When buying a home, we need to do more than find one that meets our needs, in a neighbourhood we like and within our budget. We also need to gather a number of documents required at signing and prepare them in advance if we want to avoid any last-minute problems.
What documents are needed to buy a home?
The documentation needed to buy a property depends on whether it is a resale home or a newly built property.
- For a resale home we need the following documents:
- The Land Registry extract (nota simple): to confirm who owns the property and check that it is free of charges.
- The energy performance certificate (CEE): supplied by the seller, this shows the property’s energy consumption.
Ask the seller for the Property Tax (IBI) bill and the certificate of community debts to identify outstanding payments and agree how they will be settled. Having these documents does not by itself remove any liability or charge affecting the property under the law.
- For a new home you should request:
- The building manual: requested from the developer, it contains the complete building project and the approved amendments.
- The certificate of completion: which certifies that the home was built in accordance with the approved plans.
- The first occupancy licence: issued by the local council, it confirms that the property complies with planning regulations and can be occupied.
- For first occupancy, the occupancy or first-use licence replaces the former certificate of habitability under the terms of Balearic regulations and their transitional provisions. For protected housing, the definitive classification must also be checked.
- The energy performance certificate (CEE): as with resale homes, this is a compulsory certificate containing the home’s energy information.
- The sale and purchase contract.
- If we buy a home off-plan, alongside the documents for buying the home, we should check the developer’s registration at the Companies Registry and verify that the building appears in the Land Registry. In addition, any money paid must be secured through a guarantee or an insurance policy.
Mortgage loan
If we intend to apply for a mortgage loan, we will also need to provide certain documents:
- If we are employed:
- The latest income tax return.
- A copy of the employment contract and recent payslips.
- An up-to-date employment history report.
- A bank statement covering the last few months.
- Payment receipts for any other loans we have.
- If we are self-employed:
- The previous year’s personal income tax (IRPF) and VAT (IVA) returns.
- Quarterly VAT payments.
- The latest Social Security payment receipts.
Other documents that may be useful
Additional documentation we can request from the seller includes:
- The owners’ community statutes and internal rules: although these two concepts can be confused, and we often ask for one or the other assuming they are the same, they are different. The internal rules set out how the community’s shared services and facilities operate, while the statutes establish the rights and obligations relating to the use of the building.
- It is also useful to request the certificate of approved and outstanding special assessments for the building, as the law provides that these payments are the responsibility of whoever owns the property when the costs fall due. This allows us to know whether we will have to pay any outstanding or already approved amounts.
- We can also request the plans of the installations and any works carried out in the home, particularly if we intend to make alterations or carry out any other building work on the property.
At Inmogestión Balear we help you arrange all the documents needed to buy a home. Our property personal shopper, who specialises in the local area, will help you find the home that best suits your preferences, accompany you throughout the process and handle all the purchase-related formalities with you.
Before proceeding to signing, you can explore these checks further in Arras agreements: deposit types, terms and precautions.
