Finding the best lawyer in Spain can be a challenging task, especially if you are not familiar with the country’s legal system. This article has been prepared by Welex, your trusted law firm in Marbella, to answer all your questions about finding and working with a lawyer in Spain. Here, we will address the usefulness of a lawyer, associated costs, and the specific tasks they can perform to help you navigate the home buying process and other legal services.
Buying a home in Spain can be an exciting and rewarding experience, but it can also be a complex process filled with legal challenges. Having the best lawyer in Spain is essential to ensure your investment is secure and to successfully navigate the maze of regulations and procedures.
1. How Do I Find a Lawyer in Spain?
Finding a lawyer in Spain can be straightforward if you know where to look. You can start by seeking referrals from friends, family, or colleagues who have had positive experiences with lawyers in the country.
1.1. But How Do I Find the Best Lawyer in Spain?
To find the best lawyer in Spain, consider the following factors:
- Specialization: Look for a lawyer specialized in the area of your need.
- Experience: Experience is crucial. A lawyer with years of practice in a specific field will be more competent.
- Reputation: Read reviews and testimonials from previous clients.
- Cost: Make sure you understand the fee structure and compare different options.
- Languages: If you do not speak Spanish fluently, look for a lawyer who speaks your native language.
At Welex, Dutch, French, and English-speaking lawyers in Spain, we have specialized in property transactions for over 30 years and have over 2,500 successful operations under our belt. Here you can read some reviews:
2. What Documents Does a Lawyer in Spain Need?
For property transactions, a lawyer in Spain will need access to various documents to do their job well, including:
- Property title deed
- Land Registry certificate
- Commercial Registry certificate. Click to learn more about the commercial registry.
- Deeds of the property
- ID or NIE of the buyer and seller
- Preliminary sale agreements
- Certificates of debt of the property
- Proof of payment of taxes related to the property
- First occupancy license / Certificate of no urban planning infringement
Depending on each transaction, the lawyer will require different documents. If you do not know where to obtain the requested documentation, your lawyers can advise you on where to request it.
How to Provide Prenuptial Agreements Acquired Abroad to be Valid in Spain?
When a couple is married under the regime of separation of assets in their country, it is necessary to accredit it in Spain before the notary and the property registry so that this separation of assets is also considered in Spanish territory. To achieve this, the prenuptial agreements need to:
- Be original: not a modification or an abbreviation. An original simple copy is valid.
- Be registered in the civil registry or court of your city, this registration must be accredited with a seal and a registration number.
- Be apostilled with the Hague Apostille, which, for example, in the Netherlands is obtained at the court. Your notary can also assist you with this process.
- Be translated by a sworn translator from the original language into Spanish.
All these requirements must be met. This process can be costly, but it is absolutely essential.
3. What Does a Lawyer in Spain Do?
A lawyer in Spain performs a variety of tasks, depending on their specialization. These can include:
- Legal Advice in Spain: Providing legal advice tailored to Spanish laws.
- Legal Representation in Spain: Representing clients in courts and before legal authorities.
- Preparation of Legal Documents: Drafting contracts, wills, and other legal documents.
- Negotiations: Negotiating on behalf of the client to reach favorable agreements.
4. Usefulness of a Lawyer in Spain When Buying a Home
Buying a home in Spain is a significant investment and can be a complicated process. Many will wonder:Is it really necessary to use the services of a lawyer to buy a property in Spain? A lawyer specializing in real estate can offer numerous benefits:
- Verification of Legal Documents of the Property: Ensuring all documents are in order and the property has no charges or debts.
- Preliminary Procedures: Assisting in obtaining the NIE, an essential requirement for any legal transaction in Spain.
- Signing Private Contracts: Assisting in signing preliminary contracts, ensuring the terms are favorable and fair. Proposing changes to the contract if necessary.
- Money Laundering Prevention: Ensuring compliance with money laundering prevention legislation, avoiding possible sanctions.
- Payment Management: Assisting in managing payments related to the purchase, ensuring everything is done safely, legally, and on time.
- Mortgage Advice: Assisting in obtaining and negotiating a mortgage if necessary, advising on the best mortgage options, and securing favorable conditions.
- Mediation Between Buyers and Sellers: Facilitating communication and negotiation between both parties.
- Mediation with the Notary: Coordinating with the notary to ensure all legal documents are correct and ready for the final signature. Also, the registration of the property in the Land Registry.
- Taxes of the Purchase and Afterwards: Helping to calculate and pay the taxes related to the purchase and other recurring taxes, such as the Transfer Tax (ITP) or the Value Added Tax (VAT) in the case of a new build.
- Change of Contracts with Utility Companies: Facilitating the change of utility contracts, ensuring that all services (water, electricity, gas) are in your name once the purchase is complete.
5. Additional Services Offered by Lawyers in Spain
Besides the services mentioned above, lawyers in Spain can offer a variety of additional services that may be crucial for certain homebuyers and owners. Some of these services include:
- Assistance with Buying with a Foreign Company: If you plan to buy a property in Spain through a foreign company, a lawyer can assist you throughout the process, from verifying the legality of the company in Spain to drafting and signing the necessary documents for the purchase.
- Obtaining the Spanish Tax Identification Code (CIF) for Foreign Companies: The lawyer can help you obtain the Tax Identification Number (NIF) for your foreign company, an essential step to carrying out any economic transaction in Spain.
- Assistance with Wills in Spain: If you are a foreigner with properties in Spain, a lawyer can help you draft a will that complies with Spanish laws and ensures your assets are distributed according to your wishes.
- Procedural and Litigation Law: Lawyers in Spain can also represent you in legal proceedings and litigation. For example, if you have a dispute with a neighbor or the homeowners’ association, or if you face problems with the construction company of your home, your lawyer can provide the necessary representation and defense.
- Other Specific Procedures Related to Property Transactions:
- New Construction Deeds: A lawyer can manage and draft the necessary new construction deeds to register a new construction or a major renovation.
- First Occupancy Licenses: In cases where the property does not have a first occupancy license, the lawyer can help you obtain this crucial license.
- Investigations in the Registry, Cadastre, and Town Halls: The lawyer will investigate in the Property Registry, the Cadastre, and town halls to ensure there are no hidden debts or charges on the property.
- Contact with the Community of Neighbors: It is important to verify that there are no pending debts with the community of neighbors and that the community rules are clear. Your lawyer will handle this verification and contact.
6. What Is the Cost of a Lawyer in Spain?
A lawyer in Spain often charges a basic fee of 1% (of the purchase price) + 21% VAT for guidance in the purchase. Costs vary by lawyer but generally range between 1% and 2% of the purchase price, excluding VAT. The lawyer in Spain must also inform you of the expenses and taxes when buying a property in Spain.
The taxes and expenses of a property purchase depend on several factors, such as:
- Whether it is a first or second transfer
- Whether it is a home or a commercial premises
- It also depends on the region where the property is located.
6.1. Other Costs to Consider When Buying a Property in Spain
Besides the cost of the lawyer, which is more of an investment as it can save you a lot of money in the future, there are other expenses that may arise, such as a mortgage. The cost of a mortgage in Spain can vary depending on the bank, the interest rate, and the loan term. It is crucial to compare different offers and consult with a lawyer in Spain to understand all the costs involved.
6.2. Taxes Derived from Property Purchase in Andalusia
In the process of buying a property in Spain, it is essential to understand the various expenses and taxes associated to ensure a smooth and well-managed transaction. Our expert real estate lawyers in Spain can provide you with a detailed guide on all the costs involved, as well as assist you in fulfilling the corresponding payments and obtaining the necessary documentation to successfully complete the acquisition of your new property.
- Transfer Tax (ITP) or Value Added Tax (VAT):
- Second-hand property: Varies between 6% and 10% of the purchase price, depending on the autonomous community.
- New property: 10% VAT on the purchase price plus the Documented Legal Acts Tax (AJD), which varies between 0.5% and 2%.
- Documented Legal Acts Tax (AJD): Applicable to notarial documents, ranges between 0.5% and 2% of the purchase price.
- Notary fees: Established by law and dependent on the purchase price and the complexity of the transaction.
- Land Registry fees: Costs for registering the property in the buyer’s name, fixed by law and based on the purchase price.
- Agency fees: Possible costs if you use an agency for administrative procedures.
- Mortgage expenses (if applicable): Includes appraisal, opening fee, and other costs associated with obtaining a mortgage.
- Municipal taxes and other expenses: There may be local taxes and additional fees depending on the exact location of the property and municipal regulations.
In the process of selling a property, it is crucial to have proper advice regarding the expenses and taxes involved. It is essential to obtain detailed information about these aspects and have support to make the corresponding payments and obtain the necessary documentation to conclude the transaction effectively. Areas of assistance include:
- Payment of the Property Tax on the Increase in Value of Urban Land (Plusvalía)
- Capital gains tax derived from the sale of a property.
- Non-resident income tax.
- Request for a certificate from the homeowners’ association.
- Request for an energy efficiency certificate.
7. Reasons Not to Buy a House in Spain Without a Lawyer
- Legal Complexity: Buying a property in Spain involves a series of legal procedures and documents that can be confusing for those unfamiliar with the Spanish legal system.
- Protection of Rights: A lawyer specializing in real estate transactions can ensure that all your rights as a buyer are protected throughout the purchase process.
- Document Verification: A real estate lawyer can thoroughly review relevant documentation, such as deeds, records, and permits, to ensure everything is in order and there are no future legal issues.
- Negotiation and Contracts: A lawyer can help you negotiate favorable terms and draft contracts that are clear and protect your interests, avoiding unfavorable or ambiguous clauses.
- Regulatory Compliance: Ensuring the property complies with all local and urban planning regulations is crucial to avoid fines and legal complications in the future.
- Identification of Charges and Debts: A lawyer can conduct thorough investigations to ensure the property is free of charges, debts, and liens that may affect your ownership.
- Continuous Legal Advice: Having a lawyer provides ongoing legal support, even after the purchase, to resolve any issues that may arise.
- Experience and Market Knowledge: Lawyers specializing in real estate law have experience and knowledge of the local market, which can be invaluable for making informed decisions and avoiding costly mistakes.
One of our lawyers from the firm shares: “During all the years working as a Lawyer in Spain, what situation do you remember having avoided for a client thanks to your work? I remember on one occasion, a gentleman wanted to buy a property in Ojén. They were in a hurry to sign the private contract and receive a reservation amount. The client came to our law firm in Spain and informed us that his intention was to build a house on that plot. When we conducted the appropriate investigations, it turned out that the land they were selling him was classified as a green zone in the PGOU of Ojén and he would never have been able to obtain a license to build or modify anything on the land. Thanks to the client hiring our services, he realized that the land did not meet the necessary legal requirements for his goal of building a property in Spain.”
Another of our lawyers in Spain shares: “During all the years working as a Lawyer in Spain, what situation do you remember having avoided for a client thanks to your work? I remember a client who had found a 3-hectare property and a house built in Tarragona. He wanted to renovate it and add a pool. After the initial investigations, we saw that the property was in a protected area and that he would not be able to cut down any of the trees, that the house had neither electricity nor water and was built without any license, which meant he could not obtain these necessary licenses either. Therefore, what seemed like a great offer turned out to be land where trees could not be cut, minimum services of electricity and water could not be contracted, nor could the property be renovated. This is the most striking case I remember.”
8. Buying a House in Spain with a Legal Entity Such as a Dutch BV
In addition to the option of acquiring a property as an individual, at Welex, Dutch-speaking lawyers, we have extensive experience assisting legal entities from various countries in purchasing properties in Spain. A common example is Dutch citizens who buy a house in Spain using their Dutch BV.
For these types of transactions, the assistance of a lawyer is crucial due to the large number of procedures involved. Among these, obtaining the Tax Identification Code (CIF) from the Spanish tax authorities for the foreign entity stands out, a process that requires extensive knowledge of commercial law.
In other cases, foreign legal entities prefer to establish a Spanish SL using their foreign legal entity to make the purchase. We can also assist you in this process. At Welex, we are lawyers, accountants, and tax advisors, and we are prepared to advise you, ensuring that your operation is carried out smoothly and meets all your needs.
9. Other Frequently Asked Questions:
9.1.Is it a Good Idea to Buy a House in Spain?
Buying a house in Spain can be an excellent investment, especially in tourist areas and cities with high real estate demand. However, it is essential to have legal advice to avoid possible legal and financial problems. For more information on properties in Spain, consult our blog of experts on properties in Spain
9.2. Is it a Good Idea to Buy a Second-hand House in Spain?
Buying a second-hand property can be beneficial due to lower prices and established locations. However, it is vital to conduct a detailed inspection and verify the legal status of the property.
9.3. Is it a Good Idea to Buy a New House in Spain?
Newly built homes offer advantages such as modernity and energy efficiency. However, ensure that the developer has all the licenses in order and consult with a lawyer in Spain to review the contract and purchase conditions. We have a related article on our blog about new build homes.
9.4. Is it Necessary to Have a Will if I Own a House in Spain?
If you are a resident of a European Union country and own property in Spain, it may be in your interest to grant a will signed by a notary in Spain.
Although not mandatory, it is highly recommended. Below, we present some advantages and benefits of having a will granted in Spain.
- With European Regulation No. 650/2012, it is advisable to specify in your will the legislation you wish to apply to your succession, whether it be the law of your nationality or that of your last residence. A will in Spain allows you to make these decisions clearly before your death.
- Even if you have a will granted in your country of residence or nationality, its interpretation and application in other countries can sometimes be misinterpreted. Additionally, your heirs must legalize your foreign will to prove it is indeed the last one, meaning it must be translated into Spanish. They will also need to obtain the Hague Apostille. This process can be very cumbersome, we assure you.
9.5. Do I Need a Lawyer to Grant a Will in Spain?
Our lawyers in Spain offer the following services related to granting a will:
- Assistance in granting the will before the notary, drafted in two languages, with the assistance of a professional translator at the time of signing before the notary.
- Detailed information and advice to ensure your Will in Spain aligns with your Will in your country, provided by our specialist inheritance and will lawyers in Marbella, on all costs and inheritance taxes in Spain derived from the acceptance of the inheritance.
- Compilation of all necessary documents, such as the death certificate in case of an Acceptance of Inheritance, previous wills, NIE, the certificate from the General Registry of Last Wills in Spain, the certificate of the bank account holder in Spain, and other rights and assets in Spain.
- Assistance at the notary’s office to make an Act of Heirs and, if necessary, the deed of Acceptance and Attribution of the Inheritance.
- Submission and payment of inheritance tax in Spain.
- Registration of the inheritance deed or will in the corresponding Registry.
For more information, you can read our blogs on wills and inheritances.
9.6. Do I Need to Pay Taxes in Spain if I Own a House Here?
Yes. There are two taxes you must pay each year if you own a house in Spain:
- The Spanish Local Property Tax (IBI), which is due to the town hall along with the Garbage Fee.
- Model 210, or the so-called Non-Resident Income Tax (IRNR), which is paid to the Treasury and is mandatory. Many people are unaware of this tax, and when they decide to sell their property, they are faced with a surcharge for not having paid this tax during the years they owned the property.
We are specialists in IRNR; for more information, you can read our blogs on this matter.
10. Conclusion
Having the best lawyer in Spain is essential to ensure a successful and trouble-free home purchase. Their experience and knowledge in document verification, NIE processing, contract signing, payment management, mortgage advice, intermediation, and tax management are invaluable for any buyer. Do not underestimate the importance of having a lawyer by your side during this crucial process.
By following these tips and having good legal advice in Spain, you will be well-prepared to make a safe and satisfactory purchase of your future home in this beautiful country.
Contact Welex, your law firm in Marbella, specialized in real estate transactions for over 30 years, as well as legal assistance in all specialties. Count on us to become one of our more than 2500 satisfied clients.
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