When you arrive in Tenerife, our agency will provide you with detailed and free advice on the island’s real estate market, the advantages of a certain area of residence, purchase conditions, ownership registration, issuance of a mortgage loan, etc. We will also provide you with free property inspections in the most convenient transportation.
Legal verification of properties
Our free services also include a full legal verification of the property and burden. The buyer receives an extract from the Property Registry of the Spanish State (nota simple) with all the complete information. You do not pay a deposit to the seller without receiving complete information about the object and without ensuring that the object is debt free and that the seller is the actual owner of this object.
Opening a bank account, signing a sales contract and obtaining a foreign NIE number.
To buy a property in Tenerife, you will need a Spanish bank account. The account opening process takes 20 minutes, and with our agency it costs the buyer nothing. All you need is your passport and income statement, translated into Spanish and certified by a notary. We will also prepare a purchase agreement in Spanish and your language, which will describe all the details of the transaction and what you will need to transfer money from home to your account in Spain. During negotiations and signing, we act as your translator and official representative. For the subsequent payment of taxes in Spain, you will need a foreigner identification number, the so-called NIE. Asten Realty will send the documents and you will receive a NIE number for you, either with you or without your presence by means of a power of attorney. Our company offers this service to clients for free. The state fee to obtain a NIE is € 11 per applicant.
Registration of a mortgage loan in a Spanish bank
The real estate agency Asten Realty works with the largest Spanish banks with the best statistics on the granting of mortgage loans to foreigners. We can offer to finance 60% of the cost of the purchased object. A mortgage loan is issued against the guarantee of the object itself, while the owner of the object is always the buyer. The current interest rate for mortgages in Spain is approximately 3% per year. The average rate is calculated according to the formula EURIBOR + 3% (EURIBOR is the interbank financing rate in Europe and 3% is the bank’s commercial interest. * For some banks, the commercial interest can be 2.75 or 3,5%). Mortgage loans are issued for a period of up to 35 years, the maximum age of a borrower in Spain is 75 years. At the same time, the borrower has the right to repay the loan ahead of schedule by paying a penalty of 0.25% to 0.5% of the loan balance (i.e. with a balance of € 100,000, the penalty will be € 500).
Signature of deeds
Our agency acts as your official translator and in the signing of the contract of sale with a Spanish notary. The data of our representative is recorded in the deed of sale and he is responsible for the complete and truthful translation of the text of the deed. After reaching an agreement with the seller and signing the deed of sale, he becomes the official owner of the property he purchased. We will help you with the subsequent registration, payment of taxes and registration of ownership of you as a new owner. The originals of the deed of sale are sent to you or your authorized representative between 45 and 60 days after signing. After receiving the originals, our agency will request an extract from the State Register of Owners so that you can obtain visas for owners in Spain.
Renewal of public service contracts and registration with the town hall
After signing the bill of sale at the notary, our relationship with you does not end, it only begins. Our agency will reissue all contracts with public services for you and will enter it in the registry of the Town Hall office. In Spain, this requires the personal presence of the buyer or a written permission from the buyer issued to their representative. The payment of the maintenance of the complex, electricity, water, etc. It is done through the automatic charge of expenses from your Spanish account. Our agency will also take care of this procedure.
Minimization of capital gains tax
In case you decide to sell your property after a few years, you can get a capital gain. In Spain, the capital gains tax for non-residents is 21.75%. That said, Spanish law allows you to avoid this tax if you reinvest your earnings in the purchase of any other property in Spain. Asten Realty Agency offers you the services of one of the oldest law firms in Tenerife for the processing and minimization of taxes on the subsequent sale.
Property tax in Spain is significantly lower than in other EU countries. Depending on the municipality, it is 0.15 – 0.3% of the property’s cadastral value, that is, 100 to 600 euros per year for an apartment or townhouse, and 500 to 2,500 euros per year for a villa. Our agency will ensure that this tax is automatically charged to your bank account in Spain.
Property and rental management
Most of our clients buy real estate not for their permanent residence, but to spend a vacation here or to send their loved ones or friends to Tenerife. During your absence, it is very important to have a trusted person in charge of the full service of your “second residence” in Tenerife. Our company provides an absolute service. We will insure your property against all risks, we will fix any problems in the house, we will install TV in your language, we will control the payment of all taxes and fees, we will provide our cleaners, gardeners, babysitters, drivers, translators, qualified personnel for any renovation work, an interior designer, organize visa invitations, provide a transportation package, meet at the airport, etc. In addition, we exercise control over the correct use of the property and its security, the correct payment of electricity and water bills and the resolution of controversial matters.
Buy a car, a yacht, etc.
With the foreign NIE in hand, you can freely purchase cars, yachts and any other personal property in Spain. Our consultants will help you in the shortest possible time to re-register any type of land, sea or air transport as property.