When buying a property in Spain, it is important to hire an experienced real estate lawyer. Many people try to save expenses by skipping the lawyer, but this can be a big mistake.
The notary does not check if the property has construction penalties, fines, or demolition orders. It also does not study future development projects that might affect the property (eg. expropriation or highway project).
Buying a property
The purchase of real estate is one of the largest investments that a person will make. Therefore, it is recommended that you hire a real estate lawyer spain to ensure that the purchase process is carried out correctly. This will minimize the risk of problems in the future.
During the buying process, your lawyer will verify the identity of the owner of the property, as well as check the land registry documents and other details. They will also check if there are any debts or legal proceedings related to the property.
In addition, they will advise you on the different taxes that should be paid when purchasing a property. These include VAT tax (which is around 10%), stamp duty, and notary fees. They will also prepare the final purchase deed and draft the land contract agreement.
Selling a property
When selling property in Spain, it is important to have an English-speaking real estate lawyer who can help you understand the legal process. This includes confirming the buyer and seller meet their obligations under Spanish law. It also includes verifying the legal situation of the property, including checking the property registry, licenses, building permits, etc. Additionally, your attorney can check for outstanding debts and other legal issues that could interfere with your sale.
Additionally, your lawyer can prepare a folder of documentation for you to present to potential buyers. This includes copies of the title deeds, receipts for local property tax paid, utility bills, and community statutes. They can also advise you on the tax implications of selling your property. In addition, they can act as your agent, allowing you to avoid paying commission fees.
Renting a property
Real estate lawyers in Spain can help you avoid the pitfalls of renting a property. They can make sure the contracts you sign are accurate and the property has all the necessary characteristics. They can also help you with a variety of legal issues such as property litigation claims and the division of joint ownership.
Spanish law requires rental contracts to be reviewed annually. It also allows landlords to increase rent according to the consumer price index. In addition, tenants are required to receive a receipt that justifies the rent payment.
If a tenant fails to pay the rent or damage the property, it is up to the landlord to evict them. The landlord can also seek legal redress in the civil courts (juzgados de primera instancia). However, this process can be expensive and time-consuming.
Due diligence
The due diligence process for buying a property is an essential step in any real estate transaction. It consists of an investigation of various aspects of the property, including its legal status and any debts. It also involves a technical survey of the building and the surrounding land. A lawyer can arrange this for you.
This is a necessary process for any prospective buyer, particularly in Spain. If the property turns out to be unsuitable, it is important to have a lawyer by your side to ensure that you can cancel the contract and get your deposit back. Our lawyers are experienced in this field and can advise on the full range of real estate transactions. Jesus Varela is often engaged in asset and share deals as well as real estate financings and NPL portfolio trades.
Contracts
Real estate lawyers in Spain are able to assist clients with the full life cycle of property assets, including M&A and development mandates. They also advise on asset management for REITS and family offices. In addition, they advise on taxation issues such as capital gains and transfer taxes.
In addition, a real estate lawyer will check for any outstanding debts that might be attached to the property. This includes mortgages, liens, and unpaid taxes. This process is called due diligence.
During the legal investigation, the lawyer will also draft a temporary private purchase contract for his client. He will include important clauses and contingencies for the final sale. He will also arrange for completion through signing the public title deeds (also known as sales deeds) at the notary.