Buying a Home in Spain

Recent legislation changes have opened the doors for foreigners to purchase homes in Spain. In the past, building codes and permit regulations were not strictly enforced, making home ownership significantly risky, especially for those from out of the country who may not be familiar with construction in the area. Here are a few things to consider if you are thinking about buying a home in Spain.

Buying a home in Spain: Where to buy

The most expensive Spanish homes are generally found in the Malaga and Marbella regions, along with the nearby Costa del Sol. The farther inland you go, the lower the real estate prices will be. The inland portions of the region of Andalucia can be significantly less expensive than those near the coast. Even in these inland areas, home prices all over Spain have been steadily increasing over the last few years because of the influx of foreigners buying Spanish homes at deeply discounted prices. It is still possible to find a great deal on a home that needs renovations, but they are much harder to find as the local residents have become more sophisticated in their real estate dealings with foreigners.

Buying a home in Spain: Local utility services

If you are buying a home in the countryside of Spain, remember that you may not have access to the same level of services that you would in the United States. Many of these Spanish homes will not have paved roads leading to them, so you may need a four-wheel drive vehicle to even reach your new home. You may also have to order water deliveries from a local bowser because many of these homes do not have running water installed on-site.

Buying a home in Spain: Hire an attorney

You should always consult an attorney when buying a home in any country, but especially when you are purchasing property in a foreign country. Never use the same attorney as the seller, no matter how much you are pushed. While some attorneys may be able to set aside any conflict of interest, you can never be sure that everyone is being upfront during the negotiations. Ask your attorney to research the home's chain of title and any outstanding loans that may be secured by the property. Spanish law transfers those outstanding debts to the buyer, whether or not they had advance notice of the note's existence. Your attorney can also handle filing the deed for the home with the Land Registry department. Until they make an official ownership change, your home purchase is not legally binding.