The ultimate guide on how to buy a home in Javea

The Spanish property market continues to flourish, with more and more people taking the exciting leap of faith to finally pursue their dreams of living where the sun is always shining and the beautiful Mediterranean Sea is not too far away. So, to help you on your journey, The Euro Weekly News has compiled a guide on everything you would need to know about buying a home in Javea. 

In this guide, we will be telling you everything you will need to know about how to buy a home in Javea, what types of properties are available, and the necessary details on what you will need in the actual process of buying a home in Spain.

Why buy a home in Javea? 

Javea is known as one of the most beautiful places to live in Northern Costa Blanca – but why? 

Javea has one of the most beautiful coastlines with its main beach, Arenal, spanning 500 metres long and lying in the centre of Javea Bay. The bay itself is quite shallow and is perfect for those who are looking to safely explore the sea via swimming and snorkelling. The paseo across Javea has the quaintest shops and prettiest restaurants allowing you to enjoy and live the Mediterranean lifestyle.

Popping in and out of the tapas restaurants and bars, close enough to go back to your property for a quick siesta and then back out again to enjoy the Javea nightlife could be the new adventure you are about the embark on!

With plenty of amenities and sports facilities close by, Javea is home to one of the best semi-professional football teams and has facilities for track and field, basketball, triathlon, seamanship, water sports, and much more. Their golf club and restaurant are also rated highly rated as the perfect place to practice your swing!

Located at the base of Montgo Mountain there are various things to do to occupy your time while in Javea, such as hiking along the trails, visiting the parks and consuming the great air of the outdoors.  The proximity of the mountains, beaches and idyllic towns close by have you spoilt for choice – you will always have something to do in Javea. This area is the perfect mix of relaxation and activities, making it the ideal location for anyone looking at moving to the beautiful Costa Blanca.

Javea is rich with culture, cuisine and activities, with an extensive calendar filled with events, entertainment, gigs, markets, fiesta days, and more. The area is well-known for its San Sebastian bull run and fantastic parades like Moors and Christians, Mare de Deu de Loreto, Three Kings, Carnival, and much more! Javea also has a prominent history in its medieval antiquity with various locations such as the historical centre, Gerro tower, and much more.

The Javea community comes together and celebrates its wealth of culture, with thousands of expatriates, tourists, and pilgrims from all over the world. 

The best estate agents to help you buy a home in Javea

Our recommendation

Casitas Iberica

Selling your home in Spain can be a stressful and time-consuming process, but the professional and experienced team at Casitas Iberica are here to help you throughout your selling journey in Javea and the surrounding areas.

Having occupied a prominent position as the only Javea Estate Agent on the Montgo Mountain since 1997, Casitas Iberica are the best-placed estate agency in the area to assist you on your selling journey, guiding you through the documentation, legal advice and fees. Being one of the most experienced estate agency in the area, the team at Casitas Iberica has the expertise and connections to sell your property, helping you every step of the way in English, Spanish, German, French or Dutch.

Casitas Iberica will give you an honest, transparent and realistic valuation based on the current market and their unrivalled knowledge of the area. Your property will be extensively marketed by the team and through their relationship with other leading estate agents in the area, giving you the peace of mind that you and your property are in the best hands.

Casitas Iberica´s currency partner can help you achieve the best commercial exchange rates, with the tools available to protect you from adverse exchange rate movements, making the whole process simple and straightforward from start to finish.

Listing large villas, charming townhouses, beautiful fincas, modern apartments, projects and plots, Casitas Iberica will ensure maximum coverage to find the perfect buyer no matter your property type. With many clients coming directly to them as the best estate agent in the area, your selling journey couldn´t be more stress-free than with Casitas Iberica.

Website: Click here

Office Address: Ctr.Jesus Pobre 164, 03730 Javea, Alicante

Opening Times: Monday to Friday: 9.30am until 5.30pm, Saturdays by appointment

Telephone: +34 965 794 408 or +34 686 453 801

Email:  [email protected]

Facebook: Click here

Sponsored

The types of homes to buy in Javea 

The properties available here are incredible, Javea is the perfect location for a second home and to spend the chilly months of the autumn and winter in a mild location. The sun is the best therapy and Javea is the perfect place to invest in either a part-time or full-time property to enjoy.  

Due to its beauty, Javea is on the list of many potential buyers’ places to live. With properties going for very reasonable prices and the location being so close to other great towns such as Benidorm, Calp, and Alicante, Javea is an ideal location and place to live to enjoy the great Spanish lifestyle – and it´s only 1 hour away from the nearest airport!

With €2.1 million invested into Javea’s infrastructure this last March, properties are only going to continue to get better, and now is the time to buy before prices get higher.  

Javea itself consists of a wide range of property types, whether it be modern flats, cool penthouses, large villas, bungalows with a view, trendy duplexes, or typical townhouses. Javea caters to anyone and everyone with all different types of budgets in mind. 

With the large variety of properties available, a 2+ bedroom flat in Javea can sell for between €125,000 to €750,000 and homes go between €178,000 to €9,500,000 – depending on size. 

Javea is perfect if you are looking to buy an investment property or second home, or spend a little extra and have your guests’ mouths open when they get to visit your new dream home.

How to buy a home in Javea

 NIE – foreigners identification number  

If you are a UK citizen, you will be considered a foreign buyer and will need an NIE (Numero de Identidad de Extranjero). This number will allow you to carry out what is necessary to buy a home here in Spain, such as opening a bank account and buying said property.  

The easiest way for you to acquire your NIE is at your local Oficina de Extranjeros, the immigration office in Spain, or going down to your designated police station in the area. Depending on where you are coming from in the UK, you may or may not be able to apply for your NIE at your local Spanish embassy or consulate.

Another potential option is to grant a Spanish lawyer POA (Power of Attorney) giving them the authority to sort out any paperwork necessary on your behalf as well as potentially open your bank account for you while you are still in the UK. An NIE is essential as this number is needed for paying the likes of community fees, bills, utilities, broadband, council tax and even collecting parcels from the post office. Additionally, it is vital for cheques/banker’s drafts when it comes to property completion.  

British estate agents,  promoters, and lawyers 

The most essential task when dealing with British estate agents and lawyers is to ensure that they are qualified, reliable, and have experience in Spain. This is particularly the case with lawyers because, if not correctly registered with the official Law Society in the UK, they won’t be considered legitimate. It is also essential that the lawyer you are dealing with has a speciality in or extensive experience dealing with international transactions.  

The experience of legitimacy is somewhat easier in Spain as you can request their registration number so that you can check if they are registered and practicing with the local bar association, Colegio de Abogados. Another thing to watch out for is that your lawyer has professional Indemnity insurance and that no payments are made or documents signed without independent legal advice. 

Legal advice 

When considering buying a property in Spain it is essential to seek legal advice from a lawyer that is independent and specialises in Spanish land law, also known as urbanismo. The benefit of working with an independent lawyer is that they will work on your behalf exclusively rather than with the interests of a property agent or developer.  

The UK and Spanish Conveyancing systems are very different, so it is important that those involved in the transaction are qualified and experienced in Spain. To avoid any fraudulent activity, exercise caution if any estate agent or lawyer advises ways to save some extra money or time by cutting corners or saying that something isn’t necessary. Throughout the whole process, ensure all documents are filled out appropriately.  

A lawyer will also help you with things like the land registry extract, also known as nota simple. Which is available here from the Colegio de Registradores and which you must read before making any purchases or signing any documents. 

Taxes and additional costs  

Taxation in Spain is a complex issue and the taxes associated with buying and selling property in Spain can and will differ from region to region.  

In Javea, for example, buyers must pay 12 per cent on top of the purchase price to cover property transmission taxes (stamp duty), notary, and registry administration. Additionally, property transfer tax is 10 per cent (of the sale price) for resale properties, 10 per cent IVA for new build, and 21 per cent IVA for plots of land or garage spaces.  

In these cases, it is always advisable to seek the professional advice of an accountant or professional tax advisor. Further information can also be found on the Spanish tax authority’s website, Agencia Tributaria. 

It’s recommended that to make sure you have enough money to cover taxes, notary fees, legal fees, land registry, bank, charges, etc, you put aside at least 15 per cent of the purchase price.  

Mortgages

If you aren’t looking to buy a property outright, then you must apply for a mortgage. When applying for your mortgage, it is also strongly recommended that you analyse and compare different product services offered by various lending companies to ensure that you are getting the best deal. The lender should be able to explain any technicalities or worries that you may have when it comes to the terms and conditions.

Like buying a property or home in the UK, there is a range of mortgages on offer which can vary according to your interest rates, repayment periods, and initial starting fees. Whether you choose a variable-rate mortgage or fixed-rate mortgage, it is essential that you fully understand the mortgage agreement you sign.  

If you are applying for a mortgage for your new home you will have to for an appraisal of the property, which is often organised by the bank. After the property valuation, the bank will then know what percentage of financing they can provide. 

Spanish banks usually lend an amount more or less equivalent to 80 per cent of the appraisal value or purchase price, some banks are managing to finance 90-100 per cent of the purchase price, typically settling for whatever was the lowest. 

Depending on the company carrying out the process and according to regulations in 2022, a valuation will cost between €250 and €600. However, not all banks will cover this cost. Once the overall valuation is complete, it is thereby valid for six months from the date of issue.

Spanish Notaries 

A Spanish notary is needed to prepare for the sale of the contract and the public deeds, you will need this to secure your new home in Javea. The decision on what notary to use for this step of buying your home is up to you. Notaries are public servants whose duty is to provide free and impartial legal advice on parts of the contract pre-signature. Once a date has been set for your signing, you have three days before that to visit the notary and ask any questions that you may have. 

Translators

If you aren’t knowledgeable in Spanish or know much about the legal jargon, it is essential that you then get a translator to ensure that you have all of the relevant documents and contacts translated so that you understand everything at every step of the process.  

What documents do you need to buy a home in Javea?

To buy a home in Javea you will need many documents. The best way to ensure that you have everything in order and don’t miss anything is to buy with an experienced real estate agent who can help guide you in every step and process that you may need.  

The relevant paperwork that you will require is … 

• Liaison throughout the transaction with representatives of the Buyer and Notary. 
• The organisation of the Notary appointment and all paperwork related to the sale. 
• Translation at/of the Notary. 
• Deeds of the property. 
• Calculation of Goodwill and a letter of “Good Standing” with your community fees from the administration of your community. 
• Calculation and advice regarding Capital Gains Tax. 
• Preparation of utility contracts, community charges, and “Suma” invoices. 
• Your NIE and passport. 
• Fiscal representation throughout the whole process. 
• Calculation of 3 per cent retention. 

Thank you for taking the time to read this article on how to buy a home in Javea. Do remember to come back and check The Euro Weekly News website for all your up-to-date local and international news stories. Remember, you can also follow us on Facebook and Instagram.