NERJA BELOW….. AND THE MAIN QUESTIONS COVERED.
12th edition A Guide to Buying a Property in Spain. by Anthony I. Foster Resident 35 years.
Author and legal adviser, Calle Pasaje Granada Nerja +34 952 52 3695 – Mobile +34 629 577 445
Available Amazon & W.H. Smiffs Nerja & In Tonys office.
You can calculate approx…10% on top of a property purchase covering transfer taxes, legal work and Notary fees.
- Deeds ( Escritura)
- legal representative recommended.
- Charges may be 1% upwards of property price.
- Ask for quotes with no obligation.
- Shop around.
- Resale properties are 90% of sales made in Andalucia.
- Reservation contract to take off market, normally around €3000.
- All debts are on the property so search is important.
- This enables the legal adviser to search the land register office.
- Search made for any outstanding bills on property.
- This should include, electricity, water, local rates, community fees, unpaid taxes, Rubbish, telephone, etc.,
- Search made for any building works made to property and declared.
- Search made confirming ownership.
- Search made for correct papers in order to sell.
- Compulsory – Energy Certificate. ( we can recommend – Architect competitive pricing).
- Search is made that exact description is being sold.
- A contract “compar venta” is then drawn up.
- Agreement date for deposit of 10% minus the reservation price.
- Final signing deeds and final payment date in Notary office.
- Inventory of property to be agreed upon.
- Check all clauses in contract.
- If buyers do not complete the seller may keep all the deposit
- If seller pulls out buyer is entitled to double the amount returned.
- Plus Valia tax paid by seller please check it is in clause or otherwise agreed upon who shall pay, some sellers pass this on. to buyer – Stated in deeds.
- When advertised “an offer excepted” please check for completion, as sometimes circumstances cause buyers to pull out of a sale and the property is again for sale.
- Mortgage minimum requirement 2018 – 20% deposit.
- Banks want proof of repayment via accountant/taxes.
- We can take you to 3 banks to compare.
- End of the year NON-Residents have a property tax . A 2% of property value is taken then you are charged 19% proportion of the 2%
Long Term Rental
- A rental for the duration of an 11 months contract minimum.
- Some landlords may ask for a 2 month returnable deposit.
- Most ask for a months deposit.
- Then the first month’s rent when you receive the keys.
- You will be expected to sign a contract.
- Contracts are standard and if provided by Intersalesnerja they are in two languages. Spanish and English.
- If provided by the owner intersalesnerja will translate.
- First option of a renewable to tenant providing all bills and rent is up-to-date.
- The landlord must give a months notice minimum if he doesn’t want to renew the contract and must have a good excuse, ie selling, family reasons etc.,
- You must give a months notice if you don’t want to renew the contract.
- Some contracts state 2 months notice either way for none renewal.
- Some agencies ask a fee to renew a contract – inter sales nerja do not.
- All rents are expected to be paid between the 1st and 5th of every month.
- All tenants have to pay electricity normally every 2 months.
- Some tenants have to pay water every 3 months.
- Some tenants have to pay rubbish collection every 6 months.
- Nearly all rental properties are furnished.
- ALL rentals should come with a contract.
- Most owners ask for you to pay the rent through the bank D.Debit.
- If you have faulted on your rent for 3 months the owner has the right to go to a fast track court and get you evicted.
- Some landlords want the electricity bill to be taken direct from your account.
What is expected of a Tenant.
- The landlord will expect you to respect the neighbours.
- Most apartments are referred to as pisos.
- Most apartments are in blocks called edificios.
- Edificios are governed by a community of people.
- The community will have by laws.
- Laws on communities are governed by the ” Horizontal ” law.
- Some laws forbid animals, although this is uncommon now.
- The landlord may want to inspect the property every 6 months.
- The tenant is expected to keep the property in a good condition.
- On none renewable please leave the property in a good condition.
- This may affect the returnable deposit
- Landlords should replace worn and aged goods.
- In the case of a breakage and its your fault you will be expected to replace the goods.
- The tenant can not sub let the property.
- The tenant can not use the property for other purposes other than to live.
- Contract will state the amount of persons renting property.
Tips on Renting .
- Some landlords will negotiate the rental price.
- This may depend on how much you are willing to pay upfront.
- Being a good payer on time will go a long way.
- Warning the landlord of any possible delays in payment is respected.
- Please ask for an inventory.
- Most rentals are straight forward and you should not encounter any.
- Remember the landlord wants to rent and you want a rental.
- Some landlords have storage areas to put unwanted furniture.
- Winter rentals be aware of the heating provided normally minimal.
- For winter lets sunny days are lovely but shorter, around 5pm to 6pm average we start to get dark quickly.
- Therefor you spend longer indoors, so home comforts are recommended.
- Spanish digital tv if provided is via an Ariel and a receiver box.
- Spanish Tv offers great films, documentaries, history, American soaps and transmitted mainly in the original language.
- English channels may be available through Internet or dish and box.
- Internet is very easy to install. Firbre Optic is now available in Nerja in most areas.
- Country side properties normally use a satellite system.
- Telephone lines need to be contracted, many companies to choose from.
- Winter lets owners ideally are looking for a few months per time let over the low season
- If a property is advertised for a long-term the price reflects this.
- Prices may be negotiable.
- Standard contracts will be made if up to 6 months.
- Terms and conditions will apply.
- Paying upfront may give you a better price.
- Electricity will be extra.
- Water and rubbish should be included in rental price.
- Please remember that the older Spanish houses are not normally insulated, curtains can be of a fine material and carpets none existent, bring home comforts where possible, although they can be cheap to purchase locally.
Renting commercial premises.
- What ever the rental the landlord will ask for a 2 months returnable deposit.
- This will be returned when contract is finish and the premises are in the same condition as you started.
- Adding new permanent fixtures need permission, best in writing.
- Some landlords ask for a lease price ( trespasso) on bars and restaurants mainly.
- You are able to sell this on.
- The landlord will have this written in the contract.
- The landlord will expect 10 to 20% when sold on.
- Some landlords ask for a large deposit for all the fixtures and fittings supplied.
- This amount will be returned pending condition of premises.
- Straight rental contracts of premises are coming in frequent now.
- Please do your home work on the areas when looking for a business.
- Location is very important especially in Nerja.
- We are able to advise on this with over 30 years in Nerja
- We are able to connect you free of charge, with an accountant and go through the stages of becoming self-employed, taxes, social security payments and I.D. number.
- Alta means you start to as a self-employed or are employed.
- Autonomo is when you are paying a self-employed stamp.
- Social security payments are low for first timers since 2013 conditions apply
- Please contact us for further information on any of the above.
If there are any subjects you would like us to cover please advise.