KARMA PROPERTIES will assist you through the legal process from start to finish, but we always advise you use an independent lawyer who is local to the area you are buying in as they will be fully experienced in the correct legalities which differ from region to region.

Before you begin the purchase process, you will need to obtain a fiscal number (NIE - Numero de Identificacion de Extranjeros). If you are resident in Spain you will only need the DNI.

In the case of a resale, once your offer has been accepted, you pay a small deposit (Between 3.000 € to 8.000 € depending on the final price). At this point the property will be taken off the market for a limited period (usually 30 days). This allows time for legal checks to be carried out and a contract of sale (Escritura de Compraventa) to be drawn up. Our company will give you the necessary documents to be able to check with your lawyer the property’s situation.

When the investigations have been finished and if the client would like to extend the courtesy period, you should sign a Private Purchase contract, which states the price and what it covers, paying the deposit (generally 10 per cent) and including the completion date. Should you breach the contract, you forfeit your deposit. Should the seller breach it, they must pay you twice the amount of the deposit.

The mentioned reserve / deposit or the proper Purchase Contract is a guarantee for both parties because the Seller will have the security that the buyers are going to proceed, and the property will be off of the market which is a guarantee for the buyer.

The process will finish when you sign the Public Deeds in the Notary.

Once the property is in your name, our recommendation is to use a specialized company to put into your name the electric and water contract, Taxes receipts, Gas contract, etc…. We offer the possibility of doing all of these changes with our company Maral Gestion.


Anyone buying property in Spain should allow at least 14 and 16 per cent on top of the agreed purchase price for the various fees that must be paid


The buyer pays:

  • 10% I.T.P. (Impuesto de Transmisiones Patrimoniales). Stamp duty and taxes involved on Property Purchase.
  • Notary and property registration fees of about 3 per cent
  • Legal fees (usually between 1 and 2 per cent). Amount charged by your lawyer to follow the process. This can be done by our company or by the Notary.

The seller pays:

  • PLUSVALIA (Local capital gains)
  • 10% I.V.A. (Spain’s equivalent of VAT).
  • 1,5 % a.j.d. (Actos Juridicos Documentados). Stamp duty for a new property.
  • Notary and property registration fees of about 3 per cent
  • Legal fees (usually between 1 and 2 per cent). Amount charged by your lawyer to follow the process. The client could always choose the Notary to do all the process.


To apply for a mortgage it is essential to open an account with the Spanish bank with which the mortgage is requested. Non-residents may qualify for a mortgage of up to 70% on the price of the subject property sales (in some cases 100% if the property is from a bank). The required documentation is as follows:

  • Photocopy of passport
  • Photocopy of your NIE number (Fiscal Identification number in Spain)
  • Last 3 pay slips
  • Income for the previous year
  • Heritage

The self-employed will need to provide the following documents:

  • Bank Statement of the last two years.
  • Taxes Declare of the past two years

The bank may ask you for a Bank Statement from your account in other countries, over the past two years.

VALUATION: The bank where you decide to open an account and process your mortgage will carry out the valuation of the property. The cost of a valuation is about 300 €. The final percentage of the mortgage is in relation to the valuation of the property, because if the valuation is less than the selling price, the bank always opt for a lower value.

FEES INCURRED IN THE MORTGAGE: These are about 2.5% of the mortgage. The fees are normally as follows:

  • 1.5% of the mortgage liability (A little bit higher than the mortgage valuation)
  • Valuation
  • Notary Fees
  • Land Registry fees
  • Processing Fees (gestoría)


  • Open mortgage fee: It can be agreed by the bank charging a fee, which is usually a percentage of the borrowed capital.
  • Multiriesgo Home Insurance: under the law 2/1981 the holder of a mortgage is obliged to take out fire insurance (or damages) on the property to be mortgaged. It is insurance that covers the continent, not the content of housing, which can be covered by another insurance or extending the same one.