Our property legal and financial services are designed for the discerning client who wants solid advice from knowledgeable mature people with integrity and a commitment to a professional customer service.
AHOMEINSPAIN4U adheres to the key principles of simplicity, integrity, professionalism and transparency, we operate a no pressure policy and work on your behalf to find the right property or investment for your specific needs wherever you wish to purchase a property on the Costa Blanca South
When you choose a suitable property we will work with you through every step of the purchase process to ensure you fully understand everything. We will explain ALL of the costs associated with purchasing in Spain and, if you wish , we will represent you at the notary or accompany you to the notary on completion to provide you with a translation
We have a team of Spanish specialist to help with anything you might ever need, before, during and after your purchase and all issues will be handled efficiently in a manner you would expect from a professional real estate company that makes customer service their highest priority.
AHOMEINSPAIN4U can offer a complete currency transfer service, to or from Spain, a full building refurbishment/alteration service, a comprehensive range of insurance products and car sale/hire at highly competitive prices all designed to meet your needs.
For details of the services that we offer, or to buy or sell your house here in Spain, please contact us.
Apart from the actual cost of a property, you will need to allow approx. 14% of the purchase price, depending on the price of the property, whether it is new or a resale and whether a mortgage is needed or not, to cover the various fees and costs of acquiring a property.
IVA (VAT) on all property purchases is 10% of the contract price. (21% on land).
Legal Fees from 1% to 2% approximately, again depending on the price of the property, Notary and Land Registry Fees are approximately 1%, Title Deed Tax is 0.5% of the declared value.
Numero de Identificacion Fiscal (NIE)
Foreigner’s Identification Number. All non-residents require a NIE. You need to obtain this in person at the foreigners department at the National Police headquarters.We will assist you with the procedure. This number is required before the purchase of any property in Spain.
This is the first document you will sign and you will be expected to pay a deposit reserving the property. The contract acting as a receipt for monies paid with respect of the purchase. It is normally valid for 30 days to give our lawyers time to carry out the necessary searches but may be extended to up to 90 days in certain circumstances. (Be aware that according to Spanish law, this will be a non refundable deposit should you withdraw from the sale)
Legal Issues when buying a property in Spain
Our solicitor will take care and assist you in all the different steps involved in the transaction. There are many excellent English-speaking solicitors in Spain. Choosing the right solicitor is your guarantee that Spanish legal requirements are met, the property is registered in the vendor’s name and that it is free of any mortgages, charges, encumbrances, debts or other liabilities.
Public official appointed by the Spanish government to witness the signing of all legal public documents. They put on the public record the fact that the title deed recording the sale/purchase has been signed in their presence and understood by the parties concerned. When the Escritura (Deeds) is signed in front of the notary either the purchase price is handed over to the person selling the house or the seller confirms that the money has already been handed over (draft cheque or bank transfer). The original signed document is retained by the notary who will apply for a formal change in the land registry.
Urbanization and Community Fees
Controlled by the committee of owners and covering the running and maintenance costs of shared facilities which can include private roads, drains, lighting, private water supplies, gardens, swimming pools etc. This can be as little as 150 € per year or as high as 1000€ to 2000€.
Property Taxes in Spain
The local town hall charge IBI on owned Property (tax Impuesto sobre Bienes Inmuebles), which is an annual real estate tax. This local tax varies and is based on the Catastral value of the property.
Fire insurance is compulsory by law when taking out a mortgage. Comprehensive household insurance is available to protect your home and contents. Life insurance can be taken out to guarantee payment of the loan in the case of death.
The standard charge for a telephone line installation from Movistar is around 150 €. The line rental and call charges are then payable every month. However there are now various companies offering low cost calls and WiFi/ADSL.
Water and Electricity
Utilities have a standing charge and the charges for consumption are in addition to this and can only be paid by direct debit. The costs are similar to the UK and Ireland.
Tax on Rental Income
Britain and Ireland have a double taxation treaty with Spain. Tax is paid on the declared income from the property and your rental income must also be declared to the inspector of taxes in Britain or Ireland
Plus Valia tax, this is a tax on any increase in land value from the date it was last sold, this varies from region to region and is normally charged to the seller of the property but may have to be retained by the buyers solicitor to clear this tax.
Energy Performance Certificate
The Royal Decree on ‘Certification for Energy in Exisiting Building’, passed in Parliament on Firday 5th of April, has clarified and approved the Energy Efficiency certificate – Certificado de Eficiencia Energética (CEE).
The new law states that all properties for sale or rent must obtain the CEE from 1st June 2013.
In short, the energy efficiency certificate is a document signed by a qualified assessor that contains information about the energy efficiency of a building according to the calculation method defined by the Ministry of Industry, Energy Development and Tourism.
A CEE must be obtained before a property is marketed and the information must be included in all advertising. The certificate must also be produced at the signing of the contract of sale. Rentals, including holiday lets, must make a certificate available to tenants. Agents cannot legally offer properties for rent or sale without a certificate.
Those with homes in the UK should be familiar with the certificate. The Energy Performance Certificate or EPC, as it is commonly known there, was introduced on 1st August 2007 into England and Wales as part of the Home Information Pack. When the requirement for HIPs was removed in May 2010, the requirement for EPCs continued.
A CEE analyses the energy consumption of a home and suggests possible improvements to make the building more energy efficient. The information contained in the certificate is summarized by a colour coded bar chart using a scale ranging from A to G, similar to labels found on white goods.
With the included payment calculator visitors and customers can easily estimate monthly mortgage payments.
Note: This is only an estimate, and does not include insurance, taxes or any other additional costs.