Is the dream of owning a property in Mallorca within your grasp? Unfortunately, there are a few things you need to consider before you can make the perfect purchase. FALC Real Estate Mallorca will show you the most important points.
10 steps to buying a property in Mallorca
Apply for a Spanish Tax Number (N.I.E.)
The Numero de Identidad de Extranjero is a foreigner’s identification number that is valid for life and is mandatory if you want to buy a property or a car, for example. The N.I.E. is also required to get a telephone line or to take out insurance.
Open a Spanish bank account
In addition to the N.I.E., you will also need a Spanish bank account to buy a property.
Tip: Compare the fees charged by different banks.
Request an extract from the Property Register (Land Register)
You can use the extract to find out who the legal owner of the property you want to buy is and whether there are any pre-emption rights.
Request a cadastral extract and compare it with the land register extract
It is imperative that the cadastral excerpt matches the land register excerpt in order to purchase a property.
Request the seller’s sales contract
Have property tax and rubbish collection notices delivered
As a property owner, you are required to pay property tax and rubbish collection fees, otherwise claims can be made retrospectively for years.
Have energy certificate issued
Under current EU legislation, the preparation and delivery of an energy performance certificate is mandatory prior to purchase.
Request a Certificate of Habitability
The cédula de habitabilidad is an important document which certifies that the property meets the minimum requirements in terms of size, technical and sanitary facilities and is suitable for human habitation.
Ensure there are no building code violations
Unfortunately, it is not uncommon in Spain for buildings to have been built illegally. In the worst case, your newly acquired property can be demolished. You can check this with the help of the Certificado de no-infraccion urbanísta.
Request invoices from the utility providers
To be on the safe side, it is also advisable to obtain receipted bills from utility companies such as electricity, gas, water, etc.
Buying property in Mallorca: What is there to consider?
Is the dream of owning a property in Mallorca within your grasp? Unfortunately, there are a few things you need to consider before you can make the perfect purchase. FALC Real Estate Mallorca will show you the most important points.
Before you can even buy a property, you will need a Spanish tax number (N.I.E.). The N.I.E. is an indispensable and multifunctional number, as you will also need it if you want to apply for a telephone line or buy a car. We recommend that you make an appointment at your local Foreigners’ Office (Oficina de Extranjería). You can also apply for an N.I.E. number at the Spanish Consulate. In addition to the tax number, you will also need a Spanish bank account to buy a property in Mallorca. This is usually relatively straightforward. As a non-resident (not registered to live in Spain), you usually only need an identity card or passport and translated proof of income. It is best to find out in advance which bank you would like to open your account with, as fees vary widely and are comparatively high.
Other documents for your Mallorca property purchase
In addition to the basic requirements for the buyer mentioned above, there are a number of documents that are required for the purchase of a property. Due diligence is the process of carefully checking the technical, legal and fiscal requirements of a property. It is imperative that you take this step before buying a property in Mallorca in order to eliminate all risks. This is the only way you will have the right to cancel the contract or claim damages.
An extract from the Property Register or Land Register will show you who the legal owner of the property is and whether there are any pre-emption rights. However, the decisive step in buying or selling a property is not the entry in the land register, as is the case in Germany, but the contract of sale. You will also need an extract from the land registry. The Spanish land registry has a different function from the German one. The cadastre determines the annual property tax of a property. However, this is done on the basis of the owner’s details or aerial photographs. For this reason, the information in the cadastre may not match the information in the property register. However, it is essential for the purchase of a property that the data match. FALC Real Estate will be happy to advise you on this step.
