Buying a Property in Spain
Once you find a property you need to enter into negotiations with the owner regarding the price, terms and conditions of sale which is a non binding process.
We, from Properties Marbella, will help you already in this early stage, especially if you do not speak Spanish.
If the seller accepted your offer you need to put down a holding or reserve deposit which is normally 10% of the purchase price. The owner will then take the property off the market. A solicitor should get now involved to handle the finacial transfer and the relevant legal checks being carried out. A time will be set within which the pre-sale agreement should be signed.
Included within this contract there is normally an arras clause. Should the seller decide to withdraw from the sale you are entitled to twice your deposit as compensation. Should you decide to withdraw your deposit is lost.
Of course, the buyer and seller may choose another type of agreement if they prefer.
Prior to entering the contract, the following checks will need to be carried out:
(a) Check on planning status.
(b) Check on title and whether the property has a mortgage or is being sold free of debt.
Prior to completion non Spanish buyers will need a Spanish tax number or NIE.
On the completion date the balance of the purchase price (sales price minus deposit) and any fees payable by the buyer must be paid.
The seller and buyer then sign the Escritura de compraventa contract, which is equivalent to the title deeds of the property.
The buyer is then issued with the public deed of conveyance (escritura) in front of a Notary Public, who certifies the transfer, and a copy will be passed to the tax office and on to the property registry.
The Notary Public in Spain is a public official who will be required to witness the deed of sale.