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BUY PROPERTY IN FUERTEVENTURA
by Fuerteventura Properties Professionals
The Spanish Purchasing Process - A Quick Overview Go to the top
1.-Lawyers/Abogados
2.-spanish notaries
3 .-surveyor
4.- Who/What Should Own Your Spanish Property ?
5 .-Powers Of Attorney (Poderes)
6 .-Tax Identification Number
7 .-Costs Involved When Buying A Property in Fuerteventura
1.-Lawyers/Abogados Go to the top
Always use lawyers conversant with Spanish Laws. A Spanish abogado must be an excellent lawyer along with having the ability to speak both Spanish and English perfectly.
It should also be remembered that debts can attach to the property so not only should searches be carried out but also contracts should be properly drafted. Never purchase without the help of  a qualified Lawyer.
2.-Spanish notaries Go to the top

Most Spanish people simply use notaries to convey their properties without the use of a lawyer/abogado. For many Spanish people this is fine as they will have local knowledge and of course understand what are and most importantly what are not the obligations of a notary.
Notaries have to concern themselves with the validity of the paperwork, and ensure that certain government regulations have been satisfied including payment of duties/taxes are paid.
What the notary does do is give legal veracity to the pertinent legal and conveyancing process, and are a very important process in the whole transfer of one property owner to another.

3 .-Surveyor Go to the top

In  the Canary Islands there is no direct equivalent to the British or Irish chartered surveyors profession although there are legally appointed valuers. That is why it is always important to appoint a lawyer when buying realestate.
When buying real estate in Fuerteventura a professional advisor will always recommend and ensure that the following actions are taken.

(a) Confirm that the seller is the absolute owner of the property.

(b) Make sure that the house is Free of Debts (cargas) or Mortgages (hipotecas).

(c) Verify that the land where the property is located is classified as suelo urbano (not rusticlandbuturbanland).

(d) Check the Urban Development Plans (planes de desarrollo urbano) of the locality including any future potential developments that may have applied for planning permission.

(e) Apply for an Information Note (nota simple informative) in the Registro de la Propiedad. This is just a document saying who the proprietor (propietario) and title owner (titular) of the property are and whether the property is subject to any debts/charges or other incumbrances.

4.- Who/What Should Own Your Spanish Property ? Go to the top

For most people this is the crucial question as an incorrect decision could literally cost thousands of Euros.   
A property can be bought directly by an individual or individuals, a local Spanish company, a branch of a UK or Irish company covered by the Spanish/UK/Irish double taxation treaties or directly or indirectly by an offshore company.

5 .-Powers Of Attorney (Poderes) Go to the top
These should oly be granted to your lawyer or other suitable party ie partner or someone that you trust implicitly, to sign the escritura documentation on your or your company's behalf, your lawyer can organise this for you whilst in Fuerteventura or it can be arranged at home but must be done before a UK notary public and then ratified by the UK Foreign & Commonwealth Office or the Department of Foreign Affairs in Dublin.
6 .-Tax Identification Number Go to the top

In Spain it is the law that all fiscally resident individuals have either a NIE (Numero de Identificacion de Extranjeros) or Foreigners Identification Number, or in some areas a NIF (Numero de Identificacion Fiscal) Fiscal Identification Number.

Non-fiscally resident individuals purchasing a Spanish property through a Spanish Sl Company or a registered foreign company branch do not need their own identification number as the companies will have their own identification numbers.
7 .-Costs Involved When Buying A Property in Fuerteventura Go to the top

The overall cost of purchasing a property in Fuerteventura is dependent on whether a property is new or a resale property. Both are very similar and you must add approximately 10% to the purchase price.

A much more in-depth explanation - including every single cost that you will encounter when purchasing - is given when you purchase a property through Fuerteventura Properties.com
MORTGAGES IN CANARY ISLANDS Go to the top

Mortgages are available for non-residents of Spain up to the value of generally 80% of the property price although this can be higher in certain circumstances.The mortgage can be arranged through the leading Spanish banks that are based in Fuerteventura and of course are subject to status. Minimal proof of income is required including 3-6 months payslips, last p60 form, bank statement and a copy of passport. (For self employed people last years tax return shall be required instead of payslips). Non-status mortgages can also be obtained up to the value of 50% of the property purchase price.
Mortgages can be granted for up to 30 years dependant upon age and income (providing the applicant has not reached the age of 70 by the final repayment year).
Interest rates in the Canary Islands and Spain are currently amongst the lowest in Europe running on avaerage between 3.25% - 3.5%. The mortgage can be paid by capital repayment or interest only, you can also obtain fixed rate mortgages but the rates are generally much higher.

The other important note about obtaining a mortgage in the Canary Islands is that you are separating your assets from those at home and are not tying up yourprimary residence to secure the monies to purchase your property in Fuerteventura.
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