Tax, Legal and mortgage advice

When buying something as important as a property, good advice is of utmost importance

In order to protect your interests, it is fundamental that you engage the services of a good Spanish lawyer. Bemont can recommend local lawyers and tax experts who are fluent in French, Dutch, English and of course Spanish. They will advise you on the best structure for acquiring your new property, for instance, in your private name, jointly with your spouse and/or children or through a national or foreign company, among others.
Before the purchase, your lawyer will verify whether all of the legal and tax aspects of your property are in order. He will also take care of all the administrative procedures such as:

  • Tax payments
  • Registration of the property in the Land Registry
  • Change of title holder
  • Assistance with the transfer of funds
  • Applying for the Foreign Identification Number – NIE (Número de Identificación de Extranjero)
  • Any other services that might be necessary

Apart from the purchase price of the property, as a general guide, when buying a residential property in Spain, you should account for about 12-14% (resale vs. new build) of the purchase price as extra costs. These costs include:

  • Transfer Tax: 8% on the total purchase price for resale properties or 10% for new building projects
  • Notary’s fees and taxes: ±3%
  • Your lawyer: ± 1,2%

For buyers interested in a bank loan, we can recommend local banks where some of the employees speak your language.

Once you have completed your purchase, your lawyer will assist you in opening bank accounts, arranging contracts with the local utility companies and informing the Community of Owners that you are the new owner, among other important matters.

As a property owner in Spain, once a year you will have to file a Spanish tax return, which your lawyer can also prepare for you.