YOUR FIRST STEPS: The first steps of the Non-Resident to acquire a property in Spain.
More and more, foreign real estate investors are attracted to buying properties in Spain, especially because of the maturity of the Spanish real estate market, its attractive prices, its profitability, legal security and, without a doubt, the quality of life that is lived in Spain.
In recent months, especially due to the global health crisis that we are experiencing in 2020, inquiries about how to invest in Spain have increased greatly, among other reasons, due to the diversification of the portfolio of large real estate capitals International and also to be highlighted, small investors, who look favorably on making investments in safer countries, with constant returns and thinking about securing a future retirement. Note, for example, that in the last 3 months, in our case, requests for information from Chile have multiplied exponentially. And so with most of the countries in the region, especially Argentine, Venezuelan, Colombian, Peruvian and Mexican clients.
Our tips, to take your first firm steps and not make common mistakes, are the following:
- Your first and main step, have a good travel companion, or what is the same, let yourself be advised by expert real estate agents, who explain in detail, everything related to how to invest in Spain. Ask, ask and ask again. Once we have that resolved, we have started to walk, but we advise not to start running until the property is registered in the Land Registry.
- Sometimes the most complicated step is to be clear about my investor profile. Spain has a very interesting peculiarity, and that is that there are very different types of investment possibilities, but at the same time, with very different types of profitability and amount of investment. This means that in Spain we find that the vast majority of investors want to acquire properties in the main cities of the country, that is, Madrid and Barcelona, which of course are interesting and there are great opportunities, but they are not the only ones. They can be just as interesting or sometimes more, investing in properties on the coast, on the islands, in cities not so big but with a great tourist attraction or even in rural settings. In short, investing in these large cities also means making higher outlays. Our main job is precisely to know the client’s profile and present the best investment opportunities based on that profile and in different areas of the country.
- The most fun step is undoubtedly choosing your property. Do not forget that if you are a pure investor, the most beautiful property, or the one you like the most, is not always the one that best suits your profile. Therefore, you have to go back to your first step and do not forget that you must rely on your travel companion to make the choice. It is important to know that one of the keys to choosing the property is location, location and again location, and since it is not your country, you should let yourself be advised.
- Once the property is chosen, you have to formalize the purchase and my first stumble may come. This is the least pleasant step, the one that no parent wants their child to take, but tripping doesn’t mean you fall. Therefore, at this time, your advisor will be your father and mother, will remove the obstacles from the way and will facilitate the work. It is at this time that a deposit is paid and the reservation document is signed, you must obtain an identity document for foreigners, open a bank account in Spain and give your trust in the lawyer who will advise you.
- Now you have to take the longest step, but at the same time necessary, that is why a little patience is a key value in this step. The time has come to do as they say in Chile, the property title study and negotiate the terms of the contract. Also in this step, the private contract is signed between the parties and finally the deed of sale and delivery of possession.
- Finally and after a few weeks since you took your first step, we started to run, and to enjoy our new property in Spain. This happens once we register the deed in the Land Registry, the ownership is changed and the procurement of supplies is made in your name. Now the only thing left is to make the investment profitable and for that, at MaaR Agency we like to walk with our clients for many years.
