Advice re buying a property in Lanzarote

A good English speaking Spanish lawyer is a must and he/she will guide you through the process including the process of offer and the costs that will accrue for notary and taxes (allow 8-10%) of the purchase value.

They will also advise you on any ongoing charges you may have if you are buying within a community and handle all the financial transactions on your behalf. I gave them power of attorney for 1 year on property matters only should you not be present to sign documentation   They will also advise you on your council tax which isn’t anything like the Uk (under €200 per annum) and your non resident tax if you are only going for the 90/180 travel restrictions. It’s less Han €100 per annum 

They will advise you to get a Spanish bank account. Which is fine to start with but consider putting all your direct debits into a wise or starling account to save on charges which are higher in Spain and then move away from Spanish Banks once the property has been paid for   Unless you have a Spanish mortgage 

It’s illegal but sellers still try to get you to pay a portion in cash - avoid that as you will end up being the loser further down the line and will pay capital gains tax on the money they have saved when you go to sell  

Most sellers include furniture- that’s a personal choice for you but if you don’t want it, make it part of the offer that the apartment must be cleared. 

Your lawyer will check for any outstanding charges or taxes and probably will withhold €500 from them or similar for 6 months. To cover any debt 

If you see a house you really want - ask them to take it off the market for a fee. Don’t give them 10% just €1000 or so and that will come off your purchase price, but you will forego it if you don’t conclude 

finally - think about where you want to stay. As a young family we lived in the busy resorts and stayed in PDC every year for 25 years but we would never move there and bought our apartment in a more local townsby the sea and very rarely go into the resorts. They’re great for a holiday but not for part or full time residency   Best of luck 

Thank you Lawrie67 for this very useful post.  Do you have a recommended english speaking Spanish Lawyer that you could share?  Similarly to Micha, I am getting closer to making an offer and only working with the agent at the moment and I feel legal representation would be good to have proactively as the best properties are going under Reserve very quickly.  

Hi - we were very happy with James Martin Gwynn. He was brought up in Lanzarote to Welsh parents so speaks both languages fluently. A very honest person and so helpful guiding us through the whole process. He will undertake power of Attorney status for a year covering conveyancing matters only and advised us on any pitfalls he could see with the vendors. He is part of RM legal (Abogados) in Playa Blanca   You can get his details on line searching for the company name. He will also organise an appointment with the Notary- ours was in Arreciffe but he may have others that he converses with regularly. And closer to you. He will organise the purchase and the distribution of all charges, costs and retainers and you will get completion and access to property within a month usually and your deeds within 6 months   All you need is your passports your NIE certs and the funds ready to transfer   He can organise a Spanish Bank to handle the receipt of funds from you in the Uk   Once you have established yourself you can change banks, or go to Wise, Revolut or Starling to handle your standing orders. We stayed with Sabadell for bills only and pay everything else via starling. All banks charge quarterly unless you are depositing €700-€1000 a month in which case they can remove them.  But we like the flexibility of a Starling euro account

Hire an apartment for 4-5 days to allow you time to get everything sorted that requires your presence and signatures and then leave it up to the Lawyer 

Always try and get a feel for the neighbours  as you can be really lucky or miserable. The lawyer will also organise your council tax at your local Ajuntamiento and your utilities (water and Electricity ) as these are vital to have in place to avoid the Spanish penalties and you won’t have a clue how to go about these things until you get established  

WiFi and security alarm are options you can organise online.  Most people use Verisure for alarms who are tremendous if your property is vacant every few months €45 per month and we use Jazztel for fibre £25 per month. You may not need security if you are in a gated community  

Friends who are residents in the area are the best sources of help as you go along, as they will have gone through the same processes in the past and will keep you informed of potential mistakes. We are also very lucky to have a local Spanish friend who spent years in the uk and has been invaluable when notices come in via post that generally turn out to be harmless if handled promptly and costly if not - and she also keeps us right on the language and proper pronunciation   It can be time consuming but Try your best to learn some Spanish - as outwith the resorts the locals are much more accepting if you make the effort to learn their native tongue. Even basic greetings and drink and food orders help tremendously. Best of luck - it’s something you’ll never regret 

Hi Micha..I bought in August 23. The whole process took 3 months from beginning to end.  The key was the correct legal representatives. There are several hidden necessities that MUST be addressed in buying a property..NIE or permanent residency application...paperwork for same including income to support you etc..setting up a Bank AC, which manyvwill yell you is easy, but one wrong move and every direct debit that makes your life easier..water, tax, WiFi, electricity etc, goes up in smoke and you end up with a nightmare.  Some may disagree, but I have yet to meet one who can justify going alone and solo. The big issue us around land ownership and legal documentation pertaining to the acquisition. This is vital as there are sometimes hidden clauses, unreported changes and hidden charges etc...the legal team must MUST ascertain this before anything moves forward. You are protected for the sake of a small fee overall to get 100% right as opposed to saving maybe 1500 euros or less and then face a lot of stress and outstanding issues. I may sound negative ok..but cautious YES. I looked at all options.  Spoke with several buyers.  Got all sides from all sorts and then asked ONE question...which way saves my mental health and enables a stress free process to my new home...I chose this one and I can only suggest that I wish you every success in whatever you choose. I am 100% happy with all paperwork...Will...direct debits...WiFi..etc., etc.,fully in place and much that the Bank insisted on deducting for my home insurance without asking, it was worth it..Next year I will find another solution to this one. 😀