First of all you need to get an NIE ( Residence card) at the National Police station and open a current account in a bank.
RESERVE:
If you have found the property you like and you don´t want to lose it, you need to put a reserve so the estate agent takes it out of the market. It is necessary to add in the reserve contract that if the house has any charge or debt or any other problem that cannot be sorted, the agent will give you back the reserve. He has to provide you a “NOTA SIMPLE” from Property Registry, it is a document that states who is the owner of the property and if it has any charge. It may have a mortgage “HIPOTECA” that has to be cancelled at Notary at the same time you sign your deed “ESCRITURA” or you have the possibility to put that deed into your name and go on paying to the bank.
SELLING CONTRACT:
It is a private contract signed between the buyer and the seller. You have to pay about 10% of the value of the property. You discount in this amount the money already paid in the reserve. In this contract you have to establish the date of the signature of the deed, price, description of the property and add that it has to be free of charges and have no community fees or taxes unpaid. Once you have signed if you refuse to sign the deed you lose the money already paid and if the seller refuses to sign he has to pay double of the amount he received.
SIGNATURE OF DEED:
The seller has to provide:
CERTIFICATE FROM COMMUNITY saying the property has no debt. It has to be signed by the administrator and president of community.
ENERGY CERTIFICATE ( CERTIFICADO ENERGETICO).
TOWNHALL REPORT requested by the Notary, that guarantees the property has no tax debts.
EXPENSES:
SELLER has to pay Plusvalía (it is convenient to retain this amount to be sure it will be paid) and the receipt has to be attached with the deed when you take it to the Property Registry.
BUYER: Usually pays 100% of Notary and Property Registry fees as well as 8% Tax ( TRANSMISION PATRIMONIAL).
JOBS TO BE DONE AFTER THE PURCHASE:
COMMUNITY: Change entitlement
TOWN HALL, WATER CO. AND ELECTRICITY CO.: change entitlement
PAY Plusvalía if you have made the retention
PAY 8% TAX (TRANSMISION PATRIMONIAL)
PROPERTY REGISTRY: Make the registration into your name
EXPENSES YOU WILL HAVE AFTER THE PURCHASE:
Community fees.
Water, electricity and any other service.
IBI, Collection of rubbish.
Insurance.
