Know what are the options for sale of properties in Galicia


Estate agencies leading sales in Galicia

Buying property in Galicia they can be acquired by three vendors, whether for real estate, directly to individuals or through banks and embargoes. Therefore, it is necessary to know what the differences that arise when buying through any of these intermediaries and of course, the benefits of each are. For foreigners, the steps may be slightly different than the Spaniards because it is easier to do it through a real estate agent and even real estate located outside of Spain. For Europeans, Americans and Arabs is less complicated, since, have free movement for Spain, but for Chinese citizens if they need visa to make your purchase.

An increasing number of people who are interested in a property in this region, whether to spend their days off and holidays, looking for a new home, or to buy property with the purpose of investing is higher. Galicia offers a variety of options. Therefore, visits from Europeans, Americans, Asians and Arabs is quite common in the Galician coast, and of course, inhabitants of other regions of Spain who choose Galicia as a destination for vacation or fun.

The type of properties most sought after by foreign investors are the cottages, associated with the field are the most traditional in Galicia, and can be found in any of its four provinces, but mainly in Ourense is where the market is more taken over by houses of this type. Rural homes are quite popular for European tourists who buy in order to make your holiday with his family, away from the city, quiet and close to countryside and nature. Others choose to rebuild houses that are a little aged and remodel to your taste, this is done mostly young men seeking to build their home. One advantage that possess this type of housing is its low cost, essentially because they are not very luxurious, but quite well-off chalets are achieved, and that are far from major cities, plus the cost of services is not very high, and sometimes only it reaches 100 euros per year.

¿Real Estate, individual or bank to buy?

These are the main ways or people they can do business to acquire a property. Each of the three has its advantages, but in the end is always the criterion and customer preference, so we will have a count of the characteristics of transactions that are made with each.

– Real Estate

They are the most common transactions, mainly because they have a wide range of properties to suit whatever the taste of the buyer, both property type, size, location and perhaps most importantly, price. In Galicia, 44% of the property purchase transactions are made through these. Besides real estate often they have partial mortgage options for the buyer. The most important advantage that exists when buying through real estate, is that it has counseling staff can assist you in all matters relating to property technical legal procedures, financial and. The trading price is also another highlight, as they are much more flexible than banks for example. Some of the most important real estate in Galicia are:

  • Gordon Real Estate Group
  • Flats Ferrol
  • Lembranza
  • Best Houses located in various cities

The advice from the estate includes regarding payments, taxes and registration status, within which the buyer will be included in a list of potential customers. Real estate coordinate visits and also be the seller’s representatives during the negotiations adjusting property prices according to market conditions. The real estate company must also mediate and seek the best financial terms with banks.

–           Bank entities

The properties held by banks, are properties purchased as an investment or product embargoes made to previous owners, because of this, we can say that in general the stock of homes held by banks, is lower against all who own real estate. However, the biggest advantage possessed by banks, credit terms are offered, and you can get mortgage loans up to 60% for foreign nationals with interest rates of 1.88% and better than those proposed real estate, with terms long term, reaching up to 25 and 30 years depending on the age and condition of the buyer.

Some of the banks that offer loans to foreign second home are:

  • The Open Mortgage Caixa with Bonificada
  • Mediolanum through Privilegium VIP Mortgage, Freedom and Freedom Plus
  • Mortgage Santander Santander (Second Home)
  • ING Direct Orange Mortgage through Mixed
  • Mortgage Caja Caja Sur Sur

– Individuals

They are the purchases are made directly with the property owner either new or used. Do the transaction in this way allows you to have direct contact with the person you want to sell your property, eliminating middlemen and thus reducing the costs of commissions for real estate or third parties in general, plus it is possible to better negotiate as to price of the property. However, the best to make these purchases, is advice in legal terms, as tax expenditures and all required paperwork, will be performed by the parties concerned. Therefore, you should be very careful when performing all operations and must also review everything about the state of the house, the terms of the contract, etc. In order to avoid any future problems.

– Promoters

 This is another way to acquire your property, and you can do when buying directly from the design or model, or when the house is under construction. The downside of buying a house in this way, is the uncertainty that is associated with such operations, and is that most of these properties are not ready at the time of purchase and therefore, there is some risk on completion, either for lack of funding, or for reasons such as those that occurred during the housing crisis, but of course, these are very exceptional occasions. However, contracts for these purchases, they may include certain types of clauses that ensure the delivery of the property or otherwise, a refund of money or any other measures agreed.

When you purchase a new property, you must make payment of value added tax (VAT) which replaces the tax on capital transfers and has a value of 10% for housing, 21% for commercial and 4% for protected properties . Similarly, you should cancel the tax Stamp Duty (AJD), which must be paid by the buyer of any property that is subject to VAT, and the value is in the range of 0.5 to 1.5% depending the type of property and the type of operation.

It should be noted that customer preferences always take precedence over the broker you want, and most of the time, what more weight when deciding, is the property that the customer wants, then see if it negotiates a real estate , a bank, an individual or if the property is still under construction.

What taxes should cancel?

When buying property in Galicia should be aware of some taxes that must pay:

– Property Transfer Tax (ITP): It is when you are buying a second-hand property, which is related to the autonomous communities. This tax is attached to the contract of sale and must be paid at the office of finance of each community. In Galicia the value of this tax is 10%, but normally the properties are paid by 8%. In some cases it pays 4% if buyers are disabled or under 36 years.

– Plus Valia Municipal: This corresponds to a municipal tax that must be paid to any property either, housing, local, farm, etc. And this tax is canceled by the seller.

– Tax (IBI): This is not related to the purchase of the property but this tenure. The value of this tax is calculated based on the assessed value of the property and must be canceled after the first of January each year.

Tips for foreigners who buy houses in Galicia

An increasing number of people who are interested in a property on this coast, either to spend their days off and holidays, looking for a new home, or to buy property with the purpose of investing is higher. Galicia offers a variety of options. Galicia is characterized by an architecture where rural buildings predominate, however, this has been progressing and also can get buildings post modern, so it is possible to choose between a medieval-style castle to a modern apartment located near the coast. The same goes for prices ranging from a few thousand to million euros. However, the properties demanded by foreigners in Galicia, are the cottages, mainly because all the advantages related to their prices, the space they have and the beauty of the landscapes that are associated.

At the moment definitely you as a foreigner decide to buy your holiday home in Galicia should consider requiring the services of a legal counsel and other property, the first to define all the requirements of ownership papers, contracts for sale, and permissions need to be abroad. Another important factor is that if you buy some land and want to build or buy a home and want to remodel, all this must be duly authenticated as bienhechurías, as it will change the future price if you want to sell, also obviously you need a constructor to perform all works. The figure of the real estate consultant is to guide you as to the property you want to choose, it is to present the best options according to your budget. The most ideal is that both advisers are in Galicia, to make better recommendations and also have contact with agents in the area. There are also some international estate transactions made from the outside.

Gilmar has done so, an international agency that serves as a link between estate agents and Arab investors and sellers of properties in Spain. Arabs have now focused on mainly two types of properties: large luxury buildings and farms large villas. Arabs focus on converting these farms and buildings in hotels, whether luxury or rural hotels, which are remodeled or restored with the aim of establishing international quality standards.

If you want to buy a beach house and look around the coast. The provinces of La Coruña, Pontevedra and areas such as Sanxenxo and Cambados are good beach resorts when buying a property and get reasonable summers. If you want to buy a rural retreat is far from everything, then look Lugo and Ourense for this type of real estate, but remember that isolation also has some negatives when it comes to facilities, shops, etc.

As advice, the best always visit the property in person before making the sale, because many times, the properties are not well publicized on the Internet, and that is one factor that does not help Galicia continue to grow in the foreign market. It is also common to find properties that are overvalued and few specifications in details, therefore, the price can be negotiated most of the time, although the store negotiation to take a long time. Note also that for the month of January this year, the value of the average square meter in Galicia stood at 883 euros, this can serve as a reference in case you want to buy a property in the region shortly.

What is expected for Real Estate in the region

The market has been recovering, but still the property prices remain low, therefore this is the best time to buy property in Galicia, because as the economy improves, prices will increase due to increased demand.

According to reports from major banks, the property market in Spain has been stabilized since 2015, a process that started since 2012 with cities of great real estate movement and of great interest to foreign tourists as Mallorca, Marbella and the Costa del Sol, and then it spreads to Madrid, Barcelona and Valencia, and now also reached the green coast in Galicia.

Property prices in Galicia are extremely variable and movement within the same region, it is not constant as shown in A Coruña and Ferrol, where the price per square meter of the first, is more than twice the second. A Coruña and Santiago de Compostela, the most attractive for tourism are also are also the most cost whose value per square meter exceeds 2,000 euros, although the most expensive city in the region is Sanxenxo at a cost of 2450 euros per meter square.

The biggest drop in prices in the town occurred in Pontevedra and Ourense, located south, where the cost has fallen on average 2%, however, despite being localities with less movement in terms of real estate, it is expected that engage the growth rate this year.

Foreigners wishing to invest in Galicia, have been favored by the measures introduced by the Spanish government indicating citizens belonging to the European community have free entry to Spanish territory, Arabs and Americans, thanks to the elimination of visa declared by the European union, allows people coming from the UAE and Americans to travel freely, provided only spend 90 days or less in Europe, as is the case with American citizens countries.

It is also the opportunity to opt for the Gold visa is to acquire a real estate investment is greater than or equal to 500 thousand euros. This type of visa, has seen major Chinese applicants as citizens of this nationality still do not have free access to Spanish territory at least as tourists and participants for this option.


The chances of buying real estate in Galicia can find them through real estate, banks or individuals, with different plans for foreigners. Here’s how the three forms work, but there is always the customer to choose according to their needs and tastes. Most importantly, do not hesitate to invest in the region, as this is the best in terms of price, and tourism also expected to grow.

Written by: CAPD

Words: 2543

Contribution to the reader: to know the client, different means to buy property in Galicia, in order to have a criterion for choosing. Also for foreigners recommendations that facilitate their transactions in the region they are made.

Main sources:





Secondary sources: