This matter is regulated in our legal system by the Spanish Law Royal Decree 515/1989, of 21 April on consumer protection, regarding information to be provided in the acquisition and renting on properties, in place since November 17, 1989.

The acquisition or rental of a dwelling is a fact of great importance in the life; therefore several aspects such as the building materials, expenses for the buyer and documentation to be delivered in the transaction are regulated.

The promoters must have available to the public the following information:

1. Name, domicile and registration details of the vendor entity or leasing company at the Mercantile Registry.

2. Location and specific floor plans of the property.

3. Useful area of the property and general description of the building.

4. Reference to the materials used in the construction.

6. Identification details of the registration of the property at the Land Registry.

7. Purchase-sale price or rent income and way of payment.

In the event of sale, the following documentation has to be available for the public:

a) Required legal authorisations for the construction or occupation of the property. (Such as building licence and licence of first occupation).

b) By Laws and rules of Community of Owners.

c) Information concerning payment of any taxes related to the property or its use.

 d)  Way in which it is intended to have the agreement documented, terms and general conditions of the contract.

 e) Date of delivery and phase of the construction at any moment.

 f) In the case of first transmission (new property sold by promoter), it will be indicated the name and domicile of the architect who intervened in the project and the name and domicile of the constructor.

If you want to wish to know more about the information and documentation required in the purchase and renting of your property,  please contact this Spanish law firm settled in Marbella. Buy a property in Spain with all your guarantees using the services of Arcos & Lamers Asociados, as we will advise and assist you at the signing of your purchase or rental contract and your interests will be protected. More information on the purchase process, taxes involved and selling procedure of a property in Spain can be found at “Conveyancing in Spain”

María Teresa Arcos, lawyer in Spain

Wim Lamers, Economist in Spain

Marbella, October 2013.

Property lawyer in Spain.

Spanish Law 4/2013 4th June, measures for flexibility and development of the rental property market.

In order to obtain a balance between the needs of lease of properties and the necessary guarantees for the landlord, in order to put properties at the rental market, the Law carries out a series of amendments on the following relevant matters

1º) Priority is given to the will of the parties.

2º) This Spanish Law reduces the duration of the mandatory extension from five to three years and from three to one year in the tacit extension.  Although the term of the lease will be agreed by the parties, when the contract is for a period of less than three years, it will  be extended by law  for annual periods until it reaches a minimum duration of three years.

3º)  The recovery of the property by the owner to be used as permanent home. In this case it would not be applicable the mentioned compulsory extension if, after the first year, the landlord informs the tenant about his need to use the property as permanent house.

4º)  The withdrawal from the Spanish contract by the tenant.  The tenant  may withdraw after six months and by notification to the owner with a least thirty days in advance. The parties may agree in the contract a compensation for the landlord.

5º) Sale of a rented property in Spain. The purchaser of a property registered at the Land Registry will only be subrogated in the rights and obligations of the landlord when the rental agreement is registered at the Land Registry,  not being damaged the buyer, by a lease not registered.

6º)  Update of the rent income. Income will be updated each year of the contract under the terms agreed by the parties. In the absence of express agreement, the rent will be updated on the basis of the general index system of consumer price.

If you wish to obtain additional information about the lease of your property in Spain or to review your rent contract, please contact us.  At Arcos & Lamers Asociados a professional will provide the necessary advice on the granting of your contract and will inform you in all your rights in Spain. Arcos & Lamers Asociados, your property lawyers in Spain, registered accountants (economists) in Marbella, Málaga, Spain.

Through the signing of a professional lease contract, your rights will be protected.

María Teresa Arcos, lawyer in Marbella

Wim Lamers, registered accountant (economist) in Marbella

Marbella, September 2013.

We go to a notary to sign, among others, the deed for the acquisition or sale of your property, to grant a Power of Attorney, to make a Will and to set up a Spanish company.  In Spain, the notary is guarantee of security, legality and independence.

What information appears in you Purchase Sale Title Deed?

At the beginning of the document, you will find the following contents:

- The place and date of signing of the deed, and name of the notary.

- Identification of the parties, including name, nationality, marital status, professional activity, domicile and identification documents.

-In addition it is stated if someone is appearing on behalf of another, showing the Power of Attorney which authorizes that.

-Also, it is included if there is an interpreter, in the event that any of the appearing parties do not know the language in which the deed in drafted.

The notary will give faith of the capacity with which the parties appear.  Then, the document includes the statements made by the parties related to the property as follows:

1.- Description of the property and Land Registry particulars.

 2.- Rates reference and situation concerning payment of rates (IBI).

3.- Statements concerning payment of Community fees and attachment of certificate issued by the Community of Owners concerning payments on the property.

 4.- Charges and encumbrances on the property.

 5.- Delivery to the purchaser of the Energy Certificate.

 6.- Attachment to the deed of information from the corresponding Land Registry.

 7. Possessory situation: If the property is free of tenants and occupants, or not.

 8.- Conditions of the transaction such as: object, price, way of payment.  Payment of expenses arising in the deed and settlement of Plusvalia Tax.

Finally, the deed will expressly include the fact of having read the contents of the same, the serial number of the pages where the document begins and ends and its signature by the parties and the notary.

If you have any questions about the content or execution of your deed, please do not hesitate to contact us. The lawyers and tax advisers of our Spanish law firm will advise you in the granting of your Purchase Sale Title Deed or we will clarify the doubts you may have regarding your document already signed. We will provide you a fast and effective advice to meet your needs.

María Tersa Arcos, lawyer in Marbella

Wim Lamers, Economist in Marbella

Marbella, September 2013.

POINTS TO KEEP IN MIND FOR YOUR OWN SAFETY

Lawyer in Spain

If you are the owner of a property in Spain, you should confirm whether the property is duly registered in your name at the corresponding Land Registry.

At the Spanish Land Registry you can find out the following fundamental aspects of your property:

1.- That the property is duly registered in your name.

2.- Description of the Spanish property, surface and quota in the community of owners. This quota will determine your contribution to the community and payment of your community fees.

3.- .Possible existing charges on the property, such as mortgage or embargo.

The Spanish property should also be registered at the Cadastral Office for rates purposes, which will regulate your payment of  IBI.  This will prevent the surprise of  finding pending IBI bills due to the non knowledge.

The property must have the corresponding license of first occupation granted by the Council of the municipality in which the property is located.  This license will indicate that the construction has been built according to the granted building licence to the promoter, the project submitted by the architect and urban planning regulations.

If you wish to obtain a report on the points mentioned, please do not hesitate to contact this leading law firm in Marbella.

Gain peace of mind knowing that your home is registered in your name and without any charges or IBI debts.

María Teresa Arcos, lawyer in Spain

Wim Lamers, registered accountant (economist) in Spain

Marbella, August, 2013.

With effect from 28^th June 2013, the “ Spanish Law 8/2013 June 26 concerning rehabilitation, regeneration and urban renewal” has been approved, which is primarily aimed at the improvement of the energy efficiency of the “Spanish building stock”.

One of the main elements to mark about the new law is the called “Building Evaluation Form” (Informe de Evaluación de Edificios, IEE), which would a supplement to the not so old “technical inspection of buildings” (Inspección técnica de edificios, ITE).

The IEE is regulated under Title I of the new Spanish law and the main point to take into account are the following ones:

1. The IEE will identify the Spanish property, with its cadastral reference and shall contain in detail:

a) The evaluation of the conservation status of the building.

b) The assessments of the essential conditions for the accessibility and non-discrimination of those people with disabilities to access and use of the building, establishing whether the building is capable or not of reasonable accommodation.

c) The certification of building energy efficiency, with the content and by the procedure ruled by the applicable regulations (see our blogs on Certification part one and part two).

Many times we will find that by the regional or municipal regulations, there is already a “technical inspection of buildings” (Inspección técnica de edificios, ITE), where is contemplated points a) and b) above, therefore in these cases, only the certification referred in letter c) should be obtained.

2. This Spanish new law provides certain deadlines to dispose of that IEE, being:

a) Buildings of collective housing residential typology older than 50 years, the maximum term of five years from the date on which they reach that age, unless they already have a technical inspection in force.

b) Buildings whose owners intend to benefit for public subventions in order to undertake conservation works, universal accessibility or energy efficiency, prior to the execution of the corresponding application for these subventions.

c) The rest of the buildings, when so determined by regional or municipal regulations, which may establish application specialties of the mentioned IEE, depending on their location, age, type or predominant use.

3. When the IEE is made on behalf of the community or group of communities that refer to an entire building or building complex, will extend its effectiveness to all existing buildings and dwellings.

4. The IEE will have a periodicity of ten years, although the regions and municipalities may set a lower frequency.

5. The breach of duty to complete on time and form the IEE, will be considered urban infraction.

6. Acopy of that IEE must be submitted to the Public Organism that determines each region, so that this information is part of a integrated and sole registry.

7. Finally, and in order to not extend longer  and alter the purely informative nature of our blogs, to say that the IEE will be signed by qualified competent technician , ie those who are in possession of any of the academic and professional qualifications for drawing up building projects and execution management of building works.

Please do not hesitate to contact the English speaking Spanish lawyers and accountants in Marbella of Arcos & Lamers Asociados, lawyers in Spain and tax advisors inMarbella, we have an expert team ready to answer your questions and to provide legal and fiscal advice in Spain.

Approach the multilingual Spanish property lawyers of Arcos & Lamers Asociados for any legal, tax, labour and company advice you may need!.

Félix Ruiz, Lawyer in Spain

Marbella, August, 2013.

Conveyancing lawyers in Spain.

We often find situations in which clients arrives to our office who desire to buy a home in Spain, having paid and signed a “reservation”, “deposit” or “arras” document, a deposit for the purchase of the same, to be followed by document or private purchase contract, that in most cases does not contain the minimum legal requirements.

And sometimes we wonder, why going to the lawyer after paying a reservation of the property and not before?

In most cases, the not-resident purchasers, approach the corresponding Real Estate with their concern -otherwise normal- to lose the property of their dreams if the payment of the reservation is not done immediately, to “take the property out of the market”. However, as indicated, these documents lack in most cases, the minimum legal requirements to be met by any bilateral agreement between purchaser and vendor. Do not forget that the purchase is a contract between two parties and the reservation document should be the first step in that agreement.

It is true that in many cases, the “bargains” are short time in hands of Real Estate Agents, so the astute buyer should reserve them as soon as possible to prevent other potential acquirers. And we know that in those moments of it could be difficult to locate a property lawyer for advise. Do not hesitate to contact our firm as we are conveyancing lawyers and solicitors specialized in Spanish properties transactions.

Therefore, from this post, we would like to state 8 points to take into account at the time of signing a reservation document in Spain:

1. That the reservation contract contains full details of the vendors: full name, address and identity card (ID card, passport, NIE, Residence card ….)

2. It clearly identifies the object of purchase: house, villa, apartment, etc with the appropriate number and address as fully as possible. Also to identify elements attached to the property, such as storage or parking places.

3. Whether the property is transferred furnished, if any, attached to the reservation document an inventory of the furniture.

4. Total price of the sale.

5. Amount of the reservation and that the same will be deducted from the final price.

6. Clarify who assume the costs of the transmission. Generally all expenses and taxes will be paid by the purchaser with the exception of Plusvalia tax that will be paid by the vendor.

7. If the vendor is not present to sign the reservation document, indicate in the contract that the deposit paid shall be retained by the real estate agency until the signing of the Purchase Deed (or until the signing of a private contract with the vendor).

8. That reservation document is subject to study of the property by the purchase´r lawyer to ensure that the property is free of all liens and encumbrances and that complies with planning regulations in the area where the property is locate. Otherwise, the reservation must be returned to the buyers.

Once your reservation document is signed your lawyer in Spain should advise you properly during the process of buying property.

For additional information please click below:

1)      Purchase of a property in Spain guidelines

2)      Taxes and disbursements involved at the time of buying your home in Spain.

3)      Running costs of a Spanish property

4)      Procedure to take into account at the time of the sale.

5)      Taxes involved at the time of the sale.

Please do not hesitate to contact the English speaking Spanish lawyers and accountants in Marbella of Arcos & Lamers Asociados, lawyers in Spain and tax advisors inMarbella, we have an expert team ready to answer your questions and to provide legal and fiscal advice in Spain.

Approach the English speaking Spanish Lawyers of Arcos & Lamers Asociados for any legal, tax, labour and company advice you may need!.

Félix Ruiz, Lawyer in Marbella

Marbella July 2013

As already mentioned in a previouse post , in the event that you wish to sell or to rent your property in Spain, please note that you need to obtain an energy label which states the efficiency on energy level of your property.

This obligation is imposed by the regulation Real Decreto 235/2013 of 5th April, which states that when a property is built, sold or rented, buildings or units on the same, the owner has to show to the purchaser or tenant, original or copy of the Certification on energy efficiency, for those sale contracts or rental agreements granted after the 1^st of June 2013.

The certificate will have a maximum validity of ten years.

By obtaining the certificate, the owner will have the right to use the energy label. This energy label is to be included in every offer, promotion  or publicity towards the sale or rental of your property.

As owner of your property in Spain, in case of sale or rental, you have the obligation to obtain the mentioned efficiency on energy certificate, and to show the energy label on any publicity or offer for the sale or rental of your property.

When the property is to be sold, the certificate will have to be handed over to the purchaser. In case of rental, a copy of the certificate will be sufficient for the tennant.

When is this certificate required?

a) For new constructed buildings.

b) Buildings or apartments in the buildings to be sold or rented, when the certificate is not in place.

c) Buildings with a useful built area over 250 m2., used by public authorities and open to the public.

In the event that you need to obtain the certificate on energy efficiency for your property do not hesitate to contact us. The specialized property lawyers ofArcos & Lamers Asociados will assist you in obtaining the certificate so you may proceed with the sale or  renting of your property in Spain.

María Teresa Arcos, lawyer in Spain

Wim Lamers, economist in Spain.

If you are a purchaser of a property in Spain and agree to a certain price with the vendor, you may receive from the corresponding Spanish Tax Office a “Complementary settlement”, once signed the Purchase and Sale Title Deed. Regional and National Inland Revenue may claim the settlement of the tax according to criteria established by law inSpain. The tax authority is empowered to review the values set by the parties freely.

In Andalucía, the Order of February 13, 2013approves the coefficients applicable to the cadastral values (rateable value) to estimate the real value of properties in order to settle additional bill´s with regards to the transfer tax and stamp duty, inheritance and gift tax inSpainand or the well know Capital Gain Tax. This Spanish law establishes the rules for applying them and the methodology used to obtain valuations on properties in Spain.

Imagine, you as purchaser of an already existing not newly built property in Spain, agree with the vendor a certain purchase price. This price is freely agreed by both parties that for all purposes is a market price, however you need to keep in mind that if that price is lower than that established by the regional law – the so-called tax/fiscal value -, you, the purchaser, will receive in a relatively short time since the signing of the Purchase and Sale Title Deed a “complementary settlement” claiming the difference in transfer tax originally paid, plus legal interest (and remote fines).

Take a practical example that allows you to understand the above:

Purchaser and vendor agree on a price of 100.000,00 euros for an urban property in the Andalusian municipally of Cuevas de Almanzora.

The rateable value of the property in the municipality is 45.000 euros and the multiplier applicable to this town for the year 2013 is 3,60. We find that the fiscal value of this property is of 162.000,00 euros, (45,000 x 3,60).

At the time of the signing of the purchase Title Deed, the Purchaser has paid the transfer tax to 8% over 100,000 euros = transfer tax liability of € 8,000.

Well, please be ensured that the Tax Office of the municipality of Cuevas de Almanzora, will send a “complementary settlement” requiring payment of the transfer tax on a total value of 162,000.00 euros, with a tax to be paid of 12,960 euros, discounting the initially tax of 8,000 euros, plus interest applicable.

The above would also be applicable to Inheritance and Gift Tax inSpainas well as the well known Capital gain tax in Spain.

Before proceeding with the purchase of a property and agree a price with the vendor, keep in mind that there are a number of values that may affect the taxes of the transaction. Do not hesitate to contact the leading multi-lingual law firm,Arcos & Lamers Asociadosfor any tax or legal matter in Spain.

Please do not hesitate to contact the English speaking Spanish lawyers and accountants in Marbella of Arcos & Lamers Asociados, your property lawyers in Spain and tax advisors in Marbella, in the event that you need professional advice regarding the matter proposed in this blog or any other that you may have at the time of selling or purchasing your property in Spain, we have an expert team ready to answer your questions and to provide legal and fiscal advice in Spain.

Arcos & Lamers Asociados, property lawyers in Spain, property lawyers in Marbella, property law firm in Spain, conveyancing lawyers in Spain, Spanish legal advisers.

Approach the English speaking Spanish Lawyers of Arcos & Lamers Asociados for any legal, tax, labour and company advice you may need!.

Félix Ruiz, lawyer in Marbella.

Marbella, June, 2013.

 At Arcos & Lamers Asociados, your law firm in Spain, always at the forefront of the latest technologies, we offer comprehensive advice in paying your taxes, ranging from obtaining all the necessary information for calculating, preparation and presentation of the tax settlement and the communication to the client for meeting with his tax obligations, and always, electronically, giving the whole process of the agility to the taxpayer, being resident as no resident in Spain, has in their possession in the shortest time possible their taxes paid and settled, provided within the period specified by law. All this is possible thanks to our excellent multidisciplinary team, which specializes in different areas of the Spanish Tax System, very complex in itself, by engaging different administrations, such as the National Inland Revenue, the regional ones and local levels.

Taxes on personal Income Tax, Wealth Tax, also for residents as for non residents in Spain, Company Tax, Income Tax Non- Resident(IRNR), Value Added Tax (VAT), all taxes related to real estate transactions ( for example the Capital Gain Tax, Stamp duties), local Taxes (IBI), plusvalia Taxes, other municipal taxes (such as Spanish road tax) and all the rates that may be applicable (for instance municipal garbage collection, rates, opening licence for a business premises, etc), by the mere fact of living in Spain or being a property owner in Spain, or other assets, business or companies, should be carried by specialized professionals.

Therefore, do not hesitate to approach the lawyers, registered accountants (economists) of Arcos & Lamers Asociados , who may fulfil on an efficient bases your tax obligations in Spain.

The Energy efficiency certificate is regulated by a project of Royal Decree of the Ministry of Industry, Energy and Tourism, and which obliges all the existing buildings, when sold or rented. María Teresa Arcos, tax  lawyer in Marbella, Málaga, Spain has the pleasure to provide you with some additional information with regards to this legal subject in Spain.

This regulation, which comes to Spain from Europe, establishes the obligation to make available to purchasers or users of buildings a certificate of energy efficiency, which should include information on the energy characteristics of the building, in order to promote energy saving and encourage the use of renewable energies.

Therefore, once approved, each property that will be sold or rented in Spain must have a certificate of energy efficiency. This certificate will have a validity of up to ten years, and will give information only on the energy efficiency of the construction, so it does not imply accreditation of the fulfilment of any other enforceable requirement to the same.

The obligation to obtain and keep the certificate corresponds to the owner of the property or the building.

Taking into account the above, after the entry into force of the new legislation, all Spanish property owners who wish to sell or rent their properties must have available for the purchaser or the tenant this certificate, and must be included the label of energy efficiency in any offer, promotion and advertising to sale or to lease the property.

In case of a sale, the energy efficiency certificate will be provided to the purchaser. In case of a lease, it will be sufficient to show the original and produce a simple copy of the mentioned certificate to the tenant.

Arcos & Lamers Asociados, your lawyer in Spain, will keep you informed about any news on this matter as well as on approval of the aforementioned Royal Decree stating this new requirement.

For any legal or fiscal question please do not hesitate to contact this efficient and leading multi-lingual law firm inSpain. In Arcos  & Lamers Asociados we have a professional team, with Lawyers and Tax advisers, with offices in Marbella, Málaga, prepared to answer your inquiries.

Marbella, March, 2013.