House purchase deposit. - General property discussion in La Marina - La Marina forum - Costa Blanca forum in the Alicante province of Spain
Gran Alacant Insurances
Costa Blanca Building Specialists
James Spanish School
ASSSA Insurance
Airport Service Taxi Mil Palmeras  Torre de la Horadada
interior building work
AA Free English TV
Thy Will Be Done
Car Key Solutions
Jennifer Cunningham Insurances SL
Expat Services
Espana Dream Properties
Gentlevan Removals
Blacktower Financial Management

Join the La Marina forum

Join the La Marina forumMy name's Alex and this is my website all about La Marina in Spain. Register now for free to talk about General property discussion in La Marina and much more!

House purchase deposit.

Posted: Thu Jun 4, 2020 6:02pm
17 replies841 views7 members subscribed
Ajp

Posts: 117

43 helpful points

Location: La Marina

Joined: 5 Jul 2017

Has anyone any information on what the law is on returning a deposit due to the purchaser passing away? I have friends who had taken the deposit for their house and should have finalised it but the purchaser passed away. They have been told that the money they received for the deposit will have to be paid back to his wife. They are already making arrangements to do this but just wondered if this was the law. Thank you for any information. Alan.

the ashes 40

Posted: Thu Jun 4, 2020 6:42pm

the ashes 40

Helpful member

Posts: 184

188 helpful points

Location: La Marina

Joined: 27 Sep 2018

Posted: Thu Jun 4, 2020 6:42pm

I don't think it matters if it's the law, if they were intending on paying it back then continue with this action. Its the decent and honourable thing to do. 

sugarloaf

Posted: Thu Jun 4, 2020 6:55pm

Posts: 51

37 helpful points

Location: Benferri

Joined: 19 May 2020

Posted: Thu Jun 4, 2020 6:55pm

Ajp wrote on Thu Jun 4, 2020 6:02pm:

Has anyone any information on what the law is on returning a deposit due to the purchaser passing away? I have friends who had taken the deposit for their house and should have finalised it but the purchaser passed away. They have been told that the money they received for the deposit will have t...

...o be paid back to his wife. They are already making arrangements to do this but just wondered if this was the law. Thank you for any information. Alan.

Sometimes Ajp Spanish laws can be virtually worthless when it can take up to 10 years to get a case heard before a Spanish judge. I don’t know why that is the case but it seems to suite the Spanish. The one rule I learned years ago ’’whoever has the money in their pocket owns it’’.


Herefordjack

Posted: Thu Jun 4, 2020 7:26pm

Herefordjack

Super helpful member

Posts: 883

1097 helpful points

Location: Pego

Joined: 18 Dec 2017

Posted: Thu Jun 4, 2020 7:26pm

sugarloaf wrote on Thu Jun 4, 2020 6:55pm:

Sometimes Ajp Spanish laws can be virtually worthless when it can take up to 10 years to get a case heard before a Spanish judge. I don’t know why that is the case but it seems to suite the Spanish. The one rule I learned years ago ’’whoever has the money in their pocket owns it’’.


There's also something known as karma. What goes around comes around.

Give the money back.

Kimmy11

Posted: Thu Jun 4, 2020 8:24pm

Kimmy11

Legendary helpful member

Posts: 6870

12563 helpful points

Joined: 8 Aug 2017

Posted: Thu Jun 4, 2020 8:24pm

Hi Ajp,

What a terribly sad situation.

At face value, it may seem that the deposit should be returned to the surviving partner without question.  However, under Spanish conveyance law, if a buyer fails to complete on the purchase, the seller would be entitled to keep the deposit.  In this particular situation, that may seem heartless, but looking at it dispassionately, the seller may well be contractually committed to their estate agent to pay at least a proportion of the selling fees, as well as lawyers' fees, for the aborted sale.

Also this situation may not be as straightforward as it seems if, for example, the buyer's death invokes other law that takes precedence over conveyance law.

Of course, if the seller hasn't incurred any expenses, I agree it would be morally correct for them to return the deposit to the buyer.

Given the tragic nature of the circumstances, hopefully the seller is being advised by an independent, Spanish lawyer (abogado) who, with sensitivity and compassion, can arrive at an equitable solution for all parties.  

Kind regards,

Kim

Advertisement - posts continue below

Ajp

Posted: Fri Jun 5, 2020 12:00am

Ajp

Original Poster

Posts: 117

43 helpful points

Location: La Marina

Joined: 5 Jul 2017

Posted: Fri Jun 5, 2020 12:00am

Thank you all for getting back to me, They are paying the deposit back no question but they have had conflicting information from the agent who sold the house and the solicitor. Thanks again. Alan.

nikkimunday

Posted: Fri Jun 5, 2020 10:17am

nikkimunday

Helpful member

Posts: 274

260 helpful points

Location: La Marina

Joined: 15 Mar 2020

Posted: Fri Jun 5, 2020 10:17am

This post that was quoted has been deleted.

Not quite RayD. If the seller pulls out THEY had to pay the purchaser twice the deposit back. Also, you will find you still have to pay the agent their commission even thought the sale did not complete.

sugarloaf

Posted: Fri Jun 5, 2020 10:54am

Posts: 51

37 helpful points

Location: Benferri

Joined: 19 May 2020

Posted: Fri Jun 5, 2020 10:54am

Ajp wrote on Fri Jun 5, 2020 12:00am:

Thank you all for getting back to me, They are paying the deposit back no question but they have had conflicting information from the agent who sold the house and the solicitor. Thanks again. Alan.

Could the conflicting information have something to do with them wanting their cut?


nikkimunday

Posted: Fri Jun 5, 2020 11:51am

nikkimunday

Helpful member

Posts: 274

260 helpful points

Location: La Marina

Joined: 15 Mar 2020

Posted: Fri Jun 5, 2020 11:51am

sugarloaf wrote on Fri Jun 5, 2020 10:54am:

Could the conflicting information have something to do with them wanting their cut?


The agent will take their commission no matter what happens. I know this for a fact as it happened to me. My buyer pulled out and I got the deposit from the agent minus their commission even though the sale had not completed. My fault. I should have read the small print. Not all agents will still charge but I was unfortunate enough to have one who did. A lot only charge when the sale is completed. Check the small print is my advice. What you will find is that it is generally the english agents who insist on taking commission even when a sale does not complete. Tells you something about your countrymen, doesn´t it.

sugarloaf

Posted: Fri Jun 5, 2020 1:40pm

Posts: 51

37 helpful points

Location: Benferri

Joined: 19 May 2020

Posted: Fri Jun 5, 2020 1:40pm

nikkimunday wrote on Fri Jun 5, 2020 11:51am:

The agent will take their commission no matter what happens. I know this for a fact as it happened to me. My buyer pulled out and I got the deposit from the agent minus their commission even though the sale had not completed. My fault. I should have read the small print. Not all agents will still...

... charge but I was unfortunate enough to have one who did. A lot only charge when the sale is completed. Check the small print is my advice. What you will find is that it is generally the english agents who insist on taking commission even when a sale does not complete. Tells you something about your countrymen, doesn´t it.

Perhaps it is the lack of an enforceable justice system that encourages the foreign cowboys to operate in Spain.


Sign up for free or login to reply to this topic

Want to reply to this topic? Login or register for free to post your message:

Find more General property discussion topics from a particular area:


Register for free!

Login to your account

Gran Alacant Insurances
Costa Blanca Building Specialists
James Spanish School
ASSSA Insurance
Airport Service Taxi Mil Palmeras  Torre de la Horadada
interior building work
AA Free English TV
Thy Will Be Done
Car Key Solutions
Jennifer Cunningham Insurances SL
Expat Services
Espana Dream Properties
Gentlevan Removals
Blacktower Financial Management
Advertise your business here
Advertise your property
Help with my computer