Finding the Right Property - Creating a Personal Checklist

Buying a property is always an important and significant decision that you should not take lightly. Especially in Spain, there are many different and new aspects to consider to ensure that you are completely satisfied with the purchased property in the end.

Investing in a suitable property involves individual factors such as age, occupation, social status, lifestyle, leisure activities, and family status.

Key Questions to Consider:

• What facilities do you need nearby, and what can you do without?

• What is the condition of the property?

• Where might you need to do some work yourself?

These are just a few of the many questions you are likely to ask yourself. To help you navigate this process, we have compiled an overview of the most important aspects to consider.

Establishing Criteria for the Right Property

Before you start your property search, you need to know exactly what you are looking for.

• Property Type: Are you interested in an apartment or a house?

• Style: Should it be a modern new-build apartment or a traditional finca?

• Condition: Can your new property be in need of renovation?

• Move-in Readiness: Do you want to move in immediately or make some changes to your new home first?

• Outdoor Space: Do you need a large garden or a balcony?

• Size: How many square meters and rooms do you need for yourself and your loved ones?

All these questions are important and should be carefully considered. This way, a real estate agent can better assist you in your search.

Condition and Features of the Property

The condition and features of the property can be decisive factors in your final decision.

Especially if you are considering an older finca, you should ask yourself to what extent modernization measures have already been carried out or what renovation and modernization work you might need to undertake.

If you have concerns about the condition of the property, it is wise to hire a building inspector to assess the quality of the construction (problems with mold, moisture, or dry rot), potential issues with the structure or insulation, and other possible hazards.

The condition of the roof, windows, electrical system, and heating should also be inspected either by yourself or by the inspector. Additionally, ensure that all necessary connections, outlets, and circuit breakers are present.

What else is important to you? Do you need storage options like a garage, shed, carport, or similar? Do you also want a garden, terrace, or balcony? If so, how large should they be?

Criteria for the Right Location

Before starting your search, you should also consider this point. Do you prefer a quiet life in the countryside or an exciting life in the city? Should your property be located on the coast or inland? Is it important to you that the airport is easily accessible?

If you have children, it's probably in your interest that various facilities, such as parks or playgrounds, are within easy reach, ideally on foot. You should also consider the proximity of shopping facilities and doctors.

For your personal well-being, pay attention to who your future neighbors will be. Do you fit into the neighborhood? Is the property located in a popular tourist area where the surrounding properties are used for vacation rentals? Or do the majority of your neighbors consist of local Mallorcans?

Financing, Budget, and Associated Costs

One of the most important points is your available budget. Therefore, you should clarify in advance how much you can or want to spend on your dream property.

However, it’s not just the actual purchase price that matters, but also aspects such as land transfer tax, renovation costs, and other expenses. First, determine the loan amount available to you based on your income and how much equity you will need.

In addition to the purchase price of the property, there are also additional purchase costs. Be clear about these and perhaps conduct an example calculation for a property.

One-Time and Ongoing Costs

One-Time Costs:

• Purchase price

• Land transfer tax

• Notary fees

• Registration fees

• Inspection and appraisal fees

• Legal fees (if applicable)

Ongoing Monthly Costs:

• Mortgage payments

• Operating costs

• Insurance costs

Other Costs:

• Moving expenses

• Necessary modernizations

• Repairs and renovations before moving in

The energy certificate of the property can show you how the ongoing costs, particularly energy costs, will develop and what to expect.

Equity and Financing

In addition to the equity for the additional costs, experts recommend having equity amounting to about 20 percent of the purchase price. This provides banks with good loan security, makes the loan cheaper, and shortens the repayment period.

Property Viewings

Proper preparation for a property viewing can make the process much more promising. In most cases, you will need to view several properties before purchasing your new home.

Tips for Property Viewings

• Prepare Standard Questions: Develop a set of standard questions to ask at each property. This will help you compare different properties more effectively.

• Bring Essential Tools:

  • Camera: Take photos of each property.

  • Measuring Tape: Measure rooms and spaces as needed.

  • Notebook: Write down questions, answers, and your impressions of each property.

By following these steps, you can ensure that you maintain a good overview of all the properties you visit. This systematic approach will help you make a well-informed decision.

Checklist

When searching for a property, it's also helpful to bring along a checklist to tick off important criteria. Here is a selection of key points for your personal checklist:

• Electrical Outlets and Connections: Where are the electrical outlets and connections located, and are there enough of both?

• Basement Condition: Is there any visible moisture in the basement? Are the basement rooms well-ventilated? Is there enough storage space?

• Heating System: How old is the heating system and what condition is it in? Have maintenance guidelines been followed?

• Roof Condition: What is the condition of the roof and how old is it?

• Energy Efficiency: What is the energy rating of the house and how well is it insulated?

• Electrical Wiring: Does the electricity supply work throughout the house? How old are the electrical lines and what condition are they in?

• Windows: Do all windows close properly and are they double-glazed? Are any replacements needed?

• Flooring: What types of flooring have been installed in the house and are there any visible defects? Soundproofing can be very important, especially on upper floors.

• Room Layout: Are the rooms arranged sensibly, and is there enough space, or do sloping ceilings obstruct movement?

• Bathroom: Does the bathroom have a window and does it need renovation?

• Storage Space: Is there enough storage space throughout the house, and can the attic be used for storage? Is the attic easily accessible?

• Included Fixtures: What built-in fixtures are included in the sale? (e.g., fitted kitchen, oven, awnings)

Of course, you can expand this checklist according to your own preferences to always have the perfect checklist ready for you.

Conclusion

Buying a property should be well-considered, especially if it is located abroad. Take your time with your decision and consult a qualified inspector if you have any doubts. Under no circumstances should you overestimate your budget. With the help of FALC Finance, you can calculate the maximum property price you can afford without major obstacles. Choose a location where you will feel comfortable for years or even decades to come.

FALC Real Estate is happy to assist you with advice and support in your property search.