If you own real estate or are considering the purchase or sale of a property, you must be aware of all the architectural and administrative formalities related to real state property.
When buying or selling real estate, you must take into account some architectural and administrative formalities related to real estate property that will be necessary to complete the transaction.
As part of the architectural and administrative procedures concerning real estate property, a series of checks must be carried out on the state and situation of the property. Here is a list of these essential procedures.
The main proceedings that must be carried out for the purchase and sale of a property are listed below.
The first step when purchasing a property is ensuring that you have all the information on the characteristics and the legal status of the property.
Obtaining this information requires certain enquiries with public bodies in order to collect the documentation that will enable you to have an overall view of the state of the property.
One of the bodies to contact is the catastro – which is Spanish for Spanish Land Registry – to check the title deed. A check at the land registry will reveal whether the property has any encumbrances or charges. It will also provide useful information on whether there are any limitations on the property.
Certain issues to pay attention to in the information obtained from the registry are charges, such as liens or easements. Encumbrances usually consist of debts or mortgages.
In addition, it is important to look at the pending entries, as these are governed by the order in which they are filed. Therefore, if there was a prior outstanding entry such as a mortgage, by the time you complete the purchase, you will be buying a mortgaged property.
It is also important to check the catastro or public land registry as at times the dimensions of a property shown in the land registry might not match the actual dimensions of the property. This can be due to several reasons; however, it must be amended by means of a land registry amendment. Correcting this situation is important as it will affect the appraised value of the property in the future and thus may affect the mortgage estimation.
Relevant information can also be obtained from the town hall, where you can find information about outstanding debts on the property.
At the town hall, you can also ask for the Plan General de Ordenación Urbana (General Plan for Urban Planning) to see how the land is classified and whether it can be developed.
Useful information about the property can also be obtained from the regional or Autonomous Community governments. Property valuations and urban planning licences are other aspects to consider when handling the purchase and sale of a property.
Obtaining the energy certificate of the property would be another important step to take into account when buying a property. Having this energy certificate is important for a property to increase its value.
Furthermore, it is recommended that technical reports be drawn up by urban planning specialists and architects who can provide thorough information on the condition and characteristics of the property.
The usual utilities of a dwelling are important, these include electricity, water or telephone. Such utilities may have pending debts from the previous owner that you may have to take over.
If so, you will need to either claim these amounts from the owner or deduct them from the sale price. It is also not uncommon that utility services have been cancelled by the previous owners and will need to be re-activated.
These are the main issues that you should take into account when purchasing or selling a property. Therefore, you must consider all the procedures and get all the necessary information in order to avoid any surprises when purchasing a property.
In any event, you are strongly advised to find a solicitor specialised in this kind of situations who will make the corresponding document enquiries in order to provide you with complete information about the property.
Furthermore, a lawyer will also help you interpret the information you receive and check that the purchase contract and all the documentation you are signing and handling complies with the necessary legal requirements.
Buying or selling a property is undoubtedly a major decision and one that should not be taken lightly. Having all the necessary information beforehand is essential for you to be able to make the best decisions and pay the right price for the property.
Do not hesitate to get professional advice and ensure the best results in any transaction.
