WHAT WE DO AT AF CONSULTING PRO LAWYERS JUST AFTER THE SIGNING YOUR PURCHASE DEEDS
The object of this post is to explain to you the work that we do, as lawyers, when we act for a client in a purchase.
Specifically, I would like to explain to you what you can expect from us from the moment just before the signing of the purchase at the Notary.
And why do I want to explain this to you from this exact point?
Well, the answer is because although we explain it in a very simple and detailed way to our clients, it is common to find people who are confused about what to expect from their lawyer during the process of buying a property.
Well, in this post, I want to share with you what I share with all our clients when they are going to buy a property in Spain.
Let’s go step by step.
“Before we take on a job, we have already agreed our fees with the client, which are already fixed for the job we have been instructed to carry out.”
PROVISION OF FUNDS BEFORE SIGNING AT THE NOTARY
Before we take on a job, we have already agreed our fees with the client, which are already fixed for the job we have been instructed to carry out.
This ensures that there are no unpleasant surprises awaiting the client when our work has been completed.
However, along with our fees, there is another series of costs that are not for us, but for other entities involved in the purchase, such as taxes, the Notary, the Land Registry, etc.
Therefore, just before signing the Deeds, our client receives a fairly approximate estimate of all the expenses that are foreseen for the complete finalization of the sale.
We call it “A PROVISION OF FUNDS”
Many of these costs are approximate; this means that they could end up a little above or a little below the estimated figure.
We always try to adjust them to the maximum, but it is really difficult to accurately calculate some of them. An example is in the Notary’s bill, the amount depends on the number of pages there are in the Deeds!
Therefore, the client receives the PROVISION OF FUNDS, with these APPROXIMATE PRE-CALCULATIONS, that must be paid before signing at the Notary’s office.
At the end of the entire process, we will do the true calculation of all the expenses that have occurred, and if there is an excess of funds, we will return them to the client along with all the documentation and invoices.
If, on the other hand, they are a shortfall, this must be paid by the client.
SIGNING AT THE NOTARY’S OFFICE
It is the most important day. Either with a Power of Attorney or with the client present, on this day, all you have to do is bring the Banker’s Draft or the funds to pay the seller.
And of course, SIGN THE DEEDS.
From this moment onwards, YOU ARE THE OWNER, AND YOU TAKE POSSESSION OF THE PROPERTY.
Remember that the Deeds that are signed at the Notary’s office are the AUTHENTIC ones, and it is the one that always stays in the Notary’s office.
The Deeds that you receive are an AUTHORIZED COPY of the original, which means that the signatures are not visible on them. They are only on the set that the Notary holds.
We only need an AUTHORIZED COPY to be able to carry out the subsequent procedures. But if one day you lose your Deeds, don’t worry… you can request another one with no problem.
These Deeds (THE AUTHORIZED COPY), will be collected from the Notary’s Office by us, normally within a period of approximately 5 days (it will depend on the Notary whether this term is longer or shorter).
Having said this, normally, the same day or the next day, we will send you a SIMPLE COPY of the Deeds in PDF format by email, so that you have said copy in your possession as soon as possible, to carry out any management that may be needed relating to your purchase.
LIQUIDATION OF TAXES
Once we have the Deeds in our possession in electronic format, we file all the necessary Tax forms and, of course, pay the taxes.
The deadline to carry out this procedure is thirty working days from the day of the signing. Under normal conditions, we will do this before the deadline, but it is important to know that this is the deadline.
PRESENTATION OF DOCUMENTS IN THE LAND REGISTRY
All the documents (the Deeds, proof that the taxes have been filed and paid etc.), are then presented in the corresponding Land Registry.
If everything is correct, the time it takes for the Deeds to be registered in the Land Registry will depend on each individual Land Registry, and the workload they have at that precise moment.
A reasonable period of time is one month. But sometimes, it can even take several months. But don’t worry, it’s just a matter of time.
DELIVERING THE DOCUMENTATION INTO THE HANDS OF THE CLIENT AND LIQUIDATION OF THE PROVISION OF FUNDS
Once the Land Registry has finished the registration, they notify us to carry out the payment and collect the Deeds.
When we have the Deeds, we proceed to the next step of what we call the LIQUIDATION OF THE PROVISION.
We do the calculations of the final costs and check whether, after having carried out all the necessary procedures, the balance is in your favour or in ours.
We will then contact you again to hand you over all the documentation (the Deeds and all the original bills).
When a final balance is in the client’s favour, you cannot believe their happy faces, when they find out that, after the whole process has been finalised, they are going to receive a sum of money back, it doesn’t matter that in most cases it is only a small amount, it is just the sheer pleasure of getting something back!.
In summary, this is the normal process in a property purchase.
As you can imagine, there are some very special cases that cause these time spans to be longer, but by reading this post you can get a fairly approximate and general idea of the purchase procedure in Spain.
Remember our MISSION STATEMENT: WE GUARANTEE YOU PEACE OF MIND & THESE AREN’T JUST WORDS
PS. Please ask any questions you may have. Contact us.