The rise in prices for Spanish real estate began long before the coronavirus pandemic, but by that time they had not yet overcome the crisis mark of 2008. Despite the current situation, foreigners can all buy real estate in Spain, but it is worth remembering the correctness of the transaction. The official website https://spain-real.estate/ prepared a few tips for foreign buyers of real estate that will definitely help in the process of buying and selling.
What is important to know before buying real estate in Spain
- Foreigners can buy real estate without restrictions;
- Purchase process takes about three months;
- Additional costs associated with registration: 12-15% of the cost of real estate without a mortgage – 14-19% with a mortgage;
- To organize a competent and safe transaction, it is better to hire an agent. This will help to avoid problems in the future;
- When buying one or more real estate objects worth at least EUR 500,000, the buyer has the right to obtain a resident visa and a residence permit.
Important tips for foreign home buyers
1. Open a bank account
A Spanish bank account will help facilitate transactions and reduce all associated costs.
When adding more than EUR 10,000 in cash to the account, the money must be declared at customs if it was imported into Spain from abroad. The declaration confirms the legal receipt of money.
2. Get an identification number
NIE is a special taxpayer identification number required for any type of financial or legal activity, without which it is impossible to buy real estate in Spain. You can get the document at the Spanish consulate.
3. Pay attention to the individual characteristics of real estate
The type of real estate, its location, specific characteristics, the novelty of repairs, materials used in construction – all this affects the quality of real estate, its price and liquidity (if you plan to use it as a source of income).
4. Enter into a preliminary purchase agreement
After you have found a suitable property for sale in Spain, contact the seller and discuss the terms of the transaction. After that, it is important to sign a preliminary and make a deposit in order to secure a specific property for you. There is no minimum clearly defined deposit amount, but usually about 10% of the cost of housing is paid.
5. Take out a mortgage
In Spain, mortgage loans are obtained for up to 30 years at 2.5% per annum. To get a loan, the bank will need the applicant’s passport, NIE, a preliminary purchase and sale agreement, a tax return and bank statements from their native country.
6. Sign a final agreement
If everything went well, the buyer and seller sign the contract of sale in the presence of a notary. The notary also certifies and issues copies of documents.
The buyer transfers the remaining amount to the seller’s account and receives the original contract of sale no more than three months after the transaction.
7. Register a property
The registration procedure takes about three months. Then the buyer receives an extract from the register.
Our assistance of buying a property in Spain
The best property offers in Spain can be found on Spain-Real.Estate. There are lots of real estate options in different parts of Spain, detailed photos, descriptions and prices, as well as specialists with extensive experience in the Spanish housing sector.
