At Welex, a law firm in Marbella, we are delighted to assist our clients throughout the entire process of purchasing a property in Spain, including the steps following the signing of the deed of sale before a notary. In this article, we will explain the essential steps you should follow once you have the keys to your new home, such as:

  • Setting up electricity and water supply contracts.
  • Direct debiting the Property Tax (IBI) and waste collection fees.
  • Changing ownership with the homeowners’ association.

If you have any doubts, remember that at Welex, experts in real estate law in Spain, we are here to help you with all the necessary legal and administrative procedures so you can enjoy your new home without complications.

1. Setting Up Electricity and Water Supplies in Spain

One of the first tasks after receiving the keys to your property is setting up basic services such as electricity and water. The procedure varies depending on whether the property is new or second-hand:

a) New Property

If you have purchased a new property, it is likely that water and electricity supplies are not yet active. In this case, you will need to initiate service activation. The steps are:

  1. Contact the electricity and water supply companies.
  2. Submit the required documentation, including:
    • The deed of sale signed before a notary.
    • The owner’s DNI, passport, or NIE.
    • Water and electricity certificates provided by the developer.
    • A bank ownership certificate for bill direct debit.
  3. Formalize the contract with the rate that best suits your needs.

b) Second-Hand Property

If you purchase a second-hand property where utilities are already active, you will need to change the ownership. Follow these steps:

  1. Request the current contracts from the previous owners or recent bills.
  2. Contact the utility companies to ensure there are no outstanding payments.
  3. Submit the required documentation, which includes:
    • The signed deed of sale.
    • Identification of the new owner (DNI, passport, or NIE).
    • Details of the existing contracts.
  4. Change the ownership or negotiate new conditions with the utility providers according to your needs.

2. Direct Debiting the Property Tax (IBI)

The IBI is an annual municipal tax levied on property ownership. It is crucial to ensure that this tax is properly debited after the purchase to avoid penalties for non-payment.

Steps to set up direct debit for the IBI:

  • Prepare the necessary documentation, such as:
    • The deed of sale.
    • The owner’s DNI, passport, or NIE.
    • The cadastral reference of the property.

Confirm the deed of sale, this tax is usually prorated based on the period of use of the property.

  1. Carry out the following procedures:
    • Change of ownership in the Land Registry (Catastro): This process can take up to a year to become effective. The 900D form is required.
    • Notification to the Town Hall: Inform the local authority about the ownership change and provide a bank account for the direct debit of future tax payments.

3. Notification to the Homeowners’ Association

It is essential to inform the homeowners’ association of the change of ownership of your property. To do so, you must submit:

  • The deed of sale signed before a notary.
  • The bank account details where community fees will be debited.

4. Other Services: Internet and Security Systems

In addition to setting up basic utilities and handling the IBI, Welex can assist you in contracting internet services, alarm systems, and other essential home services. If you need information, do not hesitate to contact us.

Why Choose Welex for the Post-Sale Process of Your Property in Spain?

At Welex, our team of lawyers in Marbella is fully prepared to offer you a comprehensive service throughout the property purchase and post-sale process. We take care of:

  •  Legal and administrative procedures.
  • Utility setup.
  • Tax advisory services.

Contact us today and ensure a smooth and hassle-free transition into your new home!