UND-Pilsa Blog

Many residents of Britain and North Europe are finding the idea of purchasing foreign property a more desirable and realistic goal. Because these properties offer a good level of capital growth, lower airfares and low European interest rates have made purchasing in countries like Spain more attractive. The country of Spain provides the advantage of brief air travel, plentiful sunshine and a thriving economy. If you’re willing to ignore bad press and follow some underlying rules it can be very safe to buy in Spain. The following is a fundamental guide for those interested in buying real estate in Spain:

• A good rule of thumb is to make sure to have your finances arranged first when purchasing real estate in Spain.
  An spanish mortgage can steer you through the complex procedure


• Seek out legal advice before signing any documents.
  


• Take care not to reach beyond your financial limits.
• Be ready in case deadlines are stretched.
  
• Wait until you have the funding in place before committing yourself to a private purchase contract.
  
• Be prepared for the Spanish purchase procedure, which is different in Spain than in the UK and elsewhere in Europe.
• Fully realize the way taxes are accrued based on the specific ownership structure that you choose.

There have been many instances where international buyers have been unable to get the results they seek because they didn’t know what questions to ask. Before completing the transaction, you should get answers to the following questions:

• Is the property’s land pastoral or urban? What complications can come from purchasing land that is rustic.


• What costs will need to be taken into account, such as typical attorney’s fees and taxes?


• Are licenses already in place, for instance property contracts or first liens of residency?


• Is there be a ten year warranty on the building, if the building was constructed less than ten years ago?


• Is this purchase being bought direct or as part of a cessation of contract?


• Will there be any under declaration in this purchase?


• Be sure to ask what extra costs you might be liable for, such as taxes on capital gains, inheritance taxes or income tax.


• Are there any unforeseen deposits to pay? At what point in the procedure are they considered nonrefundable?


• What lawyer costs and other legal fees will need to be paid?