Do I need a lawyer when I sell my property in Spain

Filed under : Conveyancing & Property Law, Granada Office, Nerja Office

The simple answer to this question is Yes. Why? Firstly, the taxation on sales of property is case specific; whilst you may be given an estimate by the estate agents, each particular sale should be reviewed by a lawyer. Secondly, with the licencing of rural properties now an important issue, you don´t want to find monies are retained  unless you understand why and have a lawyer who follows up on these matters.

For British clients there can be the additional worry about converting the funds into sterling from euros. If you are considering selling, it is a good idea to get legal advice early on to avoid any unexpected problems on the day.

In a number of transactions between British people, we have been able to undertake the transaction in sterling provided the Notary is satisfied they have evidence of the payment for the sale. All other debts such as Community of Owners bills, utilities etc can be settled on the day or retentions made to cover these costs. If you have a  mortgage you need to be sure the bank will attend to cancel the mortgage.

For non-residents there is also a 3% retention on the sale price which is on account of Capital Gains Tax. If you have not made a capital gain and are up to date with your non-resident taxes you can apply for the return of this 3%. Your lawyer can arrange this but in some cases you may have to wait some months before the return of the funds. There is still some uncertainty about the obligation to pay plus valia to the Town Hall when you make a loss on the sale.

If you are not able to be in Spain on the day of sale you can grant lawyers a Spanish form Power of attorney to act for you. A lawyer instructed by you can ensure all of the retentions are correct and provide you with an individual tailored service.

Our property services from our Nerja office serve Frigiliana, Torrox, Torrox Costa, Velez Malaga and east to Salobreña, Almuñecar and Motril. If you need an English speaking lawyer and are selling or buying property we offer an initial Free consultation.

For more information contact De Cotta Law on 952 527014 or email [email protected].