How to Buy a House in Spain

Before you buy your Spanish house, you need to understand how Spanish mortgages work. In order to avoid problems, you should always be aware of any existing mortgages. In some cases, you can take over them. The problem with Spanish mortgages is their unique way of paying for property. You should also be aware of the tax system in Spain.

Legal fees

When buying a house in Spain, it is important to remember that there are a number of legal fees to consider. These fees are paid by the buyer of the property. Depending on the value of the property, these fees range between 0.7 percent and one percent of the price. A solicitor can also be hired to help with the legal documentation and paperwork, but these fees are usually not included in the purchase price.

Hiring a lawyer is a good idea, as he or she will be able to help you draft contracts, explain legal jargon, and perform due diligence. Most lawyers charge around 1% of the purchase price, although some may charge slightly more. Make sure to shop around to find a legal advisor that fits your budget.

Another expense to consider when purchasing a house in Spain is the purchase tax. This is the most expensive part of the transaction besides the purchase price. The rate and amount of this tax vary by region. In some parts of Spain, you can buy resale property, meaning it has already been sold before.

Apart from paying taxes, you also need to pay for other costs associated with buying a property. These include utilities and contract fees, the NIE, the power of attorney, and all administrative taxes. These costs can add up to ten percent to fifteen percent of the purchase price.


If you’re considering buying a house in Spain, you should be aware of the different taxes applicable to the sale of your property. These taxes vary according to the country and the type of property. Listed below are the different types of taxes you’ll be required to pay, and where you can find them.

There are two main types of property taxes in Spain. First is sales tax, which you’ll be required to pay when you buy the property. The second type is maintenance tax, which you’ll need to pay on an ongoing basis. Depending on the type of property you buy, taxes can vary between 8% and 11.5%.

The cost of property taxes in Spain are lower than most of Europe, but you still have to budget for them, especially if you plan to sell the property. In addition to taxes, there are other costs associated with owning a property in Spain. These fees can add up quickly.

Down payment

Getting a mortgage in Spain is not difficult and offers many benefits. Not only are costs low, but the flexibility of the process is also excellent. With a new mortgage law coming into effect in June 2019, banks will now cover the costs of mortgage setup. This can greatly reduce the amount of money you need to pay for your mortgage.

In Spain, banks will typically lend up to 80% of the property’s value. However, you’ll also need to cover other upfront costs, including notary fees and agent commissions, which may add up to 10% of the purchase price. In addition, there are also tariffs (which range from a few hundred euros to over a thousand) that you’ll need to pay.

One of the most important things you can do before buying a Spanish property is to find a lawyer. You can search online for the best lawyers, or ask your friends who’ve used a lawyer in Spain. Although it may be tempting to take the first offer you see, it is best to use a lawyer. In addition, you should make sure you’re buying a property that is debt free. Also, make sure you’re covered by a purchase contract to avoid any surprises. The Spanish property market is well prepared to accommodate foreign buyers, and estate agents and websites are available in most languages.

Another option is to take out a mortgage in Spain at a fixed rate. This option offers a low interest rate but may be difficult to afford. Moreover, you’ll have to worry about interest rates going up. Although Euribor is currently low, it’s not a guarantee of future interest rates. The prices of property in Spain may also rise or fall and you could end up in a situation where you don’t have enough money to make the monthly payments.

Notary fees

When buying a house in Spain, you should be aware of Notary fees. In most cases, you should pay a minimum of EUR750. This fee varies depending on the purchase price of the property. In addition to these fees, you should also be aware of mortgage costs. Mortgages are often accompanied by additional costs, such as the cost of a valuation report. It is necessary to make sure that the valuation report is made by a registered valuation company to ensure that the loan amount is based on the real value of the property.

The Notary fee is set by law in Spain and depends on many factors. A buyer should also consider the cost of taxes on the property. These fees can vary between 400 and 700 EUR depending on the type of home. In addition, a non-resident buyer should always seek advice from an experienced attorney, who can negotiate on their behalf.

In order to avoid confusion during the closing of a sale, a power of attorney is a good idea. It can help the buyer remove uncertainty and ensure that all documents are signed properly. Using a power of attorney may also save the buyer from spending money on flights to Spain.

Moreover, the costs of notary fees in Spain are often not negotiable. Depending on the purchase price, notary fees can amount to 0.5% of the property’s value. As with any cost, knowledge is power, and you should understand the costs associated with these expenses.

Down payment for off-plan property

Investing in off-the-plan property involves making a down payment to secure the property. This deposit is then guaranteed to cover the cost of the property up to a certain percentage, but more than that is at risk. As with any purchase, you should research the developer and look for complaints online before making a deposit. You should also bear in mind that the off-plan period can last for several years, and that the mortgage market can change rapidly during this time.

Usually, off-plan properties require a 10% deposit from the buyer. In some instances, the deposit may be higher, up to PS20,000. If you don’t have enough money for this amount, it is possible to borrow the money from a bank or a real estate broker. A bank will have a home loan expert who can help you find the right loan.

Another benefit to buying off-plan property is that you are likely to receive a discount. Off-plan property developers often give discounts to investors who buy properties before they are built. They do this to offset the risk associated with purchasing unfinished property and the inconvenience of not moving in immediately. This also helps developers to stay within their budgets by ensuring that they sell a large proportion of their units at an early stage.

Another benefit of buying off-plan property is that you don’t have to pay for the property until it is habitable. You can often use bridging loans to cover the down payment until you can secure a buy-to-let mortgage with lower interest. Although these loans are riskier than regular mortgages, you can usually still use them for a year or more while you wait for the building to be finished.

Down payment for key-ready home

Buying a key-ready home in Spain can be a complex process, and it’s important to get everything in order before you start looking for a property. This includes the mortgage and down payment. It’s also important to open a Spanish bank account and to research property insurance. A mortgage adviser can help you navigate these legal obligations.

Most Spain property contracts require a deposit, and you will need to have a 10% deposit ready until the public deed is completed. This deposit is refundable under certain conditions, but you should avoid signing a deposit contract unless you’re absolutely sure that you’ll be able to complete the purchase.

Mortgage laws in Spain have changed recently to align with the European Union (EU) guidelines. This means that banks should cover costs linked to the signing of the mortgage, including agency fees, notary fees, registration fees, and the AJD (Acts of Justice Documentados). If you don’t have this money, you may be eligible for a tax exemption.

In addition to the down payment for a key-ready home, you should get a nota simple from the property registry before making the final payment. This document will help you confirm that the property you’re buying is free of debt and is owned by the seller. It’s also important to make sure that the seller has a valid property description, and it is true to the description provided by the seller. You should have this nota simple ready to submit for registration at the property registry.