|
Buying a property overseas is probably one of the biggest investments some people have to make. But there shouldn't be anything to be wary of. For as long as you have a clear idea of what you want, you can start talking to your trusted estate agent who should be able to help you every step of the way.
At Fuerteventura Property World, we will guide you through the entire purchasing process. And for a start, we came up with this Buyers Guide which is presented in a FAQ format for your use. These are actual questions raised by our clients and we hope that you will find them useful. But should you need any other information, please feel free to contact Fuerteventura Property World at info@fuerteventura-propertyworld.com.
What are the other costs associated with buying a property in Fuerteventura?
In addition to the cost of the property that you are buying, there will be some transaction costs to pay. These all depend upon the type of property you buy and whether or not you will need a mortgage. As a general rule, these costs average 10% of the property price and shall cover the IGIC tax (the Canaries' equivalent of IVA or VAT which is set at 5%), legal fees, notary fees, local taxes, registration fees, and mortgage fees, if any.
Please note that the above information is intended for your reference only. We strongly recommend that you talk to a Spanish lawyer who should be able to expertly advise you on these costs.
How much deposit is required to secure a property?
To take a property off the market, the amount of deposit required depends on whether that property is a resale or a new built from a developer.
If it is a resale, 10% of the property price is normally required as a deposit. For new builds, usually 3-6,000 Euros will secure your reservation.
Is it difficult for a foreigner to secure a Spanish mortgage? What options are available?
You can apply for a mortgage in your country of residence or here in Spain. But getting a mortgage in the Canaries is much easier than in most other European countries for as long as you can submit basic financial information for the banks' valuation.
Local Spanish banks would normally approve mortgages as high as 70-80% of the property's valuation price. Some would also offer terms like 5 years interest only so there are a number of options available for you.
Should you be interested in applying for a Spanish mortgage, please feel free to contact us and we would be delighted to assist.
Do I need a solicitor to buy a property?
Getting the services of a solicitor or a lawyer is always recommended especially when buying a property overseas. The choice of a solicitor is all up to you but we can make recommendations on reliable and trustworthy lawyers in the area.
As a foreigner, what do I need in order to purchase a property in Spain?
All resident and non-resident foreigners with financial affairs in Spain such as ownership of property, must have a Número de Identificación de Extranjero (NIE) or loosely the foreigner's identification number. Your solicitor should be able to help you in securing one from the local police office and we can help in facilitating the entire process.
You should also set up an account with a local bank. Payments for all your bills shall be drawn from this account. We will be delighted as well to help you on this.
What are the costs associated in owning a Spanish property?
Other costs would include the general maintenance costs like utility bills, rubbish collection, community fees, property owners tax, etc. Please consult your lawyer for more information on these in particular and property ownership in Fuerteventura in general.
Based on your experience, can you make an estimate on how many weeks per year a property in Fuerteventura is to let out? Any advice on property rental and management would be interesting.
Because of the wonderful climate on Fuerteventura, properties will attract excellent rentals throughout the year.
There are a number of property management and rental companies in the island that you can work with. They should be in the best position to respond to queries regarding property rentals and management. Just contact us and we can make recommendations.
On A Final Note
We at Fuerteventura Property World will continue to provide you with as much information as possible to help you at every step of the purchase process. For any questions, please feel free to email us at info@fuerteventura-propertyworld.com.
Last Updated: January 2008
| 
