The 10 Most Costly Mistakes Poles Make When Buying Real Estate in Spain

Every year, thousands of Poles fulfill their dream of buying real estate in Spain. The sunny climate, high quality of life, excellent cuisine, and the opportunity to enjoy the sea for most of the year make Spain one of the most popular destinations for both investment and buying a second home.

Below, I outline the most common mistakes I encounter on a daily basis when advising Polish clients who are buying real estate in Spain.

1. Paying deposits without consulting a specialist: Signing a reservation agreement and making a payment before a legal review can leave you unprotected.
2. Failure to verify encumbrances on the property: Be sure to check the property registry extract (Nota Simple) to rule out mortgages, debts subject to enforcement proceedings, or restrictions on use.
3. Failure to verify the legality of the structure: Make sure that the building and any additions (e.g., a covered terrace) have the appropriate zoning permits.
4. Relying solely on a real estate agency: The agency's main goal is to make a sale. Buyers should have an independent advisor who looks out solely for their interests.
5. Failure to account for all costs: In addition to the offer price, you must add taxes, notary fees, registration fees, and fees for specialists and translations.
6. Lack of analysis of the homeowners’ association’s costs: Before purchasing, check the monthly association fees, planned additional contributions (for repairs), and the association’s overall financial condition.
7. Lack of knowledge about tax obligations: Owning real estate in Spain requires paying taxes every year, even for nonresidents.
8. Failure to verify the seller’s legal status: Make sure the seller has full legal authority to sell the property (exercise particular caution in cases of inheritance, divorce, or powers of attorney).
9. Purchasing from a developer without the required guarantees: When buying a property under construction, always request a building permit and bank guarantees to protect your payments.
10. Signing Documents You Don't Understand: Never sign contracts in Spanish if you don't understand them 100%, or without a reliable translation.

Summary:

Buying a home in Spain is a great investment, provided you approach it with care. Before you fall in love with a property, make sure the entire transaction is legally sound so you can enjoy it with peace of mind for many years to come.