INVESTING IN SPAIN: FIVE POINTS TO BEAR IN MIND.

The process of conveyancing, buying a property, in Spain is not a complicated process, but there are some points that the buyer must bear in mind, so as to be pretty sure that such process is duly delivered; in this article, we are going to detail some aspects that it is necessary to take into an account:


1. Pre-contract:

Once the buyer has decided the property that it is interested in, It is very usual in Spain to sign a pre-agreement, so as to make a reservation of the property.

According to such pre-agreement, the buyer gives a certain amount of money to the seller (usually transferred to the bank account of the real estate agency), so as to state his interest in the property, being necessary also, according to this pre-agreement, to transfer the rest of the amount to the seller in a certain period of time.

In this stage, the seller will show to the buyer all the files and documents that the buyer demands, so as to make a warranty of the transparency of the property and the operation also.


2. Public deed before the notary:

Later, once the buyer has decided to buy the property (being acquired the fully knowledge of the real situation and legal state of it), both parties (the buyer and the seller) will be appointed to sign the public deed of acquisition of the property before the public notary (Important: it is a right of the buyer to choose the notary).


3. Payment of taxes:

Besides, the next stage is the duly and mandatory payment of all the taxes involved in the process, that must be paid in the term legally noticed, so as to avoid any penalties and damages, in the contrary (IBI, ITPYAJD, IIVTNU, etc.).


4. The Land Registry:

In Spain, even though it is not mandatory, it is very usual to write the public deed of acquisition of the property before the Land Registry, so as to make proof against all that the buyer is the real owner of the property.


5. Payment of common expenses:

Finally, once the buyer is the real owner of the property, it will have to notice such situation of actual owner to the residents' association. Such notice will arise to the owner the right to participate on the annual meetings of the association, as well as it will have to make monthly payments so as to contribute to the common expenses of the residents' association.

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📭  jorge@gonzalezluna.es