Property Buying Procedure

The Buying Process

Once you have decided on the ideal property that you would like to buy, the first thing to do is to place a reservation deposit with your agent. This will secure the property at an agreed fixed price and immediately take it off the market. This deposit is usually between €3000 and €6000 and can be paid by credit card or cash.

The next very important step is to appoint a Spanish lawyer who is fluent in your language to act on your behalf and to guide you through the proper procedures. The lawyer will outline the services that he provides and give you a breakdown of all the costs involved. It is often advisable to grant your lawyer a Power of Attorney to carry out the relevent searches and undertake any financial transactions in your absence. A visit to the Public Notary is necessary to do this but it will save much time and expense in the future.

You will now have an agreed period of between 20-30 days to arrange the balance of the 10% deposit and proceed to the Private Purchase Contract.

During this time your lawyer will check the title deed or “ Escritura” of the property along with the land registry details and other relevent documentation. Once satisfied that all the paperwork is correct he will draw up the private purchase contract for signing by both parties and pay over the 10% to the vendor.

A further period of approximately 30 days is then allowed to finalise a mortgage if required and to prepare the Escritura de Compraventa (title deed) in your name.

On the day of the completion both the buyer and vendor (or their authorised representatives) will attend the notary’s office to verify the terms agreed and sign the Escritura in front of the notary. The property is now legally yours!

Your lawyer now has to arrange the payment of notary fees, transfer taxes, etc and will contact the land registry office to confirm you as the new owner of the property.

You should calculate approximately 10% of the purchase price to cover the above legal requirements. If, however, you require a mortgage then this figure may rise to 12%.

Please note that this is only intended to be a brief outline of the buying process so if you have any further queries then please do not hesitate to contact us directly.