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There are 4 steps of sales of residential property in Spain.

How does the purchase occur?

1. Preparation

We know that the decision to buy residential property is a major decision, and it becomes even more important when the purchase is to be executed overseas and if this is your first experience.

At New Nordic Homes we take pride in assisting you from the start to the finish of this process, so that you could avoid all unnecessary and complex schemes. We can help you visit the houses that you might have found online. See this way you can come to know our honest opinion about the location and quality, which you see in video, if you desire so.

All of the abovementioned services are rendered free of charge if you pick us as your real estate agents on the Sunny shores – independent of the house that you choose to buy. If you have not yet found any suitable house online, please give us a call.

What is the best way to prepare for a purchase?

You must identify and disclose your requirements, with which the residence should comply. For example, is it just for summer vacations, or will you be residing there most of the time, etc.?

Which area do you prefer for your residence? Should it be close to the beach, in a cape, near a golf course or up in the hills with scenic views? Here, in the Sunny Haven, you have a lot of options!

What are the most important factors for you?
1. Own swimming pool – or a common pool is good enough?
2. Distance from the beach in steps?
3. Do you want view of the golf course?
4. Do you want a view of the sea or mountains?
5. Do you want a private garden? Or do you prefer to have a balcony or roof-top terrace?
6. Are you looking for an apartment, penthouse, townhouse or a whole villa?
7. Will it be possible to rent out your place, when you’ll not be residing there? This can help cover your maintenance and other expenses!

If you cannot find a suitable residence, and you are looking for guidance and assistance, please give us a call, so that we could find a suitable property for you.

2. Reservation

As soon as you find a new property, you must reserve it as soon as possible, so that it won’t be sold to any other party.
This can be achieved through a simple reservation agreement. Usually a 5000 Euro deposit is made.

This deposit is not refundable, in case you change your mind. If the seller changes his decision, you get your deposit back, and in most cases twice the amount that you have paid. The deposits are usually kept in customer account of the seller’s lawyer.

Property reservation guarantees that the property is taken off the listing, giving your lawyer a chance to conduct due diligence, covering matters related to ownership, encumbrances etc, before reaching the stage of final property registration and transfer. Property reservation is usually executed for four weeks.

3. Sale-purchase agreement (registration)

When all the details are worked out regarding the property, and the deal can be closed, a check is run to ensure availability of finance and, maybe, there would be minor supplements (for example, registration of a new garage etc.) – this is done by the buyer’s advocate, who then:
• Receives all necessary information regarding the property
• Confirms that the property is legally clean
• Compiles the “Contrado Privado” (sale-purchase agreement), which stipulates all the provisions of the deal. Usually at the time of signing of the sale-purchase agreement a deposit of 8-10% of the total value of the deal is paid.

4. Visit to the notary public

All the concerned Parties meet the Notary Public:
• Seller and buyer, or their representatives
• The bank which finances the deal
• The bank, which might had provided credit to the previous owner
• Real estate agent – mostly

The Notary Public goes through all the documents in presence of all the parties, reads the deed and other relevant documents. At this stage the remaining funds are transferred, and the new owner gets the key to the property.

The Notary immediately sends transfer information to the property ownership register (Registro de la Propiedad). It normally takes a few hours before the property ownership register affirms new ownership rights.

After this everything is in order. The money and property keys exchanged hands, and you are ready to occupy your dream residence in Spain.

At this point the previous owner vacates the property.

You can also authorize your advocate if you don’t want to fly to Spain for the given meeting.

Useful information about the purchase of property

Period of time required for purchase of property

If the buyer has necessary funds when he finds a suitable property on sale, and the seller consents to quick transfer, the deal can be closed within a very short period of time – as short as two weeks.

However, it normally takes 4 to 6 weeks from the date, when the buyer and seller agree on price and terms & conditions of purchase of property in Spain.

If your bank has not approved your financing beforehand, you must be prepared to spend up to two months in the process of purchase of property.

Notary Public – What is “Notario”

“Notario” is highest title in Spanish jurisprudence. Each “Notario” has his own license number and rank.

This title means that as a Notary Public you can act as an independent legal entity, guaranteeing any deal, executed in presence and with the signatures of the Notary Public, is considered a legally approved deal – meaning that none of the parties has cheated the counter party.

Therefore the Notary Public should not be confused with an advocate. The Notary, for example does not interfere if the agreed price or the interest rate for credit are extremely high or if for example the basement of the property has fungus or the ceiling is cracked. These matters are looked into by the buyer’s advocate. So, when looking into the deal the Notary Public considers that the fungus in the basement and cracked ceiling are inexistent.

The Notary Public’s role is limited to informing all the parties about all the details of the upcoming agreement, and the documents, signed in the Notary’s presence, conform to the provisions of the agreement.