What You Need to Know About Real Estate Spain

Housing is one of the primary considerations when you move overseas and Spain is no exception. Here’s what to expect when searching for a property in Spain.

Many expats in Spain move with the intention of a long-term stay. Buying property is therefore a common choice and investment property in Spain is popular.

Even for those who have decided to buy property in Spain a property rental may still be an attractive first move whilst you find your feet. For short-term stays rented accommodation makes sense.

Property rental in Spain is extensive and rental contracts range from short-term holiday lets to renewable terms of up to five years at a time.

Tenants are well protected in property rental contracts in Spain but make sure you fully comprehend the legal and financial implications of any rental documentation that you sign.

For those planning on buying a family home, an investment property or a retirement property in Spain, there is a number of things to consider.

Whilst there are no restrictions on foreigners buying property in Spain it still makes sense to hire some legal help when you buy a house in Spain. Although legal assistance is not mandatory it will help you avoid issues later in the buying process as the onus is on the buyer to ensure all legal practicalities are covered.

Once you have settled on a property and had your oral offer accepted, a Spanish notary draws up a contract for both parties to sign. The buyer then pays a 10% deposit and the completion of legal issues and financing takes place before the final sum is paid and the title deeds are transferred into the buyer’s name. Note that the sum of additional costs for legal work, stamp duty and registry fees usually amounts to around 10% of the buying price.

You can find rental properties listed in the classifieds of the local newspapers. A local estate agent can also assist you with both rental searches and property purchases. However, many house sales in Spain are conducted without the help of an estate agent and the internet is a valuable tool to find these houses and apartments in Spain.

Property rental prices differ across the country and from city to city but are in general lower than in many other European countries. Typically expect to pay higher rents in larger cities and more for furnished accommodation than unfurnished, as well as a larger deposit.

Before you commit to any contract terms check with other expats that the neighbourhood you are looking in is suitable. Expat forums are a good place for advice.

Think also about the amenities in the property: the local heat may make air conditioning essential for you; lifts are often lacking in apartment blocks and may make life tough for those with young children; check whether the property comes furnished or unfurnished.