Barcelona is one of the most developed and polished cities in the world. The organized infrastructure of the city, the cool climate, and its general ambiance make it a dream for every real estate investor to own an apartment in this city. Barcelona is also a home of thousands of well-polished and luxurious apartments that are relatively well-priced compared to other cities in Europe.
Most of the Barcelona luxury apartments are built based on the city’s iconic architectural concept that has been around for centuries. This is another good reason for buying an apartment in Barcelona. But before you buy your next apartment in this city, there are some factors that you need to look into.
In this article, I will discuss all the key parameters you need to consider before paying for your next apartment in Barcelona.
- Decide on the purchasing terms
You can either choose to pay cash or with a mortgage. Each of these methods has Pros and cons that you have to be aware of before making a choice. If you choose to pay in cash, the total amount you will pay for the apartment will be significantly less than someone who chooses to go for the mortgage option.
If you are paying in cash, make sure you consider the extra costs you will have to pay besides the purchasing price. In most cases, the extra fees that include taxes, brokerage fees, and processing paperwork amount to almost 15% of the purchasing price of the Apartment. If you choose to get a mortgage, your bank will clear all these charges on your behalf.
- Do your research about the best banks to get the mortgage
If you choose to get a mortgage, you have to choose a bank with friendly payment terms. Most banks in Spain, including Barcelona, have mortgage rates ranging between 2.5 to 5%. You also need to note that Spanish nationals are given priority and better conditions while getting these mortgages.
For example, a Spanish national will be given mortgages that cater for up to 80% of the purchase price. On the other hand, the non-Spanish get up to 60%. So, you need to look into all these figures before getting the mortgage.
- Search for the best deals
There are several websites in Spain that you can use to get the best Apartment deals in Barcelona. However, you need to know how best to find these deals because you won’t find them laid out on the home page most of the time. While searching, you need to filter the search results using the parameters of the ideal apartment you would like to buy.
For Barcelona luxury apartments, some of the parameters you need put in your filter include;
- Flat size: Most flats in Barcelona range between 40 to 120 square meters. Prices are usually pretty high when you go beyond 100 square meters. Make sure you choose a size that fits your needs and budget.
- Price: Of course, you need to have a budget that you are looking at before going out there to buy an apartment. You may also choose to change the listing order from low to high so that you get to see the cheapest options up to.
- In-depth property features: Besides the flat size and price, there are several other property features that you can include in your search query to get the best possible results. Some of these features include; the number of bedrooms/birthroots, properties neighborhood, parking space, and many more.
- Be a good negotiator while doing site visits
Your negotiating skills will likely create a huge difference between the asking price and the final price you agree upon with the seller. When you visit the apartment, don’t start throwing good compliments of how good it looks. Instead, try to look out for the defects it has and highlight them a little more.
This approach will put you in a position of strength while negotiating. If you are not good at negotiating, consider hiring a real estate with a good reputation when it comes to negotiating.
- Do due diligence
Your broker or real estate agent may not have the motivation to get deeper regarding the property’s condition, its rightful owner, bank liens, and zoning laws. So, you need to personally do due diligence about all these aspects of the house. Most Barcelona luxury apartments usually don’t have legal-related issues, but that doesn’t rule out the possibility of landing on one that has them.
- Plan for all the paperwork costs ahead of time
Most people buying properties for the first time tend to only consider the purchasing price while planning. However, the paperwork costs involved are also very significant, so you need to plan for them to avoid surprises in the process.
- Pre-purchase contracts
Some platforms and their sellers allow pre-contract forms that you fill to show the seller you are committed to buying their property. There are two types of pre-purchase contracts for buying houses in Barcelona, and these include;
- The reverse contract: With this type of contract, you write your offer and pay a deposit of around 1% on it. If you don’t buy the property, you lose that deposit. And if the seller doesn’t sell you the property, they have to refund your deposit.
- Arras Contract: You will have to place your offer and deposit around 10% with this type of contract. If you don’t buy, you lose the deposit. But if the seller doesn’t sell to you, they refund twice your deposit.
As I have earlier shared, Barcelona is one of the best cities in Europe where you can own a luxury apartment. However, for the best results, you need to consider the seven factors I have just shared.