Investing in real estate in Mallorca could be one of the most exciting purchases you make in your lifetime. Whether you are investing or looking for a home to settle down in there is plenty of choice of real estate on the Mallorca market.
While looking for a new home and sorting out the paperwork can be a stressful experience, try to relax and enjoy it as much as possible. After all, this is Mallorca and there are few better places to relax. Try to combine you house hunting with a holiday. Take a few days off to enjoy the excellent local cuisine and beautiful scenery.
Before you start searching on the Mallorca real estate market, try to seek the advice of someone you know who has already bought in Spain. Get as much information from them as possible so you know what to expect.
You will also need to enlist the help of a good Mallorca real estate agent and a good lawyer. Again, try to get some recommendations as a good real estate agent and a good lawyer will help make buying a Mallorca home a much more enjoyable experience.
Try to be practical about your needs. If you only use your home for a few weeks each year you may not need anything too lavish. Or if you plan on retiring in your new home, you do not want a house with steep steps or that is hard to access. Try to figure out the exact kind of home you need before you start searching on the Mallorca real estate market.
Also, try to find a good location. Prime property will always be by the coast but even if you decide to buy inland, be sure that you have access to local amenities such as shops and schools.
The fees and charges associated with buying Mallorca real estate, or real estate anywhere in Spain, are relatively high. Add 10 per cent of the purchase price to cover legal fees and other charges.
Ideally, you will have the funds to cover your new property. However, most of us have to borrow to cover costs. You have the choice of getting a mortgage in your home country and using that to buy your home in Spain, or you can get a Spanish mortgage. Interest rates in Spain are significantly cheaper than in the UK so you could save a lot of money with a Spanish mortgage.
If you find a home you are really interested in, visit as many times as possible and at different times of the day. If possible, try to spend some time staying in the area so you get an idea of the locality and have an opportunity to talk to some of the locals.
If you decide that it is the property for you, you will need to talk to a lawyer. Find a lawyer who is fluent in both Spanish and English. You can expect to pay about 1 per cent of the purchase price to your lawyer, but this is well worth it.
To make an offer for Mallorca real estate you should first have agreement in principle for your mortgage. It is common to make a provisional offer that is subject to mortgage approval. The buying process in Spain can be slow so be patient. However, if you do see something you really like, be prepared to act fast as the Mallorca real estate market is competitive.
Once you have paid a deposit on a home the selling process can begin. Once your lawyer has ensured everything is in order, you sign an agreement with the seller and pay 10 per cent of the purchase price.
The final completion takes place when you sign the title deeds in the presence of a Spanish notary, and pay the remaining balance.
In Mallorca real estate, you will have something you can enjoy and value for years to come.
