HOW TO SELL A PROPERTY IN COSTA DEL SOL

Which steps must be taken to sell a property in Costa del Sol?

The sale of a property can represent a complicated task, which involves a series of steps to follow and decisions to make, which need the expert hand of a professional who will ensure that all the details receive the required attention. There are several reasons why you want to sell a property, either by changing cities or countries, improving the quality of life, etc. Whatever the reason, it is important to know all the details involved in the process.

 

VALUATION OF A PROPERTY FOR SALE

The first step in the process of selling a property is to set the price with which we are going to take it to the market, considering the market situation and the expenses that will be generated from the operation.

Both the seller and the real estate agency want to finally sell. For the sale to be effective in a timely manner it is important that the price is adjusted to the market demand. Although it may seem simple, an expert can provide you with objective information about the situation of the real estate market in Costa del Sol.

 

SHOULD I SIGN AN EXCLUSIVE CONTRACT IF I WANT TO SELL A PROPERTY?

Real estate exclusivity is an agreement between the real estate agency and the owner of a property that exclusively assigns the rights to sell their property for a certain time.

We strongly recommend that, whatever the real estate agency of your choice, you sign an exclusive sales contract with it. Some people think that signing an exclusive contract with a real estate agency means limiting the possibilities of sale, by closing access to other sources of potential buyers.

We emphasize that the advantage of a real estate exclusivity contract is that both parties know the conditions in advance. In addition to both parties knowing the terms of the relationship in advance, the real estate agency will dedicate more resources to real estate marketing actions and to getting the sale signed as soon as possible.

Another benefit of the exclusivity contract to sell a property lies in the need to have a person to advise and guide you in this process. Selling a property is somewhat complicated, where many factors intervene, and where the negotiation process must be led by a person who knows the market.

 

 

HOW TO PREPARE A PROPERTY FOR SELLING: HOME STAGING

When you sell a property, it becomes part of your past. On the other hand, for the buyer it is the opposite, it symbolizes the beginning of a new life, a new stage. You could say that your old house is a dream for the new owner.

Once the price is determined, we will show the world our product and, logically, with the best possible face, showing all the potentialities that the property has. This process must bring with it a depersonalization of spaces and instead, offer neutral tones and environments that can please anyone and lead them to imagine what their life would be like in there.

Sometimes a few small details make a very important difference in our experience of where we live. The objective of Home Staging is that the person who visits your property wants to live in it.

 

SELECTING THE POTENTIAL BUYERS OF A PROPERTY FOR SALE

We accompany the potential buyers who wish to visit the property, so that the owner does not have to worry about anything. Before scheduling the visits, MAR HOUSES carefully selects potential clients, with due attention paid to their economic solvency and other criteria.

 

VERIFICATION OF THE LEGAL SITUATION OF A PROPERTY IN SPAIN

If you are thinking of buying a property in Spain there are many procedures that you must do. But one of the most important thing is to check the fiscal situation of the property in question. It is essential that you find out if the property you have already chosen to buy does not have any burden or associated problems.

— Obtain a certificate of the property in the Property Registry. The certificate specifies who owns the property and whether there are any charges on it, such as mortgage loans that have not yet been paid.

— Check at the town hall that the property has the corresponding building license and habitability certificate.

— Check that all housing services, such as water and electricity, municipal taxes and community expenses have been paid. He/she will obtain the corresponding certificates and/or invoices.

 

HOW TO RESERVE A PROPERTY FOR SALE

Finally, our potential buyer has made the final decision to buy and acquire the property which we have for sale. In order to move forward, and ensure that the sale will occur, we must proceed to the signing of an earnest money contract or the placing a deposit. Once signed, the property will be removed from the market by the real estate agency.

An earnest money contract and a deposit do not have the same implications. Let’s see the difference.

— Placing a deposit: on the Costa del Sol, it is customary that the deposit to reserve a home amounts to €6,000. If the buyer changes his mind and decides not to carry out the transaction, the seller will retain the deposit, as a compensation for the damage caused by the temporary halt of the selling process.

In case the seller backs out, he would be obliged to return the signal to the buyer.

— Earnest money contract (“contrato de arras”): When signing an earnest money contract, a deposit is placed as well to reserve the home, but there are two important differences. First, the amount of this deposit is usually 10% of the sale price; second, it not only obliges the buyer to complete the transaction, but also the seller.

Moreover, if the seller changes his/her mind and decides not to complete the transaction, he/she will have to give the buyer twice the amount received as a deposit (that is, 20% of the value of the home).

As we can see, an earnest money contract is a more secure way to guarantee the purchase and sale of a property than the mere placing of a deposit. The seller must be sure about his/her decision to sell, so as not to suffer a serious money loss.

There could normally be two types of causes whereby a seller would withdraw from a sales operation after signing an earnest money contract: force majeure issues or a buying offer that surpasses the agreed selling price plus the refunding of the deposit (an infrequent case, by all means).

 

 

PREPARATION OF THE DOCUMENTS

The preparation of the deed of sale, which will be signed before a notary, is a complex task that must be carried out by legal services specialized in the real estate sector, such as those of MAR HOUSES.

To avoid any complication or unwanted delays, including possible legal problems when signing, it is advisable to go to expert professionals in the field of real estate.

 

SIGNATURE AT THE NOTARY

As during the entire previous process, MAR HOUSES will accompany all its customers in the most important, delicate and decisive step of the entire journey, the moment in which the sale of their property is made.

According to the law, the seller is in principle bound to pay the notary for the costs of granting the deed, while the buyer must pay the expenses of the first copy of this deed. However, the law leaves the parties the option to agree and distribute these expenses as they wish.

In practice, it is customary for the buyer to take responsibility for all the expenses of the notary’s office (this is the reason why he/she usually chooses the notary).

In any case, MAR HOUSES provides its customers with a list of the main notaries in the area, with a broad professional background, so that they can make their choice.

 

PAYMENT OF TAXES WHEN YOU SELL A PROPERTY

Once the sale is signed, the last action to finish this process is the payment of taxes, which correspond to the selling party.

MAR HOUSES provides its customers with all the necessary advice, so that they can rest assured that they have complied with the Spanish Treasury.

In Spain, the seller of a property pays the following taxes:

— Tax on the Increase of Value of Urban Land or “municipal surplus” (“Impuesto sobre el Incremento de Valor de los Terrenos de Naturaleza Urbana” or “plusvalía municipal”).

— Patrimonial Gains Tax or “state surplus” (“Impuesto sobre Ganancias Patrimoniales” or “plusvalía estatal”).

 

Important warning, we cannot guarantee or ensure that the information provided above is maintained over time, is subject to change, is indicative, and is not binding in any case.