What is the earnest money contract and what types exist?

The taxes depend on the type of housing:

Second-hand housing:

• ITP (Property Transfer Tax): between 6% and 10% of the purchase price according to the autonomous community. Madrid applies 6%, Catalonia 10%, Andalusia 7%, etc.

New-build housing (from the developer):

• VAT: 10% of the price (4% for Official Protection Housing)
• Stamp Duty: between 0.5% and 1.5% according to the autonomous community

Other buyer's expenses: notarial fees, registration costs, and management agency fees.

The seller must provide:

• Valid DNI/NIE
• Deed of ownership of the property
• Updated simple land registry note (current charges)
• Energy certificate of the property (mandatory for sale)
• IBI (receipt for the Property Tax) for the current year
• Certificate from the homeowners' association confirming that payments are up to date
• Habitation certificate (in communities that require it: Catalonia, Valencian Community, etc.)
• If there is a mortgage: certificate of outstanding debt from the bank

Powers of attorney are essential in many everyday situations:

• Real estate purchase and sale: when the owner cannot attend the signing of the deed
• Inheritance management: so that an heir can manage the process on behalf of all
• Banking procedures: to operate accounts, contract or cancel financial products
• Representation in judicial proceedings
• Management of properties in Spain from abroad
• Proceedings before the Administration: Tax Agency, Social Security, Municipalities
• Signing of lease contracts
• Corporate acts: general meeting, capital increase, etc.
• Dependency planning: preventive power for cases of incapacity

The Hague Apostille is an official seal that authenticates a public document (such as a notarial power of attorney, a judicial sentence, or a birth certificate) so that it has legal validity in the countries that are signatories to the Hague Convention of 1961.

Without Apostille, a Spanish public document would need to go through a consular legalization process in the destination country (much slower and more expensive).

With Apostille: the document is directly recognized in more than 120 signatory countries without additional procedures.

Who issues the Apostille in Spain:

• The Ministry of Justice for notarial, judicial, and Civil Registry documents
• The Superior Courts of Justice of each autonomous community