Before you decide to sell your property in Spain there are many things that you can do to make your property more appealing to potential purchasers before it even hits the Spanish property market.
First of all, and perhaps rather obviously, a fresh lick of paint can go a long way towards making your property more appealing to viewers.
Attend to any obvious defects, such as leaking taps and sinks, broken kitchen doors, draughty window openings and clean your swimming pool, balcony, outside terrace and garden areas where applicable.
De-clutter where possible so that you make it as easy as possible for potential buyers to see the house in a tidy state. This will help them to better visualise living in the property themselves.
Clean the property from top to bottom; ensure that those old crusty ornaments, curiosities and pictures are as presentable as possible! Once all this work has been completed, the property should be ‘photo ready’so well done!
Only once you have completed all these basic preparatory tasks should you consider approaching real estate agents, or other property sales professionals, with a view to the marketing and sale of your property.
The property selling process in Spain explained
Here is how the property selling process works, in simple terms, in Spain: –
1) You appoint a real estate agent or other professional to market your Spanish property for you. Consider their reach, experience and ultimate likelihood of selling your home at the agreed valuation.
2) Once a likely buyer has been found, the potential purchaser will normally make an offer to buy your property at a certain price, normally via your sales or estate agent. Any offers and counter offers should all take place at this point in the property sales process.
3) If you accept their offer, which may be initially provisional based on their needs, then the buyer may arrange for certain surveys, regulatory checks or other things such as soil tests and architect checks to be performed prior to paying any deposit over.
4) When the buyer is satisfied with any reports or investigations then both you and the buyer must sign a preliminary contract to seal the deal at an agreed price. This contract is called the‘contrato provado de compraventa’and it is at this point that the buyer must pay their deposit, which is normally 10% of the total sale price of the property in question.
5) To complete the property transaction, in Spain the‘escritura de compraventa’must be signed by both parties, buyer and seller, and full payment of the remainder (less initial deposit) of the purchase price made. This document then forms a legally binding contract between the property purchaser and the seller and is normally signed by both parties to the transaction in the presence of a Notary. The purchaser must, at this point, pay the remainder of the sale price (normally 90%), plus any taxes and other costs due at this point of the process. The seller will need to pay their sales agent commission and any other relevant sales taxes (usually around 3% of the sale price) at this point. If desired, the seller can appoint a solicitor to perform this process, using a pre-arranged power of attorney, to complete the transaction on their behalf.
Spanish property sales fees and related costs
In Spain, the property buyer is mainly responsible for the purchase costs. The seller will be responsible for any marketing and sales costs agreed with their sales agent. Theses fees can vary enormously but are generally between 3 to 5 per cent.
The property purchase costs in Spain are naturally paid by the buyer and are generally of the order of between 7 and 14.5% of the property purchase price. This figure varies somewhat depending on the type of property and region of Spain that the property transaction occurs in.
One final consideration for the property vendor is Capital Gains Tax, which, depending on circumstances may be payable to the Spanish Authorities as well as to the tax authorities in the sellers country of residence. Currently this is 19% for residents of the EU and 24% for most other nationals. The property vendor should always seek professional advice regarding these matters.
Other important considerations when selling a property in Spain
In Spain, if you want to sell a property, you must first obtain an N.I.E number (which is similar to a National Insurance number in Britain).
You will need both your passport and an address to obtain an N.I.E number, which you can apply for at many local Police stations in Spain. If you need to open a bank account you will also need your N.I.E number beforehand.
If transferring money to another country following your property sale then you will usually find that a great deal of money can be saved by using a foreign exchange money broker instead of your bank when converting from Euros to GBP or indeed any other currency.
Spanish Coastal Homes wishes you all the best with your property sale, and good fortune too, just ensure that you spend the proceeds wisely! Check back for more information, which we regularly update, on buying and selling property in Spain!