Dreaming about buying a home on the sunny coast of Spain?
Whether it’s the peaceful countryside of Competa or the bustling beaches of Nerja that calls to you, starting your search is exciting. But, finding that perfect spot also means finding the right help. A good real estate agent can make all the difference, guiding you to a home that fits just right. Spain’s full of beautiful places waiting for you.
In this guide we cover everything you need to know about buying a home in any area around Costa Del Sol in 2024. This guide’s here to make it easy, giving you all you need to know about getting your own piece of Costa del Sol sunshine.
Why buy a property in Spain?
The question should rather be why wouldn’t you! Fun fact: one of the most popular destinations, Marbella, was in 2024 ranked as the top travel destination by Forbes by over 1 million travellers. Here are 10 reasons that will have you grabbing your passport and saying farewell to your relatives in no time.
- Who can resist the delicious array of tapas, paella, chorizo, pisto, patatas bravas, and croquettes that Spain has to offer? It’s a foodie’s paradise with no end in sight to the culinary delights.
- Sunshine in Spain is almost a given, with the Mediterranean coastline basking in over 300 days of glorious sunshine annually. It’s one of the many joys of living or visiting here.
- Living in Spain doesn’t hit your wallet hard, especially when you compare it to other European spots. It’s prettyaffordable, allowing you to enjoy the finer things in life, be it gastronomy, drinks, or entertainment.
- The alfresco lifestyle is a staple in Spain, thanks to all that sun. Life is often enjoyed outdoors, whether it’s lounging on the beach, relaxing in the park, or sipping something refreshing on a terrace.
- Wine lovers, rejoice! With 2.9 million acres of vineyards, Spain is a haven for those who love a good Rioja, Tempranillo, or Albariño.
- Spain is synonymous with fiestas. If you’re in Spain, you’re never too far from a fiesta, be it the tomato-throwing madness of La Tomatina or the elegant April Fair in Seville. It’s a nation that truly knows how to celebrate life.
- Getting around is a breeze, whether you’re staying local, hopping around Europe, or traveling even further. Spain’s transport system makes it incredibly easy to explore.
- Healthcare in Spain is top-notch, ranking 7th worldwide by the World Health Organisation in 2000, thanks to its modern facilities and skilled medical professionals.
- Siestas might take a bit of getting used to, but once you’ve embraced the midday break and the late evenings, you’ll wonder how you ever lived without it.
- And let’s not forget the beaches. With over 5,000 miles of coastline, Spain offers a beach for every preference, from secluded coves to bustling family spots and surfers’ paradises.
Everything you need to know about the buying process
Purchasing a property doesn’t have to be a stressful exercise. Just make sure you plan carefully and be prepared for the intricacies of the Spanish buying process.
How to buy property in Marbella, Estepona or anywhere in Costa Del Sol
Search for the dream property
Embark on your property search with enthusiasm and an open mind. The digital era has made it incredibly easy to start this journey from the comfort of your home. Websites such as idealista.com are treasure troves of listings, offering a wide range of properties to suit every taste and budget. You can find everything from villas, to townhouses, houses and apartments.
However, don’t just rely on online searches. Go property hunting in person. This allows you to get a feel for the neighborhoods, understand the local amenities, and, most importantly, see the properties with your own eyes. Keep an open mind and make detailed notes during each visit. It’s easy to forget the specifics after you’ve seen a few properties, so these notes will be invaluable when you’re ready to make a decision.
Find yourself a reliable real estate agent
You should start comparing and finding real estate agents early in the process, a good estate agent can often advise and help everything from where the best golf courses are to all the legal considerations you should make. It’s highly recommended finding a real estate agent that understands being an expat and what you should consider in this case. You can find and compare real estate agents here.
Getting ready to buy
Preparation is key to a smooth buying process. Start by applying for your NIE number, a crucial step for any foreigner wishing to purchase property in Spain. This process can take some time, so it’s wise to tackle it as early as possible.
Opening a local bank account in Spain is another important step. This will not only facilitate transactions related to the property purchase but also help you manage your finances in Spain more effectively.
Choosing an independent solicitor who speaks your language and understands both your needs and the local laws is vital. The Spanish term for solicitor is “Abogado.” A good solicitor will guide you through the legal complexities, ensuring that everything is in order. Usually a good estate agent can recommend a solicitor.
The formalities you should know as a buyer
Understanding and navigating the legalities of buying property in Spain is crucial. Start by checking the legal status of the property. This includes verifying that it has the correct permissions for sale, ensuring there are no outstanding charges against it, and confirming that the seller is indeed the legal owner. These are critical steps to avoid any legal issues down the line.
Agreeing on a price and understanding who pays which taxes and fees are the next steps. This part of the process can sometimes be confusing, so it’s essential to pay close attention and consult with your solicitor to avoid any misunderstandings.
Once the price is agreed upon, you’ll sign a contract and pay a deposit. This deposit not only secures the property but also protects you; if the seller pulls out, you’re typically entitled to receive double the deposit amount back. Then, agree on a date of completion and start preparing for the big day.
Completion day
Completion day is when your dream becomes a reality. You’ll visit the notary, sign the title deed, pay the remaining balance, and handle the taxes. The notary, or “notario,” plays a crucial role in ensuring the legality of the sale. After these steps, you’ll register the purchase with the land registry, marking the official transfer of ownership.
Finding the perfect property
Before embarking on your search, consider what type of lifestyle you’re seeking. The location and property requirements should align with how you envision your life in Spain, whether it’s enjoying the more vibrant life of Malaga or relaxing by the sea in Estepona. It’s good practise to have a real estate agent with local property market knowledge to help with this process.
Desired lifestyle
- Are you inclined towards an authentic Spanish lifestyle or the vibrancy of an expat community? Your preference can significantly influence your choice of location. Costa del Sol offers the best of both worlds: serene Spanish villages untouched by mass tourism, and bustling expat hotspots with ample social opportunities and English-speaking locals to ease the transition.
Preferred environment
- What’s your ideal setting? Whether it’s the allure of beaches, the tranquility of mountainous regions with their cooler climate and breathtaking views, or the excitement of touristy resort areas during peak season, Costa del Sol caters to all preferences. Perhaps the vibrant life in cosmopolitan cities like Marbella or a secluded countryside home surrounded by vineyards in Andalusia’s rolling hills speaks to you.
Proximity to amenities and leisure activities
- Consider the local amenities and activities you wish to have accessible. Costa del Sol is renowned for its golf courses, water sports, gourmet dining, and lively markets. Determine whether proximity to these attractions is a priority or if a more secluded property is preferable, provided it meets your essential criteria.
Importance of public transport and accessibility
- Assess the need for nearby public transportation, especially if regular visits from friends and family are anticipated. Being close to Malaga International Airport, which offers extensive direct flight options, could be advantageous. Alternatively, you might prefer a more secluded setting away from the hustle and bustle.
Type of Property
- The coast has a diverse range of property styles, from charming farmhouses to sleek, modern apartments within beautifully landscaped complexes. Whether the appeal lies in an apartment with access to a communal pool and shared spaces, or the solitude of a private villa, the region offers various options to suit different tastes, including distinctive townhouses and renovated apartments in urban centers.
Financing your home purchase as a non-resident
The most common way to finance your property purchase is through a mortgage. Usually you can either do this in your home country or it can sometimes be vise to contact a spanish bank to see if they can offer for international clients.
Mortgage options for buying property:
- Choice of Mortgage: You can opt for a mortgage from a lender in your home country or directly through a Spanish bank.
- Mortgage for Non-Residents: If you’re a non-resident paying taxes outside Spain, you can typically borrow 60-70% of the property’s purchase price. Banks generally offer variable or fixed-rate mortgages with terms up to 20-25 years. Interest-only mortgages are uncommon.
- Application Process: The process resembles that in many countries, taking about 6-8 weeks. It’s wise to consult a broker who can get you a preliminary mortgage quote. You’ll need to pay a refundable fee to proceed. The broker helps with the application, and you’ll wait for the lender’s decision. Once approved, the next step is to conduct a property valuation. If the valuation is satisfactory, you can move forward with the purchase.
- Costs: Setting up a mortgage costs about 4-5% of the borrowed amount.
- Alternative Financing: You might consider mortgaging a property in your home country to fund your purchase in Spain.