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What are the steps for buying property?
A remote consultation is the first step in the property purchase process. We need to know all your requirements and wishes for the property of "your dream" in Spain, including the type of property, location and distance from the sea, the purpose of the purchase, your budget, and so on.
Based on all this information, we will prepare and e-mail you a selection of all the objects that best suit your individual needs. And you will be able to see the properties on this list that you liked the most during the review tour that we will arrange for you when you arrive in Spain.
Until you arrive in Spain, you will probably have a lot of additional questions about the purchasing process, the registration of documents or mortgages, the moving process, and so on. By calling the hotline at the number displayed on the screen right now, you can get detailed answers to all of your questions for free.
(From 9 a.m. to 6 p.m., Monday through Friday).
At this stage, we will meet you at the airport and place you in a comfortable apartment. Please note that airport transfers and property review tours are absolutely free. To schedule a meeting, all you need to do is dial the hotline number displayed on the screen and book a date and time for your arrival in Spain to view the property.
During this stage, you will go around the coast with the WTG Spain manager to see the objects of your choice that we have selected and prepared for your visit.
For your convenience, we have foreseen two options: you can see one property in one day or you a 3-to-5-day viewing tour to see multiple objects and their location, including nearby beaches, parks, schools, shops and supermarkets, bars, and restaurants, and so on.
In addition, depending on your wishes, we can adjust the viewing tour scenario by excluding or adding new properties for inspection.
And after the viewing tour, you can ask the WTG Spain manager for a return visit to your favourite properties.
4. Choosing a property
So, if you find your Spanish "dream house" during the property viewing tour, you will enter into a reservation agreement with the developer (property owner), under which the object of your choice will be removed from the sale list and assigned solely to you.
Then you will pay the first instalment, which will range between three and six thousand euros (depending on the property cost).
Please note that if you change your mind about buying the selected property AFTER you have paid for the reserve, the developer can either refund the full value of the reserve or apply it to another of his properties.
5. Processing papers
At this stage, we will prepare all relevant documentation for signing a sales contract with a notary. We will assist you with obtaining an NIE (a foreigner tax identification number), opening a bank account in Spain, gathering the essential paperwork for a mortgage (if applicable), and so on.
After all of the documents are complete, you will deposit the needed sum in the presence of a notary and receive the keys to your own home in Spain!
6. After-sale service
At this stage, the WTG Spain team will gladly assist you with your move to Spain, including registering for residency, acquiring health insurance for yourself and all members of your family, locating kindergartens and schools for your children, and much more...
If you have bought the property as an investment or seasonal residence, we will help you make money by renting out your real estate profitably since Spain is one of the most popular tourist destinations in the world, and the demand for rental housing is constantly growing here.
What are the taxes on buying a property?
In Spain there are two types of costs and taxes:
- Costs and taxes for the PURCHASE of real estate.
- Costs and taxes for the MAINTENANCE of the property.
1. COSTS AND TAXES FOR THE PURCHASE OF REAL ESTATE
There are 6 main types of costs:
№1: VAT (the Value Added Tax)
In Spain this tax represent 10% of the value of the property.
№2: AJD (Stamp Duty)
This is a mandatory tax on the purchase of a new property. Basically, it depends on whether you are a resident in Spain or not. For non-residents, the amount of this tax is 1.5% of the value of the property, for the residents it's 0.1%.
№3: Lawyer services
Up to 1000 €.
The list of lawyer services includes the following:
- open a bank account;
- obtain the NIE number, that is the foreigner's tax number;
- check all the documents of the chosen property;
- prepare all the papers for signing the final purchase agreement - the deeds;
- register the property and the new owner in all necessary instances.
№4: Notary services
Up to 500 €.
№5: Registration fee
Up to 500 €.
№6: Water and electricity connection
About 300 €.
Let's take villa for price: 200.000 €.
- 200.000€ + 20.000€ (10% VAT)= 220.000€
- 220.000€ + 3.000€ (1,5% Stamp Duty) = 223.000€
- 223.000€ + 1.000€ (Lawyer) = 224.000€
- 224.000€ + 500€ (Notary) + 500€ (registration fee) = 225.000€
- 225.000€ + 300€ (water, electricity) = 225.300€
For a house that is worth 200.000 €, when we add all the purchase taxes and costs, we have the final price of 225.300€. That is to say, we added another 12.6% to the value of our property.
200.000€ + 12,6% (225.300€) = 225.300€
2. TAXES AND COSTS FOR THE MAINTENANCE OF REAL ESTATE
In general, they can be divided into 4 categories.
№1: IBI Council tax
Alias - the annual property tax. A villa of the type that we have chosen costs around 500€ per year.
№2: Community Fees
These fees are paid for the maintenance of a residential complex if it has common pools, gardens, etc. In our particular case, there is no community, because we are talking about a detached villa. But, in general, the average cost of this kind of fees is 60-70 euros per month.
№3: Garbage collection fee
Up to 120 € / year.
№4: Utility bills
The payments for water and electricity. They depend on your consumption (the average cost for water is 140 € per quarter, and for electricity - 60-70 € per month).
So, the monthly maintenance of your villa, considering all the fees, will cost you 200-220 €.
What are the guarantees when buying a property?
One of the main advantages of purchasing a new property in Spain is guarantees from developers, which are fully responsible to the buyer for any material damage that may occur from the completion date.
So, here are the guarantees the buyer receives from a builder:
1. A 10-year construction warranty
Within ten years, you can make any claims to the developer for any defects that affect the foundation, supports, beams, load-bearing walls, or other structural elements that threaten the mechanical strength and stability of the building. All defects will be fixed in the shortest time possible!
2. A 3-year warranty for finishing materials
Each developer provides its customers with a three-year guarantee for both indoor and outdoor finishing materials, as well as for all types of repair, finishing, and construction works. It can be plastering, painting, tiling work, electrical and plumbing work, and so on.
3. A 2-year warranty for all electrical appliances
Since we are talking about new property, primary market, it is natural that all electrical appliances inside are also new and have their own warranty cards for a period of up to two years, depending on the manufacturer.
4. Reputation guarantee
There is one more, unspoken, type of guarantee, the so-called "joint liability of developers to buyers and real estate agencies." The success of any developer directly depends on his reputation. Therefore, each developer values his name, because in case of any misunderstandings, he, naturally, will lose not only buyers but also intermediaries in the person of real estate agencies. Therefore, quality and timely service is a top priority for any builder in Spain.
Under construction, new build or resale property - which is better?
5 pros of buying property under construction in Spain
First: favourable price.
Of course, any real estate object under construction is much cheaper.
The payment method is very "flexible", which gives you time and opportunity for convenient distribution of your finances. Usually, the construction process in Spain takes about 8-10 months, so you will be able to split the payment within this period.
Third: opportunity to choose.
You will have the opportunity to make any changes to the planning and design of your future property, as well as choose finishing materials, furniture, appliances, and so on. Because real estate in Spain is sold really quickly, there are not so many available properties left at the end of the housing construction. Thereby, you will have to choose from what is left on the market, while at the construction stage, you can choose any object, considering the view from its window, orientation, location in the complex, and so on.
Fourth: remote monitoring.
During the construction process, you will be able to remotely monitor the entire process until the date of commissioning, receiving monthly photo and video reports from the construction site.
Fifth: No "surprises"
Primary real estate naturally does not have any "surprises" from previous owners in the form of debts, mortgages or mechanical defects. Plus, you will get a 10-year warranty for your property object and a 2- or 3-year warranty for all the finishing materials and furniture.
So, it was 5 pros of buying property under construction in Spain! Well, and now let’s take a look at 5 cons of buying property under construction in Spain.
5 cons of buying property under construction in Spain
First (and the most vivid): terms.
You will not be able to move into your own finished home right away. You will have to wait. As we have already said, the construction process takes about 8 to10 months, so you can get the keys to your new apartment or villa after commissioning only.
Second: visual perception.
It will be difficult for you to imagine how a completed house will look like, seeing in front of you only an empty section or construction site only. BUT, for such cases there are show-houses in Spain. They are finished houses from the same developers, where you can assess the quality of construction and materials, as well as feel the atmosphere of the upcoming house.
Third: neighboring structures.
It is worth paying attention to other construction processes that are already running within the radius of your facility. So that after commissioning, it didn’t turn out that the neighboring buildings blocked your view from the window.
Fourth: reliable intermediary.
For sure, it’s hard enough to find a truly reliable real estate company that will act on your behalf throughout the whole construction process to protect your interests.
Fifth: missed deadlines.
There is a small probability of failure to meet the deadlines due to unforeseen circumstances: floods, pandemic, and so on.
How much do real estate services cost?
In case of buying a property from the primary market, real estate services for the buyer are absolutely free. Yes, that’s right – absolutely free!
Since all of the real estate services in Spain are payed for by the seller (the construction company). And if the buyer directly contacts the construction company, without a real estate agent as an intermediary, he is NOT saving anything. Since according to Spanish law, the price of the primary property from the construction company and from the real estate agent has to be THE SAME.
BUT, this works only for primary market. As for the the secondary market, here the cost of real estate services can vary from 6 to 12% from the price of the property, depending on the agent or the company.
Another important factor is, of course, a guarantee. When buying new property, the buyer gets:
- 5-year guarantee on the finishing of the property
- and 2-year guarantee for appliances.
Also, when buying primary property, the real estate agency will always protect the client’s interest. That’s why an agent, having the knowledge, the experience and the reputation, will always do everything possible not only to lower the price for the client, but also to receive the largest package of services from the seller (the construction company).When buying secondary property, the agent’s commissions are not fixed by the seller (the construction company) and will depend on the overall price of the property sold.
Can I get a mortgage? What are the conditions?
How to get a mortgage for spanish property
We will review in details every step you need to take in order to get a mortgage in Spain. Good news is that the lack of the full amount for the purchase of real estate is NOT a problem! Since Spain is one of the few European countries that are very loyal to issuing mortgages to foreigners.
Traditionally, Spanish banks offer foreign borrowers the mortgages of up to 60% for purchasing the second home. However, the maximum mortgage in Spain is usually 80% of the purchase price for a primary home. The interest rate is from 3 to 5% per annum, and Spanish mortgage terms range from 5 to 40 years.
The size of the down payment is usually 40-50% of the value of the property. Spanish mortgage opening fee (which is set by the credit committee) is typically from 1 to 2%.
Currency of mortgage is euro. The format of mortgage repayment is a monthly payment. Method of mortgage repayment: withdrawals from your personal bank account in Spain.
When issuing a mortgage, banks take into account:
- The total value of the property,
- and your payment-ability.
In this case, the bank considers the exact property you are going to buy as a deposit. Obviously, before getting a mortgage, a Spanish bank will require the property to be valued by one of their own authorized appraisers. Banks DO NOT take into account the price that the seller requests for this property. In addition, before you mortgage your property, the Bank obliges you to insure it against fire and other disasters.
So, here is the list of the documents, required for your mortgage in Spain:
- Passport copy.
- Your NIE number.
- Proof of employment or income.
- Your latest income tax return.
- Your pre-agreement with the seller (the Private contract, we mentioned in the previous video).
- Proof that the property tax (IBI) is paid to date.
- Details of other mortgages or loans that you may have.
- Certificate from work authorities (Vida Laboral), showing your past work history.
- Records of your current assets.
- Marriage certificate or any prenuptial agreements (if available).
Also, to confirm your financial solvency, we recommend you provide the documents to the bank, proving your ownership of the real estate in your country or another country (naturally, if there is any). The mortgage contract is signed in the presence of a notary, after which the deal is registered in the PROPERTY REGISTER OF SPAIN (known in Spain as Registro de Propiedad).
Naturally, the lawyers of WTG Spain guarantee you free consultation and assistance in:
- collecting this list of documents;
- translating them into Spanish;
- choosing the appropriate Spanish bank;
- filling in all the forms;
- and also we provide the presence of the personal manager of the WTG Spain Company when applying these documents to get a mortgage loan in the Spanish bank.
If you need more detailed consultation on purchasing property in Spain, do not hesitate to ask WTG Spain! We will answer all your questions with pleasure.
We sincerely hope that buying a property in Spain will be a pleasant event in your life.
WTG Spain Company - Your home in Spain is waiting for you.
What should I know before buying a property?
Before buying new housing in Spain, you should know that you will need to add 13 to 14% of the property’s value to its initial cost, of which 10% is tax and 3 to 4% is AJD (stamp duty), lawyer and notary services, registration fee, and water and electricity connection works. So, when determining your budget, consider these additional costs.
2. Maintenance Costs
Before buying new housing in Spain, you also need to know everything about the cost of its maintenance. There are 4 types of expenses for the maintenance of any property, such as:
- Ibi (council tax), which is also called the annual property tax.
- Comunidad or the payment for the maintenance of a housing complex if it has common pools, gardens, and the like.
- Garbage Collection fee.
- Utility Payments including payment for water, electricity, and all other .
3. Your Warranty
When buying new housing in Spain, you should know that you will receive a full package of guarantees from the construction company, namely:
- a 10-year construction warranty;
- a 3-year warranty for finishing materials and for all types of repair, finishing, and construction works;
- an up-to-two-years warranty for all electrical appliances in the house;
- a compulsory bank guarantee for all your money transfers.
- Please REMEMBER that you do NOT get any guarantees when purchasing a resale property, so we recommend you start searching for your real estate in Spain from the primary market.
Before buying new housing, it will also be useful for you to know that Spain is one of the few European countries that are very loyal to the issuance of mortgage loans, even to non-residents.
Usually, Spanish banks provide:
- an amount of up to 70% of the property value (excluding taxes).
- the interest rate, is from 3 to 4% per year,
- the maximum term is 30 years,
- the down payment is only 30-40% of the property value.
5. Your Reliable Realtor
We advise you to start a search for your new home in Spain by finding a reputable real estate company whose managers speak not only Spanish but also your native language. Moreover, a reliable realtor will not make you pay for real estate services if you buy a new build because such fees are always paid by the builder in Spain.
- PLUS, a professional real estate company will organize for you:
- remote selection of properties considering all your wishes;
- your arrival in Spain and accommodation;
- a three- or four-day real estate review tour;
- all the work related to the preparation of the necessary documents for the purchase and sale, and so on.
- And all this is completely free for you!
Can I make money by renting a property?
Point one. The market and its demand
Spain is one of the most popular tourist destinations in the world. Demand for rental housing in this country is constantly growing. And the reason for this growth is tourists who visit Spain all year round.
According to the National Institute of Statistics, last year, 82 million tourists visited Spain. During the season, vacationers book almost 80% of vacation rentals. In cities such as Valencia, Murcia, Villamartin, Alicante and Torrevieja.
Point two. The right choice of real estate
In order for your home to be rented well, you need to pay attention to three main factors:
- Good location: proximity to the sea, to the green zone or to famous attractions.
- Necessary infrastructure: proximity to shops, restaurants or shopping centers.
- The technical condition of the housing: the availability of amenities, necessary equipment, repairs and the condition of your property.
Point three. Legal subtleties
In case of short-term rent, in some regions of Spain a tourist license is required. Specialists from WTG Spain will help you with obtaining this permission. Also, when renting out home, you need to draw up an appropriate contract in which you must register:
- All rental conditions,
- The amount of the deposit, which is set by the owner of the property,
- Terms of termination of the contract,
- Personal data of both parties.
Fourth point. Costs and taxes when renting out home
- By law, income from housing must be declared in an annual tax return. The tax rate is 19% for EU citizens and 24% for everyone else.
- IBI - a tax from individuals on real estate, which must be paid once a year and its amount is up to 2% of the cadastral value of housing.
- Property insurance. In this case, you can choose the best tariff for you yourself.
Point Five: Your income
In general, with a competent approach, when renting out a house you can make good money, and the declared 5% per annum (of the market price of housing) is a very real figure.
For example, if you want to rent a small apartment in a coastal city, and it's market price for the current day is 100,000 euros, then you can safely count on a passive net income of 5,000 euros per year (or 600 euros per month).
If you want to avoid the process of searching and selecting a potential tenant, you can entrust your home to professionals. WTG Spain has been operating in the real estate market for over 25 years. With us, more than 500 apartments have become a source of constant income for their owners.
We will take care of the entire range of services of the entire rental process:
- Obtaining a license.
- Pre-rental preparation: major repairs or cosmetic restoration.
- Professionally prepared advertising in the form of photo and video presentations.
- Accommodation on all leading real estate rental portals and in the best print media.
- Ensuring the process of settlement and eviction of tenants.
- Cleaning and guarantee of the safety of your living quarters.
- Full legal support: payment of taxes and utilities.
We hope this article has been helpful to you. WTG Spain - Your property in Spain is waiting for you.
What are the main mistakes when buying property?
The Most Common Mistakes When Buying a house or real estate in Spain
We will discuss 5 main mistakes that you can make when choosing a property in Spain.
So, mistake one, indefinite purchase purpose.
Why do you buy real estate in Spain, for subsequent rental, or for your own vacation and accommodation?
For rental, choose areas closer to the beach, with a well-developed infrastructure, such as shops, restaurants, parks and various resort entertainments. Please note good transport links. It greatly increases the attractiveness of the object.
If you want to acquire real estate for your own leisure and residence, pay special attention to the quality of construction, which is why we strongly recommend considering primary housing. Since the quality of the construction of primary and secondary real estate in Spain is significantly different! The location of the object is also important. But in this case, you can safely rely on your own preference.
The second mistake is "remote purchase".
We DO NOT recommend you buy a home “remotely”: based on photos, video content, or on the advice of “friends”. Since the difference can be colossal. First of all, you need to get acquainted with the location in which you would like to live. Walk along the streets, to the park, to the sea, to the nearest store, and if you feel comfortable in your chosen location, only then you can proceed to search for a specific property.
The third mistake - "the desire to buy real estate without intermediaries"
“Why pay an intermediary if you can save a round sum, you ask?” In fact, everything is exactly the opposite. It is a professional realtor or a company that will save you money, time and effort. For the buyer, real estate services are completely free. They are paid by the seller in Spain. And if you contact the seller directly, then nothing will be saved.
Since, in accordance with Spanish law, the value of real estate from developers or real estate companies - should be the same. Moreover, some real estate companies even offer free accommodation, transfers and sightseeing tours. You also get a whole package of free transaction support services - checking the documentation, translation services, obtaining a mortgage, opening a bank account, etc.
The fourth mistake is simultaneous work with several realtors.
We DO NOT recommend that you work simultaneously with several real estate companies, as in the end, none of them will work with you with full dedication. It is better to trust one, a professional team that will spend 100% of their time and energy on you. And it is this company or realtor that should become the guarantor of your safety. Tasks such as:
- selection and inspection of real estate,
- receiving discounts or mortgages,
- signing the contract and documenting the transaction,
Leave it to the professionals. But working with several companies at the same time is not a good idea.
Fifth mistake is the desire to get a mortgage loan on the minimum line.
If you decide to buy a property in Spain with a mortgage, we recommend that you take the maximum possible lines. Usually, a loan is taken for a period of up to 25 years, at 2 - 5% per annum (depending on the bank). Naturally, the longer the loan term, the less you have to pay monthly. And if you wish, you can always repay the loan ahead of schedule, without additional fees.
We hope this article has been helpful to you. You can get a more detailed free consultation by calling the WTG Spain hotline. WTG Spain - Your property in Spain is waiting for you.
Why is it profitable to invest in Spanish property?
It's no secret that sunny Spain has been one of the most popular countries among real estate buyers for many years, and there are a lot of advantages of such a purchase. We will tell you about the 10 main ones in this article.
Reasonable prices on property in Spain
On average, property prices on the Mediterranean coast in Spain are much lower than, for example, on the Mediterranean coast of France or Italy. And if you compare with megacities - such as London, Paris, Berlin or Moscow, then the cost of real estate per square meter is many times lower. Also the prices on the real estate market in Spain are constantly growing, so the purchase itself is a very promising investment. Over time, Spanish real estate can easily be resold much more expensive.
Profitable mortgage on real estate
Advantage No. 2
Even if you don’t have enough money to buy your desired property, Spanish banks will gladly provide you with the necessary funds on really favorable terms.
- Interest rate: from 3-5% per annum.
- Down payment: 40-50% of the total value of the property.
- Maximum term: 25 years.
But, as a rule, objects of new construction receive more attractive credit conditions.
Quick earnings, by renting your home
Advantage number 3
Having bought real estate on a mortgage, you can immediately start earning by renting your home. Thus, your property will pay for itself. Since the profit from renting your home is simply guaranteed. After all, the tourist attractiveness of Spain and the developed infrastructure for tourists all year round contribute to all this. These earnings are enough to pay your expenses on a mortgage loan, for utilities, taxes and more.
Unique climate in Spain
Advantage No. 4
Unique climate. Spain is an ideal place to live and relax, especially when it comes to the Costa Blanca. Thanks to the warm Mediterranean climate, it is the best resort country in Europe:
- More than 300 sunny days per year.
- Average annual temperature + 19-20 degrees of heat.
- The swimming season begins at the end of April.
- The water temperature in the sea reaches 28 degrees.
- Complete absence of factories and heavy production.
That is why the World Health Organization recognized this coast as one of the best in the world for permanent residence.
Unique flavor with many historical attractions
Advantage No. 5
The Costa Blanca attracts tourists with ancient castles, fortresses, dozens of major museums and cultural centers, as well as natural parks and reserves.
Spain is the birthplace of bullfighting and siesta, which very clearly characterizes the mentality of the inhabitants of this country. Passionate and emotional Spaniards are always relaxed, and try to get the most out of every moment of life. And unforgettable holidays, enchanting fun, and an incredible number of colorful festivals make this country truly unique. The Spaniards are by their nature very friendly, open and hospitable people who are warm to both tourists and foreigners who settle in the neighborhood.
Developed tourism infrastructure
Advantage number 6
Developed tourism infrastructure. The Spanish coasts are replete with popular tourist resorts with perfect clean beaches that meet high quality standards and are awarded the Blue Flag environmental certificate. The quality of motorways is at a very high level here. New airports are constantly being commissioned in the country as well as they significantly expand the existing ones.
Medicine in Spain is recognized as one of the best and most modern
Advantage No. 7
Medicine in Spain is recognized as one of the best and most modern not only in Europe but also in the world where, according to the World Health Organization, the country takes fourth place. All foreigners who pay social insurance have the right to use the state health care system. Emergency medical care is provided to absolutely everyone, regardless of the register in the social insurance system, nationality and social status. And thanks to the mild climate, which has a general strengthening effect on the human body, the high level of medicine, Spain is one of the first places in Europe in terms of life expectancy.
Education in Spain
Advantage number 8
Education in Spain attracts people from all over the world. This country ranks third in the number of foreign students, second only to the UK and Italy. More than 10 Spanish universities are in the top 500 of the world QS ranking, which indicates an excellent level of higher education. And low tuition and living expenses make education in Spain affordable for most students.
Advantage No. 9
87% of Spaniards believe that retirement is a time of pleasure and fiesta. For 81%, this is a period of exciting leisure. And they are right, since Spain contributes 10.5% of GDP to the payment of state pensions and is among the ten European countries that spend significantly more on pension than others. As a result of the reform, the retirement age in Spain has been increased from 65 to 67 years. Moreover, the retirement age of women in Spain does not differ from the retirement age of men.
Features of Spanish cuisine
Advantage number 10
This Mediterranean country loves greens, fish, and seafood. Gourmets will appreciate the national Spanish cuisine, as it incorporates the ancient Roman and Moorish traditions with elements of French and even African cuisine. Despite the fact that the common attributes of the cuisine are the same for all regions of Spain, yet each region is distinguished by its own culinary traditions. Without a doubt, the cuisine of Spain is one of the main attractions of the country.
So, today we told you about the 10 main advantages of buying property in Spain. Do not hesitate to call; we will help you choose the property of your dreams!
What is the property reservation agreement?
The real estate reservation agreement in Spain
We are going to tell you about the “reservation agreement” and how to reserve the right to buy property in Spain. If you have found the real estate of your dream during the guiding tour in Spain and you want to become its rightful owner, it’s necessary for you to sign a special contract with the seller and pay a deposit. After that, the property you have chosen will be removed from the sale (and the review) for other buyers.
So, what actually is “a reservation agreement”?
A reservation agreement is a contract between the seller and the buyer of the real estate, which consists of two printed copies in two languages - Spanish and English. Usually, the contract is signed for a period from 1 to 3 months. And with the mutual agreement of the parties, it can be signed for a longer period of time - up to six months.
The information that can be found in the reservation agreement:
- the reservation agreement contains all the details about the sellers and buyers: full name, address and identity card (ID card, passport, NIE, Residence card and etс.);
- the contract necessarily contains the information about a certain real estate object:
- the address of this property;
- the registration data (or inventory number);
- the description of the property, which specifies the type, size and other important characteristics. It should be pointed out that we check all the real estate for arrears in advance, and offer you only legally "clean" objects;
- the final price of the property;
- an amount of the deposit. On average, it is about from 3 up to 10% of the total value of the property (Typically, it is about 3 thousand euros.) Further, in the reserve agreement, it is fixed:
- expenses concerning purchase and sale. This item fixes the costs and taxes which each of the parties must pay, according to the Spanish laws.
- duties of the parties.
An integral clause that provides for the responsibility of each of the parties for non-compliance with the terms of the contract. For example, if the buyer breaks the deal, the deposit is NOT returned. If the seller refuses the sale and disrupts the deal after the signing of the reservation agreement, he must return the deposit in the double amount to the buyer.
You sign the reservation agreement with the seller in the presence of the agency manager with whom you buy the property. If the seller cannot be present for various reasons at the day of signing this document, the agreement is signed with the company which represents this object. After that, the agency transfers money to the account of the owner of the real estate.
You can also sign the reservation contract remotely. By making your choice blindly, you risk being unhappy with the purchase. Therefore, invite you to a guiding tour in Spain.
Remote reservation is convenient in the exceptional cases when you decided to buy the real estate having already arrived home from Spain. To do this, you should send us your data, so we prepare an agreement, where the amount of the deposit, the cost of the property, the calculation procedure and the duties of the parties are indicated. A title deed (a certificate of ownership) is also attached to the document. We send you the contract, you print it, sign it, scan and send it us by e-mail.
After that you pay a deposit + bank commission and send us a copy of the payment document. From now on, your future real estate in Spain is removed from the sale from all sources and awaits your arrival.
Having signed the reservation agreement, you are already halfway to your dream. It remains only to sign a contract of sale at a notary and pay the remaining amount. You can always get more detailed consultation about buying the real estate in Spain by contacting the specialists of the WTG Spain Company by calling the hotline or ordering a callback.
We are always happy to answer all of your questions. We sincerely hope that buying property in Spain will be a pleasant event in your life.
WTG Spain - Your home in Spain is waiting for you.
What is a Spanish NIE number?
NIE in Spain how to get NIE number in Spain
We’re going to review in details the process of obtaining the Foreigners Tax Identification Number in Spain.
The Foreigners Tax Identification Number (also NIE - Número de Identificación de Extranjero) is the non-resident identification number for maintenance of financial activities at the territory of Spain. It is assigned individually to each foreigner and is mandatory for the implementation of any official transaction of sale. Namely, when buying a property in Spain, this document is mandatory.
NIE is a document in A4 format, which indicates:
- your full name;
- date of birth;
- and, in fact, a number consisting of numbers and letters.
According to Spanish law, the validity period of the NIE CERTIFICATE is 90 days. But the number itself has a lifelong validity for the applicant.
To get NIE in Spain, it is necessary to provide an official reason for its registration. In our case, the reason is "purchasing property in Spain". A documentary proof is your "reservation agreement", in which you have previously confirmed your serious intentions by paying a down payment for the chosen property.
So, to obtain a NIE certificate, you need the following:
- The Reservation agreement with a receipt for the down payment (as we have already said, in the case of purchase of the real estate, it is the "Reservation agreement", that is the basis for obtaining the NIE).
- Completed application form EX 15 (in 2 copies).
- An original international passport and its photocopy (the page that shows your photograph, full name, passport number, address and any other relevant details).
- Two small photos (3x4 format).
- The government fee for obtaining the NIE (which is about 10 euros and you should pay it in the bank).
Your personal manager (a consultant of WTG Spain) will help you obtain the Foreigners’ Tax Identification Number as soon as possible. And you can always get more detailed consultation on “purchasing property in Spain” by either contacting the specialists of WTG Spain, or calling the hot line, or ordering a callback.
We are always happy to answer all your questions!
How to make the right choice when buying a property?
Property in Spain how to choose
How to choose property in Spain is a very difficult question, we will try to help you find the answer to it. Before purchasing property in Spain, you need to make the right choice! And in order to make this choice, you have to answer 7 basic questions (first of all just for yourself).
What is the purpose of buying property in Spain
The first question
What is the purpose of buying property in Spain:
- for permanent residence
- for temporary residence (during the vacation)
- for renting
- or for investing your money.
Starting with this question, it will be much easier for you to answer the following questions.
Choose the location of the property in Spain you want to buy
The second question.
For this, you need to choose a climate in which will be the most comfortable. Perhaps you are interested in the northern part of Spain, which is less hot than the southern one. Or vice versa - you are attracted to hot South Spain. Or, you can also feel more comfortable with temperate climate of the middle part of Spain, (for example, on the Mediterranean coast).
At this stage, you have to decide how far from the sea you want your property to be located: on the first (second or third) line, closer to the downtown area or in suburb, closer to the mountains or to the forests, and etc.
The condition of the property
The third question
In other words, in which market would you like to purchase this property? I mean, you should decide if you are interested in the primary housing from the construction company, or you prefer secondary housing. This question directly depends on your personal preferences and the budget that you have, considering that objects in new buildings often cost a little more expensive than objects in the secondary market. Proceeding from this, the following question arises - the question of price.
Mortgage on real estate in Spain
Question number 4
Mortgage. It will surprise you - Spain is one of the few European countries, which is very loyal to the foreigners. So, if you don’t have enough money to purchase your dream house in Spain, then you can always take a mortgage, by collecting the necessary documents. It is enough to have a half of the required sum to do this. The mortgage is issued for the period, ranging from 5 to 40 years, from 3 to 4% per annum. More detailed video review, entitled "How to get a mortgage in the Spanish Bank”, you can find on our official website or YouTube channel.
The type of the real estate
Question number 5
A small studio apartment for one person, or a large accommodation with several bedrooms for the whole family. Whether it could be a detached house or even a villa with its own plot and a pool. If you want to live more secluded, then, maybe, a bungalow, townhouse or a separate cottage will become a perfect choice for you! In order to make the right choice, you can always contact the specialists of the WTG Spain, where you can get a free consultation.
Figure out the additional characteristics of the property
The final question number 6
When choosing a house in Spain, you need to figure out the additional characteristics of the property, which have particular importance to you personally. So, how important for you to have: your own pool, parking or garage. Which floor is more appropriate, and how important to have an elevator? What do you want to see from your window: the sea, the mountains, or the forest? And it is also important: furniture and household appliances availability or its absence.
Well, if you answered all these 6 questions, then you are ready to make the right decision.
But, in order to make a FINAL choice, we invite you to Spain for a free Guided Tour of the property, during which your personal manager, a consultant of the WTG Spain, will help you to find the house of your dream. More detailed previous consultation, concerning the purchase of the real estate in Spain, you can get by contacting the "WTG Spain" Company and ordering a callback or by calling the hotline. We are happy to answer all your questions.
WTG Spain - Your home in Spain is waiting for you.
Buying property with the power of attorney.
Let us model a situation. You flew to Spain with desire to rest and buy Real Estate of your dreams on the Mediterranean coast. And only at the last moment of your stay in Spain you finally find that special property that is simply perfect for you. Bu you don’t have enough time for formalization of all the documents connecting with your purchase. What to do, you ask? How not to lose the chance to buy that one of a kind masterpiece?
In such cases you may issue a Power of Attorney for purchase of real estate for the second person or for the company that will do everything instead of you. And the name of this document is Poder Notarial. It allows you to perform a number of juridical procedures from your name, without your presence in Spain.
Let us talk about the kinds of power of attorney. The simplest kind of it is ONE-TIME power of attorney - it is issued for performing one specific action. The second kind is SPECIAL power of attorney with a specific list of actions and deadline. The third kind is GENERAL AND COMPLETE one that gives a right to perform all sorts of juridical actions from the name of the owner (from collecting documents to disposal of property).
You may issue such a power of attorney not only in Spain but also on territory of your country addressing the consulate of Spain of your country. But if you have decided to create Poder Notarial at your own notary in your city, mind that in this case you have to apostille it in Ministry of Justice and translate it into Spanish.
But best of all is to issue a power of attorney for purchase of real estate on the territory of Spain before you leave.
- Firstly, a power of attorney will immediately be issued in Spanish.
- Secondly, there’s no need for apostille.
- Thirdly, this procedure will take no more than 30 minutes.
Having issued a power of attorney you pass the original document to your representative in Spain. After that he or she will be able to perform the purchase of real estate without your direct presence.
At last, I want to remind you that here at WTG Spain we are always ready to assist you in the purchase of real estate in Spain as well as in the execution of all the necessary documents. Also you can always get a free-of-charge consultation calling hotline or ordering a callback. We will always give you answers to all of your questions.
We sincerely hope that the purchase of real estate in Spain will be a pleasurable moment in your life. WTG Spain, your real estate in Spain waits for you.
What is “WTG Spain”?
- WTG Spain is the largest database of primary real estate, with all properties sold at developer prices, WITHOUT any hidden commissions or any fees paid by the client.
- WTG Spain is a team of multilingual realtors who will give you advise in your native language and assist you in finding the property that suits you best.
- WTG Spain is a team of professional lawyers and attorneys with extensive real estate experience who will provide you with qualified services and assistance in buying real estate, obtaining a residence, GOLD VISA, registration, health insurance, and so on.
- WTG Spain is a large team of videographers, editors, and top bloggers who produce daily entertaining and high-quality informative content in your local language about Spain and its best real estate.
- WTG Spain is a team of managers who will assist you in obtaining the most possible rental income from the property you have purchased, as Spain is one of the world's most popular tourist destinations, and the demand for rental accommodation here is continually increasing.
- WTG Spain is more than fifteen years of experience in the real estate market and over three thousand satisfied customers who have made their dream come true
«WTG Spain» provides the following services:
- Remote consultation of the best realtors, lawyers, and attorneys with many years of experience.
- Remote selection and e-mailing of the best properties meeting all your requirements.
- Arranging your arrival to Spain for a personal overview of your favourite properties, including accommodation.
- A virtual tour of the property via video chat, if you do NOT have the opportunity to come to Spain.
- A real-life tour of the property accompanied by your personal realtor including a tour of nearby locations like beaches, parks, schools, shops, and so on if you DO have the opportunity to come to Spain.
- Making any changes to the layout and design of the property you've chosen, as well as the choice of finishing materials, furniture, appliances, etc.
- Formal registration of a 10-year warranty on any property, a 3-year warranty on all finish materials and furniture, a 2-year warranty on all house electrical appliances, and a bank guarantee for all your money transfers.
- Preparation of all necessary purchase and sale documents.
- Assistance in moving to Spain and after-sales service.