Have you found the property you are dreaming of or the best investment opportunity for you?
Proper research is very important to be able to find the ideal property for you.To ensure a professional service and approach contact an ELITE Property Consultant. Once you have found the property that meets your requirements and decide to proceed with the purchase, you need to do the necessary due diligence.
Choose a Lawyer
The Legal Check is carried out by a lawyer and concerns the legal status and valuation of the property. The lawyer does a check of the property titles for the last 20 years, (who/who are the beneficiaries, if it is mortgaged, if there are any pending litigation, claims, expropriations or existence of other legal obstacles). The check is carried out atLand Registry or at the Land Registry.
The lawyer must ensure that all property taxes due to the seller have been paid.
Select Architect / Civil Engineer
The technical inspection is carried out by an Architect or Civil Engineer and confirms whether the property is within the plan, whether it is constructed in accordance with the urban planning specifications / provisions, design - construction relationship, quality of materials etc. (Urban Planning).
Regarding plots, land and parcels (with or without a building), the topographical map is checked, which includes the area of the property, building capacity (sqm), approvals of the Archaeological and Forestry Service, any designations such as a beach, habitat.
Choose a Notary Public
The Notary conducts and certifies all transactions, ensuring the legally correct transfer of the property. Drafts and reviews all official documents. The Contract is signed in the notary's office, in the presence of the buyer's and seller's lawyers.
Select Accountant
It is important to hire an accountant. He or she will help you with your tax return, tax returns and explain the laws of property tax.
Pay the taxes (Property Transfer Tax)
Before signing the contract, the buyer must pay the Property Transfer Tax (TTT) to the Tax Office. The FMA amounts to 3% and is calculated based on the value of the property stated in the Contract.
For newly built properties (permits issued after 31.12.2005), the FMA is replaced by VAT (24%) calculated on the basis of the objective value of the property.
The Contract
Before the signing of the final Contract, a Private Agreement -Agreement is signed, detailing the terms of sale and the payment schedule, so that the property can be withdrawn from the market. The amount of the deposit is equal to an average of 10% of the value of the property.
Once the Legal and Technical inspection is completed, you will sign a final Contract, which the notary will deposit at the Land Registry.
Your lawyer can also sign the Contract if you have given him/her power of attorney.
Land Registry, Land Register and Transfer
After the contract has been registered at the Land Registry, your lawyer must confirm that the property has been transferred into your name and obtain a certificate from the Land Registry.
The Contract and the certificate from the Land Registry will be submitted to the Land Registry by the lawyer.
Buying and selling expenses
FMA (Real Estate Transfer Tax)
FMA amounts to 3% and is calculated by the notary based on the value of the property stated in the Contract. It will be paid before the signing of the Property Transfer Contract at the relevant Tax Office. For newly built properties for which the construction permit was issued after 31.12.2005 the FMA is converted into VAT 23%.
Lawyer
The lawyer's fee is 0,5 - 2% , calculated on the basis of the value of the property.
Notary Public
The notary's fees amount on average to between 0.65 and 1.2 %.
Mortgage office
The costs of the Land Registry amount to 0.475 % of the stated price of the Contract.
