Sun, good prices, and kind people, not to mention a profitable real estate market… There are many reasons to buy a holiday home in Spain, but what do you need to do it?
What Do You Need?
You don’t need much paperwork beforehand to be able to buy a holiday home. When it comes to your personal papers and official requirements, you will typically just need an NIE and nothing else.
However, you will likely want to obtain a mortgage agency, and then you will probably need some more documents. You can get a mortgage in the UK or in Spain. It is a good idea to get information about both possibilities to check which is better in terms of costs.
In order to obtain a mortgage in Spain, you will need to provide your credit history. This is up to the bank, but in such cases you may be required to provide some legal documents.
Checks You Should Not Forget
· Before signing any contract or paying any fee, deposit included, it is advisable to check the Spanish Property Registry to check that you are talking with the real and legit owner of the property.
· Even if you buy the property as a holiday home, you should take a look at the real estate development of the area. One cannot tell when a property is going to enhance its value, but if the real estate market of the area does not have any activity at all, it may be a bad sign.
· Do not rely on the notary suggested by the real estate agency. Most real estate agencies are reliable, but they just want to make a sale, so they could hide some of the shortcomings of the property, the contract, etc. Thus, it is better to look for an independent notary without conflicts of interest. We can help you with that.
· Be aware of the amount stated in the contract. The bigger the amount, the bigger the taxes you will have to pay. If you put a lower amount than the real one, you may face issues, and you are breaking the law. However, it is common in Spain. We recommend that you get professional and detailed advice about this.
· If you are buying land to build your own home, it is very important to check that you will actually be able to build something there. This depends on local governments, but in general the land has to be marked as a buildable lot.
· If the property is old and you plan on doing work on it, check the regulations. It is possible that the regulations forbid you to change that façade or may require the owners to keep some features that are considered to be of historical value. Sometimes this can impact your desire or the price of the work.
· After the contract is signed, it is advisable to go back to the Property Registry and register the property under your name.
We can help you with any document legalisation you may need. Do not hesitate to contact us if you want more information about buying a holiday home in Spain.