Legal Information

Solicitors

We cannot stress too strongly the importance of an independent Spanish speaking solicitor to look after your interests while purchasing a property in Spain. Some real estate companies and developers would rather you used their legal people, but as they work alongside these people all the time whose interests do you think they will really look after?

We would recommend that you use a solicitor based in or near to the area that you are going to purchase a property as they will be more in touch with local laws and planning issues regarding your property purchase, than a solicitor from another area. They will also have worked with the local notary office in the past and so will be on familiar ground. Their fees are usually in the region of 1% of the purchase price, but it is well worth it for the money and anguish that they can save you. Just read some of the stories from people who were assured that everything was in order and they would only be throwing money away by employing the services of a solicitor. Look at http://www.spanishpirates.com and you will see that there are plenty of unscrupulous people willing to part you from your money in Spain. Better to spend an extra 1% than to lose all you have paid.

NIE Number, Numero de Identificacion de Extranjeros

When you buy a property or car in Spain or if you are going to apply for a mortgage you will need an NIE number which is used as an identification number for tax purposes on major purchases.

In the province of Alicante you now have to apply for your NIE number in person at either the Foreigners department in Alicante where it will be processed there and then if you arrive early enough, as the office for processing applications closes at 2pm and if you are not seen by 11.30 you are usually asked to return the next day. If you apply at a local Policia Nacional Station you will probably have a wait of several weeks before the application is processed.

In the Murcia region it is still possible for your solicitor to obtain an NIE number on your behalf (as of 14 th July 2004) whilst conducting your property purchase. In Torrevieja there are plans to open an office for obtaining your NIE at the Town Hall in the near future and the office in Orihuela has also reopened after pressure from the foreign office in Madrid; although this has not been confirmed as a permanent arrangement.

The documents that you need to take with you are;

  • Your passport.
  • Photocopy of your passport.
  • 1 passport size photograph, clearly showing facial features.
  • Completed application form.
  • Copy of completed application form.

To help you we have included the application form on the website for you to fill in and print two copies to speed up your application. Details of how to fill in the form are listed below.

NIE Number Application Form (PDF)

1) Datos Personales Del Extranjero

  • 1 Apellido / Surname
  • 2 Apellido / write in - - - unless you have two surnames without a hyphen.
  • Nombre / first name(s), as on your passport
  • Fecha de Nacimiento / date of birth write as dd mm yyyy
  • Lugar de Nacimiento? / Place of birth as on your birth certificate
  • Sexo / gender, H for male, M for female, put a cross in the appropriate box
  • Estado Civil / status, S for single, C for married, V for widowed, D for divorced
  • Pais de Nacimient o/ Country of birth
  • Pais de nacionalidad / Current nationality
  • Nombre del padre / fathers first name
  • Nombre de la madre / mothers first name
  • Domicilio en Espana/address in Spain, details below, if none leave blank,
  • C/Pl. put in the road name and/or urbanisation
  • No. put in property number or plot number
  • Piso / apartment floor number
  • Tel. / telephone number if you have one
  • Localidad / town or village
  • CP / postcode
  • Provincia / Province

2) Datos relativosa la Solicitud

  • 2.1. Motivo por el que solicita el NIE / reason for NIE number, cross in economico
  • Detalle del motivo / detail of reason, write in Compra propiedad (property purchase)

4) Domicilio a efectos de notificaciones

  • Leave blank.

Notary

Once you have the funds in place or in the case of a new build the property is finished you will have to visit the Notary to sign for and become the legal owner of the property. The Notary is there to see that all due taxes are paid by both the buyer and the seller at the declared purchase price, he is not there to safeguard your interests which is why you should employ a solicitor to check everything beforehand. On signing a copy of the deeds is sent to the property register with the original remaining on file at the Notary office, you will be given a copy along with the Escritura Simple. You are now the legal owner and liable for all taxes charges and bills on the property.

Taxes and Charges

Unless stated otherwise the purchase price will not include IVA, notary and legal fees for the purchase of a property. It is best to allow an extra 10% of the declared price for all fess and taxes which can be broken down as. IVA 7% of the declared price at the notary plus 0.5% stamp duty on a new property. Notary fees, these are set on a sliding scale and will not be more than 1%. Solicitors fees, usually 1% of the agreed purchase price. Plus Valia, this is a local council tax based on the increased value of the land since the last time it was sold.