Property Law in Spain Home >

Below you wil find answers to common questions relating to property dealings in Spain. The topics covered relate not just to buying property in Spain but also selling and owning property, property taxes and the tax deductions you may avail of as well as landlord and tenant law. 

At all times please remember that your situation is unique and requires the assistance of a qualified, regulated solicitor in Spain. Should you need it, there is also information on how to find legal advice in English.

There are a number of legal issues that need to be considered before it is prudent to consider purchasing. In particular:

The vendor must provide the following documentation:

1)    Registry information regarding the property (a ‘nota simple’ can be requested by the buyer directly from the property registry at the local town hall)

2)      Receipt of payment of the most recent IBI tax bill (rates bill)

3)     Letter from the Community of Owners of the building or complex confirming that the community payments relating to the property are up to date

 

In addition, the buyer should confirm the following:

4)      Name of the current owner of the property

5)      If there is any mortgage or other charge over the property

6)      The physical property conforms to the description

7)   That the land is correctly zoned for building i.e. the property is not built on green belt

The buyer should also make sure there are no sitting tenants in the property.

Before buying a new property it is advisable to confirm the following:

1)   The existence of a project license in which the relevant technical department confirms that the building project has been carried-out in accordance with the original  approval originally issued by the town hall

2)      That the license of first occupation has been issued

3)      The certificate of habitability of the properties should be available

4)   Inscription in the property registry of the urbanization along with the necessary insurance for purposes of dealing with any defects in the building work

5)      That any sums advanced (via installments) for the purpose of purchasing a property ‘off-plan’ are protected by bank guarantee.

The vendor of the property has the following legal obligations:

1)      To conserve the property until it is handed over to the purchaser

2)      Transfer the property

3)      Make good any defects or deficiencies in the property

4)      To pay certain costs and taxes

If there are any defects in the property known to the seller and which may have not been communicated to the buyer, the buyer may rescind the contract or claim damages instead. There is a two year time limit, from the date of purchase, in which to exercise this right.

Unless there is agreement to the contrary, the vendor is obliged to pay the costs relating to the drawing up of the deeds of transfer as well as those costs necessary to effect the transfer of the property – this would include notary costs. 

Any capital gains tax that is due will also be payable by the vendor.

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