Once you decided on a Property that you want to buy, the process is this :

Step 1 – Registration

If you are buying a new property the builder will have to register it at the Ayuntamiento. This should be checked. Alternatively the registration of an older property should be checked against the Registro de Propiedad ( property registry ). If your intended property has no deeds. Transfer of property ownerchip should be always registered. The register informs you whether the property has been registered, whether there are areas of taxes or an outstanding mortage, whether an agency or company is involved.

 Step 2 -The pre-agreement

Between the seller and the buyer there has to be a contract in place until the public deed of purchase is ready. It's usually a simple document in which the seller expresses their intent to transfer the property to the buyer, and the buyer expresses their intent to buy at the price and conditions agreed upon. At this time, the buyer also gives to the seller a percentage of the agreed-upon price. The typical agreement in Spain (called arras) is if the buyer backs out of the contract, they lose the deposit; if the seller backs out, they have to pay double. Of course, the buyer and seller may choose another type of agreement if they prefer

Step 3 - The mortgage

The documents typically required by a bank are:

         Your DNI/NIE

         Your work contract

         Your last 3 paycheck stubs

         Your latest income tax return

         Your pre-agreement with the seller

         Proof that the property tax (IBI) on the house is paid up.

         Other mortgages or loans that you may have

         All property titles, both in Spain and overseas

         Certificate from work authorities (vida laboral), showing your past work history

         Records of your assets (bank/mutual fund statements, etc.)

         Prenuptial agreements, if any

         Nonresidents: A certificate of nonresidency (form available from the bank)

         If self-employed: Local tax on economic activities (IAE)

         If self-employed: VAT tax you paid for the last trimester and last year

If you get a mortgage, you will become acquainted with an appraiser (tasador). The bank requires an appraiser to ensure that their loan to you is safe. You will need to pay for the appraiser's work, usually between 300-500 euros. Note that the tasador by law is a licensed architect, so even if you don't need a mortgage, but have doubts about the structural integrity of the house, you might want to hire an appraiser.

Step 4 - The closing

The property transfer must be certified by a notary. The deed of purchase will be given to the buyer after the notary reads it and the parties present agree to the contents of the deed. The following must then be presented: proof of identity (or power of attorney) of both parties, the seller's title of property (a form that reports the investment to the Central Register), and the buyer's payment. The buyer and seller sign the contract; beneath their signature, the notary signs using his firma protocolizada and the deed is ready for taxes.

Step 5 - The Property Register (Registro de Propriedad)

Transfer of property ownership should always be registered though as usual in Spain this does not always occur. If there is any doubt about ownership it is wiser to abandon the purchase than engage in legal battles. However, in normal cases you will find this register useful because it will inform you whether the property has been registered, whether there are arrears of taxes or an outstanding mortgage, whether an agency or company is involved. It can be very complicated in the case of the latter.

The Property Register should be inspected twice. You should check it at the start of the purchase and again at the end just before you register your ownership of the property and complete the purchase.

 Step 6 - The Legal Process

Once you have done all this and transferred the purchase money into a Spanish bank  you will be ready to sign the conveyancing document (escritura de compraventa). No conveyance is legal or binding unless it has been signed in the presence of a notary. The notary will want to see a certificate from your bank to confirm that the purchase money is available  approved with the official stamp.

Please bear in mind that the escritura is the only document which will guarantee your title. Any other kind of deed or contract you may be persuaded to sign will have little effect. Any legal redress may be a very, very long time coming.

Once the conveyance has been signed it should be sent to the Registro de Propriedad to be registered. Once this has been done  your title becomes final.