New owners of a property in Spain. Spanish Community of owners

When you have decided to purchase a property in Spain, the purchaser must ensure that all outstanding ordinary fees as approved by the Spanish community of owners are properly settled by the current owner (the vendor). Obviously, this is applicable to both dwellings and commercial premises forming part of a Spanish Community of owners.

Article 9.1.paragraph e) of the Act 49/1960, about Spanish property in Condominium Law (Ley de Propiedad horizontal) amended by the Act 8/2013 of 26^th June on Rehabilitation, Regeneration and Urban Renewal” establishes that it is the obligation of the owner “to contribute, in accordance with the fee participation specified in the title or specially established, to the general costs for the proper maintenance of the property, its services, charges and responsibilities that are not subject to individualization”.

One should take into account as well that credits in favour of a Spanish community of owners arising from the obligation to meet the overhead costs corresponding to the fees for the current year and the three previous years are considered preferential credits.

Potential purchasers of a property in Spain should keep in mind that it is highly advisable to check that the Spanish community fees are settled and specially those corresponding to the present year and the three previous ones. Prior to the amendment carried out by Act 8/2013 of June 26, this obligation was limited to the current year and the one immediately preceding it.

At the time of granting the Spanish Purchase and Sale Title Deed, the vendor must demonstrate his standing with the Spanish Community of Owners by a certificate signed by the Secretary approved by the President. This “free from debts certificate” assures you that you are acquiring the property in Spain without debts to the Spanish Community of owners.

Keep in mind, future purchasers, that the acquired Spanish property will respond of this obligation to the Community of Owners, so it will be important to verify that the property is acquired in the certainty that the Spanish community fees are settled in order to avoid legal proceedings that are resolved quickly in the Spanish Courts (proceso monitorio). Without realizing it, you may find yourself in a situation where an attachment has been placed on your Spanish property.

Please contact this Spanish law firm, Arcos & Lamers Asociados, your property lawyer in Marbella, Malaga, Spain, if you have already found the property of your dreams. To ascertain that your property is purchased with all guarantees and without any hidden unexpected costs and taxes, we would strongly advise you to contact one of the conveyancing lawyers of our firm prior to signing any Spanish reservation document or any private purchase contract in Spain

Additional information on property transactions can by found at our micro-site “Conveyancing in Spain”.

Felix Ruiz, lawyer in Spain.