Buying a House in Valencia

Buying a House in Valencia: discover what only the top, expert property lawyer in Valencia region know about buying a house in valencia

If you are thinking about buying a home in Valencia, I recommend that you take the following steps:

  1. You can apply for your NIE (Foreign identification number), which is the number granted by the Spanish authorities necessary to carry out any economic transaction in Spain.
  2. You can open a bank account with a Spanish bank, since you will also need it at the time of purchase, so it is better to start the process as soon as possible. You may need some documents to open a bank account in Spain to demonstrate your income like payslips, tax return, bank statements, etc. because the bank must comply with regulations from the EU regarding money laundering.
  3. When you find the property that interests you, I recommend that you do not sign any reservation document or anything similar before your lawyer checks the property.
  4. Once the price of the property has been agreed, the lawyer carries out due-diligence on the property, to ensure that the property has no charges, liens or mortgages and the sellers are able to sell the property and all expenses related to the property have been paid (taxes, utilities, etc.), as well as that the property complies with all the legal requirements. This may take approximately 2/3 days.
  5. Since the legal status of the property has been verified, you may sign the private deposit contract (arras contract) where the buyer and the seller agree the price of the sale, the expenses of the purchase, deadline to sign the final purchase and also, other conditions of the purchase may be added. It is very important that this contract is clear to both parties because this is the basis of the final purchase.
  6. Usually, at this time you will pay anything from 3.000.-euros to 10% of the purchase price to the seller to take the property off of the market.
  7. When everything is prepared, the public deed of sale will be signed before the Notary. On that day, sellers and buyers meet in the Notary’s office and the buyers pay the balance of the price to the seller and the expenses from the purchase, and the seller will give the buyers the keys and also, some documents which states that all the expenses from the property has been paid until that date. A certificate of Energetic Efficiency is mandatory to be issued too.
  8. The expenses of the purchase in the Valencian Community (Valencia, Castellón and Alicante) are as follows (based on a purchase price of 200.000.-euros):
    • Purchase taxes (ITP and AJD) 10% of the purchase price = 20.000.-euros
    • Notary fees: 500.-euros approx.
    • Land Registry fees: 600.-euros approx.
    • Lawyer fees 1% of the purchase price: 2.000.-euros plus VAT
    • Estate agent´s fees: their commission depends on each case, so I recommend you always ask when you are visiting the property, just in case it is expected that you pay this also. Usually it is from 2% to 4% of the purchase price, plus VAT.
  9. The deed of sale has to be registered in the Land Registry once the Taxes of the purchase has been paid. This process could take 2/3 months and after that, you can pick up the original copy of the deeds. I recommend that you keep with you until you wish to sell the property and four years minimum after that, because you may need it for tax purposes.
  10. Once you are the owner of your home in Spain, there will be a minimum level of expenses relating to the property, which will vary depending on the type of property, location etc- as follows:
    • Rates (IBI), to be paid once a year. Also, if you buy a house in the countryside, you may have to pay some additional taxes for rubbish collection.
    • a minimum of the utilities (electricity, water, etc.) each month
    • property owners association (if your property is one of many in a building) each quarter
    • Non-resident Taxes (IRNR) or, if you become resident in Spain, Income Taxes (IRPF). You pay such taxes once a year.

 

Related Services

2 Lawyers Offering Property Purchase Services in Valencia, Spain

Testimonials for our Property Purchase service
  • Christopher Horne
    Christopher Horne, Puçol

    I both purchased and sold a property in Spain utilising Francisca's services in both instances. I felt it was essential to use a lawyer as I am from the UK and this was my first experience of buying and selling in Spain and the system, process and tax requirements are very different and I wanted someone experienced and professional to oversee everything and 'hold my hand' through the process.


    It seems that most Spaniards do not utilise a lawyer or use an independent property surveyor and the inmobiliaria/estate agent does a huge amount of additional work compared to what they do back home. This combined with the arras (deposit of thousands of Euros paid directly to the seller to 'secure' the property and take it off the market) made me nervous as it was so different to what I was used to in the UK - in some ways it's a lot better system.


    Like most reading this review, I did a huge amount of internet research when looking for property to buy in Spain and from experience have found that there are many companies set up by Brits and other non-Spaniards that are looking to take advantage of first time buyers from their native countries by putting up flashy websites and charging exorbitant fees - without exception I found that the Spanish inmobiliaria/estate agent, lawyers, etc. were far more professional, hard working and able to get things done at a fair price. The challenge is, if like me, your Spanish language skills are poor to non-existent - my advice to you is to get used to using both Google Translate and WhatsApp on your mobile phone with a data package that works in Spain as these came to my rescue on multiple occasions and are invaluable.


    Francisca's services through both the buying and selling process of my property were exemplary and professional at all times, her fees fair, her communication swift and her level of integrity beyond doubt. Some of Francisca's greatest non-lawyer strengths are her ability to empathise with a non-Spaniard buying property for the fist time in Spain, communicate the system clearly, set the necessary appointments / provide clear directions and generally 'hold your hand' through the process and sooth your nerves when necessary.


    I would have no hesitation in recommending Francisca to anyone requiring the legal services (not just buying/selling property) of a lawyer in Spain and will certainly approach her again should I need such services again. It is rare to find a professional of this level of integrity in any industry or country.


    We need more clones of Francisca across Spain! :-). From my experience, her services and professionalism cannot be improved upon.


    Oct 02, 2020