Many Europeans now embrace the concept of buying a home in a different country. With a drop in the cost of air fares, interest rates in Europe becoming lower, and the property itself offering capital growth, countries like Spain have become more tempting to potential buyers. Spain offers short air travel time, excellent sunshine and plenty of potential growth. buying in Spain may have gotten some bad press recently, but it can be safe if you follow some basic rules. The following is a fundamental guide for those interested in purchasing real estate in Spain:
- When considering purchasing property first look to arrange your finances.
An spanish mortgage can steer you through the complex procedure - Take expert legal advice before you sign on any dotted lines.
- To save yourself from becoming financially strapped, you should spend wisely and frugally.
- Be prepared for time deadlines to be stretched.
- Wait until you have the funding in place before committing yourself to a private purchase contract.
- Be aware that the procedure for buying in Spain has its own idiosyncrasies and don’t assume that it will be the same as it is in other markets.
- Fully understand the way taxes are accrued based on the specific ownership structure that you choose.
Before you make any purchases, it would be wise for you to approach the situation with a list of questions that for your Spanish Lawver. There have been many instances where international buyers have been unable to get the results they seek because they didn’t know what questions to ask. Before you sign on any dotted line, then, you should consider the following questions
- Is the site where the property is located listed as urban or rustic? What are the implications of purchasing on land that turns out to be rustic?
- What costs will need to be taken into account, such as typical attorney’s fees and taxes?
- Are there any licenses in place, such as building licenses or first licenses of occupancy?
- If the property is under a decade old, does it include a 10 year building warranty?
- Is this purchase being bought direct or as part of a cessation of contract?
- In this specific purchase, will any be under declaration?
- Are there any additional costs that you will be responsible for, like capital gains, inheritance, wealth taxes or income taxes?
- Do any deposits need to be paid? At which stage of the transaction are they deemed nonrefundable?
- What other attorney fees and additional legal expenses will be incurred?
