Buying
Property In Spain - The Pitfalls!
In Spain the system of buying property is different from the one in
the U.K. In Spain the contracts can be signed at an early stage. If
you wish to purchase a property there are important regional issues
to consider as well when drawing up a contract.
The
terms of the contract to purchase a property in Asturias, for example,
will differ from Andalucia. Sign what may appear to be an innocent piece
of paper registering your interest in a property and you could be committing
yourself to a purchase you can ill afford; fail to take the appropriate
advice and you could find yourself in legal and financial problems.
Whether
you are purchasing a new chalet, or an old stone cottage in need of
renovation, or an apartment on the coast, it may have been constructed
without formal regulation and in Spain in particular there has been
a history of varying methods of construction built to varying standards.
Commissioning
a survey of a property from a qualified surveyor should always be considered
before committing to a purchase. A survey can save you both time and
money and can be used in the negotiating process. It will report on
the condition of a property as well as the legal issues and matters
in connection with a purchase.
The
most common approach to the purchase process is to agree a preliminary
contract (contrato privado) which should contain a number of routine
clauses including the amount of deposit to be paid. Once signed, this
will give the purchaser certainty in proceeding without the fear of
being gazumped.
It
is recommended that full searches and investigations are carried out
prior to signing the private contract. Standard checks include investigating
the planning status of the property, whether or not the seller is the
registered owner; and whether it is being sold free of mortgages or
other charges. Checking the property description and boundaries is particularly
relevant as many properties are unregistered having been passed down
through the family generations. The formal transfer of the property
is made in the presence of a notario by the signing of the deed of sale
(the escritura).
Taking
professional advice will ensure that your investment is sound. Please
contact us to discuss our home buyer and survey packages.
Clive
C. Robbins BSc (Hons) MRICS
Managing
Director
