Spanish Property finders fee

jimmurt

Hi,

I´m currently living as a resident in Spain. I´m looking into buying a small place in the Valencia region.

My budget is quite small and the tax is 10% so I´m keen to cut down any other fees.

I´ve been searching online and most ads are run by property agents who charge the buyer a fee for their service.

I´ve gotten two quotes (€3k + VAT and €3.5k + VAT). I think these fees are very high.

Do you have to go through these companies and where can I look for house (websites etc) in order to avoid them? Or are they necessary?

Thanks!

Am I correct in thinking you are looking for a website that sellers use to avoid agent fees ?

Like renting / selling private on gumtree ?

jimmurt

Well I'm want to know are these agents charging the standard fees and is it normal that they buyer should pay €3k + VAT to them?

jimmurt

jimmurt wrote: »

Well I'm want to know are these agents charging the standard fees and is it normal that they buyer should pay €3k + VAT to them?

It doesn't look normal, at all, that you would be paying the agent any fee for buying a house. There are government fees involved in buying a property but in no way should the buyer pay a fee to the agent. Any fee is picked up by the seller.

A quick Google search and I found these-

http://www.spanishpropertyinsight.com/buying-property-in-spain/costs/


http://www.expatica.com/es/housing/Buying-a-property-in-Spain_103805.html

EagererBeaver

It can be a nightmare to avoid them. They get paid a fortune for doing ****ing nothing save posting a few photos on a website.

Can't remember which one it is bit either idealists or fotocasa will let you run a search for non-agent advertised properties.

Look for properties here (although I'm sure you're all over it) -

http://www.servihabitat.com/svhPortal

https://www.idealista.com/

The one thing you need to know is that you can not possibly be careful enough. Spain must be in the top 2-3 dodgiest European countries to buy a property. All sorts of scam out there.

There was another thread on boards recommending a Spanish solicitor based in Ireland. He seemed to be above corruption and reliable and was recommended by at least 2-3 boardsies when I read it.

Edit - do not give ANYBODY one penny without your solicitor signing off on it. Make sure it's your solicitor and not theirs or one they recommend.

Also Jimmurt, how long you been living in Spain ? Have you always lived in Valencia ?

Do you have family / friends around you ?

jimmurt

Hey All, thanks for the replies.

@EagererBeaver: I use both those sites and don't see the option to exclude the agents on them?

@ klopparama: I live in Madrid for 9 months now and don't have family here. I visit Valencia nearly every month and would prefer to invest here than in Madrid.

As someone mentioned it seems to be quite hard to avoid these "Search Agencies". Most of the properties I inquire about are connected to them. Under 100k they charge a flat fee of around 3 to 3.5k + 21% VAT. This is a big sum if you are buying something for 40 to 60k.

The tax is 10% then you have legal and notary fees as well. I'm beginning to get cold feet based on comments and other research I've done.


One agency sent me a contract and outline of what services they provide for the 3.5k. I asked them to send me on some properties to see if I was interested. They wanted a €350 retainer before they would do anything. This was just to search for properties! I told him where to go.

But as I said when I leave comments against a place I'm interested in, the people who contact me back are these agencies.

What were the services they outlined to you ?

jimmurt

Deleted User wrote: »

What were the services they outlined to you ?

I have a PDF document here with all the details. Pm me your email and I can send it to you.

This must be a fairly new scam / technique by agents because I can't find much about it online. Every single article I'm reading clearly states that the seller is responsible for any agent fees.

You were right to tell them to stick it. You've been there long enough now to get a feel for his things work. I lived there for two years and felt like a dollar sign was what a lot of locals seen me as. I know I was in a slightly rural area and I expect / hope Madrid may be different.

I'm going to be moving back and will be buying a property soon but this is a stark reminder of what I'll be up against.

You thought about looking at bank owned properties that are for sale ? Quite a few apartments popping up in Valencia but I'll be looking outside the city.

yqtwqxqm

jimmurt wrote: »

Hey All, thanks for the replies.

@EagererBeaver: I use both those sites and don't see the option to exclude the agents on them?

@ klopparama: I live in Madrid for 9 months now and don't have family here. I visit Valencia nearly every month and would prefer to invest here than in Madrid.

As someone mentioned it seems to be quite hard to avoid these "Search Agencies". Most of the properties I inquire about are connected to them. Under 100k they charge a flat fee of around 3 to 3.5k + 21% VAT. This is a big sum if you are buying something for 40 to 60k.

The tax is 10% then you have legal and notary fees as well. I'm beginning to get cold feet based on comments and other research I've done.


One agency sent me a contract and outline of what services they provide for the 3.5k. I asked them to send me on some properties to see if I was interested. They wanted a €350 retainer before they would do anything. This was just to search for properties! I told him where to go.

But as I said when I leave comments against a place I'm interested in, the people who contact me back are these agencies.

Dont forget to count in property taxes and service charges as ongoing expenses into your calculations too. They can be very expensive.

Dai John

Best thing to do is drive around an area you fancy and look for private signs. Make afew enquiries in the area. I have aplace near Villa Martin lots of places at reasonable prices. Go on A Place in the Sun they can do all the work for you.