Hall in accordance with Spanish Law. The vendor is usually liable to pay this Tax, however on new properties this is paid by the purchaser.


Stamp Duty - Actos Jurídiccos Documentados


Payable when purchasing a New Build Property - around 1%


Once you have found the home of your dreams and a price has been agreed it is important to reserve the property. This is done by paying a  deposit (Señal de Reserva), usually between 3,000 - 5,000 Euros. Once this deposit has been paid, the property is taken off the market and the price is frozen for a specified period of time.


It is very important to remember that this deposit is usually non-refundable. In other words, if you do not exercise the purchase within the period of time established in the Reservation Contract the seller is under no obligation to return your money.   Unless the seller backs out of the deal for whatever reason OR there is a legal reason why the property cannot be sold.


At this stage we would recommend contacting a solicitor to assist you through the legal aspects of purchasing a property. We can recommend a solicitor to you, or alternatively you can appoint your own.
NIE Number


To buy a property in Spain you MUST obtain a fiscal identification number, known as an NIE and open a local bank account in Spain. This will need to be done before the completion date with the Notary. Your lawyer will be able to help you with both of these things.
EXHANGE OF CONTRACT (Contrato Privado de Compraventa)


Your solicitor will undertake a number of checks on the property to ensure everything is legal and above board. Once happy a contract will be drawn up which will state a date of completion plus any payment schedules that may take place.


Completion can take place very quickly, anywhere between 4 - 6 weeks but if you wish that to be longer then it is usually possible, with the agreement of the seller. It is usual in these instances to make a further payment of around 10% of the purchase price as security.


The property will legally become yours once the Sales Contract (Escritura de CompraVenta) is signed by yourself and the seller in the presence of the Notary. On the day of signing, it is usual for both parties to be present at the Notary with their solicitors, along with one of our representative. It is here also that the remaining balance of payments will be made.


If it is not possible for you to be present at this final appointment you will need to notify your lawyer in advance so that you may grant them the power to act on your behalf.
OTHER EXPENSES (Contrato Privado de Compraventa)


Other costs that you should bear in mind when considering a property purchase in Spain are as follows:


• Bank fees & Mortgages fees
• Legal fees for making a will in Spain
• Connection charges for water, electricity & telephone
• Insurance of your property and its contents
• Fiscal advice and representation
• Community Fees