Property Purchase New Build – Conveyancing

Property Purchase New Build – Conveyancing

You’re probably reading this as you are considering or you’ve decided to by an off plan or as known here in Spain a ‘new build’ property! Let us assure you that you’ve found the Costas most trusted and acclaimed Law Firm. We will walk you through the whole process and keeping you updated every step of the way.

Many times we have clients contact us by phone or email from their home countries and instruct us that they would like to use our services. When this happens we get a small head start as we collect all the relevant details from them thus saving time during the initial purchase process. We will then arrange their appointments for NIE numbers (HERE) as these appointments need to be booked in advance and everybody needs this number before they can complete on a purchase.

Value Added Tax (I.V.A.)

This tax is paid by the buyer (goods) or user (services). The Spanish IVA for the transmission of new built property is currently rated at 10% of the price of the house. The IVA tax is paid together with every payment made to the developer of the property.

Judicial Documentation Act Tax (A.J.D.)

This tax is paid on most of the documents prepared by the Notary (official documents, like the title deed (escritura) as a percentage of the value declared on them. In the Comunidad Valenciana this tax is 1.50 % of the value of the property.

Notary Public

The notary is a public official that prepares and witnesses the signature of a public contract or declaration, in such a format that is therefore subject to be registered at the Land Registry or any other official registry. The fees for the Notary are partly fixed and partly variable upon the value of the price declared. We always estimate approximately 900€ for this.

Land Registry

The registration of your title deed (escritura) in the land registry assures you that your ownership rights are protected against any third party. Again the fees are complicated to calculate but we estimate 700€ for this.

Solicitor fees

These are the fees charged by our legal department for the conveyance process according the purchase. These fees are also variable as not every property purchase is the same and some take much more work than others.

CONVEYANCING

  • Searches on the land, checking for licenses and building permits are in place before signing of the title deed.
  • Contact with the constructors for any queries, extras or add-ons and make any arrangements necessary.
  • Accompaniment to the Notary and translation of Title Deeds and completion of formalities through Power of Attorney, if required.
  • Arranging direct debit for utility contracts and outgoing costs regarding the property.
  • Registration of Title Deeds.
  • Tax payment.
  • If required drawing up of private contracts of Purchase or/and Sale
  • Application for mortgages, loans or cancellation of existing mortgages.
THE FULL SERVICE EXPERIENCE

Our objective is to provide a FULL SERVICE to our clients. We are here to inform them of the facts and legalities. Very rarely there may be a problem with a property or development that cannot be solved, if this situation arises we may have to advise them not to buy but as always the choice belongs to the client and we will assist and proceed as normal. We will get them to sign a separate document in front of the Notary confirming they have been given all the facts and details and are fully aware.