Looking at property in Mallorca? Check the small print before you jump in!

Legal Requirements When Buying Property in Mallorca

You’ve made the first step towards buying a home or holiday property in Mallorca. You’ve secured your NIE and have your finances in place. Now, as with any UK-based property sale or purchase, you need to get legal representation.

This is a decision that should be taken very carefully and with lots of research. Ensure that any legal firm you instruct is an independent property lawyer that specialises in urban and Spain’s land law. Whether it is a physical property or you are buying land in Mallorca, it is essential that you get this right.

What is Spain’s Land Law?

We will cover this in much more detail in a future post, but in simple terms, Spain’s Land Law – or Real Estate Law – covers your rights and any restrictions to the use of the property or land that you purchase. As with UK Land Registry and Planning laws and regulations, this will almost always vary from property to property or the location of any land you are looking to acquire.
The lawyer you choose should be totally independent and represent only you. They should be able to cover all aspects of your purchase including liaison with the vendor, developer and your bank. The standard fee for this service is usually 1% of the property or land price plus IVA ('Impuesto sobre el Valor Añadido',) which is Spain’s equivalent of VAT.

Can I use a UK lawyer to buy my property in Mallorca?

If you do decide to use your own current UK-based legal firm, make sure before you instruct them that they have full experience and knowledge of operating in the Spanish and Mallorca property market, can handle international financial transactions and, of course, is registered with the UK law society.

We have more information if you are looking for legal assistance.

To help you pick through the minefield of red tape associated with buying property in Spain, you could use a "gestor" or "gestoría".

What is a "gestor" or "gestoría"?

A Gestor is someone who is fully versed in all the various administrative processes in Spain. They can help ensure that any paperwork is completed correctly, in simple terms, an adviser who acts as your intermediary with the authorities. Paying for the services of a gestor varies depending on who you use and what you need them to do and it should be stressed that as well as confirming what service they are providing and for how much before asking them to do anything, they are not qualified legally. It may well help to cut through some of the red tape that exists when buying property in Spain and speed up the process a little but it is recommended that you instruct a fully qualified legal representative as well.
A gestor may also be able to help you with any terms and conditions that come with your mortgage – if you require one to purchase your property or land – and mortages is something that we will cover in more detail in a later post.