15 Aug

Guide to buying a house in Spain

Would you like to buy a house in Spain to enjoy the sun, the sea and the gastronomy? Spain is one of the favorite destinations for the French to invest in a home, either to spend the holidays or to live after retirement. But, do you know what the process of buying a house in Spain is like? What requirements and documents do you need? What taxes and expenses must you pay? What areas are the most recommended? In this guide to buying a house in Spain you will find all the information you need.

Buying a house in Spain: requirements and documents

Buying a house in Spain is not very different from doing it in France, but there are some aspects that you should take into account.

• The first thing you need is to obtain a Foreign Identification Number (NIE) , which is a document that identifies you as a foreign citizen in Spain. You can request it at the Spanish embassy or consulate in your country, or at the police station closest to your future home. The NIE is essential to carry out any economic or legal operation in Spain, such as opening a bank account, contracting services or paying taxes.
• Another requirement that you must meet is to open a bank account in Spain, where you can deposit the money necessary to buy the house and pay the associated expenses and taxes. It is convenient that you look for a bank that offers services in French, and that you compare the conditions and commissions of each entity. You can also apply for a home loan if you don't have all the equity to buy the house for cash. In this case, you must submit a series of documents that prove your economic solvency, such as payslips, income statements, bank statements, etc.

In addition, before buying a house in Spain, you must make sure that the property is free of encumbrances and up to date with the payments of taxes and services. To do this, you must request the following documents from the seller or real estate:

• The certificate of ownership and encumbrances , which is obtained from the Land Registry and indicates who is the legal owner of the home and if it has a mortgage or embargo.
• The energy efficiency certificate , which is mandatory to sell or rent a home and which shows the level of energy consumption of the property.
• The receipt of the Real Estate Tax (IBI) , which is the equivalent of the local property tax and is paid annually to the town hall.
• The certificate of the community of owners , which certifies that the seller is up to date with the payments of the community fees and that there are no outstanding payments.

Once you have all these documents and have chosen the house you want to buy, you must sign a private sales contract with the seller or real estate agency, where the conditions of the operation are established, such as the price, the method of payment, the date delivery etc At this time you will have to pay a down payment, which is usually between 10% and 20% of the total price. This signal serves to reserve the house and guarantee the commitment between the parties. If the seller repents, he must return double the deposit; if you back out, you'll lose the signal.

Finally, the last step to buy a house in Spain is to go to the notary to sign the public deed of sale , which is the document that grants you legal ownership of the home. At this time you must pay the rest of the agreed price, as well as the taxes and expenses derived from the purchase. These are:

• The Property Transfer Tax (ITP) , which is applied to second-hand homes and which varies depending on the autonomous community, but usually ranges between 6% and 10% of the sale price.
• The Value Added Tax (VAT) , which is applied to new homes and is 10% in most cases, except for officially protected homes, which have a reduced VAT of 4%.
• The Tax on Documented Legal Acts (AJD) , which is paid together with VAT and which is levied on the formalization of the public deed. Its amount also depends on the autonomous community, but it is usually between 0.5% and 1.5% of the sale price.
• Notary expenses , which are the fees charged by the notary for drafting and authorizing the public deed. They are calculated based on a fixed rate set by the government, but can vary depending on the complexity of the document and the number of copies requested. They are usually around 0.5% to 1% of the sale price.
• Registration expenses , which are those paid to the Property Registry for registering the public deed and publicizing the transfer of property. They are also governed by a fixed fee and are usually between 0.3% and 0.5% of the sale price.
• Management expenses , which are those charged by a company or professional in charge of processing all the documents and taxes related to the purchase. They are not required, but they can make the process much easier for you. Its cost is usually between 200 and 400 euros.

As you can see, buying a house in Spain implies a series of requirements, documents, taxes and expenses that you must know and take into account. But don't worry, because you are not alone in this adventure. At Agence Occitane we help you choose the best area of Spain according to your needs and we accompany you throughout the purchase process , from the search for the property to the signing of the deed. We have the collaboration of a bilingual French notary and an expert in the legislation of both countries, who will advise you and answer all your questions.

We help you choose the most suitable area to buy a house in Spain

Now that you know how to buy a house in Spain, do you know where you want to do it? Spain is a very diverse country with many options for all tastes and budgets. From big cities like Madrid, to the paradisiacal beaches of the Spanish Mediterranean Coast . At Agence Occitane we have houses for sale in Spain in the best areas:

• Costa Blanca , the coast of Alicante, where you will find a wide range of leisure, services and activities.
• Costa Cálida , the coast of Murcia. Here you can bathe in the Mar Menor, a salty lagoon separated from the Mediterranean Sea by La Manga del Mar Menor, a 22-kilometre strip of sand that offers ideal conditions for practicing water sports.
• Costa del Sol , the coast of Malaga, where you can live the authentic Mediterranean lifestyle, with its white villages, its golf courses, its beach bars and its festivals.
• Madrid , the capital of Spain, where you can enjoy a vibrant, modern and cultural city, with a wide range of museums, theaters, restaurants and shops.

Buying a house in Spain with Agence Occitane

If you are interested in buying a house in Spain and you want to do it with all possible guarantees and facilities, it is best to have the help of Agence Occitane.

We are a real estate agency specialized in the Spanish market. At Agence Occitane we make it easy for you and we accompany you every step of the way. If you want to fulfill your dream of buying a house in Spain, do not hesitate and contact us.

• EMAIL: info@inmobiliereoccitaneespagne.com
• Telephone: +33 09 80 61 62 27
• WhatsApp: +33 07 67 53 84 14
• Agency: 61 Allée de Bellefontaine, 31100 Toulouse - France.

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