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Legal/Gestor Costs Involved in Purchasing Property in Alicante Province

Posted: Fri Mar 8, 2019 9:54am
8 replies113 views3 members subscribed
bbalach

Posts: 40

9 helpful points

Location: Coveta Fuma

Joined: 14 Jul 2018

I made an offer that was accepted for a property in Coveta Fuma.  I've been struggling to find an attorney.  I've communicated with several but don't have any confidence in them.  None of them agree on what I should hire them to do and what is required by law.  The last one I contacted said that I had to hire a financial representative, something that had not been mentioned by anyone else, a service she was willing to provide, by the way. My confidence in the legal community has been shaken by realtor advice that I use the same attorney as the seller and the dramatic difference in legal costs and responsibilities, together with all the expat horror stories I've read.  I've gotten as far as I can with online research and I am desperate for advice.  Following are the steps required to buy a home in Spain and the property authority to implement it as I have gleaned from research:

1.  Purchase agreement:  Drafted by the seller.  

2.  Property Search:  Seller warrants that there are no liens, back taxes, or other encumbrances against the property.  Do I pay an attorney to do a search?  Who is the ultimate authority to warrant that it is true?  In this case, the property develop is 40 years old and current owners have been there since 1985, so I'm not worried about illegal structures or unclean title.  If the seller warrants that there are no encumbrances and that the title is clean, if it turns out not to be true, what options do I have?  They'll be leaving the country.

3.  Real Estate Conveyance:  Who drafts this?  My lawyer or the seller's?

4.  Who accepts the deposit upon signing of the purchase agreement?  Does it go to the realtor to hold?

5.  Who gets the cash payment for the home?  Do I write a check at the closing?  Do I have to transfer the money somewhere to be held until the sale is final?

6.  Do Gestor's do title searches?  Are they bonded so that monies can be paid to them to hold until closing?

7.  Exactly what does the notary do?  They file the documents and assure that the documentation is correct.  I've been told that the notary will refund or distribute any amounts of money being held to pay certain expenses. 

8.  The communal document is probably the most important document for me to evaluate.  it will be in Spanish so I need to have it interpreted for me.  I can have a friend do that and formulate any questions I might have.  I don't think I need a lawyer for that.

I don't need an N.I.E.  I have a Spanish bank account. It seems to me that I need a Gestor more than I need an attorney because my biggest concerns involve paying only for what I'm legally obligated to pay.

I'm fairly furious with the legal community.  Not one has been willing to break down the services provided and the cost of each service provided.  They get really defensive if I ask questions.  Even when their charge for services includes stuff I don't need done (ensuring utilities and taxes are in my name, acquiring an N.I.E., etc.) they refuse to lower the charge.  If I'm wiling to risk have a title search if the current owners warrant that the title is clean, what do I need an attorney for?

Advice please!  I invariably make the wrong choice in these matters.  I'm retired and it's easier to save than to earn.  My dollars are fixed and I don't want to be taken advantage of.  I'm sure all of you have heard horror stories.

Thank you.

Jan

Posted: Fri Mar 8, 2019 10:08am

Jan

Admin

Helpful member

Posts: 1135

495 helpful points

Location: Rojales

Joined: 17 Jan 2015

Posted: Fri Mar 8, 2019 10:08am

Have a look at Abaco website. They are a trustworthy Solicitor. Also you can email them questions and they will answer. They get many recommendations on the forums. We used them to buy our property and still use them as Fiscal Representatives on a retainer to sort out our property taxes. Their website is very informative.

https://www.abacoadvisers.com/conveyancing

Even if you don't use them to buy your property their website is very helpful.

bbalach

Posted: Fri Mar 8, 2019 11:45am

bbalach

Original Poster

Posts: 40

9 helpful points

Location: Coveta Fuma

Joined: 14 Jul 2018

Posted: Fri Mar 8, 2019 11:45am

Thank you!  I will do so immediately.

cadyjay

Posted: Tue Sep 10, 2019 10:09pm

Posts: 53

5 helpful points

Location: Gran Alacant

Joined: 7 Sep 2019

Posted: Tue Sep 10, 2019 10:09pm

Hi

I was just wondering how you got on? I am currently looking to buy in Coveta and have the same questions you did.

Did you find a solution

Thanks 

bbalach

Posted: Wed Sep 11, 2019 9:34am

bbalach

Original Poster

Posts: 40

9 helpful points

Location: Coveta Fuma

Joined: 14 Jul 2018

Posted: Wed Sep 11, 2019 9:34am

I bought a small bungalow in the Neptuno Urbanization.  Every inch needs renovation and I’m working through the difficulties of hiring contractors in a very different culture and with language barriers.  It is the right place for me.  I love it.  Thank you for inquiring.

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cadyjay

Posted: Wed Sep 11, 2019 10:06am

Posts: 53

5 helpful points

Location: Gran Alacant

Joined: 7 Sep 2019

Posted: Wed Sep 11, 2019 10:06am

That great news for you.

How did it go legally? Did you find a good attorney. Any recommendations?

Also did you have a survey completed on the property before you bought it?

I am thinking about buying but just wondering if i need to have a survey other than getting the nota simple from the Property Registry (Registro de la Propiedad).

What did you do?

Thanks

bbalach

Posted: Wed Sep 11, 2019 10:13am

bbalach

Original Poster

Posts: 40

9 helpful points

Location: Coveta Fuma

Joined: 14 Jul 2018

Posted: Wed Sep 11, 2019 10:13am

I just used a gestor and it cost 850 euros.  Attornies were too expensive and they don’t really do much.  I’m generally satisfied with the service.  

bbalach

Posted: Wed Sep 11, 2019 10:18am

bbalach

Original Poster

Posts: 40

9 helpful points

Location: Coveta Fuma

Joined: 14 Jul 2018

Posted: Wed Sep 11, 2019 10:18am

I didn't Have a survey.  The property I bought is 40 years old so I wasn’t worried about illegal building or misunderstandings about property boundaries.  If you are buying land with the intention of building or single family homes, more care should be taken.  I’ve heard many horror stories. In the US, communal or association documents are very important to subject to careful review because they aren’t legally regulated.  Here they are so there is considerably less risk but ut’s Still something to pay attention to.

cadyjay

Posted: Thu Sep 12, 2019 1:07pm

Posts: 53

5 helpful points

Location: Gran Alacant

Joined: 7 Sep 2019

Posted: Thu Sep 12, 2019 1:07pm

Yes i think we will go with a gestor too. Would you recommend the one that you used?

Did you manage to find a good/reliable builder or contractor to complete the renovations on your home? How have you found finding a builder?

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