When you buy a property we think everything finishes with the signing at the notary but, it is a long path until that moment. If the aftersales is not done properly it can cause problems in the future.
The 5 steps to be made:
It is important that you pay the tax bill related to the operation. The transmission tax in Valencia is 10% of the total purchase value and you must do it on time. You have 30 days from the day of signing. Doing it after the deadline means a high tax bill with surcharges and fines which can be 20% + 4 % late interest. Once all the taxes have been paid, we send the deeds to the Land Registry. No property can be modified without taxes in order.
Change of ownership on Catastro
Another task to be done is the change of ownership at Catastro. Do you know why we have this entity in Spain? The main purpose is to collect the value of all property, so the Tax Agency can set a value for it when we pay the council tax or another taxes.
Local Tax Agency
After doing this, we will inform SUMA or the local Tax Agency which issues the council tax, so the next year you will pay this tax and there is not extra surcharges on it. We advise for this to be set up by direct debit.
The next step is to change the ownership of water, electricity, telephone, gas, internet… and set up a direct debit to avoid cuts on the services. Some companies accept a direct debit for a bank account outside Spain but you should check first.
If you postpone this, it is likely you will suffer a cut and the contract is cancelled. Then you need to start again with the company and getting a new contract which means more fees to be paid and more time waiting. The sooner you solve this, the cheaper it will be in the future.
Last but not least, you have to contact with the secretary of the community, to inform them that you have bought the property and you are the new owner. This will give you the right to vote on community decisions and also you will be able to set a direct debit for the community fees.
We are aware that doing all of this can be a bit tedious, that´s why we include the above services when we act on your behalf when purchasing. If you want to buy a property in Spain, please, contact us and we will help you.