How do I get finance to buy a Spanish property?

You will be able to obtain a mortgage from a Spanish bank or lenders based in your country of origin.

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What are the costs involved in getting mortgage finance?

The set up costs will amount to approximately 4-5% of the amount borrowed.

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How can I transfer money into my overseas account?

This can be done via bank transfers which will take 3-5 days or you can use a commercial foreign exchange company which may offer better rates and faster transfers.

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Is a survey carried out on the property, its structure and its foundations?

New-build properties have a 10 year construction guarantee and a certificate from the architect. Surveys will not be carried out on resales unless it is specified as a requirement in which case it will be arranged.

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What action can be taken if the developer does not complete the property within the agreed time period?

If the delay is longer than 4 months then you will be entitled to claim compensation.

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What would happen if the developer goes bankrupt?

If the builder goes bankrupt and you have bank guarantees then the money paid will be refunded. If the bank guarantees were not provided then legal action will have to be taken against the bank.

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How should property ownership be structured for tax reasons?

There are various ways to structure the ownership of the property (listed below) and each has its own advantages and disadvantages. We will advise you on which is most beneficial for you. In your own name, in joint names: yourself and your spouse or co-purchaser, in your children’s or inheritors’ names, in the name of a limited company

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When do I have access to the property I purchase?

On the day of completion when you have received the keys.

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Who pays the Seller’s tax?

If the seller is non-resident then the buyer is required by law to pay 3% of the purchase price to the tax office to cover the seller’s potential tax liabilities. However, this does not impact the purchase price and simply means that 97% of the price will be paid directly to the seller with the remaining 3% going to the tax office.

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What are the yearly costs for owning a Spanish property?

Approximate amounts will be: Spanish Property Purchase Guide Council tax: €400 Non-Resident tax: €500 Community fees (where applicable)