Selling a house in Spain involves several steps. Here's a guide to help you through the process:
1. Determine the Market Value:
It is important to engage as soon as possible with an experienced Estate Agent. Martin Real Estate can help to do a free-of-charge valuation at a time of your choosing. We are experienced in the valuation process and experts in the local Market. By visiting your home we can quickly appraise the saleable features and do a Comparison with other properties in the area, and determine a suitable price, attractive to you and local buyers to sell your property quickly.
2. Gather Necessary Documents:
Collect all relevant property documents, including the title deed, energy efficiency certificate, and any recent property IBI tax receipts/Basura payments, etc., First occupancy license or equivalent. If you live in an Urbanisation, it is important that any Community fees are paid and up to date, and if possible, have the last two years' community meeting minutes available for inspection. The buyer's Lawyer will ask for these from the seller or the community as part of the selling process.
A potential buyer and his/her legal representative will need to know that all payments due (including utilities) on the properties are up to date and discharged correctly before any completion of the sale. All the relevant documents must be on hand. A sale with Martin Real Estate can happen faster than you might think, so having all the documents to hand facilitates a speedy transaction.
3. Choose a Real Estate Agent:
We can recommend Martin Real Estate, as your local, reputable local real estate agent to help you market and sell your property. Self-praise may be no praise at all, so we recommend that you go to our testimonials page to read comments from our previous happy Clients. We are experienced in the Spanish Property Market, and can help you to quickly sell your property, but don’t just take our word for it. Read what past customers have to say!
4. Set the Right Price:
We work hard with our property Sellers to set the right price to achieve our client’s objectives. We have extensive comparison indices which we use to arrive at the right price for your property. Our objective as your Sales Agent is to get the best possible price for your home. We respectfully suggest that you:
- Work with your Real Estate Agent to set a competitive and realistic selling price. If you have time on your hands, you can be patient and wait for the right client to offer the best price.
- If a fast sale is paramount, then the Martin Real Estate Agent will work hard to market your property on our website to achieve the best price in the shortest turnaround time. We have various express marketing tools at our disposal using our prominent website and various marketing initiatives to achieve the best results in the shortest possible time.
- You will need to Consider market trends, location, and the condition of your property when doing comparisons. On certain property characteristics, you may be a cut above other properties and command a premium relative to the local market. And on others, you may well need to make some compromises. Your assigned Martin Real Estate Representative is skilled at making your sales price attractive and appropriate for the area, your property's unique sales proposition, and what other offerings are in the same category or house style.
5. Prepare the Property:
First impressions are made when the buyer clicks on your property or indeed comes on a viewing. Cookies baking in the oven just won’t cut if the property is not immediately appealing on a first viewing. Some suggestions to evaluate:
- Enhance Initial appeal by maintaining the garden and exterior. Sometimes a coat of paint can go a long way to creating the right first impression. All of this assumes that the structure of the building is in good order. Chipped or faded paint can sometimes put buyers off for no other reason than it puts your property at a visual disadvantage to others they may have seen that very day. First impressions last. It is the cheapest cosmetic tweak a Seller can make and one that should be considered before putting your property on the market
- Make necessary repairs and improvements to make your property more attractive to potential buyers.
Your Martin Real Estate Property Valuer will be happy to make suggestions at the time of your appraisal.
6. Marketing your property:
Using Martin Real Estate gives you immediate access to an impressive suite of marketing services. Our website is viewed extensively through the UK and Irish markets, as we partner with A Place in the Sun, Think Spain, Kyero, Idealista, and Right Move.
Through our website Marketing and by automatically featuring your property on the mentioned portals, we saturate the market with your listing, and we work hard to secure the maximum buyer exposure for you.
We use various channels to market your property, including online listings, social media, and traditional advertising. We do this for you as part of our standard support package.
We use digital marketing tools extensively to secure the best possible visibility for your property on Facebook, Instagram, google, and other search engines. As part of our marketing campaign, we use professional photographs and virtual tours to showcase your property. All of this comes from us to support you, as standard. You don’t have to be concerned about any of this, it is all part of our Sellers support package.
7. Negotiate Offers:
After the marketing Campaign and the viewing, offers will begin to be made through Martin Estates. We will work with you and with the buyer to come up with the best offer to close the sale successfully.
Be open to reasonable offers and consider factors beyond the sale price, such as the timeline and conditions attached to the initial offer. For example, a cash buyer may be more attractive if you would prefer to close quickly, as this takes the mortgage process out of the equation. Your Martin Real Estate Representative will visit and work closely with you every step of the way to secure the best price in a time scale suited to your needs.
8. Acceptance and Reservation Contract:
Once you agree on the terms, you will need to sign a reservation contract with the buyer. A Martin Real Estate Representative will go through the contract with you and explain the terms so that you achieve a clear understanding of the contents.
The buyer typically pays a deposit at this stage. This is to ensure that the property is now taken off the market and not visible to other house hunters.
9. Due Diligence:
The buyer's lawyer will conduct due diligence, including property inspections and legal checks. This is really where the real legal work starts in earnest. The buyer's lawyer will need to ensure that all the paperwork is in place and the property is entirely legal. Many questions will flow to the Seller's Lawyer to tease out, the following issues: Copy of First Occupancy Licence, Catastral information, Short-term rentals(tourist license)approval, confirmation of IBI payments, and Basura (domestic refuse) payments. And there may be other information needed. As mentioned previously best to start gathering all of this information and documentation, the moment you decide to sell.
10. Private Purchase Contract:
Assuming both Parties' Lawyers are happy post-due Diligence, it is now time for the Buyer to sign a private purchase contract outlining the terms and conditions of the sale. The buyer usually pays a higher deposit at this stage of 10% of the purchase price. If not every document has been provided in time, there may be additional work for the Seller to do or documents to furnish before moving on to the next stage.
11. Notary Public and Escritura:
Finalize the sale at the notary public's office. Present will be a representative from Martin Real Estate and the lawyers for both the Buyer and Seller. The buyer may also be present if they choose, or not if they have given power of attorney to their legal representative in Spain. During this meeting at the Notary, the parties sign the "escritura," the official deed of sale.
12. Payment and Handover:
At the Notary office, the Seller and/or his representative receive the remaining payment from the buyer/buyer's Lawyer. And that's it! The keys are now handed over and the buyer will take possession of the property. Your Property is now sold.
13. Notify Authorities:
Notify the local authorities of the sale for tax purposes. This step must be completed quickly. Your lawyer should take care of this on your behalf. You should cancel any utility contracts in your name, and come to a speedy arrangement with the buyer on the orderly transfer of utility bills to the new owner.
14. Capital Gains Tax and Plusvalia Tax:
Be aware of capital gains tax implications and consult with a tax advisor for guidance.
Plusvalía tax, also known as the Municipal Capital Gains Tax, is a tax imposed by local municipalities in some countries, typically when a property is sold or transferred. It is based on the increase in the value of the land or property over a certain period of time. This increase in value is determined by the local government and can vary from one municipality to another.
The tax is often calculated based on the number of years the property has been owned and the local land values. In some cases, it may be a significant financial burden for property sellers, especially if the property has appreciated significantly in value during their ownership.
It's important to note that the rules and rates for plusvalía tax can vary widely depending on the specific location and local regulations. It's advisable to consult with a local tax authority or a legal expert to understand how this tax applies in your particular situation, and it is best to do this well in advance of any sale.
Remember, the process may vary slightly depending on the region in Spain, so it's advisable to consult with Your Martin Real Estate Representative or lawyer to ensure a smooth transaction.
