MasterBrokersAuctions .com
What we do:
Unlocking the Spanish (bank) real-estate auctions for non-Spanish investors.
Giving them the opportunity to obtain Costa del Sol real-estate for absolute bargain prices.
Finished Auctions
You invest, we take care of the rest.
Are the Spanish (bank)
real estate auctions
complex?
You’re absolutely right. Spanish property auctions, particularly those involving foreclosures, are a complex process heavily regulated by the government. Similar to many countries, Spain has specific procedures and requirements that must be followed in order to buy or sell a property through auction.
This complexity can be a significant hurdle for non-Spanish investors unfamiliar with local laws and procedures. This is where Master Brokers Auctions steps in as a trusted intermediary and guide for international buyers. With their deep expertise in the Spanish foreclosure auction market, they can help foreign investors navigate the intricacies of the process and make informed decisions.
Here’s how partnering with Master Brokers Auctions benefits you in Spanish property auctions:
- Access to a Diverse Range of Auction Properties: Master Brokers Auctions boasts a vast network and access to a wide variety of foreclosure auctions across Spain, giving you more choices to find the perfect property.
- Expert Guidance and Support: Their team provides professional guidance and support throughout the entire auction process, from identifying suitable properties to submitting bids and finalizing the purchase.
- Legal and Administrative Assistance: Master Brokers Auctions can connect you with legal and administrative advice, ensuring you comply with all legal requirements and your rights are protected.
- Local Market Knowledge: Their in-depth understanding of the Spanish real estate market and foreclosure auction processes allows them to provide valuable insights and market knowledge to empower your decision-making.
By partnering with Master Brokers Auctions, non-Spanish investors can navigate the complexities of Spanish property auctions with confidence and capitalize on these unique opportunities to acquire high-quality properties at attractive prices.
Properties for bargain prices.
against market value
On average, we achieve discounts of 20% to 70% or more off the estimated market value.
Ways to make a profit
- Renovate and resell: If you can buy a property at a significant discount and renovate it strategically, you might be able to resell it for a higher price. This requires knowledge of renovation costs and local market trends.
- Rent it out: The Costa del Sol is a popular tourist destination, so you could potentially generate rental income from the property. However, you’ll need to factor in management costs and potential vacancies.
- Live in and enjoy: If you’re looking for a place to live in Spain, buying a property at auction could be a way to get a good deal on your own home.
The process explained
New Auctions
Our Services:
- Location: Research of the area’s growth potential, rental demand, amenities, and overall desirability. Check important factors like proximity to schools, jobs, and transportation.
- Supply and Demand: We analyse market trends to understand the balance between available properties and buyer interest. We look for areas with strong demand and limited supply for potential price appreciation.
- Investment Goals: We are aiming for high rental income, capital appreciation, or a balance of both. Different locations and property types cater to different goals.
- Research: This involves gathering information about the property, the neighborhood, and the local market.
- Legal: This involves reviewing the property’s title, deeds, and other legal documents to ensure that there are no liens or encumbrances on the property.
- Financial: This involves assessing the property’s value and determining whether it is a good financial investment.
- Structural: This involves inspecting the property for any structural defects or damage.
It is important to conduct thorough due diligence before purchasing any property, as this can help you avoid potential problems down the road.
- Submitting bids: MBA will submit bids on behalf of their client.
- Preparing and reviewing contracts: MBA will prepare and review all contracts related to the purchase of the property, such as the purchase agreement and the closing documents.
- Coordinating the closing: MBA will coordinate the closing of the sale, which is the final step in the purchase process. This includes ensuring that all paperwork is in order and that all funds are disbursed correctly.
MBA play an important role in representing their clients during the bidding process and do all to ensure that the transaction goes smoothly.
Expertise and Guidance: We have in-depth knowledge of building codes, structural engineering, and design principles, ensuring that the renovation adheres to safety standards and aligns with your desired style and functionality.
Planning and Design: We create detailed plans and drawings that clearly outline the renovation’s scope, layout, and specifications. This serves as a roadmap for contractors and ensures a cohesive and well-executed project.
Overseeing Construction: We provide on-site supervision during the construction phase, monitoring the progress, addressing any issues that arise, and ensuring that the renovation adheres to the approved plans and specifications.
Compliance with Regulations: We are well-versed in local building codes and regulations, ensuring that the renovation complies with all applicable requirements, preventing potential delays or legal issues.
Maximising Value: Our knowledge will optimise the value of your property by designing renovations that enhance its functionality, aesthetics, and overall appeal, potentially increasing its resale value.
Re-sell: This means selling the property outright for a profit. This is a good option if you want to access a large sum of money or if you believe the property value is likely to increase significantly in the near future.
Short-term rent: This involves renting out the property for short periods, typically ranging from a few days to a few weeks. This can be a good option if the property is located in a desirable tourist destination or if you want maximum flexibility in using the property yourself. However, it can also be more work to manage than long-term rentals.
Long-term rent: This involves renting out the property for a longer period, typically for one year or more. This can be a good option for generating a steady stream of income and requires less management than short-term rentals. However, the potential for rental income growth might be limited compared to short-term rentals.
Development of Property Prices in the
Malaga Province:
The property market in Malaga province has seen a significant rebound since the latter part of 2023. Here’s a breakdown of recent trends:
- Slight Dip in Late 2023: Data suggests a brief dip in average property prices per square meter towards the end of 2023.
- Resilient Market: However, the market showed resilience, with prices quickly recovering and surpassing year-ago figures.
- Current Uptrend: As of today (June 4, 2024), the average price per square meter for residential property in Malaga province sits around €2,412, reflecting a modest increase from both the end of 2023 and figures from a year ago (around €2,419).
Factors Contributing to the Rise:
- Increased Demand: Several factors are driving the rise in property prices, including a surge in demand from international buyers, particularly those from northern Europe.
- Shifting Priorities: The COVID-19 pandemic has fueled a desire for larger homes with outdoor space, which Malaga offers in abundance.
- Safe Haven: Spain’s political and economic stability makes it an attractive investment destination, drawing buyers seeking secure investments.
- Favorable Prices: Despite recent increases, Malaga property prices remain generally lower compared to many other European locations.
Variations Across Regions:
It’s important to note that price increases aren’t uniform across the entire province. Some areas have seen steeper rises than others:
- Malaga City: The city of Malaga itself has witnessed some of the highest price increases, with reports indicating a jump of around 11.1% in Q1 2024 compared to the national average of 3.3%.
- Costa del Sol: Popular tourist destinations along the Costa del Sol, like Marbella and Benalmadena, have also experienced significant growth, with some sources suggesting average price increases exceeding 10% in 2021.
Looking Forward:
The Malaga property market is expected to continue growing in the coming years. The strong demand, favorable climate, and attractive prices are likely to continue attracting buyers from across the globe.
Additional Resources:
- Malaga Property Report May 2024: https://www.guidetomalaga.com/need-to-know-malaga/buy-rent-property/malaga-property-report/
- House prices continue to rise on the Costa del Sol: https://www.surinenglish.com/lifestyle/property/
The momentum is now!
Breakdown of a real case: apartment in Benahavis
Auction starts
==================
The minimum expected bid was €160.650
Auction won!
==================
The winning bid was €192.780
Community debts €7.220
IBI (Property tax)€457,50
Buying fee (10%) €23.326,38
Total buying price €223.783,88
Estimated market value €320.000
Savings 30%
Apartment released
released and transferred to the new owner.
==================
Transfer tax (7%) €13.494,60
Registration fee €321,58
Costs of auction €223.783,88
Total costs obtaining the property €237.600,06
Renovation & selling
==================
Renovation + vat €74.250
Interior + vat €28.675
Project management (10% + vat) €10.292,50
Community costs €1.070
Utility costs €925 Insurance €370
Lawyer (1% + vat) €7.865
Agent fee (5% + vat)
Profit tax (19% of profit minus costs) €47.150,65
Property tax €457,50
Other taxes €1.008,61
Total selling costs €211.389,26
SOLD!
==================
Total investment €448.989
Realised profit €201.010
Return of investment 44,77%
Project duration 17 months
Return on investment per month 2,63%
Top 5 highest profit
What can you expect from us?
Top 5 high market value
Become a Master Brokers Auctions Member
- Registration is free
- Register with email or your Google account
- Mark properties as favourite
- Get a new auctions notification
- Get an email with auction results
- Direct contact with our team
- Place a search request
Who we are Meet the MBA team
Yoni (BE) - Sales
Meet Yoni Bernard, a leading expert in Marbella's real estate market and the driving force behind Mr. Broker Estate. Known for his impressive track record and deep market knowledge, Yoni is synonymous with integrity, transparency, and exceptional negotiation skills. Clients rely on Yoni for his unwavering commitment to outstanding service and lasting relationships. Navigate Marbella's dynamic real estate landscape with confidence alongside Yoni Bernard, where personalized guidance and unmatched professionalism turn property dreams into reality. Welcome to excellence with Yoni Bernard.
Manuel (ES) - Legal & Finance
As lawyer and financial analyst, Manuel specialises in real estate auctions, adept at navigating the complexities of property auctions. With a comprehensive understanding of legal and financial frameworks, Manuel offers tailored strategies for optimal outcomes. His expertise includes legal and urban planning due diligence as well as bidding tactics skills honed through years of experience from both the creditor's perspective and that of the bidder. Manuel ensures clients maximise value and mitigate risks in the competitive realm of real estate auctions. From legal guidance to financial analysis and tax efficiency, he provides holistic support, guiding clients through every step of the auction process.
Alba (ES) - Technical Architect
Drawing from a background in residential and commercial projects, in terms of design and renovations, Alba, as a technical architect embodies a relentless drive for excellence. Fueled by curiosity and a commitment to client satisfaction, she continuously seeks to enhance her skills and knowledge. Leveraging her experience in the real estate sector, she provides invaluable guidance in housing auctions, offering technical insights and assisting clients with property dimensions, layouts, and possibilities. Additionally, she excels in estimating budgets based on square footage, ensuring transparency and informed decision-making. Renowned for her dedication and expertise, she empowers clients to envision and realize their dream investments with confidence and precision.
Marco (NL) - Marketing & IT
With over three decades of collective expertise in business processes, software development, and marketing, Marco brings extensive experience to the table. Originating from The Hague, Holland, and now based in Spain since 2016, I offer seamless communication in English, Dutch, and German. Renowned for my discerning eye for impeccable design and steadfast commitment to usability, I excel in senior roles, providing invaluable guidance to teams. Explore further to discover how my background and insights can elevate your investments and initiatives to new heights of success.
Become a Master Brokers Auctions Buyer
- Registration is free
- Register with email or your Google account
- Mark properties as favourite
- Get a new auctions notification
- Get an email with auction results
- Direct contact with our team
- Place a search request
Pre buying preparation pack
Get ready to buy with a
MBA Property Buying Pack
If you are interested in buying a Spanish (auction) property you need specific documents.
As the auctions lasts 20 days and obtaining the right documents can take 30 days or more, we advise you to arrange this prior to any buying / bidding.
MBA can do this for you, we make sure all documents are in order to buy without any delay.
If you decide to buy one of our auction properties the costs of this will be deducted from our fee.
Purchaser documents private buyer:
- Passport: This is your primary identification document.
- NIE Number (Número de Identificación de Extranjeros): This is a foreigner’s identification number in Spain, and it’s necessary for carrying out the purchase. You can apply for it in person at the General Immigration Office or appoint someone to do it on your behalf with a power of attorney.
- Proof of Funds: If applying for a mortgage, you’ll need to provide documents like bank statements, payslips, or tax returns to demonstrate your financial capability. (not applicable for auctions)
- Spanish Bank Account (recommended): Having a Spanish bank account simplifies transactions and shows financial standing.
Purchaser documents corporate buyer:
- All of the above &
- Setting up an SL (Spanish Limited)
- Spanish NIF
- Foreign company documents
Individual
Excl. VAT
There are pros and cons to consider when buying an investment property as a private person. Here's a breakdown to help you decide:
Benefits:
- Simpler Setup: Owning property directly is the most straightforward way. Less paperwork and lower initial costs compared to setting up a separate entity like a corporation.
- Potential Tax Advantages: Depending on your location, you might benefit from tax deductions on mortgage interest, property taxes, and depreciation.
- Direct Control: You have complete control over the property's management and decision-making.
Drawbacks:
- Personal Liability: You're personally liable for any debts or legal issues related to the property. If a tenant sues you or there's a major repair, your personal assets could be at risk.
- Limited Growth Potential: Expanding your portfolio with multiple properties can become cumbersome managing them all individually.
- Tax Implications Upon Sale: When you sell the property, you'll pay capital gains tax on the profits.
Here are some additional things to keep in mind:
- Financing: Qualifying for a mortgage as a private investor might be easier than through a company structure.
- Management: Managing tenants, repairs, and maintenance yourself requires time and effort. Consider hiring a property management company if needed.
- Investment Strategy: Align your purchase with your overall goals. Are you looking for steady rental income or long-term capital appreciation?
Alternatives to Consider:
- Real Estate Investment Trusts (REITs): Invest in a portfolio of properties without directly owning them. Offers diversification and professional management but may have lower returns.
Corporate
Excl. VAT
There can be advantages and disadvantages to buying an investment property with a Spanish SL (Sociedad Limitada). Here's a breakdown to help you decide:
Potential Advantages:
Tax benefits:
- Reduced transfer tax: You might pay a lower tax on the purchase compared to buying individually (around 2% vs 7%). However, there might be conditions like holding the property for a certain period.
- Potentially lower corporate tax on rental income: Compared to individual income tax rates, corporate tax on rental income through an SL can be lower.
Limited liability protection: Your personal assets are shielded from liability related to the property, offering some financial security.
Anonymity: The public registry might not show the names of the SL's shareholders, offering some privacy.
Potential Disadvantages:
Setup and maintenance costs: There are fees associated with setting up and maintaining an SL, including annual filings and potentially an auditor.
Tax implications when selling: The tax benefits on purchase might be negated if you sell the property within a short timeframe (specific time varies).
Increased complexity: Managing an SL adds administrative burdens compared to individual ownership.
Here are some additional factors to consider:
Property value: The potential tax advantages of using an SL are generally more significant for high-value properties.
Your residency: EU residents might have different tax implications compared to non-EU residents when renting through an SL.
Your investment goals: If you plan to hold the property long-term, the potential tax benefits of an SL might be more attractive.
The momentum is now!
Become a member.Its free to register, leave your email to get direct acces to exclusive auctions and start
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Q & A
Have a Question About Buying a Property Through Auction in Spain?
We understand that buying a property through auction can be a new and exciting, yet complex, process. This Q&A section is designed to address any questions you may have about Spanish bank auctions, the buying process with Master Brokers Auctions (MBA), and the Malaga property market.
Browse through the frequently asked questions below, or feel free to submit your own question if you don't find what you're looking for. Our team of experts is here to guide you through every step of your Spanish property auction journey.
- Helps non-Spanish investors buy Spanish bank auction properties.
- Finds bargain properties for clients.
- They are heavily regulated by the government with specific procedures.
- Non-Spanish investors are unfamiliar with local laws and processes.
- Access to a wide variety of foreclosure auctions across Spain.
- Expert guidance and support throughout the entire auction process.
- Legal and administrative assistance to ensure compliance and protect rights.
- Local market knowledge to empower informed decision-making.
- Renovate and resell the property for a higher price.
- Rent out the property to generate income.
- Live in the property yourself.
- An auction typically last 20 days to be extended with a maximum of 24 hours.
- Selecting winning properties: Research location, amenities, market trends.
- Research, legal, financial, structural: Due diligence to avoid problems.
- Representing clients during bidding: Submit bids, prepare contracts, coordinate closing.
- Handling transaction: Ensure smooth process up to property delivery.
- Expertise and guidance on building codes, design, and functionality.
- Planning and design: Create detailed plans for renovation.
- Overseeing construction: Monitor progress, address issues, ensure adherence to plans.
- Compliance with regulations: Ensure renovation meets all legal requirements.
- Maximizing value: Design renovations to enhance functionality, aesthetics, and resale value.
- Slight dip in late 2023, but prices quickly recovered and surpassed year-ago figures.
- As of June 4, 2024, average price per square meter is €2,412.
- Prior viewing of the inside of the property is not possible.
- Mortgages are not possible for auctions (may be considered later). All transactions are cash only.
- Full purchase price must be paid within 30 days.
- Depending on the property, it may take up to 9 months to receive the keys.
- Free registration with email or Google account.
- Favorite properties and receive new auction notifications.
- Email with auction results and direct contact with the MBA team.
- Place search requests.
- Importance of obtaining the right documents before bidding due to time constraints (documents can take 30 days to obtain).
- MBA offers a pre-buying preparation pack to ensure all documents are in order.
- Free registration to become a client.
- Individual purchaser document pack: €499 (excl. VAT).
- Corporate purchaser document pack: €1499 (excl. VAT).
- MBA charges a fixed fee (10%) based on the bank value or winning bid (whichever is higher). This covers all their costs.
MBA Latest news
Auctions closed during holiday month August
Home sales in Spain fell in May, but prices continue to rise
