Are you a foreigner and want to buy a property in Spain? There are many people who, faced with the political and economic instability of their countries, decide to invest in our country to guarantee the security of their money, and try to obtain some profitability. If this is your case, pay attention and take note, because at Lawyers & Accountants we tell you everything you need to know to buy a property in Spain while abroad.

Requirements to buy a house in Spain while abroad

Regardless of whether they come from European Union countries or not, Spain does not place restrictions on foreigners who want to buy a property in our country. But a number of requirements must be met.

One of them is to request the NIE to buy a house (Foreign Identity Number), indispensable to identify you when making the purchase-sale contract, as well as to pay the corresponding taxes.

Likewise, although it is not mandatory, it is advisable to open a bank account in Spain, to deposit the funds, as well as receive or make transfers.

It will also be necessary to make an earnest contract, where the conditions of purchase and sale are established and a part of the price is paid on account of the final price, payable when the transfer of the property is made before a Notary.

Furthermore, it is also advisable to seek expert advice to buy a property in Spain, in order to have a professional who can inform you, advise you and even represent you fiscally if necessary.

 

What taxes will a foreigner have to pay when buying a property in Spain?

 

• Value Added Tax (IVA): If the property is new, you will have to pay a VAT percentage of 10%.
• Property Transfer Tax (ITP): as a general rule, if the property is a second hand property, you will have to pay between 6% and 10% of ITP depending on the Autonomous Community.
• Tax of Documented Legal Transactions (Stamp Duty) (AJD): if the purchase is made by mortgage loan.
• Non-Residents Income Tax (IRPN): tax that is applied to the seller of a property when he does not live in Spain permanently.
• Property Tax (IP): The law sets a minimum IP exemption of 700,000 euros.
• Real Estate Tax (IBI): local tax paid by the municipality on the basis of the cadastral value.

 

At Lawyers & Accountants we help you to purchase a property in Spain

If you are determined to make the purchase, but you have doubts, at Lawyers & Accountants we help you with all the management for the purchase of properties in Spain being a foreigner, informing you, advising you and helping you with all the formalities, so that you get the best possible conditions.

We make it easy for you, as we will take care of getting the NIE to buy your property in Spain, so that you do not have to worry about anything. Even, if necessary, we can sign the purchase of the property for you, delegating this procedure to us. Something very beneficial nowadays, given the difficulties to travel because of the coronavirus.

Conversely, we will also take care of the tax management when buying a property in Spain, looking for the best solutions, guaranteeing at all times compliance with the law.

In short, we do advise you on everything related to the corresponding documentation: obtaining NIE, earnest contract, deeds, simple note of the cadastre, etc.

Contact us and get a property in Spain safely.

We make it easy and we seek better conditions for you.