What documents do you need to buy a property in Spain? Essential guide for buyers

October 23, 2024

Can you imagine enjoying the Spanish sun from your own home on the Costa Blanca or Costa Cálida? Buying a property in Spain is the dream of many people seeking a place to relax under the sun, but to make that dream a reality, it is essential to understand the process and the necessary documents.

When buying a property in Spain, you will face certain procedures that, although they may seem complicated at first, are quite manageable if you know what to expect. In this guide, we provide you with all the key information you need, from the most important documents to the legal steps you must follow. With this clear and simple information, you will be prepared to avoid any obstacles and buy your property without stress. Let's get started!

1. NIE (Foreigner Identification Number)

The first essential step for any foreigner wanting to buy a property in Spain is to obtain the NIE. This number is required for any legal or fiscal procedure in Spain. You will need it not only for the property purchase but also to open a bank account and sign the deed. You can apply for it at the local police station or the Spanish embassy. Of course the easiest way is to give power of attorney to our sollicitor; she will then sort all for you. Remember that without this number, you won't be able to proceed with the purchase.

2. Spanish bank account

Opening a bank account in Spain will make it easier for you to manage payments related to the property, such as taxes or community fees. Additionally, many utility bills like water, electricity, or gas are paid through Spanish bank accounts, so having one will save you complications. The process of opening an account is simple and usually only requires your NIE and valid identification. Of course our sollicitor can also sort this once she has POA.

3. Deposit or reservation contract

Before the official signing, it is common to sign a deposit or reservation contract. This contract ensures that both the buyer and seller are committed to completing the transaction. Typically, the buyer pays a percentage of the total price as a deposit, which can range from 5% to 10%. It is crucial to carefully review this document and, if possible, seek legal advice to ensure everything is in order.

4. Public deed and signing before a notary

This is the key step in buying a property in Spain. Once you have reviewed and agreed on the final price, you must sign the public deed before a notary. The notary certifies that everything is in order and that the property can be legally transferred. This is also where you pay the relevant taxes, which vary depending on whether the property is new or second-hand. This is a step where professional oversight is highly recommended, as it ensures there are no surprises later on. Our solicitor is here to guide you and to make sure there are no surprises after the purchase.

5. Property registration

Once the deed is signed, you must register the property in your name at the Land Registry. This step is vital to ensure that the property is legally registered in your name and that there are no outstanding debts. Although the process is routine, it is another example of why having a professional like our solicitor by your side can prevent potential complications.

6. Additional taxes and fees

When purchasing a property, there are several taxes you will need to pay. For second-hand properties, the main one is the Property Transfer Tax (ITP), which ranges from 6% to 10% of the property price, depending on the autonomous community. If you buy a new property, you will need to pay VAT, which is usually 10%. Additionally, if you acquire the property through a mortgage, there are also costs such as notary fees and registration fees. Our solicitor deals with this all for you!

Buying a property in Spain is easy with Rayos de Sol by your side

Buying a property in Spain may seem like a complex process at first, but with the right documentation and guidance, it can be a smooth and highly rewarding experience. From obtaining your NIE to signing before the notary and registering the property, every step is key to ensuring everything is in order and avoiding future problems.

At Rayos de Sol, we understand the concerns of buyers and accompany you throughout the process so you can enjoy your new property on the Costa Blanca or Costa Cálida without any complications. Our team of experts will help you resolve all your doubts and make buying your house in Spain as easy as possible.

You don't have to face this journey alone. With our experience and dedication, we guarantee that every aspect of the purchase will be handled with professionalism and attention to detail. From finding the ideal property to managing the documentation and closing the sale, we are here to ensure everything flows smoothly and stress-free.

Ready to take the step? Contact us today and start making your dream of owning a property in Spain a reality. We're waiting for you under the sun!