Foreigners Buying Property in Spain

Spain is a country that attracts foreigners who want to buy property in Europe. In fact, around six million foreigners live in Spain today. Buyers choose Spain because of many reasons such as studying or retiring there. The amenities and the high quality of life attract them in buying property in Spain.

The article below details the property purchase process and the real estate market in Spain.

The Real Estate Market in Spain

Most residents in Spain own a house there. In fact, the rate of homeowners in Spain is around 80 percent.

Due to the recent COVID-19 pandemic, the market was interrupted in 2020. However, it bounced back in the second half of 2020. In addition, the prices of properties for sale in Spain also grew.

It’s also important to note that there are 17 autonomous regions in Spain. So, you may be subject to different rules in each region while buying property in Spain as a foreigner. For this reason, it’s advisable to check the regulation.

Renting is also an option if you consider staying in Spain for a short period. You can find affordable rent prices.

What To Take Into Account When You Buy A House in Spain

The first step of buying property in Spain is to get a foreigner’s identification number. It’s known as NIE (Número de Identificación de Extranjero) in Spain. You need this number to conduct any financial transactions in Spain.

There’s also a simpler way to buy a house in Spain: The Spain Golden Visa. The program allows you to get residency right in Spain after you buy a property. To qualify for this, the value of the property must be at least €500,000. It can also provide you with Spanish citizenship after 10 years of residency in Spain.

You also have an option to buy land and build your own property there. However, you should be informed about scams regarding this. There are some fake real estate agents that sell illegitimate properties to foreign buyers. Not to be affected by such scams, it’s advisable to check, for example, the land registry. It’s highly advisable to check if the planning permission is obtained before the building of the property. Debts are another important issue: check if the property has any debt. The reason is that the new owner will be responsible for the old debts.

Property and Land Prices in Spain

Prices of land and property in Spain depend mainly on the location and the seller. Usually, properties for sale in Spain are expensive in these areas: Madrid, Barcelona, and San Sebastian. More affordable properties are available in areas like Valencia and Alicante.

Finding Properties For Sale in Spain

While buying property in Spain, you have several options to check the types and prices. These include estate agents and real estate websites in Spain. They serve in many languages for customers. Some of these websites are Idealista, Thinkspain, and Kyero.

You can either buy the property and settle later, or you can go and check the property before buying it.

How To Buy Property in Spain

It’s a simple process to buy a house in Spain. The very first step will be choosing the property you’ll buy. Then, you can make an offer via the real estate agent of the seller. As noted, you can negotiate the price before the final decision. Then, include this amount in your written agreement.

Second step is to sign a preliminary contract. In Spain, it’s called “Contrato Privado De Compravento”. You can then pay the deposit. Typically, the amount of deposit is 10 percent of the property’s value.

You can also have a mortgage agreement. However, you need to own the property first.

Lastly, you’ll sign the contract called “Escritura de Compravento”. It’s advisable to do this in front of a notary.

So, it’s an easy process to buy a house in Spain, and it benefits you for a lifetime. Why wait, get yours today!