What is the first step I need to take to purchase a home in Corfue? Having found the property you wish to buy an Agreement to Purchase form is completed here in Corfu that stipulates the agreed property price as well as estimates for the property transfer tax and legal fees. In addition, a deposit amount is specified and agreed. The Buying process Firstly, you need to run a search on our website and select some Greek properties for sale which interest you. Then, after you have arranged your trip to Greece, you need to inform us as soon as possible of the dates, where you are staying, and your contact details. This is important as things become booked up very quickly, especially in the summer. We will then agree dates and times to show you around all the properties of interest, and answer all of your questions. Should you decide to proceed, you will find that it is very straightforward when buying a property in Greece. In fact, it normally progresses very quickly without chains of buyers and gazumping. This means that it is a big plus if you have your finances ready before you make your viewing trip, as otherwise, by the time you return home and arrange things, your dream home may be sold. The diposit To secure your property, a 10% deposit on the purchase price is normally required on signing the preliminary sale agreement. This agreement details the names of the parties, the price, a property description, the payment method and any agreed conditions. In the case of inexpensive properties, this step may be bypassed, with the parties moving directly to exchange of contract. Lawyer We advise you to appoint an English speaking lawyer, preferably one who is reasonably local as they will be on the spot to do searches and will know local laws and regulations. They can check for clean title, help to fix the "assessed value", and ensure that the property is free from outstanding taxes which the new owner would otherwise inherit. We can provide you with a list of lawyers should you require. Property transactions in Greece always take place in the presence of lawyers representing both parties, and the notary, who will not authorise the sale without the appropriate tax papers and deeds being in order. At this stage, if the vendor backs out after a pre-contract has been signed, you get your deposit back, plus they will pay you an equal sum as penalty. If you back out, you would lose your deposit. Do I have to be present at the signing of the contract? No, you will need to prepare a Power of Attorney to enable signing of the contract in your absence. Depending on the seller's situation as well as the location of the land, the time from your decision to purchase to the actual signing of the contract can take anywhere from five days to over a month. If you are not in Crete, your Power of Attorney enables the lawyer of your choice here in Greece to sign the land contract on your behalf. It takes but one day to obtain the Power of Attorney here in Corfu and we can send you the necessary forms should you decide to do this later in your home country Completion Once all the papers are ready and in order, completion can quickly take place. The Notary will have prepared an official contract which is then signed at their offices, in the presence of the lawyers representing both sides. If the customer decides not to be present, they can agree to a Power of Attorney, for their lawyer to act on their behalf. Can you book accommodation and a hire car for me? Yes we can assist you with this if required. Do I need to learn to speak Greek? English is widely spoken in all areas of Corfu, local residents appreciate it if you attempt to speak to them in Greek. It will help you to integrate into the community and make friends with local people. Purchase Costs The purchase tax, legal and notary fees are paid for by the purchaser in Greece. These are calculated against the "officially assessed price" of the property and not the actual selling price. In order to keep costs down, the "officially assessed price" can be as much as a third cheaper than the actual selling price. Purchase tax 9-13% Legal fees 1-2% Notary fees 1-2% As these percentages are based on the lower "officially assessed price", you should allow for these costs to add up to approximately 10%-13% of the sale price. Please note that for off-plan, and design and build properties, the purchase costs can be less than half of those above. |
