Good Advice when Purchasing Property in Spain

Many UK and North European citizens are finding the idea of purchasing abroad more attractive and achievable. Because these properties offer a good level of capital growth, lower airfares and low European interest rates have made buying in countries like Spain more attractive. The country of Spain provides the advantage of brief air travel, plentiful sunshine and a thriving economy. If you’re willing to disregard bad press and follow some basic rules it can be very safe to buy in Spain. The following is a fundamental guide for those interested in buying real estate in Spain:

• Get your finances together before you do anything else.
  An spanish mortgage can steer you through the complex process


• It is important that you obtain professional help before venturing into any unfamiliar legal territory.
  


• Avoid overstretching yourself financially.
• Be ready in case deadlines are protracted.
  
• Don’t trap yourself into a contract until you have money ready.
  
• Be aware that the procedure for purchasing in Spain has its own idiosyncrasies and don’t assume that it will be the same as it is in other markets.
• Make sure you completely comprehend how taxes are incurred depending on the type of ownership status you select If you don?t seek specialist advice

Foreign buyers can run into trouble when engaging in local business transactions, finding that they do not get the results they expected or wanted. Misunderstandings arise because the buyers failed to do their homework, or at least to ask the correct preliminary questions. Before signing on the dotted line you should get answers to some of the following:

• Is the property’s land pastoral or urban? What are the implications of purchasing on land that turns out to be rustic?


• What costs will have to be accounted for, including standard legal costs and tax costs?


• Are licenses already in place, for instance property contracts or first liens of residency?


• If the building is less than ten years old, is there a 10year building warranty in place?


• Is this a result of a foreclosure or direct sale?


• In this specific purchase, will any be under declaration?


• Be sure to ask what extra costs you might be liable for, such as taxes on capital gains, inheritance taxes or income tax.


• Do any deposits need to be paid? At what point in the process are they considered nonrefundable?


• What other attorney fees and additional legal expenses will be incurred?