Would you like to have a home in Spain, the land of sun, beach, and paella? In this blog, we will tell you everything you need to know to buy a property in Spain as a non-resident, especially if you are looking for a property on the Costa Blanca or Costa Cálida, two of the most beautiful and charming areas in Spain.
The NIE (Número de Identidad de Extranjero) is an essential document to buy a property in Spain. You can apply for it in Spain, at the police station, or in your home country, at the Spanish consulate or embassy.
To buy a property in Spain, you will need a bank account with a Spanish bank, from which you can make payments and receive funds related to the transaction. To open a bank account in Spain, you will need your NIE, passport, a certificate of non-tax residency in Spain, proof of income, and proof of address.
Once you have found the property you are interested in, you will need to negotiate the price and conditions of the sale with the seller. It is advisable to research the actual value of the property, visit it, and check its condition, location, services, and features. If an agreement is reached, you will need to sign a reservation or earnest money contract, which we will explain later.
If you need financing to buy the property, you will need to find a mortgage that suits your needs and financial capacity. You can consult with several banks and compare the conditions they offer, such as interest rates, term, fees, linked products, etc. You can also hire a financial intermediary to help you find the best option.
The reservation or earnest money contract is a private document signed between the buyer and the seller, agreeing on the sale price and a sum of money as a deposit or guarantee. This contract aims to reserve the property, commit the parties to the sale, and establish consequences in case of non-compliance. The reservation or earnest money contract should include the parties' details, property description, sale price, deadline for formalizing the public deed, and the type of earnest money.
The official valuation is a report carried out by an appraiser approved by the Bank of Spain, determining the real value of the property. The official valuation is mandatory to apply for a mortgage, as the bank relies on it to grant the maximum financing amount. The official valuation is valid for 6 months, and its cost is usually between 200 and 500 euros, borne by the buyer.
To formalize the property purchase, you will need to gather a series of documents proving your identity, solvency, and the property's legality. These documents include:
The public deed is the document formalizing the property purchase and is signed before a notary, a public official who attests to the truth and legality of the transaction.
The notary will review all documents, verify that the property is free of charges and encumbrances, and read the public deed aloud. If you agree with the content, you must sign it along with the seller and the bank, if there is a mortgage. The notary will give you a copy of the public deed, which you should keep as proof of the purchase.
Buying a property in Spain involves paying a series of taxes and expenses, which must be paid within 30 days from signing the public deed. These taxes and expenses include:
In total, taxes and expenses for buying a property in Spain can amount to between 10% and 15% of the sale price, depending on various factors. Therefore, it is recommended to budget enough to cover these payments and thoroughly research the conditions and deadlines for each of them.
Once you have paid the taxes and expenses, you can enjoy your new property in Spain. To do so, you will need to complete some procedures, such as changing the ownership of utilities, getting home insurance, registering with the municipality, applying for a health card, etc. You can also decorate, furnish, renovate, or rent your property according to your preferences and needs.
At Global Spain, we offer you a comprehensive, personalized, and transparent service that simplifies the search, negotiation, financing, formalization, and enjoyment of your property on the Costa Blanca or Costa Cálida.
Our real estate agents are professionals with extensive experience and knowledge of the market, the area, and the legislation. We accompany you throughout the process, from applying for the NIE to paying taxes and expenses. We address any questions or concerns you may have before, during, and after the purchase.
Additionally, we speak your language. Our team is proficient in English, Dutch, French, and Spanish, ensuring that you feel completely comfortable and understood throughout the process.
Don't let buying a property in Spain become a problem. Let our real estate agents in Spain take care of everything, and enjoy your new life under the sun. Contact Global Spain today and start making your dream come true. We're waiting for you!