Important. You will need both of these to buy property in Spain:

A foreign national will need a NIE number (a national identification number) and a Spanish bank account to buy a property in Spain.


Apart from the value of the property, are there any hidden costs?
• A 7% tax of the total property value as declared in the deed is payable, if it’s a used property it will be named Impuesto de transmisiones patrimoniales, if it’s a new property it’s named IVA.
• Public Notary Fees - equivalent to 1% of the cost of purchase.
• Legal Fees - Between 1% and 2% of the total cost of purchase.

Do I need to appoint a solicitor to assists me when buying in Spain?
It is recommended you appoint a solicitor, they will advise you and look after your personal interests. We can recommend an English speaking Spanish lawyer who works in conjunction with us, if you were to appoint your own solicitor, please make sure they have good knowledge of the Spanish legal system and the language.

Simple steps in the buying process:
1) Find a good agent/property locator who deals in the area where you want to buy, who speaks the language and can guide you through the buying process. Also an English speaking lawyer.
2) Find the property you want.
3) Your property locator will deal the best price for you.
4) Open a Spanish bank account.
5) Obtain a NIE, a Spanish identity number needed to buy property in Spain.
6) Deposit needed to secure property.
7) Sign a private contract with seller.
8) Exchange of contracts

What happens on exchange of contracts day?
You and your solicitor will go to a public notary office to sign the deeds, you will have to pay any outstanding balances of money as well as the notario fees which is around 1% of the cost of purchase.

What is a public notary or notario?
The notario certifies the authenticity of deeds and documents that are intended to be public documents. All property deeds have to be signed before a notario for it to be valid.

Do I need to understand what is being said before a public notary on exchange day?
The public title deeds will be signed before a public notary, who will read out the deed before the signees, the buyer/seller will need to understand what is being read out by the notary, if this is not the case the notary will not authorise the purchase of the property. If this is the case, an official translator or English speaking lawyer will need to be present, or grant power of attorney to someone to sign the deed, this power will be issued in the Spanish consulate in London. The power of attorney will need to specify the property, its borders, licence and price.

If I am getting a Spanish mortgage, will a representative of the bank be present when signing the deeds?
If you are getting a mortgage, the deeds must be signed before a representative of the bank as a guarantee that the money is being used to buy a property.

What happens after signing the property title deeds (escritura)?
Once you sign the deed before a notary you will become the official owner of the property and you will be given the keys and a copy of the title. The notary will deposit the original deeds in the local Property Registry, the deed will remain in the registry for a month before you receive them.

If you have any doubts please let us know, write to us at _CLOAKING