How to buy a property in Spain?
So you have found the holiday house of your dreams on the Costa del Sol, the Balearic Islands or in Barcelona. Your real estate purchase process can begin.
BEFORE making an offer to the seller, you should now call the Home Inspector. We are aware of the urgency of the issues connected to real estate purchase, and react fast. Usually, an appointment for the inspection is made when you call, which can even take place on the same day.
We normally allow some time to carry out the inspection, which can take 2-3 hours. During the inspection, we take pictures of the property, compare the given measurements to reality, and examine defects in a detailed manner. Directly after the inspection – or in your presence, if you are present during the inspection – our Home Inspector can tell you the first results.
Immediately after the inspection has finished, there is a follow-up conversation between you as a purchaser and us as Home Inspectors. This is when we decide upon the next steps we can take together in this real estate purchase, which price shall be offered and how to carry out negotiations in different aspects.
Your Home Inspector will now illustrate the necessary backgrounds of legal and building law aspects and then begin to negotiate with the selling party. The results of the inspection and our conversations with you will influence in the negotiations and, ideally, an agreement will be made.
After getting to an agreement, your Home Inspector will set up the signing of a preliminary contract, which is called “Contrato de Arras”. It is common in Spain during real estate purchase to sign a preliminary contract and pay a deposit, which can be freely agreed upon, but should not be too low. If the seller steps back from the contract, they are obliged to pay you twice the amount as a compensation. However, if you step back from the contract, you will lose your deposit.
After signing the Contrato de Arras, a purchase deed (Escritura de CompraVenta) will be prepared. Thus, the seller surrenders their own Escritura to you, which contains the property itself – size, location, dispensabilities, rights of way, share in the community, if roof terraces can be used privately or belong to the community, etc. It is common for the purchaser to determine which notary shall carry out the signing procedure, as the purchaser has to bear the costs. On the day of signing, the purchaser shall take a bank cheque with them – in case of financing, a bank clerk is usually present with a mortgage cheque – the signing is done before the eyes of the notary, and the bank cheques are handed over in the same moment. For this purpose, the notary has already made an announcement of the purchase in the land registry (a type of priority notice of conveyance). The buyer receives the provisional entry in the land registry (=Registro), as well as the purchase deed, on the same day.