How to Start a Property Search in Spain
So, you’ve chosen beautiful, sunny Spain as your country to buy property in. And with so many great locations, friendly neighbours and wonderful food, who can blame you?
But starting a property search in Spain isn’t just a case of looking through websites and dreaming of beachside apartments or villas with pools. Although, that is part of it. You need to make sure you’ve got everything organised before you find the perfect property so you’re not left disappointed or the victim of a property scam.
You can find out more about the process of buying a property in Spain in this article, including the various contracts you’ll need to sign and how to transfer money.
But, in this article, we’re going to concentrate on the months before so that you end up with your ideal home in the sun.
Things to Think About When Starting a Property Search in Spain
1. Where Do You Want to Buy Property in Spain?
Spain is the fourth biggest country in Europe, so there’s loads of choice when it comes to where to buy property in Spain. Most expats choose the coastal regions of the country so they can benefit from the best beaches and moderate winter climates. Of course, beach resorts tend to be a little more touristy, especially in the summer months, which may not suit everyone. If that’s the case for you, you could always think about a more remote village inland.
The Costa Blanca, on Spain’s east coast, has it all. There are beach resorts with white sand and crystal-clear waters, remote villages surrounded by vineyards and almond trees and it is even home to the bustling, cosmopolitan city of Alicante.
2. What’s The Purpose of Buying The Property?
A key factor to think about when starting your property search in Spain is why you want to do it. Are you thinking of retiring to Spain? Are you going to move there permanently with the family? Or do you intend to rent it out for large parts of the year?
Considering these questions will help you find the best property. For example, if you’re moving there with kids, you may want a town with good international schools and opportunities for them to make friends. If you want to rent the property out, then a beach town or city will probably mean more rental possibilities.
As with many places across Europe, Spain is also cracking down on the amount of tourist licences that they’re giving out. So, make sure your property is valid for one if you intend on renting it out for periods of less than a month.
3. Decide on a Budget
When buying property in Spain, it’s important to remember that there can be lots of additional costs on top of the property price. In fact, many experts recommend allowing a minimum of 10% to cover the costs of the notary, purchase taxes, land registry fees and legal costs.
It’s worth bearing in mind that different areas of Spain have different purchase tax percentages. On the Costa Blanca, it’s 10% of the property price.
In most cases in Spain, the seller pays the estate agent fees. However, it’s not uncommon for the buyer to as well. This is usually 3% of the property price, so be aware of that too when budgeting.
4. Get to Grips With Legal and Financial Terms
Legal and financial terms can be really tricky to understand, not just because of the language but because they refer to laws and financial conditions that aren’t common in other countries. It’s essential to be acquainted with the terminology so you know what to expect at different points of the process.
The Bueno Blog is a great place to start. You can familiarise yourself with how to legally rent your property in Spain, Spanish squatting laws, the different types of taxes you’ll have to pay as a non-resident and the different types of bank guarantees for new builds.
5. Choose a Good Agent
There are lots of different ways to search for property in Spain. Many estate agents post listings on the major websites, which can be a good place to start. But, it’s also a good idea to talk to them in person, as many have non-public listings which could be perfect for you. They may work with sellers and know of something that is coming to market soon.
A good agent will also help you a lot with the process and terminology. They won’t just show you possible properties but will take you through all the steps which can be really important. It might be worth checking if they’re part of SIRA too, the Spanish International Realty Alliance, which means they have certain standards and customer care to adhere to.
6. Hire a Good Lawyer
It’s very advisable to hire a lawyer when buying property in Spain. They can help you enormously and you’ll have peace of mind knowing that all of the documents are passing through an expert and your money and interests are safe. In some cases, you can even sign a Power of Attorney, and they can deal with parts of the property buying on your behalf, which can be really useful if you’re abroad.
7. Apply for a NIE
A NIE, or Número de Identidad de Extranjero, is a foreign identity number that everyone looking to buy property in Spain needs to have. In all likelihood, you’ll need one to get an internet contract, car, or electricity contract – so they really are essential.
Applying for a NIE seems complicated at first glance and, for that reason, many people decide to hire a professional to help them. This is definitely an easier option, but you can also make an appointment at your local foreigner’s office or police station. You’ll need to bring the required documentation and pay a fee. The good thing is that you’ll leave with your NIE the same day.
It’s a smart idea to do this early on as you’ll need it to make an offer on a property and you might have to wait for an appointment. You don’t want to miss out on your dream home because of a piece of paper!
8. Check if You Need a Visa
You don’t need a specific visa to buy property in Spain if you come from an EU country or a member of the States of the European Economic Area. If you stay longer than 90 days, however, you will need to obtain an EU Registration Certificate.
For those outside of the EU, including Brits after Brexit trying to buy property, it’s a bit more difficult. Some countries will need to apply for a visa and Brits can only stay in Spain for 90 days in any 180 days. So, if you’re a Brit and want to spend longer in the country, you’ll need to apply for a residence permit.
9. Open a Quality Bank Account
To buy property in Spain, you’ll need to open a bank account. Not only to pay for the property but to also set up utility bills. A Bueno current account gives you the freedom to be in control of your finances with the peace of mind knowing that your money is secure and accessible whenever you need it.
We also offer expert transfer services, meaning you get the most amount of euros for your currency with minimal fees.
We wanted to make banking simpler for those buying property in Spain. You can open a Bueno current account online in a matter of minutes and manage it from our web or mobile app. You get a Spanish IBAN account so transactions are made streamlined. Our expert team also offers local advice and knowledge in several languages to make the process even easier for you.
If you have questions about starting the property-buying process in Spain or would like to know more about opening a Bueno current account, get in touch with our team. We’ll be happy to help get the process started and make you one step closer to finding your perfect property.