Spain is one of the few countries where foreigners can easily and quickly own a property. And one of the most popular destinations for expats is Javea. Unlike other countries where individuals are subjected to restrictions, buying a Javea property has no restrictions but it is good to be aware of the differences in buying processes and in the Spanish mortgage before you can start the process of owning a property in Spain. Here you can see properties in Javea offered by a local property agency with special offers.
Things you should know about the Spanish property market
The rate of homeownership in Spain stands at 78 per cent, which is above the European averages. Furthermore, with a high number of foreigners already living in the country, a substantial proportion of real estate is already owned foreigners. In fact, according to the real estate homeownership data, about 15,000 homes were bought by foreigners in the first quarter of 2017.
It is also worth noting that since the market crisis in 2008, the real estate market in Spain has been faced with an oversupply of residential properties as most units have remained unsold while others have been returned to the market due to foreclosures. The oversupply of properties saw the prices reduce by up to 40-percent between the end of 2007 and the third quarter of 2015. However, since 2013, the decline started to slow with the real estate market returning to positive growth in the first part of 2016. Foreigners buying homes along the coasts and major cities have played a major role in turning around the Spanish property market.
The process of buying a property in Spain as a foreigner
Whether you are a resident or a non-resident, the process of buying a property is similar in Spain. There are no property ownership restrictions irrespective of whether you are looking to buy a residential, commercial or land. In fact, the government encourages foreigners and residents to buy homes with attractive incentives and trouble-free buying process. To buy a property, you only need a financial number that can be easily acquired by visiting a police station with your passport. Furthermore, the government offers foreigners who buy properties a golden visa that allows them to stay in the country and travel throughout Europe.
To purchase a property in Spain, you need to find the right property, make an offer the seller agrees to, exchange the contracts and have the notary register the sale. However, the property buying process in Spain can be different if you need to apply for a mortgage. When you are an expatriate, you can expect the mortgage lenders to give up to 70 per cent of the home value. However, in order to qualify for a loan, you must have NIE number, which is the identification number, proof of income, records of your current assets and details of your current debts and mortgages.