Quick guide on how to buy a property

What are my options if the buyers of my property, who have been living in it for two years after paying only 25% of the purchase price, refuse to pay the balance.

I don't know about you, but when I first bought my flat I was immersed in a sea of paper work, fees and administration problems which I didn't expect.

I thought it would be handy to compile a quick little guide to buying a property, which you can keep in your pocket and every now and again refer to it, so that you don't lose track of what you are supposed to be doing and when.

Before buying you have to find the ideal home, but... how?

The first thing is to reduce your search to a particular type of property, then go to visit them and choose the best. To narrow your search, consider the following criteria:

How much money do you have? Do you have a CSH account? Are you going to sell your old house? What is your initial capital outlay? And what is your ability to borrow?

What house do you exactly want? First residence or second home; new or second-hand; location, size, quality...

Who should you be talking to. Do you want a subsidised house? Are you going to join a cooperative? Would you prefer to have intermediaries or act on your own?

When you have defined the type of home you want to buy and start viewing the suitable ones, look very closely to choose Two years ago, I agreed to sell my property to an English couple who lived in Spain for a number of years and owned a number of businesses.

At the time I accepted a 25% deposit on the house as security and signed a contract drawn up by their "gestor". Somehow I was talked into handing over the keys after I had been paid the deposit and gave them in good faith with the belief that the buyers were only going in to measure up for renovations/decorations.

It has been nearly 2 years since this deal and I have had no further monies from the buyers. However in this time they have rented the property to a number of people and they have just moved into the the best, so the wool is not pulled over your eyes.

At the moment of buying

At the time of purchase it is very important to feel secure against any possible fraud; here are the key points you shouldn't lose sight of.

You know everything you want to know about mortgages? In any case, obtain all the leaflets from different banks and keep them in a safe place. There are calculators to help predict the characteristics of your proposed home loan available on the internet. Consult them they are very useful. house themselves recently.

Having heard that the couple involved had made a number of bad business investments I proposed selling the property to someone else and refunding their deposit. I was told that they wanted twice what they paid me as a deposit back if I wanted to sell to someone else as they had spent a great deal of money on renovations. They have refused to let me see the house but I have been told by a friend who has seen it, and neighbours, that no such renovations have occurred and if anything there is substantial damage to the property.

As I still have the house in my name, how do the original buyers stand legally and what actions will

Did you know that it is not obligatory to have official deeds? Discover the advantages of the deeds, what could happen if you do not have them notarised and all the steps that must be taken to perform this procedure.

The total cost of buying your home is not only the selling price of the property: there are more expenses to cater for. Would you like to know what? See below.

New housing

New or first-hand housing is housing that has never been sold before.

Advantages: As a new purchase, you have the ability to choose its features and finishes more freely. If you buy from plans or while it is under construction, you may be able to make certain modifications in line with your tastes and needs.

Drawbacks: Normally, new homes are more expensive than I need to take to remove them from my property if no amicable agreement can be reached?

PS. The contract drawn up by the gestor does not mention a completion date or any penalties from pulling out of the sale.

A. Certainly your situation is unpleasant, but it does have redress. What strikes me the most, however, is that no completion date was fixed in the contract, although if we think that the gestor´´ was representing the buyers, it may have been part of a pre-conceived plan to attempt to cunningly access ownership of a property without paying the full purchase price: if they thought they could achieve this, I can only describe it as wishful thinking. second hand. As a first purchase it is subject to 7% V.A.T.

Second hand

Second-hand housing is housing that has already been sold on one or more occasions. Usually this will be a home that has been used, but it is possible that it has not been lived in (for example, if the previous owner bought off plan or under construction, and at the time of the acquisition the building has not yet been finished).

An advantage: In principle, owned homes are often cheaper than new ones. Occasionally, exciting opportunities appear.

One drawback: If you choose a resale home, consider its condition and the possible refurbishments you may have to do: Make a first check of the most visible parts (carpentry, plumbing, etc.) as it will be more difficult to make a claim for possible defects at a later date.

In my opinion, the best way forward, after having the buyers live in the property for almost two years, is to send them a notarised notice/letter, where you give them a period of time to complete the purchase and pay the balance, informing them that not paying up the balance would amount to a contractual rescission with loss of 25% paid up to date. A month is a reasonable period.

I would add in the letter that the purchase price is to be increased in the rental payments which you are entitled to by virtue of a verbal rental agreement, as they are enjoying the property whilst you do not have possession and you are losing the interests of the capital you should have already received. This should

You should commission a professional to advise you about the state of the facilities (pipelines, electricity, gas...) and structure (beams, pillars...).

To assess the housing, you also have to consider whether or not the furniture is included. When you have bought your home, you only have to take a few steps before you move in. If you have purchased a new home will you want to connect to water, electricity and gas services? Have you bought a resale home and do you want to make some refurbishments?

Imagine that you've bought your home, you have taken the necessary steps to inhabit it and, just after settling in, you discover defects that you have not seen before. Prior to purchasing always obtain information about any possible guarantees that you may need later. put you in a stronger negotiation position.

The worst case scenario is that you end up in Court, with the judge fixing a date for the buyers to pay the balance and deciding on whether a verbal rental agreement was reached or on the contrary they were given unconditional access to the property, until they completed the purchase.

The fact that the contract does not specifically mention penalties does not mean that you do not have the right to them, it would be down to the judge to decide what is reasonable in view of the circumstances.

You should seek legal advice and take action as soon as possible.

Manuel Martin - Spanish lawyer

After buying

can be contacted at C/ Castaños 22, 5ºB, Alicante. Tel: (0034) 96 516 16 06. Fax. (0034) 96 521 71 11 Email: mbmartin@abogados.de Take a look at www.spanish-lawyers.info