What Must You Know To Buy Your Property?

 

As you may have many questions and doubts to sort out, the first thing we will do is to provide all the information of your future property:

Building project, copy of the building permit and bank guarantees for your step payments.

General arrangement drawing, home drawings, and basement drawings, in case you acquire parking spot or storage room.

Building specifications.

Completion dates of the construction.

Price of the property, payment terms and taxes to be paid.

Handover date.

We will provide in advance a draft with the model of the contract so that you know what you are going to sign when the time comes.

 

What do you need?

 

NIE (Spanish Identity Number of Foreigner). You have to have this for the property purchase! The NIE is a personal, unique and exclusive number that all the foreigners (including the EU citizens) who have the intention of living or possessing a property in Spain must have, for identification purposes.

Passport or identity card of their home country (with the aim of carrying out the reservation).

Opening a bank account in Spain. It is not compulsory, but it is very advisable, as it will help you to speed up all the procedures and pay utility bills.

 

What expenses and taxes, to be paid?

 

Notary: in the case of the granting of public purchase deed, the prices are between 600 and 1000 euros, depending on the property price.

Property Registry: to register the property also costs money that depends directly on the property price, although they are usually between 500 and 800 euros.

Taxes: as it is a new construction property, the most important tax is the VAT (10%). You will also have to pay a second tax: the tax of Documented Legal Acts (IAJD in Spanish).

 

Is it your dream home?

 

Congratulations! Now, the easiest part.

1st Reservation contract: Now it is the moment to ensure the reservation until the signing of the purchase contract.

For this you need to pay a deposit in concept of guarantee (“arras”).

This deposit is usually a small quantity (between 3.000 and 6.000 euros), which is to ensure the purchase as well as to freeze the price.

This quantity is paid generally by means of a credit card or bank transfer.

2nd Purchase contract: After an approximate period of 30 days after the reservation it is time to sign the private purchase contract. In this moment, you will have to make a first payment of usually 20% of the property price. 

The rest will be fixed according to an agreed payments calendar, with the break-down of the taxes and terms of payment.

 

You are nearly home!

 

Before signing the property deed, we will go with you to visit the property, so that you can check that your home is, in compliance with all the conditions established in the contract (home metres, layout and other essential questions) and your chosen tile pattern, kitchen colour, etc. is as you requested.

Finally, when all the works are finished, we will explain how the home equipment works (air conditioning, electricity system…)

 

The home is yours!

 

The last step will be to formalize the deed before the notary.

In this appointment, the identification data of the parts that intervene in the property buying and selling will be specified.

Thus, the notary, apart from certifying and reading us the text of the deed, will check that the property abides by the regulations demanded by the law (First Occupation License or Statement of compliance of first Occupation), according to the area where the acquired property is) and will verify the Building Logbook (a detailed compilation that collects all the construction project milestones).

Once everything is agreed, the signing of the property deed and Handover of the keys will take place.

Finally, your lawyers will have to register the deed in the Property Registry, as well as satisfying all the proper taxes for it.

This public declaration guarantees you as the property owner.