Marbella Property Buyers Guide
A potentially life changing decision
Deciding to buy a property in Spain is an exciting and life changing decision. Although there are some differences compared to buying property in other countries, it's not too complicated once you understand the process. You also have the reassurance that we at Seavilla are always available if you have any questions. This guide should provide a good introduction to the steps you need to take to become a property owner in Spain and start a new life with sand between your toes.
Quick steps of the buying process
Finance
Do a financial calculation of how you will finance the property and your budget.
2. Contact a sales agent
Find a sales agent and provide the agent with your criterias of what you're looking for. The sales agent will send you suggestions of propertis.
3. Viewings
Attend the viewings together with your sales agent.
4. Contact a legal representative
Find a legal representative that you trust and he/she will help you with Spanish registration number and power of attorney for the steps needed.
5. Put an offer
When you have found your dream home it's time to put an offer on it. In Spain the bidding usually takes place below the asking price which is different compared to many other countries.
6. Reservation contract
When you get an accepted offer you reserve the property by signing a reservation contract and pay the reservation fee usually between 6000 and 10 000 €). The transfer will be made into the lawyer's client account and not to the vendor. When the transfer is done, the property is off market and your lawyer starts with the due diligence.
7. Purchase contract
This is usually done 14 days after the reservation contract is signed. When both the vendor and buyer have signed the purchase contract 10% of the agreed price of the property (minus the reservation fee) is transferred to the lawyer's client account. The lawyer will confirm the transfer to the vendor. The agreed date of access is written in the purchase contract.
8. Completion of purchase
Everyone will meet at the notary to complete the purchase. By this time, registration in the title deed is made. The 10% at the lawyer's client account and the 90% that is left of the agreed price is transferred to the vendor at the notary.
The keys to the property are handed over to you.
Choose your new home with care
At Seavilla, we'll help you find the home or investment you're looking for, regardless of budget or property type. It's important to us that your home purchase is the right one and that it's the type of home that suits you best.
We have access to the entire Costa del Sol real estate market. This way you can use our knowledge and advise you on the best properties to suit your needs.
Our sales agents become your personal agent and you don't have to contact several sales agents and do all the research yourself. We also help you schedule all viewings and show you the properties.
Financing
We recommend our clients to set a plan of how you will finance the property before you actually start looking. In case yo will apply for a mortgage we recommend you to apply for an offer to find out your budget and what your options are.
One option is to apply for a mortgage in a Spanish bank where you usually can get a mortgage for up to 50-70% of the property price. Another option is to mortgage your existing home via your bank in your home country. Having a good overview of your finance gives you an idea what you can expect for the budget, what your new monthly cost will be and allow you to act in the most efficient manner when the right property comes along. Your sales agent will not be involved in the financing, but can provide you with recommendations of bank options as well as legal representation.
Legal Representation
We recommend everyone, both vendors and buyers, to hire a legal representation with experience of the Spanish property market/transactions to represent you throughout the purchase. The lawyer will cost you 1% of the agreed price of the property, which is a relatively small cost compared to that it will save you from future trouble and costs if something goes wrong in your purchase. For example, all debts on the property, such as bank loans, local taxes and fees are taken over by the new owner if the vendor doesn't apply for a change. This is included in the lawyers due diligence of the property and he will confirm that there are no debts on the property before you complete the purchase. If you're not a Spanish resident you will need a NIE number to buy a property in Spain. This is a Spanish identification number for foreigners (Numéro the Identificación de Extranjero).
The NIE number is a tax number which is required when buying a property, paying taxes, starting a bank account, signing up for subscriptions such as telephone, electricity, etc.
Your lawyer will apply and provide you with your NIE number, which is included in the 1% that you pay.
Viewings
The Spanish viewings are quite different from what we are used to in other countries. In Spain, the costumer often view several properties individually with the sales agent, which also means that you have enough time to ask questions without stress. Your sales agent will attend all your viewings and can also give his/hers recommendations and/or pros and cons according to our knowledge.
To buy a resale property
A resale property is an existing property that has had previous owners and where you buy the property from the current owner. All resale properties are sold in existing conditions with respect to age, price and usage.
It's the buyer's responsibility to check the property before signing the purchase contract. Your legal representation will help you to make a due diligence of the property to see that everything is in order and that it will be a safe purchase.
Property tax of a resale property is 7% of the purchase price.
To buy new development
Buying a new home off-plan is a little different than buying a resale property, but your sales agent is here to assist you and make sure that it will be a secure purchase. At all new developments, it's the developer of the property who becomes the vendor. The developer, together with your sales agent, will provide you with all information about the development such as when it's going to be built, finished and when the access of the properties will take place. There are renders, site plans and floor plans of the development to give you a clear picture how the result will look like. The developer will also show you the plot of the development and show you where your property is located. You get to see materials and depending on the developer and how far the building process has gone, you might be able to make some changes on the inside of the property to make it suit your needs and taste. The payment plan of buying a new development depends of the developer but usually a reservation fee of €6000-€10.000 will be paid to take the property off the market. During the building process you usually pay between 30-40% of the property price, sometimes all at once and sometimes divided into different ocasions. The 60-70% that's left will be paid at access when the development is completely done.
Property tax (VAT) of a property from a new development is 10% on top of the price of the property.
Costs connected with your purchase
When you buy a property, there will be additional costs of 12-14% of the agreed price and it's important that this is included in your budget. The buyer pays following costs in addition to the agreed property price.
Transfer tax
Property tax is 7% for a resale property and 10% of a new development.
Value Added Tax (VAT)
VAT is 10% and shall be paid when a home are being sold for the first time. In addition to VAT, stamp duty shall be paid for the issue of the legal documents. This is normally around 0.5% of the purchase price, but can be 1.5% in certain regions.
Notary fees and registration fees
In most cases the notary fee is between €1800 and €2000 but depending on the price of the property this rates can be much higher. If you have applied for a mortgage of the property, you will also need to pay the notary fees for the title registration linked to the mortgage.
Title registration fees are in most cases between €600 and €800.
Legal fees
Most lawyers charge around 1% of the agreed property price. This might be negotiable for more expensive properties. Some charge by the hour and others offer a set fee.
Access
When the due diligence, documents and finance are done, it's time to complete the purchase. The date of the completion is written in the purchase contact and it takes place at the notary. At this time the registration are made that the property has a new owner, and the agreed property price will be transferred to the vendor. The keys will be handed over and the buyer got a new home!
Welcome to Seavilla
Who We Are:
Seavilla is a premier real estate firm based in Marbella, specializing in helping buyers, sellers, and developers navigate the vibrant Costa del Sol market. With a focus on providing personalized services to international clients, we are your dedicated partner in finding the perfect property or investment.
Why Choose Seavilla?
• Expert Guidance: We offer in-depth knowledge of the local market, ensuring you make the right choice for your needs, whether it’s a dream home or a solid investment.
• Stress-Free Experience: Our goal is to make your property purchase as easy and satisfying as possible, handling every step of the process.
• Turnkey Services: Whether you’re here in person or online, we offer end-to-end support, from finding the perfect property to closing the deal.
• For Foreign Clients: We specialize in helping international clients access the growing Spanish market, making it easier to invest or buy a home in Marbella and beyond.
• International Partnerships: We have strong partnerships with global organizations, helping clients from all parts of the world invest in properties in Marbella and the Costa del Sol.
Our Comprehensive Services Include:
• Sales & Brokerage Services: Expert assistance in buying, selling, and brokering properties in Marbella and the Costa del Sol.
• Investment Management & Consulting: Strategic advice and management for profitable investment opportunities.
• Financial Services: Tailored financial solutions to suit your property investment needs.
• Legal Services: Expert legal support to ensure a smooth and legally secure transaction.
• Currency Exchange Services: Efficient and secure exchange for your international transactions.
• Property & Rental Management: Comprehensive services for managing and maintaining your property, whether for personal use or as an investment.
• Interior Design & Refurbishment: Expert design services to transform your property into your dream home.
Our Promise:
We are with you every step of the way, ensuring a seamless, hassle-free process as you secure your property in one of the most sought-after locations in Europe.
Join Us on Our Journey:
At Seavilla, we believe in building lasting relationships and delivering results. Let us help you make your dream property a reality.
