How to buy your home
 
To buy a property in Spain you should take the following steps.

1. On our website you can find different types of properties that best fit your desires, and if not found, you can email us your requests.

2. After selecting the property, ensure that the property has the following documents:

- Title Deed (Deed of sale) with a mark of registration from the land registry, in other words - proof of ownership of the property and which contains detailed information on their characteristics.

- Nota Simple, an extract of the public record of the property, confirming that at present this property in Spain really belongs to the seller and that it has no debts.

- Receipt of annual payment of the rates (IBI or Suma), which also indicates the reference number and its ratable value. Ratable value is an important element, because later on this basis, estimates the amount of certain taxes.
  
If the buyer wants to buy property in Spain with a mortgage, you must provide the documentation required to apply for a loan, and then take to the bank for review.

3. After checking the documents, prepare a private purchase contract, specifying the intentions of the parties as stipulated in the price, payment terms, deadlines and other conditions. By signing a contract with the seller, with the participation of a real estate agency and / or the buyer's lawyer, who the deposit is paid to. If you purchase a resale property, then the deposit is usually 10% of the total transaction price although the agreement of the parties may be different. Payment by bank check or cash. If in the future for any reason, the buyer waives the transaction, then the specified deposit is held in favor of the seller. On the contrary, in case of default of the latter the Seller shall pay the buyer a double punishment.

In the purchase of apartments or properties that are new build, including those under construction, the company-seller can offer several payment options. This can be a down payment upon signing the contract to the amount of 25-30% of the total value of the property and final payment to the notary to sign the Escritura (deed). Or payment can be divided into several stages. This option corresponds to the houses under construction.

4. Before the execution of the sales transaction to the buyer at the notary's office you will need a foreign identification number - NIE, which needs to be included in the deed. The NIE number is for the tax authorities to exercise control over the payment of foreign tax relating to real estate. Therefore, the notary must verify the number of the buyer, and enter this into the deeds. Application of the NIE is made in the National Police units, called Immigration (This step is only for non-residents in Spain).
 
5. The buyer becomes the owner after the signing of the deeds of sale in the presence of a Spanish notary.
At the time of the signing of the Deed at the Notary, the buyer makes the final payment of the total price stipulated, ie pay the remaining 90% (or the remaining amount agreed) of the purchase price in the resale market or the balance of the purchase of a new building. The payment is usually made by check. At the end of the transaction, the buyer receives a copy of the deeds (Copia Simple) and becomes the new owner of the property. Immediately after the completion of the transaction, the notary sends the information to the land registry for registration.

If someone wants to buy a property in Spain with a mortgage, a third of the operation is done through the bank. The buyer opens an account with this bank and carries out an initial payment in accordance with the terms of the loan. Then, in the notary's office, the buyer also signs a contract with the bank on home loans. At this point, the final payment is made with a bank representative.

6. Following this acquisition, the property must be registered in the name of the purchaser of the property in the land Register. The enrollment process usually takes 1-3 months after completion of the purchase; this eventually establishes the right of the property and receives a copy of the deeds with the registration mark.

7. In the course of the operation you should pay some taxes and fees if the purchase is buying a resale property, the buyer pays the taxes associated with the transfer of ownership of property which is 7% of the declared purchase price that is specified in the invoice, as well as the registration fee of the property acquired in the land registry, The buyer pays the notary fees etc. and the municipal taxes (capital gains) associated with an increase in land values ​​is for the seller to pay.
 
Expenses in buying a home

- Notary fees - paid by a special scale, progressive, depending on the value of the property.

  - Fee for registration of the property, paid by a special scale, progressive, depending on the value of the property.

- When buying in the primary market (new building): VAT.
The rate is set at the national level: 8% of the value of goods specified in the Deed of Sale - for citizens, 16% - for legal persons and entrepreneurs and 18% for the garages. Always paid by the buyer, even with a mortgage.

    - When buying on the secondary market (resale): the tax on transfer of property rights (ITP) rate set by local authorities at regional level (for example, in Valencia - 7% of the value of the sale).

- Tax on documented legal acts (I. AJ. D.)
  Usually 0.1 to 1% of the value of the property specified in the sale of the deeds.

- Capital Gains Tax.
The rate is set by local authorities at provincial level and is calculated on the basis of the assessed value of land and the number of years, the last possession. Normally, paid by the seller.

The cost of the acquisition, excluding mortgage loans of up to 10% of the value of the property, these expenses increased by 13% if you need a mortgage.

Mortgage loans

To apply for a mortgage loan you require the following documentation:

• Photocopy of passport
• Photocopy of employment contract
• Photocopy of the last three month wage slips
• Tax return
• Latest movements from your Bank Accounts
 
Cost of Maintaining a home

Every month there are various expenses, such as water and electricity costs. The payment of water supply is paid every three months, the service fee more or less amounts to about 30.61 euros / quarter. The amount varies if you are using the house. You must also pay the electricity, you pay every month, the amount is about 30 euros a month if you do not live at home, and varies the amount if you are using the home.
There maybe several other expenses to pay for, Internet, phone, community, etc..
 
Each year you must pay the IBI tax (suma) which is paid from August to October. The amount is calculated on the ratable value of each property.