Do I need a lawyer when I sell my property

Filed under : Conveyancing & Property Law

The simple answer to this question is Yes. Why? Firstly, the taxation on sales of property is case specific and 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 indefinitely 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. If there is a mortgage on the property which will be paid off on sale, your lawyer will ensure that the bank is available on the day of signing the deed to cancel the mortgage. All other debts such as Community of Owners bills, utilities etc can be settled on the day or retentions made to cover these costs.

For non-residents there is also a 3% retention on the sale price which is on account of CGT. 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 a Spanish form power of attorney to lawyers 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.

For more information contact us on 952 527 014 or email [email protected]