Firstly, we should decide in which area we would like to have our second residence. It is important to know that Spain is split in Comunidades Autonomas (Autonomous Regions), each having their own political and administrative structure. Due to different Spanish Regions having their own taxing structure (as sell as laws) it is important to note that tax percentages both on buying a house and on maintanence will be different depending on the area you choose to buy your home in.
Once you have chosen your future house and are ready to proceed with the purchase you must go to a Public Registry (Notario) in order to make the transaction official, if you do not do this, the old owner (seller) could deceive you, and sell the house more than one time. The (future) legal owner will most likely be the person who has to go to the Notary and register the operation in the Registro de la Propiedad (House Registration Offices).
If we cannot go ourselves, or we don’t feel confident, we can hire a Spanish Lawyer, or any other legal representative, who can act on our behalf. In this case, we need to sign a General Power of Attorney (this document can be signed in either Spain or The United Kingdom)
It is very import to ensure that the house we are acquiring is free of charges (mortgage, community bills, taxes link to the property, etc.)
It is important to know that many times, when people are going to buy a house the seller will ask to receive part of the money in cash, and declare in the deed of sale a lower price (the seller will tell you, that with this option you will pay less taxes). This illegal practice, unfortunately, is quite common and is being prosecuted by the Spanish public authority.
- Choose a nice area, you can try to avoid tourist areas, if you would like to know the real Spanish culture.
- Choose a Law Firm, or lawyer to represent you. He will be very clear to be sure that you are no deceived.
- Pay all the taxes and avoid doing an illegal operation.
- Think about the option to apply for Spanish Residency, it could be a good idea after Brexit.
- Learn a little bit of Spanish to be available to communicate with your neighbour.
- Enjoy the Spanish culture.