The three simple steps to buying your Spanish home  

Buying a property in Spain is as straightforward as can be. But it's good to know what's coming, especially as things work a little differently in Spain than in the UK, Ireland or other countries. Here are the basic steps to buying property in Spain.

1. Choose a property and put down a deposit
If you are unfamiliar with the buying process, or do not speak Spanish, it is highly recommended that you employ the services of an independent English speaking lawyer. Your lawyer will hold the deposit for you, which is normally about 6,000 euros. He will also undertake "due diligence" (legal checks) on the property, and your money will only be passed to the vendor once this is completed and at your instruction. It is recommended that you engage the services of English-speaking lawyers who specialise in property conveyancing.

2. Sort out the mortgage
At this point there's normally a "private purchase contract", which covers any payment made to the vendor that's outside of the amount of the mortgage. You'll do this within two weeks of paying the reservation deposit, and everything can be handled by your lawyer; you just need to give him power of attorney. As with anywhere else, it is important to shop around for the best mortgage deal, as the various different banks and "cajas" (similar to building socieities) have different offers available. If you are purchasing through an estate agent, they should be able to help with recommendations.

3. Receive your title deed and keys
Your lawyer (with power of attorney) will sign for your title deeds at a notary, which he'll then forward to the Land Registry to be recorded in your name. (He'll first make sure there are no outstanding charges on your property, such as unpaid taxes or community fees.) Finally, he'll help you in getting your utilities connected up and - if you've bought on a development - with formally meeting your community of owners.
It's now simply a case of receiving your keys and enjoying your new property!

What are the buying costs?
Reckon on 10-12% of the purchase price. Here's roughly how the fees break down:
Legal (around 1%)
Notary & Land Registry (1%)
Stamp duty: only for new properties (1%)
IVA (VAT) on new properties (8%), Transfer Tax on resales (7-8%)
Mortgage commission: Varies (if you buy with a mortgage, there may be some additional notary/registry fees and stamp duty).

Alta Vista Spain is a real estate company in Marbella on the Costa del Sol, Spain. We focus our efforts on matching client requirements and sourcing suitable properties, but given our longstanding experience in real estate and knowledge of this market in particular, we are also able to identify those properties that offer great value. Michael Liggan is a driving force and our chief property bargain hunter.
For further information, please visit Alta Vista Spain's website at http://www.altavistaspain.com.