Buying Property Safely in the Alicante/Murcia Region<
Buying Property Safely in the Alicante/Murcia Region
The 6 essential steps and how to save thousands of euros
In the Netherlands and Belgium, the notary protects the buyer by performing all checks. In Spain, this works fundamentally differently. The Spanish notary is merely a formal controller at the end of the process; they do not investigate outstanding bills or missing permits. That is why I will take you through the process as I have experienced it, so you know exactly who you need and which pitfalls to avoid.
1. The Essential Roles: Who does what?
| The Real Estate Agent | The Lawyer | The Notary |
|---|---|---|
| Your Commercial Guide: Selects properties based on your budget, negotiates the sharpest price and secures the Reserva. | Your Legal Protector: Checks the Nota Simple for debts or illegal construction, optionally arranges your NIE number, Spanish bank account, and handles tax payments. | The Official Civil Servant: Verifies identities at the transfer and executes the Escritura. Does not research permits and debts. |
2. The Purchase Process in 6 Steps
Step 1: Budget & 'Buyer's Costs'
In Alicante, you should count on 12% to 13% in additional costs on top of the purchase price. For existing properties, this is 9% transfer tax (ITP). For new builds, 10% VAT (IVA) plus 1.4% stamp duty (AJD).
Step 2: The Reservation Contract (Reserva)
With a deposit of €3,000 to €6,000, the property is taken off the market and the price is frozen. This amount goes to a secure third-party account.
Step 3: Legal Research & NIE Number
Your lawyer checks whether all extensions or pools are legal, whether the seller is truly the owner, and if there are any debts on the property (in Spain, invoices and debts stick to the property, not immediately to the owner). Your mandatory NIE number and bank account are also arranged.
Step 4: The Purchase Contract (Contrato de Arras)
You pay 10% of the purchase price (or you top up the reservation amount to 10%). This contract is highly binding: if you withdraw without a valid reason, you lose the 10%. If the seller withdraws? Then they pay you double the amount.
Step 5: The Transfer (Escritura)
You pay the remaining 90% at the notary and receive the keys. Note: you receive a Copia Simple; this is not yet a definitive proof of ownership!
Step 6: Tax & Registration (The crucial final step)
Many buyers think they are done at the notary, but the most important work happens afterwards:
- Register Block: The notary makes a notification (asiento de presentación) so no one else can buy the house.
- Tax Payment: Within 30 days, the tax (ITP or IVA/AJD) must be paid via Modelo 600.
- Definitive Registration: Only after payment is the original deed presented to the Property Register (Registro de la Propiedad). This takes 1 to 3 months.
Warning: Rogue guides sometimes 'forget' to pay the tax. Always ask your lawyer for the official payment receipts and the definitively stamped Escritura!
3. Existing Build vs. New Build
| Feature | Existing build | New build |
|---|---|---|
| Payment | Remaining 90% at the notary | In installments during construction |
| Security | Direct transfer | Bank guarantee mandatory (or another form of guarantee) for each installment - checked by your lawyer |
4. The Savings & Security Checklist
Avoid unnecessary costs by not hiring these separately:
- ❌ No separate 'Buying Agent': A good real estate agent and lawyer handle everything. Extra 'middlemen' cost thousands of euros and increase the risk of fraud.
- ❌ No separate 'Gestor': A professional law firm has its own administration that directly handles the registration (Step 6).
- ❌ No expensive external interpreter: Choose a law firm that speaks your language; they translate for free at the notary.
Ongoing costs after purchase
Also take into account the annual costs: property tax (IBI), HOA costs (Comunidad) and non-resident tax (Modelo 210).
Golden rule: "Never pay an installment to a developer without your lawyer's permission".
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