What does it consist of?
This procedure is one of the most common in notaries. Basically, it occurs when a person sells a real estate property or shares or participations in a company in exchange for an agreed amount of money. In this way, the ownership and all responsibilities associated with it transfer from one owner to another.
In other words, the deed of sale is the official document where the agreements between the buyer and the seller are detailed, and all conditions and agreements related to the transaction are recorded.
Finally, remember that agreements that lead to capital increases and reductions in a company can be requested via videoconference.
What does the buyer need to pay in a purchase?
First, the buyer must pay the Transfer Tax (ITP) for the transaction. If the property is being sold for the first time, VAT will be applied; if it is second-hand, the TPO (Transfer of Property Tax) will apply. Additionally, the buyer must pay the costs related to registering the property in the Property Registry and Documented Legal Acts, which vary depending on the region.
What does the seller need to pay in a sale?
The seller will have to face the municipal capital gain tax, which is the Tax on the Increase in Value of Urban Land (IIVTNU), in addition to the Personal Income Tax (IRPF) and the Non-Residents Income Tax (IRPNR) if they reside outside the country.
Who bears the cost of the sale deed?
The party responsible for paying the sale deed depends on what has been agreed between the parties. In Catalonia, it is usually the buyer who covers these notarial expenses. However, in other regions, it is common for the seller to assume them.
Who pays the Property Tax (IBI) in a sale?
The IBI must be paid by the property owner on January 1st of each year. In property transactions, a proportional division between the parties is usually agreed upon. Therefore, if agreed upon, the seller will pay the IBI up to the day of the sale, and the buyer will take responsibility from the following day.
Required Documentation
Sale of real estate
Ownership documents of the sellers.
National Identity Document (DNI) of the sellers and buyers.
Information about the matrimonial economic regime of both parties.
In case of a company’s involvement, powers of attorney or appointment of the current administrators are required.
Registration details in the Commercial Registry if a company is involved.
For urban properties, a certificate from the homeowners’ association confirming the payment of community expenses.
Cadastral reference (last IBI receipt).
Rental status of the property.
Agreed sale price.
Details of transaction payment costs: notarial fees, municipal land value increment tax (Capital Gain Tax).
Sale of shares
Ownership documents of the sellers.
National Identity Document (DNI) of the sellers and buyers.
Information about the matrimonial economic regime of both parties.
In case of a company’s involvement, powers of attorney or appointment of the current administrators are required.
Articles of incorporation of the company where the shares or participations are being processed and their registration details in the Commercial Registry.
Company Tax Identification Number (NIF).
Agreed transaction price.
Details of the operation's payment costs.
In which situations can this service be used?
This real estate sale service can be used in various situations, such as:
Buying a house or apartment as a first residence.
Acquiring property for investment purposes.
Selling land or plots.
Buying commercial properties, such as shops or offices.
Selling a property to move to a new residence.
Inheritance of real estate.
Property division in the case of divorce or the breakdown of a marital property regime.
Transfer of property between family members.
Sale of properties under foreclosure or in a foreclosure process.
Buying properties at public auctions.