What documents must be checked before purchasing?

When buying real estate, it is important to consider not only the condition of the property but also to thoroughly check all documents to avoid potential issues in the future. In this article, we will discuss the key documents that need to be verified before purchasing an apartment, house, or land plot.

Step 1. Check the property documents

Check the main documents for the property, such as:

Escritura pública notarial – deed confirming the legality of the property transfer.
Nota simple – extract from the registry confirming the property rights and absence of debts.
Certificación catastral – cadastral certificate that should match the number in the Nota simple.
Cédula de Habitabilidad – certificate confirming the property’s suitability for habitation.

Request copies of these documents to review them in a calm environment.

Step 2. Check debts with the condominium

If the apartment is in a multi-family building, it is important to check any debts with the condominium. Find out if there are unpaid fees for previous months, as these debts could transfer to you after purchase. Condominium fees can vary from a few hundred to several thousand euros per year depending on infrastructure and location.

Step 3. Clarify the utility bills

Find out the amount of utility bills for the apartment or house. These include payments for water, electricity, gas, phone, internet, and other services. The average utility costs in Spain are as follows:

phone + TV + internet – about 500 euros per year;
water – about 60 euros per year for connection, usage starts at 0.44 euros for 15 cubic meters;
electricity – about 60 euros for connection, usage starts at 0.24 euros per kWh;
gas – about 200 euros per year for heating water and 200 euros per month for heating in winter.

Check the most recent paid bill to understand what costs you can expect.

Step 4. Check the land designation

If you are buying land, clarify its designation. In Spain, plots can be:

urbanizado – designated for construction;
fully urbanizado – fully developed;
rural – designated for agricultural use.

Be cautious with plots designated for agriculture, as they do not have utilities provided.

Step 5. Clarify the heating and water heating system

Some properties do not have central heating, especially in southern Spain. Instead, air conditioning units with heating functions are used. Find out what heating system is in place and how quickly the water heats up, as replacing the heating system could require significant investment.

Step 6. Verify rental possibility

If you plan to rent out the property, clarify whether it has a tasa turística – tourist license. Without this license, renting the property could be illegal, and fines may be imposed for not having it.

Step 7. Check the municipality’s plans

Check if the municipality has any plans for demolitions or land expropriations for public use. For example, there may be construction restrictions in coastal areas. It’s important to ensure that the property is not affected by such restrictions.

Step 8. Price reduction of the property

If the price of the property is significantly lower, ask about the reasons. This is often related to the need for major repairs or upcoming renovation works in the building.

Step 9. Presence of a swimming pool

In southern Spain, having a swimming pool in multi-family buildings is an important factor. If you plan to sell the property in the future, the lack of a pool could decrease its liquidity.

Step 10. Infrastructure development in the area

Find out how well-developed the infrastructure is near the property. Pay attention to the proximity of important places such as stores, banks, schools, medical facilities, transportation, and airports.

Step 11. Right of purchase option

Some owners offer to rent the property with the option to purchase. This can be a convenient option if you are not sure about your decision immediately.

Step 12. Document translation and lawyer assistance lawyer

Do not sign any documents until they have been translated into your language and reviewed by a lawyer. This will help avoid misunderstandings and protect your interests during the real estate purchase.

Buying real estate is a serious step, and it is important to carefully check all the documents. We recommend contacting a lawyer to help you understand all the legal aspects of the transaction and ensure your safety throughout the purchase process.