Copyright @ The Property Warehouse S L .  Calle Palangre 1, Puerto del Carmen, Lanzarote. 35510   Tel.  0034 928510237   Fax. 0034 928 516262 

Warehouse

"So, You Think You May Need A Mortgage...
Look No Further- We Can Help You!"

Search Properties By Area

Lanzarote Rentals

Check out the full range of rental properties.1 and 2 bedroom apartments,  villas with pools
Finca, Country Houses and many more

Receive Your FREE
Lanzarote
 Property Guide

Reduced Property Prices

In general terms, allow about 10% extra on the total value of the property, to cover your tax liabilities and miscellaneous costs. This will cover the Spanish equivalent of VAT,.known as IVA, which is calculated at 6% of the value of a pre-owned home or 7% of the value of a new property. It also covers stamp duty, which at present is 0.5%; a small fee that has to be paid to the property registration office; a charge for obtaining copies of the 'escritura publica' (title deeds); which are usually about 1% of the sale value.

When you have made a decision as to the property you want to buy, you will be asked to make a payment of a reservation deposit, thereby ensuring that the property is not sold to another purchaser.

Legal Advice and Assistance
Prevention is always better than cure. From now on until and after completion of the purchase, the lawyer will take care and assist you in all the different steps involved in the transaction. There are many excellent English-speaking Spanish lawyers in Lanzarote. Choosing the right lawyer is your guarantee that Spanish legal requirements are met, that the property is registered in the vendor's name and that it is free of any mortgages, charges, encumbrances, debts or other liabilities. Your lawyer will negotiate and discuss the purchase terms with the seller's lawyer. The terms should not be limited solely to price but should cover in detail all your requirements like the completion date, the form of payment...etc. Once you have appointed your chosen law firm they will explain the procedure involved in buying in Lanzarote and the associated costs.

The next step after paying the reservation deposit is to examine and witness the terms of purchase in writing. At this stage the lawyers will draw up the private contract. It is customary to pay a deposit of 10% of the price on exchange of contracts, which is not normally refundable if the purchaser defaults. Conversely, if the vendor fails to perform his obligations, you will be entitled to rescind the contract and claim damages. Before your lawyer exchanges contracts, he will have completed his searches and investigations in respect of the property.

Finally, on the day fixed for completion your lawyer will go to the Notary Public to sign the title deed, making the final payment to the vendor who will simultaneously pass over possession of the property to you, handing you the keys. At this stage the sale is completed.

Immediately after completion, the notary will fax details of the title deed to the local land registry to inform them of the identity of the new owner. In this way the notary and the Land Registry act together to protect and guarantee your interests. You will then have to pay the relevant taxes and have the original title deed submitted to the Land Registry for registration of your title. We can also arrange for the transfer to your name of utilities and services such as water and electricity and organize their payment through a local bank, we don't charge you for this service.

At The Property Warehouse, we organize all of this for you, this is part of our service and commitment to the successful purchase of your property

If you have any further questions regarding obtaining a mortgage, simply give us a call, or drop in and see us, we will only be too pleased to help you at The Property Warehouse