Conveyancing

Property investment

After a preliminary meeting, we will take note of your property plans and focus on each of your needs. For our lawyers, it is essential to communicate well with clients.

Our property investment advice also includes tax advice, property registration, acquisition services, drafting of contracts and obtaining permits for the property. Should the purchaser require a NIE, we will also be able to help with this.

Our legal advisers at Piñera del Olmo recommend that international clients request information regarding NIEs and visas. Our office includes lawyers who specialise in the NIE and visa application processes. There are multiple visa options, with some specific to property investors.

Your Guide to Buying a Property in Spain

• Prior to any down-payment, the buyer should obtain a nota simple from the Property Registry. This should tell you that the property is as described by the seller and that it is registered and belonging to the seller.
• Mortgage: If you are looking to get a mortgage for your new property, it is essential to consider this as early as possible and apply for it soon. Part two of the mortgage preparation will be carried out at a later stage. This will be after the pre-agreement, when an appraiser will be used by the bank to verify your status for a loan. The appraiser (tasador) will need to view the property, assess the value and the structural integrity. There will usually be a cost for this to be carried out.
• Pre-agreement: This is an agreement between the buyer and seller, to state in writing that the seller is intending to carry out the transfer of property to the buyer, and that the buyer is going to purchase the property, following the pre-agreed conditions and costs. In Spain, this type of contract is known as a “contrato de arras”, or an “arras contract”.

This type of agreement gives reassurance to both the buyer and seller, as a price (usually 10%) is paid as a guarantee on the property. Should the buyer back out of the purchase, they lose this 10% payment, and should the seller back out, they must pay the buyer double the original payment (so 20% of the purchase price).

Closing the deal

• Notarial stage: The closing. This part of the deal involves a notary, who will approve the transfer of deeds, with the agreement of both the buyer and seller. For this to be carried out, both parties must be present (with proof of identity) to sign, or, a power of attorney may be used. At this stage of the process, the buyer, seller and notary sign the documents to certify the deed.
• Final stages: It is important that at the end of your process, you ensure that the property is correctly registered, that all taxes have been paid and costs have been settled. It is important to remember that annually, you must pay property tax on the property.

How do I register my property in Spain?

This is completed locally, in your nearest property registration office, in order to guarantee that your rights to the property are fully protected. The office which you must visit to do so is stated on your property deeds, or the ones corresponding to the previous owner.

Disclaimer: This information in this article is not definitive, for up to date legal advice which is relevant to your case, please contact our lawyers directly.