Points to consider when buying a house in the south of Spain
Once you have decided to buy your own property in the south of Spain, it is important to know what to expect. If you are well prepared, you can avoid potential pitfalls whilst you are setting up your new life in Spain.
Where to look for a property in Spain
There are many websites and real estate agents which cater to foreign buyers in almost any language. It is important, however, to look for a reputable agency that can provide you with honest advice and guide you through the process in a professional and efficient manner.
Hiperprop is a well established real estate agency with over 25 years of experience in the Spanish property market. We sell all types of property in the Costa del Sol region and have a multilingual team with extensive experience selling to a wide range of nationalities. We can also recommend a number of independent and experienced lawyers to help you through the transaction.
Our extensive property portfolio includes a wide range of properties which means we are well equipped to find the right property for you.
Can I buy a property in Spain as a foreigner?
There are no restrictions for foreign buyers on purchasing a property in Spain. A foreigner may buy any type of property, whether commercial, residential or land.
It is not necessary to be a resident in Spain either. This means that you can purchase a property before moving to Spain.
The Spanish government encourages foreigners to invest in Spanish property by making it quite simple; all you need to do is acquire a tax number from a police station.
Why is it better to buy through an estate agent?
In Spain the real estate agency fees are typically paid by the seller of the property.
This means that there is no financial disadvantage for a prospective buyer in using one. The estate agent can answer your questions about the area you are interested in and help you find the property that might suit you best.
Spain has long been the popular choice for foreign buyers. There is, however, an important point to consider. The Spanish government offers no protection from acquiring an illegally built property or one that is not up to building standards. For that reason, it is quite crucial to make sure you are given all the information you need from a reliable source. At Hiperprop, we vet all our properties and make all the necessary checks before putting them on the market.
Should I use a lawyer to buy a property in Spain?
It is always advisable for a foreign buyer to seek the help of an experienced lawyer. Most people would not dream of buying a home in their own countries without getting some legal advice. The same rule applies here. A lawyer will help you understand the fine print in the contract as well as provide you with information about necessary documents and payable fees. It is important, however, to find a reputable lawyer who understands your specific needs as a foreign buyer.
Capital gains tax in Spain.
The capital gains tax in Spain is between 21 and 27 percent. Some sellers might want to declare a lower purchase price on paper with a view to reducing their capital gains tax. This should be avoided as it can cause legal problems in the future and you might have to pay higher taxes later on if you plan to sell your property. Our team at Hiperprop can help you navigate such issues.
What is the process of buying a property in Spain?
Before buying any property you should discuss your needs with your real estate agent and/or mortgage provider. Once you have a clear idea of your budget, and after discussing your preferences with your estate agent, you should be presented with a list of suitable properties. The estate agent should then advise you on the best properties, create a shortlist and arrange viewings.
After you have decided on a property, you can make an offer. If your offer is accepted, both you and the vendor will sign a preliminary contract and you will need to pay a deposit (which usually amounts to 10 percent of the purchase price).
When your mortgage is approved, you sign a contract of sale in front of a notary. At this point, the sale price, taxes and fees become due.
At Hiperprop we make every effort to provide our clients with all the information they need to make an informed decision. We will help and guide you through every step of the process. Our goal is to provide you with the best possible experience in buying your Spanish property.